Equinix Inc.

EQIX
Financial Analysis · Updated May 12, 2026 · Coverage 2026-Q2
Latest Q Revenue
$2.4B
Q1 2026 · +9.9% YoY
TTM ROIC
11.2%
FY2025 · AFFO / Invested Capital (Net Debt + Equity) · WACC ~7.75% · Moat spread +3.45pp

Financial Snapshot

ticker: EQIX step: 04 generated: 2026-05-12 source: quick-research

Equinix, Inc. (EQIX) — Financial Snapshot

Income Statement Summary

Metric FY2023 FY2024 FY2025 YoY (FY25)
Revenue $8.19B $8.3B (~+1% — currency headwind) $9.3B+ +12%
Colocation Revenue $5.8B $6.1B $6.5B +6.6%
Interconnection Revenue $1.3B $1.5B $1.6B +9% CC
Adjusted EBITDA Margin ~47% ~48% ~49% +100 bps
AFFO per Share $33.85 $37.04 $40+ +mid-teens

Bookings & Operational Metrics

Metric Trends
Q4 2025 Gross Bookings $474M (record, +42% YoY)
% of Q4 25 Largest Contracts AI-Related 60%
Americas Cabinets Target by 2026 150,000+
xScale Hyperscale Leasing (2025) 31MW (Paris 12 + 13); cumulative >400MW globally

FY2026 Guidance

Metric 2026 Guide
Revenue $10.12–10.22B (+9–11%) — first time >$10B
AFFO $4.16–4.24B (+double-digit)
AFFO/share Growth Strong double-digit
Capital Expenditures (gross) Significant — multi-billion expansion

Cash Flow & Capital Allocation (FY2025)

Metric Value
Operating Cash Flow ~$3.7B
Recurring Capital Expenditures ~$0.4B
AFFO (Adjusted Funds from Operations) ~$3.7B
Discretionary Growth Capex $3–4B
Quarterly Dividend $4.27 (raised from $4.05)
Annual Dividend per Share $17.08
Dividend Yield ~2.0%
AFFO Payout Ratio ~42–45%
Cash & Marketable Securities ~$3.5B
Total Debt ~$17B (REIT structure)
Net Debt / Adjusted EBITDA ~3.5x

Key Ratios (approximate)

  • Price/AFFO: ~22x (FY26 AFFO/share ~$45) | EV/EBITDA: ~26x | Dividend Yield: ~2.0%
  • Revenue Growth (FY25): +12% (currency-neutral better than reported)
  • Adjusted EBITDA Margin: ~49%
  • AFFO Payout Ratio: ~42–45% (sustainable + room for dividend growth)
  • Net Debt / EBITDA: ~3.5x (typical for REIT)

Growth Profile

FY25 was a record year for Equinix:

  • Revenue $9.3B (+12%)
  • Q4 bookings $474M record (+42% YoY)
  • AFFO/share +mid-teens growth
  • 60% of largest Q4 contracts AI-related

FY26 marks revenue crossing $10B for the first time:

  • +9–11% reported revenue growth (constant-currency higher)
  • AI inference workload demand driving record bookings momentum
  • xScale joint venture with GIC + CPP Investments providing capital-efficient hyperscale capacity
  • Power constraints in key markets (NoVa, Silicon Valley) creating defensible moat

The structural narrative is AI-distributed inference + sovereign cloud + interconnection ecosystem network effects. Even as hyperscalers self-build mega-campuses, the enterprise + interconnection layer remains Equinix's structurally protected moat.

Forward Estimates

FY2026 Guide:

  • Revenue: $10.12–10.22B (+9–11%)
  • AFFO: $4.16–4.24B
  • AFFO per Share: ~$45 (+12–14%)

Bull case: AI inference demand sustains record bookings cadence; xScale joint ventures scale faster than expected; power-grid constraints push pricing power higher; multiple expands to 25–28x AFFO. Bear case: Hyperscaler self-build accelerates further; AI capex digestion in 2027; multiple compresses to 18–20x AFFO; smaller margin from currency hedge unwind. Consensus targets ~$950–1,050 vs. trading ~$830–900 (~10–25% implied upside).

Deeper Financial Analysis

The fundamental tier adds 9 additional research dimensions for $EQIX.

Revenue Breakdown
Segment revenue, geographic mix, product-line contribution margins, and cohort dynamics.
Financial Trends
Quarter-over-quarter momentum, leading indicators, and inflection point analysis.
Balance Sheet
Debt structure, liquidity runway, dilution risk, and working capital dynamics.
Capital Allocation
Buyback cadence, M&A appetite, dividend policy, and reinvestment priorities.
Returns on Capital (ROIC)
Multi-year ROIC vs. WACC, marginal returns on reinvestment, sales-to-invested-capital efficiency, and moat spread.
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