Should You Hold Equinix (EQIX)?

3 days ago 10

Soumya Eswaran

Thu, January 8, 2026 astatine 7:25 AM CST 3 min read

ClearBridge Investments, an concern absorption company, released its “ClearBridge Large Cap Growth Strategy” fourth-quarter 2025 capitalist letter. The concern doctrine of the strategy is to put successful starring companies that are undervalued by the marketplace successful presumption of their aboriginal maturation potential. A transcript of the missive tin beryllium downloaded here. Large-cap stocks continued their spot successful the quarter, driven by beardown net maturation from mega-cap companies and enthusiasm implicit generative AI. The ClearBridge Large Cap Growth Strategy underperformed the Russell 1000 Growth Index by astir 900 ground points for the year. It continued to lag down the benchmark, trailing its 1.2% quarterly beforehand by astir 170 ground points during the 4th quarter. The underweight vulnerability to mega-cap AI beneficiaries and lower-quality AI-related names contributed to the underperformance. In addition, delight cheque the fund’s apical 5 holdings to cognize its champion picks successful 2025.

In its fourth-quarter 2025 capitalist letter, ClearBridge Large Cap Growth Strategy highlighted stocks specified arsenic Equinix, Inc. (NASDAQ:EQIX). Equinix, Inc. (NASDAQ:EQIX) is simply a integer infrastructure company. The one-month instrumentality of Equinix, Inc. (NASDAQ:EQIX) is 2.97%, and its shares person mislaid 18.35% of their worth implicit the past 52 weeks. On January 6, 2026, Equinix, Inc. (NASDAQ:EQIX) banal closed astatine $776.55 per share, with a marketplace capitalization of $76.25 billion.

ClearBridge Large Cap Growth Strategy stated the pursuing regarding Equinix, Inc. (NASDAQ:EQIX) successful its 4th fourth 2025 capitalist letter:

"Meanwhile, the Strategy’s much diversified vulnerability to AI done ownership of Eaton, Accenture and Equinix, Inc. (NASDAQ:EQIX) did not adhd important worth successful 2025. Data halfway relation Equinix should payment from the increasing value of sharing information crossed clouds, but the returns connected a ample superior spending task volition hold gross maturation acceleration until 2027. We presumption the institution arsenic a aboriginal signifier AI beneficiary, particularly if each the existent spending begins to nutrient a affirmative instrumentality connected investment."

Equinix's Rising Cash Flow Positions It arsenic a Next Generation Dividend Aristocrat

Equinix, Inc. (NASDAQ:EQIX) is not connected our database of 30 Most Popular Stocks Among Hedge Funds. According to our database, 58 hedge money portfolios held Equinix, Inc. (NASDAQ:EQIX) astatine the extremity of the 3rd quarter, compared to 66 successful the erstwhile quarter. While we admit the imaginable of Equinix, Inc. (NASDAQ:EQIX) arsenic an investment, we judge definite AI stocks connection greater upside imaginable and transportation little downside risk. If you're looking for an highly undervalued AI banal that besides stands to payment importantly from Trump-era tariffs and the onshoring trend, spot our escaped study connected the best short-term AI stock.