Equinix, Inc. (EQIX) vs SBA Communications Corporation (SBAC)

Equinix, Inc. and SBA Communications Corporation are both Reit Specialty companies. Equinix, Inc. is the larger, with a market value of $102.7B against $17.6B — 5.8× the size. SBA Communications Corporation trades at the lower P/E: 17.8× against 64.6×. Equinix, Inc. grew revenue faster over the last twelve months: 9.64% against 5.36%. SBA Communications Corporation has the higher net margin (34.5% vs 15.6%) and the higher return on invested capital (11.0% vs 4.07%). Both pay a dividend; Equinix, Inc. yields more (1.70% vs 1.59%). Across the 21 metrics below, SBA Communications Corporation leads on 14 and Equinix, Inc. on 7.

Valuation

Metric EQIX SBAC Reit Specialty median
P/E 64.62 17.85 26.27
P/S 10.14 6.14 5.86
P/B 6.92 n/m 2.19
Price to free cash flow n/m 13.09 14.62
EV/EBITDA 27.26 17.55 16.22
EV/Sales 12.02 10.45 8.93
Earnings yield 1.55% 5.60% 3.43%
Free cash flow yield (2.25%) 7.64% 5.37%

Profitability

Metric EQIX SBAC Reit Specialty median
Gross margin 51.49% 75.18% 67.43%
Operating margin 21.81% 47.65% 21.38%
Net margin 15.63% 34.51% 16.14%
Free cash flow margin (22.79%) 46.89% 31.07%
Return on equity 10.77% (20.71%) 4.76%
Return on assets 3.84% 8.80% 3.29%
Return on invested capital 4.07% 11.04% 4.19%

Growth

Metric EQIX SBAC Reit Specialty median
Revenue growth (TTM) 9.64% 5.36% 5.36%
EPS growth (last fiscal year) 61.88% 41.21% —
Revenue growth, 5-year CAGR 8.97% 6.21% 6.70%
Net income growth, 5-year CAGR 29.56% 112.87% 0.00%

Health

Metric EQIX SBAC Reit Specialty median
Debt to equity 1.44 (2.75) 0.62
Current ratio 1.13 0.17 0.70
Net debt to EBITDA 4.23 7.52 4.47

Dividend

Metric EQIX SBAC Reit Specialty median
Dividend yield 1.70% 1.59% 3.88%
Payout ratio 1.50 0.67 1.14

Size

Metric EQIX SBAC Reit Specialty median
Market cap 102.67b 17.62b 8.48b

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