1324 ET - Equinix issued long-term guidance that came up short of expectations but Stifel's Erik Rasmussen believes its long-term prospects remain positive and that those targets will move higher. The digital infrastructure company's revenue outlook was generally as expected, but its adjusted funds from operations per share guidance through 2029 came in below, says the analyst. The latter metric is being impacted by an accelerated capital plan and higher borrowing costs on new investments and refinancing activity. Despite the expected drag on results in 2026 and 2027, Rasmussen believes the magnitude of the AI opportunity remains robust. "Given the company's history of outperformance, we believe there is opportunity to see AFFO trend higher over this forecasted period," adds the analyst. (denny.jacob@wsj.com; @pennedbyden)
(END) Dow Jones Newswires
June 26, 2025 13:24 ET (17:24 GMT)
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