Latest news with #DigitalRealty
CNBC
4 days ago
- Business
- CNBC
Digital Realty CEO: We're seeing incremental strong demand backdrop
Andrew Power, CEO of Digital Realty, joins CNBC's 'Money Movers' to discuss outlooks on demand, whether Digital Realty has the capacity to meet increasing data center needs, and more.
Yahoo
5 days ago
- Business
- Yahoo
4 Artificial Intelligence (AI) Stocks That Could Help Make You a Fortune
Key Points The artificial intelligence (AI) build-out is far from over. Data centers owned by Digital Realty are continuing to pop up, filled with components from Nvidia and Taiwan Semiconductor. Amazon rents some of its data centers from Digital Realty. 10 stocks we like better than Nvidia › Artificial intelligence (AI) investing has been a key market theme over the past two and a half years, and it's slated to remain a significant part of investing for the next few years as well. The reality is that massive AI infrastructure is still needed, and the build-out isn't slated to slow anytime soon. Even though many stocks have already risen significantly, it doesn't mean their upside is capped at today's levels. I wouldn't be surprised to see these four continue to generate substantial returns for investors, potentially enough to be considered a small fortune. 1. Nvidia Nvidia (NASDAQ: NVDA) has been a top AI stock pick for a long time for good reason: Its graphics processing units (GPUs) are powering the AI revolution. They are phenomenal at processing arduous workloads, making them ideal for training and running AI models. While Nvidia has grown significantly over the past few years, it recently received another catalyst: likely being allowed to export GPUs to China. If Nvidia had been allowed to export its H20 chips to China in Q2, its revenue growth rate could have hit 77% instead of the current 50% forecast, so this recent shift could provide a huge boost for the AI giant. Nvidia's growth is far from over, and even though its stock has been on a tear in recent months, it still has a bright long-term outlook. 2. Taiwan Semiconductor Taiwan Semiconductor (NYSE: TSM) is another stock with an incredibly bright future. It's the world's leading chip foundry, which means it manufactures chips for companies like Nvidia that lack internal capabilities to produce their own -- a capability nearly every tech company lacks. This position also provides management with unparalleled insight into the future, as many companies place chip orders years in advance. Starting in 2025, management expects AI-related revenue to grow at a 45% compounded annual growth rate (CAGR) for the next five years, with its overall CAGR nearing 20%. That's monster growth for any company, and is a primary reason to buy TSMC's stock today. 3. Digital Realty There's more than one way to make a fortune in the stock market. Digital Realty (NYSE: DLR) is a real estate investment trust (REIT), which comes with special requirements, namely that it must pay out 90% of its taxable income in the form of dividends. Digital Realty specializes in the data center space, and its real estate operations focus on building these facilities worldwide to support the growing demand for AI. This provides both a growth catalyst and a nice 2.7% dividend yield, giving AI investors some balance in their portfolio. 4. Amazon Amazon (NASDAQ: AMZN) may not be the first company you think of when you hear AI, but you probably should. Its cloud computing platform, Amazon Web Services (AWS), is the market share leader in its space. It provides companies with the tools to deploy and build generative AI-powered applications, and is experiencing rapid growth, with revenue increasing 17% in its most recent quarter. However, what's even more significant is that AWS accounted for 63% of Amazon's total Q1 profits, indicating that Amazon is more of a cloud computing company than an e-commerce one. With massive tailwinds in the cloud computing space due to increasing AI workloads, this stock is primed to continue rising on the back of cloud computing. Should you invest $1,000 in Nvidia right now? Before you buy stock in Nvidia, consider this: The Motley Fool Stock Advisor analyst team just identified what they believe are the for investors to buy now… and Nvidia wasn't one of them. The 10 stocks that made the cut could produce monster returns in the coming years. Consider when Netflix made this list on December 17, 2004... if you invested $1,000 at the time of our recommendation, you'd have $634,627!* Or when Nvidia made this list on April 15, 2005... if you invested $1,000 at the time of our recommendation, you'd have $1,046,799!* Now, it's worth noting Stock Advisor's total average return is 1,037% — a market-crushing outperformance compared to 182% for the S&P 500. Don't miss out on the latest top 10 list, available when you join Stock Advisor. See the 10 stocks » *Stock Advisor returns as of July 21, 2025 Keithen Drury has positions in Amazon, Digital Realty Trust, Nvidia, and Taiwan Semiconductor Manufacturing. The Motley Fool has positions in and recommends Amazon, Digital Realty Trust, Nvidia, and Taiwan Semiconductor Manufacturing. The Motley Fool has a disclosure policy. 4 Artificial Intelligence (AI) Stocks That Could Help Make You a Fortune was originally published by The Motley Fool Error in retrieving data Sign in to access your portfolio Error in retrieving data Error in retrieving data Error in retrieving data Error in retrieving data
Time of India
5 days ago
- Business
- Time of India
Digital Realty boosts annual revenue forecast on data center demand
Digital Realty Trust raised its annual revenue and core funds from operations forecast on Thursday, as it expects an increase in demand for data center services due to businesses accelerating digital transformation efforts. Austin, Texas-based Digital Realty has benefited from a surge in demand as enterprises upgrade and outsource their IT infrastructure, further boosted by advancements in artificial intelligence technology. The company is well positioned as a major beneficiary of Al and cloud megatrends, with strong demand driving improved volumes and pricing. Analysts expect strong growth in data center activity through 2025, as increased infrastructure investment is plowed towards enhancing computing power for future AI implementations. Digital Realty leases out managed data centers to clients in sectors that range from cloud and information technology to social networking, communications and manufacturing. The real estate investment trust now expects revenue between $5.93 billion and $6.03 billion for the year, compared with its earlier projection in the range of $5.83 billion and $5.93 billion. It forecast annual core FFO in the range of $7.15 to $7.25 per share, up from its earlier outlook of between $7.05 and $7.15 apiece. For the second quarter ended June 30, Digital Realty posted revenue of $1.49 billion, compared with estimates of $1.45 billion, according to data compiled by LSEG.
Channel Post MEA
5 days ago
- Business
- Channel Post MEA
Oracle And Digital Realty To Accelerate AI And Cloud Innovation
Digital Realty has announced that it is working with Oracle to help organizations accelerate hybrid IT and AI adoption. Through Oracle Cloud Solution Centers, a program that includes state-of-the-art systems, technology, and customer-experience sites around the world, Digital Realty will be able to provide organizations with access to services that help them reduce time to market and streamline deployment. 'Our collaboration with Oracle underscores our shared commitment to helping customers navigate the complexity of hybrid IT and AI adoption. By leveraging our Pervasive Data Center Architecture (PDx) and Oracle's technologies, we're bringing cloud and AI capabilities directly to the data, where customers need them. This will help our customers to achieve faster innovation, together with Oracle, reducing deployment friction and accelerating outcomes,' said Tony Bishop , Senior Vice President of Enterprise and Platform Solutions, Digital Realty. With Oracle Solution Centers, Digital Realty, an Oracle FastConnect partner, can provide data center cloud-adjacent, colocation, multicloud, and interconnection services to global customers. In addition, customers can gain access to a portfolio of jointly developed use cases and deployment-ready architectures to streamline adoption and help accelerate innovation. Customers benefit from: Oracle Solution Centers on PlatformDIGITAL: To provide customers with a secure environment to design, test, and validate hybrid and AI architectures, Oracle Solution Centers are available through PlatformDIGITAL, Digital Realty's global data center platform, in Singapore , Frankfurt , and Northern Virginia , with virtual access via London . To provide customers with a secure environment to design, test, and validate hybrid and AI architectures, Oracle Solution Centers are available through PlatformDIGITAL, Digital Realty's global data center platform, in , , and , with virtual access via . Verified Use Cases : To help customers modernize their IT and take advantage of the latest AI and cloud innovations, Digital Realty and Oracle have developed a library of 15 infrastructure configurations across cloud, data, and AI. : To help customers modernize their IT and take advantage of the latest AI and cloud innovations, Digital Realty and Oracle have developed a library of 15 infrastructure configurations across cloud, data, and AI. Integrated Solutions: To help customers accelerate implementation and interconnection of PlatformDIGITAL with ServiceFabric, Digital Realty's service orchestration platform, three PDx solutions are now available. These solutions provide a methodology and blueprint for optimizing data exchange in a distributed IT infrastructure. Full deployment toolkits are also available for Oracle Cloud Infrastructure Dedicated Region, Oracle Exadata, and Oracle FastConnect. To help customers accelerate implementation and interconnection of PlatformDIGITAL with ServiceFabric, Digital Realty's service orchestration platform, three PDx solutions are now available. These solutions provide a methodology and blueprint for optimizing data exchange in a distributed IT infrastructure. Full deployment toolkits are also available for Oracle Cloud Infrastructure Dedicated Region, Oracle Exadata, and Oracle FastConnect. Global Expertise: To guide customers through proof-of-concept deployments and accelerate the exploration, validation, and adoption of data-driven solutions, trained solution architecture and engineering teams from Digital Realty and Oracle are available at the Oracle Solution Centers. Customers are already seeing significant benefits from the continued partnership. For example, according to a case study, Grupo Anaya leveraged Oracle FastConnect on PlatformDIGITAL in an Oracle Solution Center to reduce its latency and network costs by approximately 75% and improve end-user performance by up to 40%, achieving these results a full year ahead of schedule. 'We are simplifying the journey to cloud and AI adoption. Oracle Solution Centers integration with Digital Realty's colocation and connectivity solutions enables customers to architect and deploy cloud and AI workloads confidently, with a clear and seamless blueprint for success,' said Patrick Cyril , Global Vice President, Sales and Customer Excellence, Customer Success Services, Oracle. Industry Perspective 'This collaboration between Digital Realty and Oracle is a strong example of how ecosystem partnerships can accelerate real-world adoption of data-driven infrastructure, from hybrid IT and AI. By combining global infrastructure with use cases, integrated solutions, and hands-on expertise, Digital Realty and Oracle are helping enterprises reduce complexity, shorten deployment timelines, and turn data into a strategic asset more quickly and effectively,' said Courtney Munroe , Research Vice President, IDC.
Yahoo
5 days ago
- Business
- Yahoo
Digital Realty Trust Inc (DLR) Q2 2025 Earnings Call Highlights: Record Core FFO and Robust ...
New Bookings: $177 million in the quarter at 100% share, including $135 million at Digital Realty share. Core FFO: Record $1.87 per share, a 13% increase year-over-year and 6% higher than last quarter. Liquidity: More than $7 billion available. Leverage: Below target with a ratio of 5.1 times. Revenue Growth: Double-digit growth in revenue, adjusted EBITDA, and core FFO. Lease Commencements: Record $220 million commenced in the quarter. Backlog: $826 million at quarter end. Renewal Leases: $177 million signed at a blended 7.3% increase on a cash basis. Development CapEx: Over $900 million on a gross basis, $700 million net to Digital Realty. Data Center Development Pipeline: $9 billion at a 12.2% expected stabilized yield. Debt Maturity: Weighted average maturity of 4.6 years, weighted average interest rate of 2.7%. Guidance Increase: Core FFO guidance range increased by $0.10 to $7.15 to $7.25 per share for full year 2025. Warning! GuruFocus has detected 14 Warning Signs with DLR. Release Date: July 24, 2025 For the complete transcript of the earnings call, please refer to the full earnings call transcript. Positive Points Digital Realty Trust Inc (NYSE:DLR) posted $177 million in new bookings for the quarter, with $135 million at Digital Realty's share, showcasing strong demand. Core FFO surged to a record $1.87 per share, outperforming expectations and contributing to increased guidance for revenue, adjusted EBITDA, and core FFO per share for 2025. The company has a robust balance sheet with over $7 billion in liquidity and below-target leverage, supporting long-term growth. Digital Realty Trust Inc (NYSE:DLR) achieved record performance in the 0 to 1 megawatt plus interconnection product set, with $90 million in bookings. The company continues to expand its global platform, adding 139 new customer logos in the second quarter, indicating strong market penetration and customer acquisition. Negative Points Despite strong performance, the company faces refinancing headwinds with a 325 basis points increase in interest rates for upcoming debt maturities. The demand for AI deployments is growing but remains behind the US in regions like EMEA and APAC, potentially limiting immediate growth opportunities in these areas. Operating expenses increased, consistent with the growing book of business, which could impact future profitability if not managed effectively. The company anticipates a reduction in re-leasing spreads in the second half of the year, which could affect revenue growth. There is uncertainty regarding the timing of enterprise AI adoption, which could delay the expected compounding demand in key markets. Q & A Highlights Q: What is driving the growth in the 0 to 1 megawatt category, and is it due to market growth or Digital Realty capturing market share? A: Andrew Power, CEO, explained that the growth is due to a combination of market expansion and Digital Realty's strategic efforts. The company has focused on building a global footprint, enhancing connectivity, and revamping its go-to-market strategy. Colin Mclean, Chief Revenue Officer, added that the platform's global reach and comprehensive offerings have resonated with clients, contributing to the growth. Q: Can you discuss the record interconnection bookings and the pricing environment for the second half of the year? A: Andrew Power, CEO, noted that the momentum in interconnection bookings is expected to continue in the second half. Christopher Sharp, CTO, highlighted three factors driving growth: sustained 0 to 1 megawatt bookings, global pricing standardization, and a comprehensive interconnection suite. The virtual services and bulk fiber capabilities are also contributing to the growth. Q: How do you view the impact of large-scale data center projects announced by competitors on the sector and competitive dynamics? A: Andrew Power, CEO, stated that these announcements reflect a commitment to building infrastructure for AI. Digital Realty's strategy focuses on major markets with robust demand, catering to a broad base of customers. The company believes that AI adoption is still in early stages, and enterprise use cases will further drive demand in key markets. Q: What is the outlook for large capacity block markets in hyperscale in the US, and how is power availability affecting this? A: Andrew Power, CEO, mentioned that demand remains strong, with a focus on aligning development deliveries with power availability. Colin Mclean, Chief Revenue Officer, added that conversations with hyperscale partners are active, particularly in Northern Virginia, where significant capacity is coming online in the coming years. Q: Why might re-leasing spreads move lower from current levels despite raised guidance? A: Andrew Power, CEO, explained that the first half of the year saw outperformance in certain categories, which may not be replicated in the second half. However, continued strength is expected in the 0 to 1 megawatt category, and the guidance range has been adjusted accordingly. For the complete transcript of the earnings call, please refer to the full earnings call transcript. This article first appeared on GuruFocus. Fehler beim Abrufen der Daten Melden Sie sich an, um Ihr Portfolio aufzurufen. Fehler beim Abrufen der Daten Fehler beim Abrufen der Daten Fehler beim Abrufen der Daten Fehler beim Abrufen der Daten
