AlphaMadera's AlphaVal page classifies Digital Realty Trust, Inc. as a Real Estate Investment Trust business and values it using P/FFO × Specialty REIT Multiple, then compares the result to the current market price to flag DLR as undervalued, fairly valued, or overvalued.

What is Digital Realty Trust, Inc.'s fair value?

Fair value for DLR comes from a P/FFO × Specialty REIT Multiple model -- the approach AlphaVal selected for this company's Real Estate Investment Trust classification. The live AlphaVal page shows bear, base, and bull scenarios alongside the key assumption behind each.

How does AlphaMadera value DLR?

AlphaVal routes each company to one of ten valuation archetypes based on its business model. DLR was classified as Real Estate Investment Trust and is valued using P/FFO × Specialty REIT Multiple, built from DLR's most recent reported fundamentals.

DLR - Digital Realty Trust, Inc.

Price: -- -- | CONSENSUS: Buy DETAILS | PRICE TARGET: $221.06 DETAILS

AlphaVal

Deterministic, archetype-aware fair value

Real Estate Investment Trust 85% confidence

Primary model: P/FFO × Specialty REIT Multiple

Valuation Signal Fair Value Moderate

Trading 17.8% below fair value

Current Price $192.32

Bear Case $191.29 0.5% downside ($191.29 - $192.32) / $192.32 = -0.5% $8.66 FFO × 29x

Fair Value $233.85 21.6% upside ($233.85 - $192.32) / $192.32 = 21.6% $8.66 FFO × 35x

Bull Case $276.41 43.7% upside ($276.41 - $192.32) / $192.32 = 43.7% $8.66 FFO × 42x

Adjust Assumptions

P/FFO Multiple

35.1x

FFO per Share

8.66$

Key Value Driver

FFO/share ($8.66) × specialty P/FFO multiple

Terminal Value % of EV

Implied Market Multiple 22.2x

Market is pricing in (growth)

Plain-Language Summary

At $8.66 FFO/share with a 35x specialty REIT multiple, the base-case value is $233.85 per share. Dividend yield: 2.5%. DDM cross-check: $70.41.

Analyst Consensus (External Reference)

Never blended into the bear/base/bull estimates above -- shown only as an outside comparison.

Average Target (48 analysts) $221.06

Analyst Range $197.00 – $240.00

Divergence from AlphaVal 6%

Warnings

⚠ Standard profit figures are misleading for real estate companies — large non-cash accounting charges make profits look artificially low. Dividend yield and funds from operations are better measures.

ℹ Dividend-based valuation: $70.41 (70% below our primary estimate). Large gaps suggest the dividend may not fully reflect the company's value.

Key Risks

P/E and EV/EBITDA are structurally wrong for REITs — use P/FFO and NAV
Interest rate sensitivity: REIT multiples compress when rates rise
FFO approximation (NI + D&A) may include gains on property sales — verify