Critical Comparison: Equinix (NASDAQ:EQIX) and Brixmor Property Group (NYSE:BRX)

Equinix (NASDAQ:EQIX) and Brixmor Property Group (NYSE:BRX) are both finance companies, but which is the better business? We will contrast the two businesses based on the strength of their dividends, earnings, institutional ownership, analyst recommendations, valuation, profitability and risk.

Earnings & Valuation

This table compares Equinix and Brixmor Property Group”s top-line revenue, earnings per share and valuation.

	Gross Revenue	Price/Sales Ratio	Net Income	Earnings Per Share	Price/Earnings Ratio
Equinix	$9.22 billion	11.71	$1.35 billion	$13.75	79.59
Brixmor Property Group	$1.37 billion	6.87	$386.23 million	$1.26	24.36

Equinix has higher revenue and earnings than Brixmor Property Group. Brixmor Property Group is trading at a lower price-to-earnings ratio than Equinix, indicating that it is currently the more affordable of the two stocks.

Volatility and Risk

Equinix has a beta of 1.01, suggesting that its share price is 1% more volatile than the S&P 500. Comparatively, Brixmor Property Group has a beta of 1.06, suggesting that its share price is 6% more volatile than the S&P 500.

Dividends

Equinix pays an annual dividend of $20.64 per share and has a dividend yield of 1.9%. Brixmor Property Group pays an annual dividend of $1.23 per share and has a dividend yield of 4.0%. Equinix pays out 150.1% of its earnings in the form of a dividend, suggesting it may not have sufficient earnings to cover its dividend payment in the future. Brixmor Property Group pays out 97.6% of its earnings in the form of a dividend, suggesting it may not have sufficient earnings to cover its dividend payment in the future. Equinix has increased its dividend for 10 consecutive years and Brixmor Property Group has increased its dividend for 5 consecutive years. Brixmor Property Group is clearly the better dividend stock, given its higher yield and lower payout ratio.

Profitability

This table compares Equinix and Brixmor Property Group’s net margins, return on equity and return on assets.

	Net Margins	Return on Equity	Return on Assets
Equinix	14.65%	9.60%	3.53%
Brixmor Property Group	28.16%	13.00%	4.37%

Analyst Ratings

This is a breakdown of recent ratings and price targets for Equinix and Brixmor Property Group, as reported by MarketBeat.com.

	Sell Ratings	Hold Ratings	Buy Ratings	Strong Buy Ratings	Rating Score
Equinix	0	6	18	5	2.97
Brixmor Property Group	0	2	10	0	2.83

Equinix currently has a consensus price target of $1,056.35, indicating a potential downside of 3.47%. Brixmor Property Group has a consensus price target of $31.55, indicating a potential upside of 2.77%. Given Brixmor Property Group’s higher possible upside, analysts clearly believe Brixmor Property Group is more favorable than Equinix.

Institutional & Insider Ownership

94.9% of Equinix shares are held by institutional investors. Comparatively, 98.4% of Brixmor Property Group shares are held by institutional investors. 0.3% of Equinix shares are held by company insiders. Comparatively, 0.9% of Brixmor Property Group shares are held by company insiders. Strong institutional ownership is an indication that endowments, hedge funds and large money managers believe a company will outperform the market over the long term.

About Equinix

Equinix (Nasdaq: EQIX) is the world's digital infrastructure company . Digital leaders harness Equinix's trusted platform to bring together and interconnect foundational infrastructure at software speed. Equinix enables organizations to access all the right places, partners and possibilities to scale with agility, speed the launch of digital services, deliver world-class experiences and multiply their value, while supporting their sustainability goals.

About Brixmor Property Group

Brixmor Property Group, Inc. operates as a real estate investment trust, which engages in owning and operating a portfolio of grocery anchored community and neighborhood shopping centers. The company was founded in 1985 and is headquartered in New York, NY.