Why Equinix Stock Sagged on Thursday

Core Viewpoint - Equinix's stock experienced a decline following quarterly earnings that fell short of analyst expectations, contrasting with the overall rise of the S&P 500 index Financial Performance - Equinix reported a 7% year-over-year revenue increase to $2.26 billion, but this was below the analyst estimate of $2.28 billion [2][3] - The company recorded a loss of $14 million ($0.14 per share) compared to a profit of $227 million in the previous year [2][3] - Total operating expenses rose by 9% to $962 million, significantly impacted by $233 million in impairment charges [4] Adjusted Metrics - Adjusted funds from operations (AFFO) increased by 11% to $770 million, indicating a healthier profitability measure for the company [4] Future Guidance - For the first quarter and full year 2025, Equinix projected revenue between $9.03 billion and $9.13 billion, and AFFO between $3.61 billion and $3.69 billion, both below analyst consensus estimates [5] Investor Sentiment - Investors reacted negatively to the earnings miss and guidance, although Equinix continues to show revenue and AFFO growth [6]