1.53%
-2.20%
1.55%
16.69%
11.13%
27.21%
56.36%

Company Description

Equinix (Nasdaq: EQIX) is the world's digital infrastructure company, enabling digital leaders to harness a trusted platform to bring together and interconnect the foundational infrastructure that powers their success.Equinix enables today's businesses to access all the right places, partners and possibilities they need to accelerate advantage.With Equinix, they can scale with agility, speed the launch of digital services, deliver world-class experiences and multiply their value.

Market Data

Last Price 922.13
Change Percentage 1.53%
Open 921.14
Previous Close 908.23
Market Cap ( Millions) 88975
Volume 376679
Year High 994.03
Year Low 684.14
M A 50 939.91
M A 200 843.29

Financial Ratios

FCF Yield 0.25%
Dividend Yield 1.85%
ROE 8.34%
Debt / Equity 141.21%
Net Debt / EBIDTA 516.99%
Price To Book 6.47
Price Earnings Ratio 83.26
Price To FCF 405.22
Price To sales 10.35
EV / EBITDA 33.2

News

Business Breakdown

Expected Mid-Term Growth

Segment nΒ°1 -> Colocation

Expected Growth : 9 %

What the company do ?

Equinix Colocation offers secure, scalable, and highly connected data center space for businesses to house their IT infrastructure, with access to a global ecosystem of networks, clouds, and partners.

Why we expect these perspectives ?

Equinix's colocation growth driven by increasing demand for hybrid multicloud architectures, rising adoption of digital infrastructure, and growing need for low-latency connectivity. Additionally, the company's strategic expansions into new markets, high utilization rates, and strong bookings pipeline contribute to its growth momentum.

Segment nΒ°2 -> Interconnection

Expected Growth : 11 %

What the company do ?

Interconnection from Equinix, Inc. enables secure, high-performance connectivity between businesses, partners, and customers, facilitating digital transformation and hybrid multicloud strategies.

Why we expect these perspectives ?

Equinix's interconnection growth is driven by increasing demand for hybrid and multi-cloud architectures, rising adoption of digital transformation and IoT, and growing need for low-latency and secure data exchange. Additionally, the company's strategic expansion into new markets and existing facility expansions are contributing to its growth.

Segment nΒ°3 -> Managed Infrastructure

Expected Growth : 8 %

What the company do ?

Managed Infrastructure from Equinix, Inc. is a service that provides fully managed, customized, and scalable IT infrastructure solutions for businesses, allowing them to focus on their core operations.

Why we expect these perspectives ?

Equinix's Managed Infrastructure growth is driven by increasing demand for hybrid and multi-cloud strategies, rising adoption of digital transformation initiatives, and growing need for secure, scalable, and interconnected infrastructure. Additionally, the company's expanding global footprint, strategic partnerships, and investments in emerging technologies such as AI, 5G, and IoT are contributing to its growth.

Segment nΒ°4 -> Non-recurring Revenue

Expected Growth : 7 %

What the company do ?

Non-recurring revenue from Equinix, Inc. refers to one-time revenues generated from installation fees, professional services, and other non-recurring transactions.

Why we expect these perspectives ?

Equinix's 7% non-recurring revenue growth is driven by increasing demand for colocation and interconnection services, expansion into new markets, and strategic acquisitions. Additionally, the company's focus on cloud and network dense infrastructure, and its ability to provide low-latency and secure connections, are attracting hyperscale cloud providers and enterprises, further fueling growth.

Segment nΒ°5 -> Other

Expected Growth : 6 %

What the company do ?

Equinix's 'Other' segment includes non-recurring revenue from professional services, training, and consulting, as well as revenue from its cloud and IT services.

Why we expect these perspectives ?

Equinix's 'Other' segment growth is driven by increasing demand for its digital infrastructure services, expansion into new markets, and strategic acquisitions. The rise of cloud computing, IoT, and 5G technologies also fuels growth, as companies require secure and reliable data center services. Additionally, the growing need for interconnection and edge computing solutions contributes to the segment's rapid expansion.

Equinix, Inc. Products

Product Range What is it ?
Colocation Equinix's colocation services provide secure, reliable and high-density data center space for customers to deploy their IT infrastructure.
Interconnection Equinix's interconnection services enable customers to directly and securely connect to a wide range of networks, clouds and services.
Edge Services Equinix's edge services provide a distributed edge computing platform that enables customers to deploy and manage edge infrastructure and applications.
Network Edge Equinix's network edge services provide a scalable and secure platform for network functions virtualization (NFV) and software-defined networking (SDN).
Fabric Equinix's fabric services provide a software-defined interconnection platform that enables customers to connect to multiple clouds, networks and services.
Metal Equinix's metal services provide a fully automated, on-demand infrastructure provisioning platform for bare metal servers.

Equinix, Inc.'s Porter Forces

Equinix, Inc. operates in the data center and colocation industry, which has a moderate threat of substitutes. While there are some alternatives to data centers, such as cloud computing, they are not yet a significant threat to Equinix's business.

Equinix, Inc. has a diverse customer base, which reduces the bargaining power of individual customers. Additionally, the company's data centers are critical to its customers' operations, making it difficult for customers to negotiate prices.

Equinix, Inc. has a diversified supplier base, which reduces the bargaining power of individual suppliers. The company also has long-term contracts with its suppliers, which helps to mitigate the risk of price increases.

The data center and colocation industry has high barriers to entry, including significant capital expenditures and regulatory hurdles. This makes it difficult for new entrants to enter the market and compete with established players like Equinix, Inc.

The data center and colocation industry is highly competitive, with several established players competing for market share. Equinix, Inc. faces intense competition from companies like Digital Realty, Interxion, and NTT Communications, which can lead to pricing pressure and reduced margins.

Capital Structure

Value
Debt Weight 52.85%
Debt Cost 3.95%
Equity Weight 47.15%
Equity Cost 7.04%
WACC 5.40%
Leverage 112.11%

Historical Valuation

Price/Earnings Ratio

Margin Valuation

Peers Valuation

Competitors

Company Rational
CCI Crown Castle owns, operates and leases more than 40,000 cell towers and approximately 80,000 route miles of fiber supporting small cells and fiber solutions across every major U.S. market. This …
IRM Iron Mountain Incorporated (NYSE: IRM), founded in 1951, is the global leader for storage and information management services. Trusted by more than 225,000 organizations around the world, and with a …
AMT American Tower Corporation, one of the largest global REITs, is a leading independent owner, operator and developer of multitenant communications real estate with a portfolio of approximately 219,000 communications sites. …
DLR Digital Realty supports the world's leading enterprises and service providers by delivering the full spectrum of data center, colocation and interconnection solutions. PlatformDIGITALR, the company's global data center platform, provides …
EXR Extra Space Storage Inc., headquartered in Salt Lake City, Utah, is a self-administered and self-managed REIT and a member of the S&P 500. As of September 30, 2020, the Company …

Peers Metrics

DCF BETA

Parameters

Short Term Growth
Short term Time
Long-Term Growth
WACC
Target Price
922.13$
Current Price
922.13$
Potential
-0.00%

Expected Cash-Flows

Scoring Insights

Peers Group Analysis

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