Equinix initiated with an Outperform at Mizuho

Mizuho analyst Vikram Malhotra initiated coverage of Equinix with an Outperform rating and $873 price target. The company’s consistent growth and artificial intelligence benefits are underappreciated at the stock’s current valuation, the analyst tells investors in a research note. The firm believes pricing Equinix’s pricing up mid single-digits year-over-year, driving revenue growth in at 7.5% and 9% in fiscal 2024 and 2025, respectively, above buyside expectations of the low 7% range. In addition, “contrary to bears,” Mizuho sees several near-term AI benefits for Equinix.