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Equinix: Global Connection Hub for the Internet

I know EQIX quite well and agree with the article. With EQIX customer "stickyness" due to peering, the most critical item facing EQIX is to execute and perform on CapEx on building out their sites.

They have done a good job of pre-selling at premium rates to their existing customers in existing markets.....which has been a winning proposition. If they expand TOO much (which, at this time, is a benefit over competitors, so long as the CapEx doesn't get out of hand), I may worry. If EQIX expands (outside of buying an operating company) in a city/country it is not familiar with, then I may sell for fear they are expanding too quickly in unproven territory.

For now, I am long (bought in the last 3 weeks) and expect to be for some time. 6 months from now (as Chicago gets sold), look for earnings to go up and stock price at 90-100. Year end around 120 or so, depending on news...I was a long term hold from 3.00 around early 2003 until late 2007, where I got out at 98. I kicked myself that it went up to 120., but very happy when it went down to 57., so I could get in again (a little higher than that).

One thing is for sure, EQIX is the industry leader and will continue to put some ground between them and their competitors. SVVS has stumbled (funny, the SVVS ceo used to be cfo at EQIX), and the others can't match cash on hand, infrastructure, peering or footprint...

EQIX is a solid buy !