Equinix Stock does not work, but analysts see great potential forward News ad

When searching for investments in data and AI processing centers, there are many potential routes that can be reduced. These include HypersCaler, advanced semiconductor designers, AI application developers and semiconductor equipment manufacturers.

Equinix Today

Equinix, Inc. Promotive logo
$ 801.44 -30.11 (-3.62%)

As of 3/3/2025 20:00 on the Eastern

52-week range
$ 684.14

$ 994.03

Dividend yield
2.34%

P/e ratio.
93.74

Value is valuable
$ 1 007.59

Nevertheless, other potential prospectus is investment trains in the field of real estate in the data center (Reit). These companies provide most of the physical infrastructure necessary to accommodate advanced computing resources and further AI. Two Reit currently dominate in this space: Equinix NASDAQ: EQIX and Digital Realty Trust NYSE: DLRField

These firms provide critical infrastructure, help supplement the capabilities of data processing centers that are fully belonging to hyper -combatants and other enterprises, and bring significant dividend income.

Equinix and Digital Realty, respectively, The profitability of dividends is 2.3% and 3.3% From April 1, the market closes. These crops are very significant compared to the general technological sector. Sector of the Sector of Technology NYSEARCA: XLK It has the indicated dividend yield of slightly less than 0.8%.

The following is the analysis of Equinix, the largest data center for market capitalization. Is there any potential to become convincing investments in the future, and shares are reduced by 18% of the last maximums? In addition, what kind of Wall analysts are stroke in this name?

Destruction of the Equinix place in data processing centers

Equinix income is mainly from two sources: bells and interconnection. In 2024, 74% and 19% of the company’s income They came from these sources, respectively.

The bell is, in fact, a service in which companies can rent a space in Equinix data processing centers. Within the framework of this service, Equinix provides “all the components necessary for the client for placing IT infrastructure or equipment.”

This means that Equinix does not provide advanced chips or other computing components. Instead, he offers a house where customers can place and use the acquisition of the equipment they purchase. This is important, as this significantly reduces Equinix costs for the provision of these components.

The company also provides the energy necessary to launch these systems, which makes electricity one of the largest costs. In the last quarter, Utility services amounted to 27% of the cost of the company’s operational expensesThe field of interconnection service is connected by data processing centers with each other or enterprises. The company has two types of data processing centers.

The first is the International Center for Business Management (IBX). This is for general cloud computing. The second is him XSCALE data processing centersThe Equinix field is developing them to serve as the “target group of hyper -scale companies.” They specifically support demanding workloads of clouds and artificial intelligence. These data processing centers are a lot of excited.

Equinix XSCALE PLESIDE

Currently, Equinix data processing centers make up less than 10% of their portfolio of data processing centers. Thanks to this, the company has a huge opportunity to increase these offers and bring significantly more income from the clients of the hyperte. The company invests to do this.

Currently, the company is developing 16 XSCALE data processing centers that it It is expected that it is open to the first quarter of 2027 Or earlier. In terms of energy use, these projects will increase the company’s capacity by 62%. The company rented or provided 85% of its current and upcoming capacity.

This shows a quick demand for these objects, although many of them are far from completion. XScale extension is a big chance for Equinix to accelerate income and income growthField

In addition, many software development companies make great efforts to push access to their products in the cloud. This helps firms easily update their applications and create a more repeated income. This should continue to increase the demand for Equinix services, which is different Big fair wind benefits to the companyField

Price goals indicate significant potential underestimation in EQIX

Equinix Promotion Forecast Today

Price forecast for 12 months:
$ 1 007.59
Buy
Based on 22 analysts ratings
The current price $ 801.44
High forecast $ 1200.00
Average forecast $ 1 007.59
Low forecast $ 834.00

Equinix Forecast Forecast

Analysts Wall -Strite demonstrate a noticeable bull. About the potential of Equinix. Marketbeat has tracked five targeted price updates for Equinix since the beginning of March. On average, their target prices imply A 20% growth in Equinix shares Compared to their closing price on April 1.

This is important, given that analysts often consider 20% growth as a demarcation line. Many believe that less than 20% of growth is not enough to reasonably consider underestimated shares. However, the prospects for this differ.

In general, Equinix is ​​a large and expanding company that may seem to benefit from large trends regarding cloud computing and artificial intelligence. Promotions are a unique and interesting opportunity to use these trends, and also provide significant dividend income. A recent fall in shares helps his case in the future.

Before considering Equinix, you will want to hear it.

Marketbeat monitors the highest and most effective analysts with the most effective Wall Street analysts and promotions that they recommend to their customers daily. Marketbeat has identified five shares that leading analysts quietly whisper to their clients to buy now before a wider market is conquered … and Equinix was not on the list.

While Equinix currently has a purchase rating among analysts, analysts with the highest rating believe that these five promotions are better buying.

View five shares here

10 shares established on a couple in the spring of 2025.

Market volatility creates an opportunity. Our analysts have determined 10 shares ideally located for exceptional growth in this spring, even in conditions of economic uncertainty. Do not miss your chance to access this timely study and invest with confidence.

Get this free report

Like this article? Share this with a colleague.

The link is copied to the exchange buffer.

Leave a Comment