Digital Realty dividend
Digital Realty pays an annual dividend of $4.88 per share, or a current quarterly dividend of $1.22. Its operating cash has repeatedly covered dividends, but development and capital spending can exceed what remains.
How much does Digital Realty pay in dividends?
The base dividend rises from $4.94 to $5.00 and then $5.08 per share. The bear remains at $4.88 throughout, while the bull reaches $4.96, $5.12 and $5.28. The current quarterly dividend is $1.22, and the annual rate stayed at $4.88 from 2022 through 2025. A 74.5% AFFO payout ratio leaves room for modest increases, but construction spending and dividends already compete with operating cash.
| 2025 | 2024 | 2023 | 2022 | 2021 | |
|---|---|---|---|---|---|
| AFFO per share (company's measure) | 6.55 | 6.11 | 5.84 | 6.00 | 6.25 |
| Dividend per share | 4.88 | 4.88 | 4.88 | 4.88 | 4.64 |
| AFFO payout ratio | 74.5% | 79.9% | 83.5% | 81.4% | 74.2% |
What this means. The company's adjusted profit per share is lower than its standard profit per share because it subtracts regular spending needed to maintain its properties.
Is Digital Realty's dividend covered by its cash?
The company’s operating cash has repeatedly covered dividends while falling short of development and capital spending. The remaining construction bill therefore requires property sales, joint-venture partners, debt or new shares. That is the central funding tension: growth needs capital today, while new buildings produce rent only later.
| 2025 | 2024 | 2023 | 2022 | 2021 | |
|---|---|---|---|---|---|
| Cash from operations | 2,412,136 | 2,261,477 | 1,634,780 | 1,659,388 | 1,702,228 |
| − Dividends paid | 1,656,646 | 1,560,315 | 1,448,261 | 1,377,284 | 1,299,244 |
| = Operating cash after dividends | 755,490 | 701,162 | 186,519 | 282,104 | 402,984 |
| − Development and capital spending | 3,181,179 | 2,831,740 | 3,525,598 | 2,643,097 | 2,520,772 |
| + Shares issued | 1,106,031 | 3,650,771 | 2,207,259 | 928,432 | 172,096 |
| − Shares bought back | 0 | 0 | 0 | 0 | 0 |
What this means. Positive cash after dividends does not mean the company paid for all its property purchases and improvements from its business cash; it also used money from selling properties, issuing shares, and borrowing.
What could change Digital Realty's dividend?
The evidence supports faster growth but also explains the restraint. Same-capital cash NOI grew 7.2%, cash renewal rents rose 25.4%, and 63% of the construction pipeline was pre-leased. However, the average signing-to-commencement lag was nine months, while development capex and dividends exceeded operating cash in the first half of 2026. The bear case therefore gives AFFO of $2,750 million, $2,820 million and $2,900 million; the bull gives $3,200 million, $3,600 million and $4,050 million. Management’s Core FFO guidance of $8.15–$8.20 per share and planned development capex of $4,250–$4,750 million provide an operating cross-check, not AFFO guidance.
During 2027 and 2028, prompt starts from pre-leased projects would move earnings toward the bull case. During 2028 and 2029, lower equity needs, more asset recycling and contained debt costs would improve per-share growth and support multiple expansion. Higher funding needs, rising dilution or delayed backlog conversion would produce the opposite result.
| October 2027 | October 2028 | October 2029 | |
|---|---|---|---|
| AFFO (company's measure) | 3,000 (2,750 / 3,200) | 3,250 (2,820 / 3,600) | 3,520 (2,900 / 4,050) |
| Shares (millions) | 386 (396 / 381) | 400 (419 / 388) | 414 (445 / 396) |
| Dividends per share | 4.94 (4.88 / 4.96) | 5.00 (4.88 / 5.12) | 5.08 (4.88 / 5.28) |
| Price to AFFO (company's measure) | 23.00 (18.00 / 26.00) | 23.00 (16.00 / 28.00) | 22.00 (14.00 / 30.00) |
What is Digital Realty's dividend yield today?
It trades at 21.3x FFO and yields 2.8%. Its buyback yield is 0.0%. The tables show net operating income rising from 2021 to 2025, but same-store NOI growth varying sharply. FFO per share rose about 9% while diluted shares rose about 22%; AFFO supported a 74.5% payout ratio in 2025. Leverage improved from its 2022 high.