The data center is standing in front of the major expansion due to the unbalanced popularity of Artificial Intelligence (AI). Despite this, the name of the top area Equivalent ,Ekix -9.23%, Especially after the incident of its analyst day on Wednesday, there are a few days in the stock exchange, especially after the incident of its analyst day.

All told, according to data compiled by S&P Global Market IntelligenceBy Thursday night, the company’s share price was about 16%lower by the week to week.

Capex to increase some growth

No investor likes to hear that one of his investment can experience recession in his growth rate. Nevertheless it is what happened with reviews; On analyst day, this Cheerful guidance For your adjusted money from operation (AFFO), the major profitability line items for real estate investment trusts (Reits) Like yourself. The management is estimated from 2025 to 2025 to 5% to 9% annual growth.

The number 1 reason for this is that heavy demand Artificial intelligence The capabilities require significant expansion in data center capacity. Therefore, a company like Equinix, which specializes in such features, is essentially forced to spend to get later benefits.

Regardless, analysts did not hesitate to become a more recession on the company. In fact, many institutions (eg Raymond James And BMO Capital Markets) downed his recommendations on the stock.

Still a long -term winner

Personally, I do not think it is appropriate. Capital expenditure requirements are fully justified, given that so many developers and final users want human beings, possibly humanically strong AI functionality without any hurdles. This data center operators such as equipment have to pay in front, at least in the current stage.

This stock is a double -digit dip, therefore, I think there is a good opportunity to buy a good company cheaply. Yes, profitability will be ding for some time, but I think there is a lot of potential for patient investors in equinavics that are willing to wait in long periods.