DigitalBridge Group Inc. (NYSE:DBRG) is one of the top stocks offering high upside potential in data centers and AI. On November 3, Keefe Bruyette raised its price target on DigitalBridge Group Inc. (NYSE:DBRG) to $12.50 while maintaining a Market Perform rating, following TD Cowen’s Michael Elias, who on October 31 reiterated a Buy and lifted his target to $20.00.
Elias cited DigitalBridge’s robust Q3 2025 results, record data center leasing, and strategic ownership of hyperscale assets that position the firm to benefit from surging AI-driven demand. With a strong pipeline, ongoing construction, and growing carried interest potential, analysts see DigitalBridge well-placed for sustained growth.
On October 30, the company delivered strong third-quarter results, characterized by a 22% year-over-year increase in fee revenue, which totaled $93.5 million. Distributable earnings were up 102% year over year to $21.7 million or $0.12 a share, exceeding analyst expectations of $0.01 per share. Fee-related earnings margin expanded to 40% in Q3 2025, from 34% as of last year’s same period the previous year, affirming improved operational efficiency.
The impressive third-quarter results come against the backdrop of continued execution across cross-strategic priorities. The company exited the quarter with $4.1 billion in capital formation, positioning it to surpass financial targets, including $40 billion in fee-earning equity under management. The company also reiterated its focus on digital infrastructure, particularly data centers, to support AI workloads. It has already secured 20.9 GW of power across its data center portfolio, with a record of 2.6+ GW.
“We exceeded our full year FEEUM target in 3Q one quarter early, reaching $40.7 billion while continuing to deliver substantial fee-related earnings growth and expanding margins, positioning DBRG to achieve and exceed our full year targets. The third quarter demonstrated the DigitalBridge investment thesis at scale. Over 2.6 gigawatts leased across our portfolio, a company record representing a third of the US hyperscale market, which validates that controlling a strategic 20+ GW power bank translates to market leadership in AI infrastructure deployments,” said CEO Marc Ganzi.
DigitalBridge Group, Inc. (NYSE:DBRG) is a global alternative asset manager that invests in and operates digital infrastructure, such as cell towers, data centers, and fiber networks. The company manages over $100 billion in assets and focuses on businesses essential for the growth of AI, 5G, and cloud computing.
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Disclosure: None. This article is originally published at Insider Monkey.
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