Bank of America Securities analyst Michael Funk has maintained their bullish stance on EQIX stock, giving a Buy rating yesterday.
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Michael Funk has given his Buy rating due to a combination of factors that highlight Equinix’s potential for future growth. Despite recent challenges, including a 21% decline in stock value year-to-date and a disappointing outlook at the 2025 Analyst Day, Equinix is well-positioned to capitalize on the growing demand for AI inference applications. The company’s assets are strategically placed to gain market share in this emerging sector, which could lead to an upside in their adjusted funds from operations per share growth outlook.
Furthermore, Michael Funk maintains a price objective of $950, reflecting a 24x 2026 estimated AFFO/share multiple. This valuation is a premium compared to Equinix’s three-year average and the broader REIT sector, justified by the company’s industry-leading enterprise colocation exposure, lower relative leverage, and promising AI inferencing demand. Despite the impending retirement of CFO Keith Taylor, who has been a significant asset to the company, Equinix’s strategic initiatives and market positioning support the Buy rating.
According to TipRanks, Funk is an analyst with an average return of -10.0% and a 30.00% success rate. Funk covers the Technology sector, focusing on stocks such as AST SpaceMobile, 8X8, and NICE.
In another report released yesterday, Stifel Nicolaus also maintained a Buy rating on the stock with a $1,020.00 price target.