Digital Realty Trust Inc. (DLR): Today's Featured Real Estate Winner

Editor's Note: Any reference to TheStreet Ratings and its underlying recommendation does not reflect the opinion of TheStreet, Inc. or any of its contributors including Jim Cramer or Stephanie Link.

Digital Realty ( DLR) pushed the Real Estate industry higher today making it today's featured real estate winner. The industry as a whole was unchanged today. By the end of trading, Digital Realty rose $1.29 (2.9%) to $46.29 on average volume. Throughout the day, 2,667,923 shares of Digital Realty exchanged hands as compared to its average daily volume of 1,791,100 shares. The stock ranged in a price between $44.94-$46.65 after having opened the day at $45.00 as compared to the previous trading day's close of $45.00. Other companies within the Real Estate industry that increased today were: Vestin Realty Mortgage II ( VRTB), up 10.2%, Desarrolladora Homex SAB de CV ADR ( HXM), up 5.5%, Icahn ( IEP), up 4.0% and LGI Homes ( LGIH), up 3.7%.

Digital Realty Trust, Inc., a real estate investment trust (REIT), through its controlling interest in Digital Realty Trust, L.P., engages in the ownership, acquisition, development, redevelopment, and management of technology-related real estate. Digital Realty has a market cap of $5.7 billion and is part of the financial sector. The company has a P/E ratio of 20.7, above the S&P 500 P/E ratio of 17.7. Shares are down 33.7% year to date as of the close of trading on Wednesday. Currently there are 5 analysts that rate Digital Realty a buy, no analysts rate it a sell, and 10 rate it a hold.

TheStreet Ratings rates Digital Realty as a hold. The company's strengths can be seen in multiple areas, such as its revenue growth, impressive record of earnings per share growth and compelling growth in net income. However, as a counter to these strengths, we also find weaknesses including poor profit margins and a generally disappointing performance in the stock itself.

On the negative front, Amrep Corporation ( AXR), down 6.8%, Anworth Mortgage Asset Corporation ( ANH), down 2.5%, JAVELIN Mortgage Investment ( JMI), down 2.4% and PMC Commercial ( PCC), down 2.1% , were all laggards within the real estate industry with Annaly Capital Management ( NLY) being today's real estate industry laggard.

For investors not wanting singular stock exposure, ETFs may be of interest. Investors who are bullish on the real estate industry could consider iShares Dow Jones US Real Estate ( IYR) while those bearish on the real estate industry could consider ProShares Short Real Estate Fund ( REK).

3x UPSIDE POTENTIAL: TheStreet Quant Ratings has identified a handful of stocks that can potentially TRIPLE in the next 12-months. Learn more.
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