3 Data Center REITs With The Highest Upside According To Analysts

S&P 500




Dow 30








Russell 2000




Crude Oil
















10-Yr Bond
















CMC Crypto 200




FTSE 100




Nikkei 225




Data centers — a small sub-sector among real estate investment trusts (REITs) — are less well-known than other types of REITs. Data centers own and manage data storage facilities in which their clients store information safely and securely.

Data center REITs have struggled in 2022 as have most of the other REITs. Several are down 40% or more off their highs. With data center REITs recently touching 52-week lows, analysts have been setting target prices well above the current prices. Here are three data center REITs that analysts feel have high upsides.

Don’t miss: Best REITs to Buy in October 2022

DigitalBridge Group Inc. (NYSE: DBRG) is a diversified REIT that in addition to data centers also owns and operates cell towers, digital infrastructure, real estate and other businesses. DigitalBridge Group is based in Boca Raton, Florida, and was founded in 2009.

DigitalBridge Group has a 52-week range of $12.79 to $34.20, and its recent price was just below $13. On August 23, 2022, DataBridge Group completed a reverse 1-4 split that had previously been announced. In mid-September, DigitalBridge Group reinstated an annual dividend of $0.01 that was eliminated in March of 2020 when it was a much higher $0.44.

Riley Securities analyst Day recently maintained a Buy rating on DigitalBridge Group while lowering the price target from $40 to $37. This move represents a huge upside potential of 184%. But with negative earnings per share (EPS) for several consecutive years, investors are cautioned that this potential upside could take a long time to be realized.

Digital Realty Trust Inc. (NYSE: DLR) is an Austin, Texas-based data center REIT with more than 284 facilities in large metro areas across 23 different countries.

Digital Realty Trust has a 52-week price range from $96.32 to $178.22. Like most other REITs, it has recently traded near its lows. Digital Realty Trust pays an annual dividend of $4.88, which now yields 5% annual.

Analyst Luebchow of Wells Fargo recently maintained his Overweight rating on Digital Realty Trust but lowered the target price from $150 to $145. At a recent price near $97, that represents an optimistic view of 49% upside.

Digital Realty Trust has lost almost half its value since the end of December but could be a winning stock once interest rates begin to stabilize.

Check out: This High-Yield Real Estate Fund Is Targeting A 12%-18% Annualized Return

Equinix Inc. (NASDAQ: EQIX) is a Redwood City, California-based data center REIT that calls itself the world’s digital infrastructure company.

The 52-week price range for Equinix is $559.53 to $853.42. It was recently about $2 above its 52-week low.

Last week, analyst Lynch of Barclays downgraded Equinix from Overweight to Equal-Weight while also slashing the price target from $822 to $674. At current levels, this represents an approximate upside of 20%.

Equinix pays a dividend of $12.40, yielding 2.2% annually. Like many REITs, it’s been in a downtrend for all of 2022. Yet Equinix has increased its revenue and EPS over the last two quarters.

With improving metrics, trading almost 35% below its 52-week high and with a 20% potential upside according to Barclays, there could be a much brighter future for this data center REIT.

Read next: This Little Known REIT Has Produced Double-Digit Annual Returns For The Past Five Years

See more from Benzinga

What Analysts Think About These High-Dividend Mortgage REITs

3 Hotel REITS With The Highest Upside, According To Analysts

Trump Will Run For Office In 2024 But May Not Stay In The Whole Time, Says Book Author: ‘He’s Backed Hims

Don’t miss real-time alerts on your stocks – join Benzinga Pro for free! Try the tool that will help you invest smarter, faster, and better.

© 2022 Benzinga does not provide investment advice. All rights reserved.


Motley Fool

Why Shares of Annaly and AGNC Were Falling Today

Two of the most prominent mortgage real estate investment trusts (REITs), Annaly Capital Management (NYSE: NLY) and AGNC Investment (NASDAQ: AGNC), were down sharply during trading on Wednesday. Annaly Capital was down as much as 9% on the day at around noon ET, while AGNC fell as far as 9.7% on the day at around the same time. As both Annaly Capital and AGNC Investment are mortgage REITs, they were each negatively affected by the latest news from the housing industry.

Rivian Stock May Finally be a Buy, But Let’s Look at the Chart

Ford , Rivian and other auto stocks were all booming higher on Tuesday and it was a good day to be an automotive investor. General Motors is up about 7% on the week, including an 8.9% rally on Tuesday after it announced its quarterly delivery results on Monday. Ford reported its third-quarter delivery results Tuesday morning and climbed over 7% on the day as a result.


Ask an Advisor: Should I Stop Reinvesting Dividends?

Is there a point at which I should stop reinvesting stock dividends and invest the money or save the cash? -Anonymous Many financial experts recommend that you reinvest dividends most of the time – and I’m inclined to agree. The … Continue reading → The post Ask an Advisor: Should I Stop Reinvesting Dividends? appeared first on SmartAsset Blog.


Porsche stock continues to climb after IPO

Shares in luxury automaker Porsche edged up 6% on Thursday and over 10% since its launch on the Frankfurt Stock Exchange in Germany last week.


Saudi Arabia Defies Expectations and Keeps Oil Prices Steady

(Bloomberg) — Sign up for our Middle East newsletter and follow us @middleeast for news on the region.Saudi Arabia kept oil prices for its main market of Asia largely steady and lowered those for Europe, going against expectations it would hike them and pile more pressure on consumers a day after OPEC+ opted to slash production.State-controlled Saudi Aramco left its key Arab Light grade for November shipments to Asia unchanged from this month at $5.85 a barrel above the regional benchmark. Refi


4 Common Steps to Boost Your Retirement Savings

T. Rowe Price has identified two types of retirees and launched a retirement tool to serve their financial needs. The global investment management firm divides retirees into two categories: savers and spenders. Let’s break down how they are defined, which … Continue reading → The post T. Rowe Price Has Identified Two Types of Retirees. Which Type Are You? appeared first on SmartAsset Blog.

Lumen Stock on Track for Lowest Close Since 1991 as Analyst Cites Risks to Dividend

Lumen Technologies shares tumbled Wednesday after an analyst at Wells Fargo cited concerns over risks to the telecommunication company’s dividend. Wells Fargo analyst Eric Luebchow downgraded shares of Lumen (ticker: LUMN) to Equal Weight from Overweight and cut his12-month price target to $8 from $12.50. Shares of Lumen fell 10% Wednesday to $7.22 and were on track for their lowest close since September 1991.

Insider Monkey

10 Best Cyclical Stocks To Buy in 2022

In this article, we discuss 10 best cyclical stocks to buy in 2022. If you want to see more stocks in this selection, check out 5 Best Cyclical Stocks To Buy in 2022. The performance of cyclical stocks is largely tied to economic recovery. Amid global inflation, threats of recession, and rampant rate hikes, these […]


10 Tax-Deductible Funeral Service Costs

When a loved one passes away, most families hold a funeral to mourn, remember the deceased’s life and pay last respects. While these events are a good way to gather family and friends to honor the deceased, funerals can be … Continue reading → The post Are Funeral Expenses Tax Deductible? appeared first on SmartAsset Blog.


What to Know About the 529 Grandparent Loophole

A 529 plan can be a powerful way to save for college, offering tax-free growth and other tax benefits. These accounts are so powerful, in fact, that many grandparents choose to open them for their grandchildren. In the past, there … Continue reading → The post How the 529 Grandparent Loophole Works appeared first on SmartAsset Blog.


Chips Are Down but Not Out; Here Are 2 ‘Strong Buy’ Semiconductor Stocks From a Top Analyst

Chip stocks have had a brutal ride in 2022. The tables have turned on a sector particularly sensitive to cycles; after seeing outsized growth during the pandemic, and despite the global chip shortage, waning demand has seen many in the segment hit hard. Factor in some lofty valuations, a slowing economy and fears of a full-blown recession and the result is the SOX (the main Semiconductor index) is down by 38% year-to-date. That said, there are many good companies operating in the space whose sha

Motley Fool

Why Shares of SoFi, Affirm, and Upstart Are Falling Today

Shares of the digital bank SoFi (NASDAQ: SOFI) traded roughly 5% lower as of 11:53 a.m. ET today. Meanwhile, shares of the buy now, pay later company Affirm (NASDAQ: AFRM) and the artificial-intelligence lender Upstart (NASDAQ: UPST) both traded about 6% down. Yesterday, stocks rallied after the Reserve Bank of Australia raised its benchmark interest rate by only 25 basis points instead of the 50-point hike that was expected.

Motley Fool

My Top Energy Stock to Buy in October

Oil prices are volatile, and the long-term future for the energy sector is changing quickly. TotalEnergies is positioned for today and tomorrow.

Leave a Reply

Your email address will not be published. Required fields are marked *