Equinix (EQIX) Downgraded by Zacks Investment Research

Zacks Investment Research downgraded shares of Equinix (NASDAQ:EQIX) from a hold rating to a sell rating in a report published on Monday.

According to Zacks, “Shares of Equinix have underperformed the real estate market over the past three months. Further, the trend in estimate revisions for 2019 funds from operations (FFO) per share does not indicate a favorable outlook for the company. While Equinix plans to add more data centers to satisfy the rising demand for co-location and interconnection services, this requires huge capital outlays. Moreover, the company’s growing debt burden is expected to affect its operating results as interest expense would go up. Also, consolidation in the telecommunications industry will likely result in low demand for colocation space, hindering the company’s growth. Nonetheless, a global footprint and solid interconnected ecosystems will enable Equinix to witness top-line growth in the long term.”

A number of other research analysts have also recently commented on the company. Berenberg Bank assumed coverage on Equinix in a research note on Tuesday, January 8th. They issued a buy rating and a $477.00 price target for the company. BidaskClub cut Equinix from a buy rating to a hold rating in a research note on Thursday, December 27th. Jefferies Financial Group upgraded Equinix from a hold rating to a buy rating and increased their price target for the company from $454.00 to $479.00 in a research note on Monday, December 10th. ValuEngine cut Equinix from a hold rating to a sell rating in a research note on Thursday, November 8th. Finally, Citigroup dropped their price target on Equinix from $506.00 to $481.00 and set a buy rating for the company in a research note on Friday, November 2nd. Two equities research analysts have rated the stock with a sell rating, two have given a hold rating and fifteen have issued a buy rating to the company’s stock. Equinix presently has an average rating of Buy and an average price target of $498.13.

Shares of EQIX opened at $391.91 on Monday. Equinix has a 52 week low of $335.29 and a 52 week high of $457.99. The firm has a market capitalization of $31.95 billion, a PE ratio of 21.15, a PEG ratio of 1.37 and a beta of 0.87. The company has a debt-to-equity ratio of 1.54, a current ratio of 1.24 and a quick ratio of 1.24.

In other Equinix news, insider Michael Earl Campbell sold 962 shares of the stock in a transaction dated Wednesday, January 16th. The stock was sold at an average price of $381.29, for a total transaction of $366,800.98. Following the completion of the sale, the insider now directly owns 1,753 shares in the company, valued at approximately $668,401.37. The sale was disclosed in a document filed with the SEC, which is accessible through this hyperlink. Also, CEO Charles J. Meyers sold 5,648 shares of the stock in a transaction dated Wednesday, January 16th. The stock was sold at an average price of $380.97, for a total value of $2,151,718.56. Following the sale, the chief executive officer now owns 5,750 shares of the company’s stock, valued at $2,190,577.50. The disclosure for this sale can be found here. Insiders sold 12,152 shares of company stock valued at $4,651,296 over the last 90 days. 0.51% of the stock is currently owned by company insiders.

A number of institutional investors have recently modified their holdings of EQIX. Farmers & Merchants Investments Inc. grew its holdings in Equinix by 174.2% during the 4th quarter. Farmers & Merchants Investments Inc. now owns 85 shares of the financial services provider’s stock worth $30,000 after acquiring an additional 54 shares during the period. Pearl River Capital LLC acquired a new stake in Equinix during the 4th quarter worth about $35,000. Rehmann Capital Advisory Group grew its holdings in Equinix by 158.8% during the 3rd quarter. Rehmann Capital Advisory Group now owns 88 shares of the financial services provider’s stock worth $38,000 after acquiring an additional 54 shares during the period. Proficio Capital Partners LLC grew its holdings in Equinix by 116.7% during the 4th quarter. Proficio Capital Partners LLC now owns 117 shares of the financial services provider’s stock worth $41,000 after acquiring an additional 63 shares during the period. Finally, Lindbrook Capital LLC acquired a new stake in Equinix during the 4th quarter worth about $47,000. Hedge funds and other institutional investors own 95.35% of the company’s stock.

Equinix Company Profile

Equinix, Inc (Nasdaq: EQIX) connects the world's leading businesses to their customers, employees and partners inside the most-interconnected data centers. In 52 markets across five continents, Equinix is where companies come together to realize new opportunities and accelerate their business, IT and cloud strategies.

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