Equinix, Inc. (EQIX) Stock Recommendation | Score, Valuation, Technicals & Financial Trend

Score

Click here to find our call on this stock

Strong Sell

Sell

Hold

Buy

Strong Buy

MarketsMojo — Loved in India, Now Global

The power of Mojo is now in 29 countries. Explore global equities with the same cutting-edge features you love.Unlock 29 Markets

Comparison

Company

Score

Quality

Valuation

Financial

Technical

Welltower, Inc.

Realty Income Corp.

VICI Properties, Inc.

Digital Realty Trust, Inc.

Prologis, Inc.

Equinix, Inc.

Extra Space Storage, Inc.

Simon Property Group, Inc.

Public Storage

American Tower Corp.

Crown Castle, Inc.

Why is Equinix, Inc. ?

Poor long term growth as Operating profit has grown by an annual rate of 13.01%

Positive results in Jun 25

OPERATING CASH FLOW(Y) Highest at USD 3,492 MM
DIVIDEND PER SHARE(HY) Highest at USD 7.91
CASH AND EQV(HY) Highest at USD 8,222 MM

With ROE of 9.12%, it has a very expensive valuation with a 6.46 Price to Book Value

The stock is trading at a discount compared to its peers' average historical valuations
Over the past year, while the stock has generated a return of -23.22%, its profits have risen by 33.6% ; the PEG ratio of the company is 2.4

High Institutional Holdings at 100%

These investors have better capability and resources to analyse fundamentals of companies than most retail investors.

Below par performance in long term as well as near term

Along with generating -23.22% returns in the last 1 year, the stock has also underperformed S&P 500 in the last 3 years, 1 year and 3 months

Real-Time Research Report

Verdict Report

How much should you hold?

Overall Portfolio exposure to Equinix, Inc. should be less than 10%
Overall Portfolio exposure to Realty should be less than 30%

(If sector exposure > 30%, please use optimiser tool to see which are the best stocks to hold in Realty)

When to exit? - We will constantly monitor the company and suggest at the appropriate time to exit from the stock

Is Equinix, Inc. for you?

Low Risk, Low Return

Absolute

Risk Adjusted

Volatility

Equinix, Inc.

-24.65%

-0.07

27.27%

S&P 500

13.22%

0.61

20.17%

Quality

Management Risk

Growth

Capital Structure

Quality grade scale :

Below Average, Average, Good, Excellent

Quality key factors

Factor

Value

Sales Growth (5y)

9.30%

EBIT Growth (5y)

13.01%

EBIT to Interest (avg)

3.31

Debt to EBITDA (avg)

Negative Net Debt

Net Debt to Equity (avg)

Sales to Capital Employed (avg)

Tax Ratio

19.32%

Dividend Payout Ratio

200.36%

Pledged Shares

Institutional Holding

100.00%

ROCE (avg)

15.00%

ROE (avg)

6.90%

Valuation

Valuation Scorecard

Valuation grade scale :

Very Risky, Risky, Very Expensive, Expensive, Fair, Attractive, Very Attractive

Valuation Key Factors

Factor

Value

P/E Ratio

Industry P/E

Price to Book Value

6.46

EV to EBIT

44.15

EV to EBITDA

22.00

EV to Capital Employed

8.43

EV to Sales

9.73

PEG Ratio

2.37

Dividend Yield

1.87%

ROCE (Latest)

19.10%

ROE (Latest)

9.12%

Technicals

Technical key factors

Indicator

Weekly

Monthly

MACD

Bearish

Mildly Bearish

RSI

No Signal

Bollinger Bands

Bearish

Moving Averages

Bearish (Daily)

KST

Mildly Bullish

Mildly Bearish

Dow Theory

Mildly Bearish

OBV

No Trend

Mildly Bullish

Technical Indicator Scale: Bearish, Mildly Bearish, Sideways, Mildly Bullish, Bullish Turned

Technical Movement

Analyse All Technical Factors

Financial Trend

Financial Trend Scorecard

Financial Trend scale:

Very Negative, Negative, Flat, Positive, Very Positive, Outstanding

9What is working for the Company

OPERATING CASH FLOW(Y)

Highest at USD 3,492 MM

DIVIDEND PER SHARE(HY)

Highest at USD 7.91

CASH AND EQV(HY)

Highest at USD 8,222 MM

PRE-TAX PROFIT(Q)

Highest at USD 410 MM

NET PROFIT(Q)

Highest at USD 372.53 MM

EPS(Q)

Highest at USD 3.75

-5What is not working for the Company

INTEREST COVERAGE RATIO(Q)

Lowest at 337.24

DIVIDEND PAYOUT RATIO(Y)

Lowest at 124.96%

RAW MATERIAL COST(Y)

Grown by 31.22% (YoY

INTEREST(Q)

Highest at USD 145 MM

Here's what is working for Equinix, Inc.

Operating Cash Flow

Highest at USD 3,492 MM and Grown

In each year in the last three years

MOJO Watch

The company has generated higher cash revenues from business operations

Operating Cash Flows (USD MM)

Dividend per share

Highest at USD 7.91 and Grown

In each year in the last five years

MOJO Watch

Company is distributing higher dividend from profits generated

DPS (USD)

Pre-Tax Profit

Highest at USD 410 MM

in the last five periods

MOJO Watch

Near term Pre-Tax Profit trend is positive

Pre-Tax Profit (USD MM)

Net Profit

Highest at USD 372.53 MM

in the last five periods

MOJO Watch

Near term Net Profit trend is positive

Net Profit (USD MM)

EPS

Highest at USD 3.75

in the last five periods

MOJO Watch

Increasing profitability; company has created higher earnings for shareholders

EPS (USD)

Cash and Eqv

Highest at USD 8,222 MM

in the last six Semi-Annual periods

MOJO Watch

Short Term liquidity is improving

Cash and Cash Equivalents

Here's what is not working for Equinix, Inc.

Interest Coverage Ratio

Lowest at 337.24

in the last five periods

MOJO Watch

The company's ability to manage interest payments is deteriorating

Operating Profit to Interest

Interest

Highest at USD 145 MM

in the last five periods and Increased by 9.02% (QoQ)

MOJO Watch

Rising interest cost signifies increased borrowings

Interest Paid (USD MM)

Dividend Payout Ratio

Lowest at 124.96%

in the last five years

MOJO Watch

Company is distributing lower proportion of profits generated as dividend

DPR (%)

Raw Material Cost

Grown by 31.22% (YoY)

MOJO Watch

The company's ability to pass on the cost of raw materials to customers has deteriorated; this may lead to a fall in profit margin

Raw Material Cost as a percentage of Sales