12 Best Real Estate and Realty Stocks To Buy Now

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3. Digital Realty Trust, Inc. (NYSE:DLR)

Number of Hedge Fund Holders: 52

Digital Realty Trust, Inc. (NYSE:DLR) owns, operates, and invests in carrier-neutral data centers. The company delivers the full spectrum of data center, colocation, and interconnection solutions. These flexible, secure, and scalable data center solutions tend to support enterprises and service providers and meet critical infrastructure needs. DLR was incorporated in Maryland in March 2004.

DLR’s leading data center platform leverages the growing global demand from a diversified, high-quality customer base. The firm’s global data center platform enables it to deliver value and security on six continents in over 25 countries and more than 50 metro areas. The firm has durable competitive advantages in the form of a global footprint serving the full customer spectrum from enterprise to hyperscale. With embedded internal expertise as one of the world’s largest data center acquirers, developers, owners, and operators, Digital Realty Trust is a promising stock.

UBS analyst John Hodulik upgraded his Hold rating on the stock to Buy. Hodulik expects the firm’s funds from operations per share to grow 5% in 2025, accelerating to 7% in 2026, and 10% in 2027. The positive outlook was based on stronger renewal spreads, robust demand in artificial intelligence and hyperscale, and higher yields from new developments.

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