Is Digital Realty Stock a Buy?
Digital Realty Trust (NYSE: DLR) is one of the world's leading providers of data-center services and it has seen its share price battered by a confluence of factors. One is the market flight from technology stocks in general, another is concern that some of its major clients would build out their own centers, becoming competitors instead of customers.
But those fears are far from fruition. This large real estate investment trust (REIT) has posted record bookings for three of the past four quarters while continuing to expand a global presence that now features more than 300 data centers serving about 4,000 customers in roughly 50 cities on four continents. It opened its fourth center in Greece just last month.
Large data centers like those owned and operated by Digital Realty are critical nodes in the internet, and the Austin, Texas-based company's growth tracks the digital revolution. In fact, since going public at $12 a share in 2004, Digital Realty has more than quadrupled the S&P 500 in total return, as you can see here:
Source Fool.com
