Equinix, Inc. (NASDAQ:EQIX) recently expanded its collaboration with IBM (NYSE:IBM) Cloud which is aimed at providing private and scalable connectivity to global companies at the digital edge through Equinix Cloud Exchange Fabric (ECX Fabric).
The stronger partnership leverages on the long-term relationship between the companies where IBM Cloud Direct Link Exchange is deployed in a number of Equinix International Business Exchange (IBX) data centers globally, more than any other Direct Link Exchange provider.
As companies have been adopting a hybrid cloud strategy that combines public, private and on-premises capabilities, providing the ability to connect with IBM Cloud across key metros will help enterprises accelerate the deployment of hybrid cloud solutions.
These deployments will be possible through the global ECX Fabric which will provide a private onramp to IBM Cloud, including Direct Link Dedicated, Direct Link Exchange and Direct Link Dedicated Hosting. Moreover, Equinix has joined the IBM Cloud Direct Link Service Provider Program that will enable it to provide at least one Direct Link point of presence in all strategic markets of IBM.
These efforts will enable customers in 16 metros globally to establish a secure, private cloud connection to IBM Cloud. Further, by bypassing the public internet, customers will utilize ECX Fabric to execute low-latency, hybrid cloud solutions that will expand their IT infrastructure at the digital edge.
Amid growth in cloud computing, Internet of Things and big data, as well as increasing number of companies opting for third-party IT infrastructure, Equinix’s efforts to expand its data-center offerings will go a long way for sustainable growth.
Nonetheless, fierce competition from established Internet data-center operators and hyperscale providers might depress the company’s margins and revenues.
Over the past three months, shares of this Zacks Rank #3 (Hold) company have rallied 11.6% compared with the real estate market’s growth of 4.6%.
Key Picks
Investors can also consider some better-ranked stocks from the same space like Host Hotels & Resorts, Inc. (NYSE:HST) , Lamar Advertising Company (NASDAQ:LAMR) and PS Business Parks, Inc. (NYSE:PSB) , carrying a Zacks Rank of 2 (Buy), currently. You can see the complete list of today’s Zacks #1 Rank (Strong Buy) stocks here.
Host Hotels & Resorts’ funds from operations (FFO) per share estimates for 2019 moved marginally north to $1.82 over the past month.
Lamar Advertising’s FFO per share estimates for the ongoing year have been revised slightly upward to $5.83 in 30 days’ time.
PS Business Parks’ 2019 FFO per share estimate marginally moved up to $6.71 in the past week.
Will you retire a millionaire?
One out of every six people retires a multimillionaire. Get smart tips you can do today to become one of them in a new Special Report, “7 Things You Can Do Now to Retire a Multimillionaire.”
Click to get it free >>
Equinix, Inc. (EQIX): Free Stock Analysis Report
Lamar Advertising Company (LAMR): Free Stock Analysis Report
PS Business Parks, Inc. (PSB): Free Stock Analysis Report
Host Hotels & Resorts, Inc. (HST): Free Stock Analysis Report
Original post
Zacks Investment Research