Citizens has maintained a Market Outperform rating on Equinix and kept a $1,200.00 price target following the company’s most recent quarterly disclosure. That target equates to roughly a 40% increase from the current share price of $867.52, a valuation that sits alongside a high trailing P/E ratio of 78.88.
Equinix reported results after the market close on Wednesday and, according to Citizens, showed early evidence of executing the strategic plan first detailed at the company’s June 2025 bi-annual investor meeting. The firm, a specialized REIT with a reported market capitalization of $85.18 billion, has sustained revenue growth of 5.63% over the past twelve months.
Citizens highlighted that market participants had previously underappreciated Equinix’s message about accelerating capacity deployments translating into revenue growth. That dynamic, the research house says, is now beginning to appear in financial results as a reacceleration of revenue growth accompanied by a growing backlog of demand.
Looking ahead, Citizens expressed a view that Equinix’s 2026 performance should be "meaningfully better than 2025". The firm bases this on the visibility of additional capacity coming online and on what it characterized as significantly improving industry trends. The research note also referenced takeaways from a recent PTC conference in Hawaii, where attendees observed that enterprise capacity is becoming "increasingly rare" in the data center marketplace.
Separately, Equinix’s fourth-quarter 2025 financials fell short of analyst projections. The company reported earnings per share of $2.69 versus an expected $3.71 and posted quarterly revenue of $2.42 billion against forecasts of $2.46 billion. Despite these misses, Equinix shares were largely unchanged in aftermarket trading. The company did not report any material changes to analyst coverage or any merger activity alongside the results.
Investors weighing Equinix’s path forward should consider the juxtaposition of a bullish medium-term capacity story and near-term headline misses in quarterly results. Citizens’ reiterated target and outlook reflect confidence that capacity deployments and improving industry dynamics will lead to stronger financial outcomes in 2026, while the recent earnings shortfall serves as a reminder of execution and timing risk.
Market and sector context
The developments are relevant to stakeholders across the data center and REIT sectors, as well as enterprise IT buyers and cloud service providers that consume data center capacity. The balance between high valuation metrics and evidence of rising capacity utilization will be a focal point for investors assessing equity returns in the sector.