CSQR vs DLR: Which Is the Better Buy in 2026?

Same yardstick, side by side (as of August 2026). Valuation lined up like this is most meaningful for two names in the same corner of the market, which these are. Figures are approximate; verify before investing.

The metrics above tell you which is the marginally better business. The bigger risk for most people is not picking the slightly worse stock, it is over-concentrating. CSQR and DLR share themes, so owning both, or adding either to what you already hold, can quietly push a large share of your portfolio into one bet.

This is the part a generic comparison page cannot answer, because it depends on what you own. Connect your brokerage and Walnut shows your real, combined CSQR and DLR exposure, flags overlap with your existing positions, and tells you if adding one would tip you past a concentration you are comfortable with, read-only by default, with your login staying at your broker. Walnut is not an investment adviser.

Csquare runs roughly 60 carrier-neutral data centers across about 21 metropolitan markets in the United States, Canada and the United Kingdom, renting secure space, resilient power, cooling and dense network connectivity to more than 1,700 enterprise, network, cloud and technology customers. The business is retail colocation rather than hyperscale build-to-suit: deployments are typically under 5 MW, contracts are recurring, and the stickiness comes from the interconnection ecosystem, with more than 36,600 cross-connect and related products sold across the estate. The company was built by Brookfield, which bought Evoque from AT&T in 2019 and then acquired Cyxtera out of bankruptcy in early 2024, combined them under the Centersquare name and renamed the platform Csquare ahead of the IPO. It is headquartered in Coppell, Texas, and is led by CEO Spencer Mullee.

Full CSQR guide

Digital Realty Trust (NYSE: DLR) is a real estate investment trust that owns, develops, and operates carrier-neutral data centers providing colocation, interconnection, and cloud connectivity solutions. Its PlatformDigital network spans more than 300 data centers across more than 55 global markets and serves over half of Fortune 500 companies, including major cloud hyperscalers such as Microsoft Azure, Amazon Web Services, Google Cloud, and Oracle. Revenue is generated primarily through long-term leases for data center space and power, interconnection fees charged when tenants cross-connect inside facilities, and managed services, giving the business a largely recurring, contractual revenue base.

Full DLR guide

Both fit overlapping themes, but they are not interchangeable. The useful comparison is which set of drivers and risks you want exposure to.

• CSQR drivers: Capacity is sold beyond what exists; Recurring retail colocation with an interconnection moat.
• DLR drivers: AI Infrastructure Demand Surge; Interconnection and Enterprise Growth.

A faster-growing, richer-valued name usually swings harder, so it suits a longer horizon and a higher tolerance for volatility; a steadier, more cash-generative business suits a more conservative or income-minded investor. The honest test is which set of risks you could hold through a drawdown: The underlying assets came out of distress, with Cyxtera having gone through bankruptcy in 2023 and Evoque being a carve-out from AT&T, so a meaningful part of recent margin improvement is turnaround work that has to keep going rather than a steady-state run rate. For DLR, dLR's GAAP P/E ratio of roughly 47 to 53 times (depending on the exact trailing period) sits well above the North American specialized REIT industry average of approximately 29 times, leaving limited margin for error if earnings growth disappoints.

Growth-minded investors who believe the theme has years to run tend to accept the richer multiple for more upside; value-minded investors lean toward the cheaper forward earnings and steadier profile. Pick CSQR if you believe its drivers more; DLR if you believe its. Many investors hold both, but since they share themes, that is a concentrated bet, not diversification. Decide deliberately and check overlap. For the full detail, see the CSQR and DLR guides.

CSQR. There is no meaningful price to earnings figure because Csquare loses money at the GAAP line, so the multiples that matter here are sales and adjusted EBITDA, and enterprise value sits well above market capitalisation because debt remains on the books even after the ~$1.16 billion IPO paydown. On guided 2026 adjusted EBITDA of ~$460 million to ~$480 million the equity alone is priced at roughly 8x, which is a fraction of what Equinix and Digital Realty carry. That discount is the argument and the warning at the same time: it reflects the distressed history of the assets, the negative free cash flow while growth capex runs at ~$610 million to ~$660 million, and the fact that the market has seen one quarter of numbers.

DLR. DLR's trailing P/E of roughly 47 to 53 times is elevated relative to the North American specialized REIT peer average of approximately 29 times, reflecting a growth premium tied to AI infrastructure demand. Because DLR is a REIT, investors and analysts typically weight Core FFO and Adjusted EBITDA over GAAP net income; on a Core FFO basis, the implied multiple is materially lower and more consistent with historical norms. The 2026 management guidance of $6.65 to $6.75 billion in revenue and $7.90 to $8.00 in Core FFO per share implies roughly 8 percent FFO-per-share growth, which the market appears to be pricing in at current levels.

Headline figures (approximate, August 2026): CSQR shows revenue (ttm) ~$1.06B, q2 2026 revenue ~$280M, up ~14.5% year over year, q2 2026 adjusted ebitda ~$120M at a ~46.2% margin, net loss (ttm) ~$186M (Q2 alone was ~$49M); DLR shows revenue (full year 2025) ~$6.1 billion, adjusted ebitda (full year 2025) ~$3.34 billion, core ffo per share (full year 2025) ~$7.39 (up ~10% YoY), trailing p/e ratio ~47 to 53x (TTM, varies by source).

CSQR and DLR are related but distinct: same themes, different businesses and risks. Neither wins in the abstract; the right pick is whichever thesis you actually believe, sized so you are not over-concentrated in one theme. Walnut can show your combined CSQR and DLR exposure against your real portfolio. It is not an investment adviser.