EQIX Equinix, Inc. - Fundamental Analysis
NEUTRAL
EQIX Stock | Fundamental Analysis & Investment Insights
NYSE
•
Real Estate
•
REIT - Specialty
Current Price
$764.11
Analyst Target
$956.28
+25.1% Upside
52W High
$964.73
52W Low
$701.41
At a glance
Key valuation, profitability, growth, and risk metrics.
Updated Jan 04, 2026
Market cap
$75.02B
P/E
70.42
ROE
7.7%
Profit margin
11.8%
Debt/Equity
1.48
Dividend yield
2.46%
AI Analysis
Powered by advanced machine learning algorithms
Confidence Score
72%
Analysis Accuracy
The Advanced Deterministic Scorecard shows a weak Piotroski F-Score of 4/9, indicating borderline financial health, while the Altman Z-Score is astronomically high at 111975958502.4, suggesting no distress risk. Despite strong recent earnings growth and a bullish analyst target of $956.28, the stock trades at a steep valuation (P/E 70.42) well above both the Graham Number ($187.61) and intrinsic value estimate ($320.07), raising sustainability concerns. Robust YoY earnings growth and consistent analyst buy ratings support upside potential, but elevated payout ratio and insider selling pressure pose countervailing risks. The technical trend is bearish, and dividend strength is weak despite a 2.46% yield.
Key Strengths
Exceptionally high Altman Z-Score eliminates near-term bankruptcy risk
Strong year-over-year earnings growth of 22.90% and consistent earnings beat history (3 of last 4 quarters)
Analyst consensus target of $956.28 implies ~25% upside from current price
High gross margin of 50.35% reflects pricing power and low variable costs in data center operations
Operating margin of 21.85% is solid for a capital-intensive REIT, indicating efficient cost management
Key Risks
Piotroski F-Score of 4/9 indicates weak financial health, particularly concerning for a highly leveraged REIT
Current price of $764.11 is more than double the Graham defensive value ($187.61) and over 2.3x intrinsic value ($320.07), signaling extreme overvaluation
P/E ratio of 70.42 is significantly above sector average (47.97) and forward P/E of 50.10 still reflects high expectations
Dividend payout ratio of 168.47% is unsustainable long-term, threatening future dividend integrity
Insider selling activity (12 sell transactions, $7.76M value) signals lack of confidence from executives
AI Fair Value Estimate
Based on comprehensive analysis
$320.07
-58.1% below current price
Performance Snowflake
Multi-dimensional analysis across 5 key categories
Overall
47
Moderate
30
65
55
50
35
AI Verdict
Neutral with upside risk if growth sustains
Key drivers: High earnings growth and strong analyst sentiment, Extremely high valuation multiples, Weak Piotroski score and unsustainable payout ratio, Insider selling pressure, Exceptional Altman Z-Score providing downside protection
Confidence
75%
Value
30/100
Ref P/E, PEG, Graham Number
Positives
- Forward P/E of 50.10 is lower than current P/E, suggesting some earnings growth expectation is priced in
Watchpoints
- Current P/E of 70.42 is extremely high
- Price/Sales of 8.27 and Price/Book of 5.30 are elevated
- Stock trades at 4x Graham Number, indicating severe overvaluation
Future
65/100
Ref Growth rates
Positives
- 22.90% YoY earnings growth
- 25.90% Q/Q earnings growth
- Analyst target implies strong future performance
Watchpoints
- PEG Ratio is N/A, suggesting growth may not justify premium valuation
- Revenue growth of 6.60% lags peer average of 8.64%
Past
55/100
Ref Historical trends
Positives
- Recent quarters show strong earnings surprises (avg +14.76% last 4)
- 5-year price return of +21.5% outperforms broader REIT trends
Watchpoints
- Earnings history includes several large negative surprises (e.g., -62% in 2021)
- 1-year return of -17.2% underperforms peers
Health
50/100
Ref Altman Z-Score, Piotroski F-Score
Positives
- Altman Z-Score >3 (in fact, extremely high), indicating no financial distress
- Current ratio of 1.34 and quick ratio of 1.07 suggest short-term liquidity is adequate
Watchpoints
- Piotroski F-Score of 4/9 indicates weak financial health
- Debt/Equity of 1.48 is high for a REIT and above sector average
Dividend
35/100
Ref Yield, Payout
Positives
- Dividend yield of 2.46% is modestly attractive in current rate environment
Watchpoints
- Payout ratio of 168.47% is unsustainable
- Dividend Strength score of 20/100 reflects poor safety
Stock Price & Analyst Targets
Real-time price movements and analyst price targets
Current Price
$764.11
Analyst Target
$956.28
Upside/Downside
+25.1%
Multi-Horizon Performance vs Peers
Price momentum across 5Y → 1W horizons for EQIX and closest competitors.
Updated 2026-01-02
| Company | 5Y | 3Y | 1Y | 6M | 1M | 1W |
|---|---|---|---|---|---|---|
|
EQIX
Equinix, Inc.
Primary
|
+21.5% | +22.8% | -17.2% | -1.7% | +4.3% | +0.1% |
|
SPG
Simon Property Group, Inc.
Peer
|
+189.8% | +84.0% | +11.4% | +13.0% | +2.2% | -2.0% |
|
AMT
American Tower Corporation
Peer
|
-7.8% | -9.9% | -0.1% | -19.7% | +0.2% | +0.1% |
|
DLR
Digital Realty Trust, Inc.
Peer
|
+36.2% | +67.1% | -9.7% | -8.8% | -2.1% | +0.0% |
|
O
Realty Income Corporation
Peer
|
+16.8% | +3.4% | +7.2% | +3.9% | -4.0% | -0.1% |
Positive values indicate cumulative gains over the specified period. Comparables pulled from the same sector to highlight whether momentum is stock-specific or industry-wide.
Historical Performance Trends
Long-term financial metrics and growth patterns
Revenue & Net Income
Profit & Operating Margins
Return on Equity (ROE)
Quarterly Revenue Growth
Historical data shows last 12 quarters (3 years)
Valuation Metrics
Key valuation ratios and pricing indicators
P/E Ratio
70.42
Forward P/E
50.1
PEG Ratio
N/A
P/B Ratio
5.3
P/S Ratio
8.27
EV/Revenue
10.35
EV/EBITDA
24.09
Market Cap
$75.02B
Profitability
Profit margins and return metrics
Profit Margin
11.8%
Operating Margin
21.85%
Gross Margin
50.35%
ROE
7.7%
ROA
3.2%
Growth
Revenue and earnings growth rates
Revenue Growth
+6.6%
Earnings Growth
+22.9%
Q/Q Revenue Growth
N/A
Q/Q Earnings Growth
+25.9%
Financial Health
Balance sheet strength and liquidity metrics
Debt/Equity
1.48
Moderate
Current Ratio
1.34
Good
Quick Ratio
1.07
Good
Cash/Share
$21.15
Quarterly Earnings History
EPS performance vs analyst estimates
2026-02-11
$N/A
2025-10-29
$3.89
+13.2% surprise
2025-07-30
$3.79
+10.3% surprise
2025-04-30
$3.59
+20.8% surprise
Real Estate Sector Comparison
Comparing EQIX against 10 companies in the Real Estate sector
(1 bullish, 7 neutral, 2 bearish)
P/E Ratio
70.42
This Stock
vs
46.9
Sector Avg
+50.2%
(Expensive)
Return on Equity (ROE)
7.7%
This Stock
vs
-4.04%
Sector Avg
-290.7%
(Below Avg)
Profit Margin
11.8%
This Stock
vs
20.01%
Sector Avg
-41.0%
(Weaker)
Debt to Equity
1.48
This Stock
vs
2.09
Sector Avg
-29.3%
(Less Debt)
Revenue Growth
6.6%
This Stock
vs
8.64%
Sector Avg
-23.6%
(Slower)
Current Ratio
1.34
This Stock
vs
5.05
Sector Avg
-73.5%
(Weaker)
Similar Companies
Peer comparison within the same industry
| Company | AI Rating | Market Cap | P/E | ROE | Profit Margin | Price | |
|---|---|---|---|---|---|---|---|
|
EQIX
Equinix, Inc.
|
NEUTRAL | $75.02B | 70.42 | 7.7% | 11.8% | $764.11 | |
|
SPG
Simon Property Group, Inc.
|
NEUTRAL | $69.39B | 26.82 | 82.5% | 36.5% | $183.97 | |
|
AMT
American Tower Corporation
|
BEARISH | $81.85B | 27.83 | 28.8% | 28.1% | $174.8 | |
|
DLR
Digital Realty Trust, Inc.
|
NEUTRAL | $54.21B | 40.16 | 5.8% | 24.0% | $155.03 | |
|
O
Realty Income Corporation
|
NEUTRAL | $52.25B | 53.08 | 2.5% | 17.1% | $56.8 |
Recent Insider Trading
Insider buy and sell transactions from the last 6 months
| Date | Insider | Position | Transaction | Shares | Value |
|---|---|---|---|---|---|
| 2025-12-10 | ABDEL RAOUF F | Officer | Gift | 50 | - |
| 2025-12-10 | ABDEL RAOUF F | Officer | Sale | 403 | $298,220 |
| 2025-12-02 | ABDEL RAOUF F | Officer | Sale | 159 | $116,442 |
| 2025-12-02 | FOX-MARTIN ADAIRE | Chief Executive Officer | Sale | 2,894 | $2,115,780 |
| 2025-12-02 | LIN JONATHAN | Officer | Sale | 123 | $90,484 |
| 2025-12-02 | PLETCHER KURT | Officer | Sale | 290 | $212,410 |
| 2025-12-01 | LIN JONATHAN | Officer | Stock Award | 274 | - |
| 2025-12-01 | PLETCHER KURT | Officer | Stock Award | 696 | - |
| 2025-12-01 | FOX-MARTIN ADAIRE | Chief Executive Officer | Stock Award | 5,645 | - |
| 2025-12-01 | ABDEL RAOUF F | Officer | Stock Award | 365 | - |
| 2025-11-18 | PAISLEY CHRISTOPHER B. | Director | Sale | 50 | $38,879 |
| 2025-11-17 | MEYERS CHARLES JOHN | Director | Sale | 5,087 | $3,960,071 |
| 2025-11-03 | MORANDI BRANDI GALVIN | Officer | Sale | 100 | $84,047 |
| 2025-10-07 | PALADIN MICHAEL SHANE | Officer | Stock Award | 824 | - |
| 2025-09-09 | ABDEL RAOUF F | Officer | Sale | 404 | $311,527 |
Insider transactions can signal confidence or concerns about company prospects
Wall Street Analysts
Professional analyst ratings and price targets
Consensus
BUY
25 analysts
BMO Capital
2025-12-03
Market Perform
Outperform
Truist Securities
2025-11-18
Buy
Buy
JP Morgan
2025-10-30
Overweight
Overweight
TD Cowen
2025-10-30
Buy
Buy
Morgan Stanley
2025-10-16
Overweight
Barclays
2025-08-20
Equal-Weight
Equal-Weight
Truist Securities
2025-08-07
Buy
Buy
JP Morgan
2025-07-31
Overweight
Overweight
JMP Securities
2025-07-22
Market Outperform
Market Outperform
UBS
2025-07-11
Buy
Buy