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Equinix (EQIX) Suffers a Larger Drop Than the General Market: Key Insights
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Equinix (EQIX - Free Report) closed the most recent trading day at $827.59, moving -0.55% from the previous trading session. This change lagged the S&P 500's 0.16% loss on the day. Elsewhere, the Dow gained 0.09%, while the tech-heavy Nasdaq lost 0.3%.
The data center operator's shares have seen an increase of 6.06% over the last month, not keeping up with the Finance sector's gain of 6.28% and outstripping the S&P 500's gain of 3.64%.
Investors will be eagerly watching for the performance of Equinix in its upcoming earnings disclosure. It is anticipated that the company will report an EPS of $8.71, marking a 6.35% rise compared to the same quarter of the previous year. At the same time, our most recent consensus estimate is projecting a revenue of $2.2 billion, reflecting a 6.8% rise from the equivalent quarter last year.
Regarding the entire year, the Zacks Consensus Estimates forecast earnings of $35.10 per share and revenue of $8.74 billion, indicating changes of +9.31% and +6.69%, respectively, compared to the previous year.
Investors should also take note of any recent adjustments to analyst estimates for Equinix. These latest adjustments often mirror the shifting dynamics of short-term business patterns. With this in mind, we can consider positive estimate revisions a sign of optimism about the company's business outlook.
Our research shows that these estimate changes are directly correlated with near-term stock prices. To capitalize on this, we've crafted the Zacks Rank, a unique model that incorporates these estimate changes and offers a practical rating system.
The Zacks Rank system, ranging from #1 (Strong Buy) to #5 (Strong Sell), possesses a remarkable history of outdoing, externally audited, with #1 stocks returning an average annual gain of +25% since 1988. Over the past month, the Zacks Consensus EPS estimate has moved 0.6% lower. At present, Equinix boasts a Zacks Rank of #3 (Hold).
Digging into valuation, Equinix currently has a Forward P/E ratio of 23.71. This expresses a premium compared to the average Forward P/E of 14.62 of its industry.
We can additionally observe that EQIX currently boasts a PEG ratio of 1.79. This popular metric is similar to the widely-known P/E ratio, with the difference being that the PEG ratio also takes into account the company's expected earnings growth rate. EQIX's industry had an average PEG ratio of 3.48 as of yesterday's close.
The REIT and Equity Trust - Retail industry is part of the Finance sector. At present, this industry carries a Zacks Industry Rank of 54, placing it within the top 22% of over 250 industries.
The Zacks Industry Rank gauges the strength of our individual industry groups by measuring the average Zacks Rank of the individual stocks within the groups. Our research shows that the top 50% rated industries outperform the bottom half by a factor of 2 to 1.
To follow EQIX in the coming trading sessions, be sure to utilize Zacks.com.
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Equinix (EQIX) Suffers a Larger Drop Than the General Market: Key Insights
Equinix (EQIX - Free Report) closed the most recent trading day at $827.59, moving -0.55% from the previous trading session. This change lagged the S&P 500's 0.16% loss on the day. Elsewhere, the Dow gained 0.09%, while the tech-heavy Nasdaq lost 0.3%.
The data center operator's shares have seen an increase of 6.06% over the last month, not keeping up with the Finance sector's gain of 6.28% and outstripping the S&P 500's gain of 3.64%.
Investors will be eagerly watching for the performance of Equinix in its upcoming earnings disclosure. It is anticipated that the company will report an EPS of $8.71, marking a 6.35% rise compared to the same quarter of the previous year. At the same time, our most recent consensus estimate is projecting a revenue of $2.2 billion, reflecting a 6.8% rise from the equivalent quarter last year.
Regarding the entire year, the Zacks Consensus Estimates forecast earnings of $35.10 per share and revenue of $8.74 billion, indicating changes of +9.31% and +6.69%, respectively, compared to the previous year.
Investors should also take note of any recent adjustments to analyst estimates for Equinix. These latest adjustments often mirror the shifting dynamics of short-term business patterns. With this in mind, we can consider positive estimate revisions a sign of optimism about the company's business outlook.
Our research shows that these estimate changes are directly correlated with near-term stock prices. To capitalize on this, we've crafted the Zacks Rank, a unique model that incorporates these estimate changes and offers a practical rating system.
The Zacks Rank system, ranging from #1 (Strong Buy) to #5 (Strong Sell), possesses a remarkable history of outdoing, externally audited, with #1 stocks returning an average annual gain of +25% since 1988. Over the past month, the Zacks Consensus EPS estimate has moved 0.6% lower. At present, Equinix boasts a Zacks Rank of #3 (Hold).
Digging into valuation, Equinix currently has a Forward P/E ratio of 23.71. This expresses a premium compared to the average Forward P/E of 14.62 of its industry.
We can additionally observe that EQIX currently boasts a PEG ratio of 1.79. This popular metric is similar to the widely-known P/E ratio, with the difference being that the PEG ratio also takes into account the company's expected earnings growth rate. EQIX's industry had an average PEG ratio of 3.48 as of yesterday's close.
The REIT and Equity Trust - Retail industry is part of the Finance sector. At present, this industry carries a Zacks Industry Rank of 54, placing it within the top 22% of over 250 industries.
The Zacks Industry Rank gauges the strength of our individual industry groups by measuring the average Zacks Rank of the individual stocks within the groups. Our research shows that the top 50% rated industries outperform the bottom half by a factor of 2 to 1.
To follow EQIX in the coming trading sessions, be sure to utilize Zacks.com.