Digital Realty Trust (NYSE:DLR) was downgraded by Zacks Investment Research from a “hold” rating to a “sell” rating in a report issued on Monday.

According to Zacks, “Digital Realty has recently disclosed that it expects to produce high-single-digit growth in core funds from operations (FFO) per share in 2018. However, shares of the company have underperformed the industry it belongs to, in the past three months. Moreover, the stock has seen the Zacks Consensus Estimate for fourth-quarter 2017 as well as full-year 2018 FFO per share being revised downward in a month’s time. Digital Realty’s earnings have a notable exposure to foreign currency translation and face cut-throat competition in the industry. Also, the company has a substantial debt burden. Further, rate hike add to its woes. Nevertheless, solid demand for data centers as well as accretive acquisitions and development efforts have the capability to drive long-term growth.”

DLR has been the subject of a number of other reports. SunTrust Banks restated a “buy” rating and set a $135.00 price objective on shares of Digital Realty Trust in a research note on Friday, November 24th. Deutsche Bank upgraded shares of Digital Realty Trust from a “hold” rating to a “buy” rating and set a $130.00 price objective for the company in a research note on Wednesday, January 10th. KeyCorp set a $130.00 price objective on shares of Digital Realty Trust and gave the stock a “buy” rating in a research note on Sunday, October 29th. William Blair assumed coverage on shares of Digital Realty Trust in a research note on Friday, September 22nd. They set a “market perform” rating for the company. Finally, Citigroup restated a “neutral” rating and set a $127.00 price objective on shares of Digital Realty Trust in a research note on Tuesday, September 26th. One research analyst has rated the stock with a sell rating, six have assigned a hold rating and ten have given a buy rating to the stock. Digital Realty Trust currently has an average rating of “Buy” and an average price target of $125.21.

Digital Realty Trust (DLR) traded down $2.16 during trading on Monday, hitting $105.78. 1,907,800 shares of the stock were exchanged, compared to its average volume of 1,364,133. Digital Realty Trust has a one year low of $101.70 and a one year high of $127.23. The company has a debt-to-equity ratio of 0.85, a quick ratio of 0.46 and a current ratio of 0.46. The firm has a market cap of $21,731.72, a P/E ratio of 85.31, a price-to-earnings-growth ratio of 2.15 and a beta of -0.09.

Digital Realty Trust (NYSE:DLR) last posted its quarterly earnings data on Wednesday, October 25th. The real estate investment trust reported $1.51 EPS for the quarter, topping the Zacks’ consensus estimate of $0.40 by $1.11. Digital Realty Trust had a net margin of 11.71% and a return on equity of 5.15%. The company had revenue of $609.90 million during the quarter, compared to the consensus estimate of $595.49 million. During the same period in the prior year, the business posted $1.44 EPS. The company’s quarterly revenue was up 11.6% on a year-over-year basis. analysts expect that Digital Realty Trust will post 6.1 earnings per share for the current year.

A number of large investors have recently modified their holdings of the stock. Carret Asset Management LLC lifted its stake in Digital Realty Trust by 1.0% in the 2nd quarter. Carret Asset Management LLC now owns 3,236 shares of the real estate investment trust’s stock valued at $366,000 after purchasing an additional 31 shares during the last quarter. Scotia Capital Inc. lifted its stake in Digital Realty Trust by 1.7% in the 2nd quarter. Scotia Capital Inc. now owns 10,399 shares of the real estate investment trust’s stock valued at $1,175,000 after purchasing an additional 170 shares during the last quarter. Albion Financial Group UT lifted its stake in Digital Realty Trust by 1.3% in the 2nd quarter. Albion Financial Group UT now owns 19,401 shares of the real estate investment trust’s stock valued at $2,191,000 after purchasing an additional 255 shares during the last quarter. Mutual of America Capital Management LLC lifted its stake in Digital Realty Trust by 1.5% in the 2nd quarter. Mutual of America Capital Management LLC now owns 19,340 shares of the real estate investment trust’s stock valued at $2,184,000 after purchasing an additional 292 shares during the last quarter. Finally, Lazard Asset Management LLC lifted its stake in Digital Realty Trust by 1.2% in the 2nd quarter. Lazard Asset Management LLC now owns 27,338 shares of the real estate investment trust’s stock valued at $3,087,000 after purchasing an additional 313 shares during the last quarter. Institutional investors and hedge funds own 98.34% of the company’s stock.

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About Digital Realty Trust

Digital Realty Trust, Inc is a real estate investment trust (REIT). The Company is engaged in the business of owning, acquiring, developing and operating data centers. The Company is focused on providing data center and colocation solutions for domestic and international tenants across a range of industry verticals ranging from financial services, cloud and information technology services, to manufacturing, energy, healthcare and consumer products.

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