Artificial intelligence (AI) stocks are often associated with aggressive growth rather than stable dividends. But today, we'll take a look at an underappreciated stock that quietly powers the AI revolution while paying steady dividends: Digital Realty (DLR -0.72%).

What does Digital Realty do?

Digital Realty is one of the largest data center real estate investment trusts (REITs). It buys up data centers, leases out that space, and is required to distribute at least 90% of its taxable income as dividends to maintain a lower tax rate. It operates more than 300 data centers worldwide, and its customers include over half of the Fortune 500 companies.

Image source: Getty Images.

From 2020 to 2025, its core funds from operations (FFO) per share -- a key profitability metric for REITs -- rose from $6.22 to $7.29. It expects that figure to rise to $8.15-$8.20 per share in 2026 and easily cover its forward dividend rate of $4.88. That equals a forward yield of 2.6%.

Expand

NYSE: DLR

Digital Realty Trust

Premium Feature

Moneyball Superscore

80/100

Today's Change

(-0.72%) $-1.40

Current Price

$192.04

Key Data Points

Market Cap

$72BMarket cap calculated using publicly traded shares outstanding only. Does not include unlisted, private, or dual-class non-traded shares. Implied market cap may vary.

Day's Range

$191.48 - $196.83

52wk Range

$146.23 - $208.14

Volume

657.1K

Avg Vol

2.9M

Gross Margin

28.41%

Dividend Yield

2.52%

Digital Realty has kept its occupancy rate in the mid-80s over the past five years, even as it gradually divested its older "non-core" data centers -- which have less growth potential than its hyperscale data centers. Therefore, if you're looking for a dividend stock that will benefit from the rapid growth of the cloud and AI markets, Digital Reality checks all the right boxes.