Stock down 7% as company fails to meet analyst forecasts
- Digital Realty Trust shares fall after 4Q results miss projections
- Stock down 7% at $138.16 in midday trading
- Fourth-quarter profit jumps to $28.3 million
- Core funds from operations below analyst estimates
- Adjusted funds from operations miss projections by 22 cents
- Quarterly revenue increases to $1.37 billion
Shares of Digital Realty Trust fell 7% to $138.16 in midday trading after the company’s fourth-quarter results came in below analyst forecasts. The data center operator reported a fourth-quarter profit of $28.3 million, a significant increase from $4.1 million the previous year. However, core funds from operations, a closely watched metric for the real estate investment trust, fell short of analyst estimates at $1.63 per share. Adjusted funds from operations, which exclude one-time items, missed projections by 22 cents at $1.30 per share. Despite a quarterly revenue increase to $1.37 billion, analysts had expected $1.39 billion.
Factuality Level: 7
Factuality Justification: The article provides factual information about Digital Realty Trust’s fourth-quarter results, including the stock price, profit, core funds from operations, adjusted funds from operations, and quarterly revenue. The information is supported by specific numbers and comparisons to analyst estimates. However, the article does not provide any additional context or analysis, and it does not address any potential reasons for the company’s performance. Therefore, the factuality level is rated at 7.
Noise Level: 3
Noise Justification: The article provides relevant information about Digital Realty Trust’s fourth-quarter results, including the stock performance, profit, core funds from operations, adjusted funds from operations, and quarterly revenue. However, it lacks in-depth analysis, antifragility considerations, and accountability of powerful people. The article stays on topic and supports its claims with data and analyst estimates. Overall, the noise level is relatively low, but it could benefit from more insightful analysis and implications of the results.
Financial Relevance: Yes
Financial Markets Impacted: Shares of Digital Realty Trust
Presence Of Extreme Event: No
Nature Of Extreme Event: No
Impact Rating Of The Extreme Event: No
Rating Justification: The article pertains to financial topics as it discusses the fourth-quarter results of Digital Realty Trust and its impact on the company’s stock. However, there is no mention of any extreme event.
Public Companies: Digital Realty Trust (DLR)
Key People:
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