EQIXNEUTRAL

Return on Equity (ROE)

10.1%

Updated 126h ago

Sector Performance

37th percentile

EQIX

10.1%

Sector Median

13.8%

Sector Avg

31.4%

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Deep Analysis

EQIX's Return on Equity (ROE) of 10.1% means that for every dollar of shareholders' equity, the company generated $0.101 in profit over the past year—a measure of how efficiently it uses invested capital.

This figure sits below the sector median of 13.8%, placing EQIX in the 37th percentile among its peers, indicating lower profitability relative to similar companies. However, no trend data is available: year-over-year change, quarter-over-quarter change, and the last eight quarters are all reported as N/A, so the single 10.1% value provides no directional insight. The combination of a below-median ROE with no trend creates uncertainty; there is no evidence of improvement or deterioration to gauge risk or opportunity. Given the lack of trend and a ROE that is merely average to weak, the metric does not contradict the overall NEUTRAL verdict—it reinforces the view that EQIX’s current performance offers neither a clear advantage nor a red flag.

Frequently Asked Questions

What does the Return on Equity (ROE) tell investors about EQIX?

ROE measures how effectively management turns equity into profit. Consistently above 15% is typically considered strong. Negative equity distorts this metric.

How is the Return on Equity (ROE) calculated?

Return on Equity (ROE) is calculated as: Net Income / Shareholders' Equity.

Who are EQIX's closest peers by Return on Equity (ROE)?

The closest peers by Return on Equity (ROE) include: MRNA (-36.6%), FICO (-37.3%), XRAY (-37.7%), VRSN (-38.3%), MSCI (-45.3%).

The Formula

Net Income / Shareholders' Equity

Why It Matters

ROE measures how effectively management turns equity into profit. Consistently above 15% is typically considered strong. Negative equity distorts this metric.