DigitalBridge Group (DBRG) AI Stock Analysis

• Market Cap: $2.50B
• Dividend Yield: 0.3%
• Average Volume (3M): 5.52M
• Price to Earnings (P/E): 187.2
• Beta (1Y): 1.91
• Revenue Growth: -61.00%
• EPS Growth: -90.82%
• Country: US
• Employees: 324
• Sector: Financial
• Sector Strength: 70
• Industry: REIT - Diversified
• EPS (TTM): 0.09
• Shares Outstanding: 182,674,420
• 10 Day Avg. Volume: 4,265,082
• 30 Day Avg. Volume: 5,515,206
• PEG Ratio: -0.29
• Price to Book (P/B): 0.97
• Price to Sales (P/S): 3.13
• P/FCF Ratio: 33.61
• Enterprise Value/Market Cap: 0.69
• Enterprise Value/Revenue: 4.97
• Enterprise Value/Gross Profit: 5.88
• Enterprise Value/Ebitda: 15.08
• 1Y Price Target: $18.30
• Price Target Upside: 37.70% Upside
• Rating Consensus: Strong Buy
• Number of Analyst Covering: 6
• EPS Forecast (FY): 0.23
• Revenue Forecast (FY): $150.49M

• Rating: 54 Neutral
• Price Target: $14.50 ▲(9.10% Upside)

DigitalBridge Group's overall stock score is driven by strong earnings call results, highlighting strategic growth and capital formation. However, the high P/E ratio and overbought technical indicators suggest caution. The company's mixed financial performance, with declining revenue trends and historical debt concerns, further tempers the outlook.

Positive Factors

Strategic Developments in Data Centers

The development of mega data centers positions DigitalBridge to capitalize on the growing demand for AI infrastructure, enhancing its market leadership and long-term growth potential.

Successful Partnership with Franklin Templeton

The partnership with Franklin Templeton expands DigitalBridge's distribution capabilities, potentially increasing asset inflows and enhancing revenue stability through diversified investment channels.

Memorandum of Understanding with KT Corporation

This collaboration with KT Corporation enhances DigitalBridge's strategic presence in Asia, tapping into the region's growth potential in AI and cloud infrastructure, supporting long-term expansion.

Negative Factors

Declining Revenue Trend

A declining revenue trend poses a risk to future profitability and growth, potentially impacting the company's ability to invest in new opportunities and maintain competitive positioning.

Carried Interest Reversal

The reversal of carried interest indicates challenges in achieving investment performance targets, which could affect future earnings and investor confidence in the company's fund management capabilities.

Historical Debt Concerns

While leverage has improved, historical high debt levels could limit financial flexibility and increase vulnerability to economic downturns, affecting long-term financial health.

DigitalBridge Group Business Overview & Revenue Model

Company Description

DigitalBridge (NYSE: DBRG) is an infrastructure investment firm. It specializes in investing and operating businesses across the digital ecosystem including cell towers, data centers, fiber, small cells, edge infrastructure, digital infrastructure and real estate. DigitalBridge Group, Inc. was founded in 2009 and is headquartered in Boca Raton, Florida with additional offices in Los Angeles, California; New York, New York; Boston, Massachusetts; Denver, Colorado; London, United Kingdom; Senningerberg, Luxembourg and Singapore.

How the Company Makes Money

DigitalBridge Group generates revenue through a combination of management fees, performance fees, and investment income from its portfolio of digital infrastructure assets. The company earns management fees by overseeing funds that invest in data centers, towers, and fiber networks, typically calculated as a percentage of the assets under management. Performance fees are earned when the funds exceed certain return benchmarks. Additionally, DBRG benefits from the appreciation of its investments and can generate income through leasing agreements with telecom and technology companies that utilize its infrastructure. Significant partnerships with leading technology firms and service providers further enhance its revenue potential by ensuring high occupancy rates and stable cash flows from its assets.

DigitalBridge Group Financial Statement Overview

Summary

DigitalBridge Group demonstrates mixed financial performance. Improvements in operational efficiency and cash flow generation are offset by declining revenue trends and challenges in maintaining profitability. The balance sheet shows a healthier leverage position, but historical debt levels pose a risk.

Income Statement

DigitalBridge Group's income statement shows a declining revenue trend with a significant drop in the TTM period. The gross profit margin is exceptionally high in the TTM, indicating strong cost management, but the net profit margin has decreased compared to the previous year. EBIT and EBITDA margins have improved, suggesting better operational efficiency. However, the negative revenue growth rate is a concern for future profitability.

Balance Sheet

The balance sheet reflects a reduction in debt levels over the years, improving the debt-to-equity ratio. The equity ratio is stable, indicating a solid capital structure. However, the return on equity has decreased in the TTM, pointing to challenges in generating returns for shareholders. The overall leverage has decreased, but the company still faces risks from its historical high debt levels.

Cash Flow

Cash flow analysis shows a positive trend in free cash flow growth in the TTM, indicating improved cash generation. The operating cash flow to net income ratio is strong, suggesting good cash conversion. However, the free cash flow to net income ratio is slightly below 1, indicating that not all net income is translating into free cash flow. The company has shown resilience in improving its cash flow position despite past challenges.

Breakdown	TTM	Dec 2024	Dec 2023	Dec 2022	Dec 2021	Dec 2020
Income Statement
Total Revenue	347.52M	607.03M	821.38M	694.77M	366.06M	416.43M
Gross Profit	293.65M	462.38M	784.73M	650.50M	293.00M	281.14M
EBITDA	114.46M	218.96M	343.19M	220.39M	648.84M	54.51M
Net Income	71.77M	70.52M	185.28M	-321.80M	-310.10M	-2.68B
Balance Sheet
Total Assets	3.49B	3.51B	3.56B	11.03B	14.20B	20.20B
Cash, Cash Equivalents and Short-Term Investments	358.42M	302.15M	345.33M	855.56M	1.60B	703.54M
Total Debt	362.11M	339.71M	420.82M	902.04M	5.64B	4.42B
Total Liabilities	971.39M	1.02B	1.05B	6.46B	8.93B	12.91B
Stockholders Equity	2.05B	1.96B	1.81B	1.66B	2.15B	2.50B
Cash Flow
Free Cash Flow	210.90M	56.53M	233.64M	262.58M	248.24M	-2.04B
Operating Cash Flow	212.47M	60.12M	233.64M	262.58M	248.24M	89.89M
Investing Cash Flow	-87.66M	-11.22M	-979.04M	-1.91B	146.56M	-1.93B
Financing Cash Flow	-59.90M	-90.84M	58.15M	923.78M	411.26M	1.37B

DigitalBridge Group Technical Analysis

• Technical Analysis Sentiment: Positive
• Last Price: 13.29
• 50DMA: Positive
• 100DMA: Positive
• 200DMA: Positive
• MACD: Positive
• RSI: Neutral
• STOCH: Positive

Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For DBRG, the sentiment is Positive. The current price of 13.29 is above the 20-day moving average (MA) of 12.46, above the 50-day MA of 11.80, and above the 200-day MA of 10.70, indicating a bullish trend. The MACD of 0.68 indicates Positive momentum. The RSI at 57.96 is Neutral, neither overbought nor oversold. The STOCH value of 12.44 is Positive, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Positive sentiment for DBRG.

DigitalBridge Group Peers Comparison

Name	Overall Rating	Market Cap	P/E Ratio	ROE	Dividend Yield	Revenue Growth	EPS Growth
ALEX	74 Outperform	$1.50B	20.48	7.32%	4.97%	-3.94%	64.29%
Sector *	68 Neutral	$18.00B	11.42	9.92%	3.81%	9.73%	1.22%
ESRT	65 Neutral	$1.10B	31.58	3.80%	2.16%	0.45%	-24.85%
UE	64 Neutral	$2.53B	21.73	8.71%	3.99%	5.29%	-60.36%
GNL	62 Neutral	$1.80B	-6.77	-12.53%	10.29%	-28.94%	-28.24%
AAT	59 Neutral	$1.14B	18.31	5.29%	7.31%	5.95%	5.06%
DBRG	54 Neutral	$2.50B	187.18	3.94%	0.30%	-61.00%	-90.82%

DigitalBridge Group Corporate Events

DigitalBridge’s Earnings Call Highlights Strong Growth and Strategic Advances

DigitalBridge Group, Inc. recently held an earnings call that highlighted the company’s strong financial growth, strategic advancements, and notable partnerships. The overall sentiment was positive, with significant achievements in capital formation and data center leasing. However, the reversal of carried interest posed a slight challenge, though it did not overshadow the company’s overall positive trajectory.

DigitalBridge Group Reports Strong Q3 2025 Results

DigitalBridge Group, Inc. is a global digital infrastructure investment firm specializing in data centers, cell towers, fiber networks, and digital energy, known for its strategic investments and management of digital infrastructure assets.