DLR vs PLD: Dividend Yield, Growth & Safety Comparison
Digital Realty Trust, Inc. (DLR) and Prologis, Inc. (PLD) are both in the Real Estate sector, making them natural rivals for dividend investors. Both stocks offer similar yields — DLR at 2.83% and PLD at 2.88%. For dividend growth, PLD leads with a 5-year CAGR of 12.5% versus DLR's 1.3%. Both stocks carry a "Safe" dividend safety rating. PLD is a Dividend Contender with 12 years of consecutive increases.
Key Metrics Comparison
| Metric | DLR | PLD |
|---|
| Dividend Yield | 2.83% | 2.88% |
| Annual Dividend | $4.88 | $4.04 |
| 5-Year CAGR | 1.3% | 12.5% |
| Payout Ratio | 1% | 1% |
| Consecutive Years | 0 | 12 |
| Price | $180.51 | $138.93 |
Yield Comparison
Prologis, Inc. (PLD) currently yields 2.88%, which is solid for the broader market. Digital Realty Trust, Inc. (DLR) yields a nearly identical 2.83%. In dollar terms, PLD pays $4.04/share annually versus DLR's $4.88/share.
Dividend Growth
Over the past five years, PLD has grown its dividend at a 12.5% CAGR compared to DLR's 1.3%. DLR: Dividend growth is slowing — the 3-year CAGR of 0.0% trails the 5-year rate of 1.3% and the 10-year rate of 3.7%. PLD: Dividend growth is slowing — the 3-year CAGR of 7.8% trails the 5-year rate of 12.5% and the 10-year rate of 10.2%.
Dividend Safety
DLR's dividend safety is rated "Safe." The payout ratio of 1% is well within sustainable levels, leaving room for future increases. Earnings cover the dividend 0.7x. PLD's dividend safety is rated "Safe." The payout ratio of 1% is well within sustainable levels, leaving room for future increases. Earnings cover the dividend 0.9x. Both have similar payout ratios — DLR at 1% and PLD at 1%.
Income Comparison
A $10,000 investment in PLD generates approximately $288/year in dividend income, compared to $283/year from DLR — a difference of $5/year. At $100,000, that gap widens to $50/year.
Verdict
Frequently Asked Questions
Which has a higher dividend yield, DLR or PLD?
Prologis, Inc. (PLD) has a higher dividend yield of 2.88% compared to Digital Realty Trust, Inc. (DLR) at 2.83%.
Is DLR or PLD a better dividend growth stock?
Prologis, Inc. has the stronger dividend growth with a 5-year CAGR of 12.5%, compared to Digital Realty Trust, Inc.'s 1.3%.
Which is safer for dividend income, DLR or PLD?
Digital Realty Trust, Inc.'s dividend safety is rated "Safe" while Prologis, Inc. is rated "Safe." The payout ratio of 1% is well within sustainable levels, leaving room for future increases. Earnings cover the dividend 0.7x. The payout ratio of 1% is well within sustainable levels, leaving room for future increases. Earnings cover the dividend 0.9x.
How much income does $10,000 in DLR vs PLD generate?
A $10,000 investment in DLR generates approximately $283/year in dividends, while the same amount in PLD generates about $288/year.
Is DLR or PLD a Dividend Aristocrat?
Prologis, Inc. is a Dividend Contender with 12 consecutive years of increases. Digital Realty Trust, Inc. does not currently qualify for aristocrat status.
Which has a lower payout ratio, DLR or PLD?
Prologis, Inc. has a lower payout ratio of 1% compared to Digital Realty Trust, Inc.'s 1%. A lower payout ratio generally indicates more room for dividend growth and better sustainability.
DLR vs PLD: which is better for retirement income?
It depends on your priorities. PLD for dividend growth. Many retirement investors hold both for diversification.
DLR Dividend Analysis | PLD Dividend Analysis | All Comparisons | Comparison Tool