DASHBOARD: Digital infrastructure valuation comps for October 2024
- Publisher : Venture Insights
- Publish Date : November 4, 2024
This Digital Infrastructure Valuation report provides a comprehensive analysis of key financial metrics for digital infrastructure stocks listed in Australia, New Zealand, and the broader regional market. It includes detailed visualisations of monthly and annual share price movements, key earnings multiples, and forward earnings multiples compared to forward growth estimates. Additionally, it tracks share price trends over the past twelve months, offering valuable insights for market participants.
Figure 1: Digital infrastructure share price changes October 2024
Key developments
Overall, most listed digital infrastructure stocks in the region are up over the last year, but with wide spreads in performance among the group. Growth in cloud and AI is improving sentiment towards DC stocks, but economic growth is expected to be sluggish relative to previous years, creating uncertain performance for other Digital Infrastructure equities.
Digital Bridge
DigitalBridge’s stock climbed 16% during the last month with the company announcing a series of deals including its investment in DataBank’s US$2b raise, led by AustralianSuper with DataBank planning 3 new data centres across the US. Additionally, DigitalBridge announced it is taking JTOWER, a Japanese digital infrastructure company, private through DigitalBridge’s acquisition of 75% of the company for ~AUD$700m. Finally, DigitalBridge also announced it has reached an agreement to acquire Yondr Group, a global developer and operator of hyperscale data centres for an undisclosed amount. That deal is expected to close in early 2025.
Adisyn
Adisyn’s stock has launched 80% over the last month with the company announcing it will imminently acquire semiconductor IP business 2D Generation. Adisyn will leverage 2D Generation’s innovative semiconductor solution to generate opportunities in Adisyn’s target markets including defence applications, data centres and cybersecurity. Adisyn described 2D Generation’s semiconductor IP as a ‘critical advancement in semiconductor technology that will enable the next generation of generative AI and semiconductor solutions for data centres and beyond’. The acquisition will be financed by a $3m capital raise which Adisyn has received firm commitments for.
NextDC
NextDC’s stock has continued its volatility this month, declining 6.1%. After announcing a $550m capital raise in September for the acquisition of new data centre development sites in Asia, NextDC announced during October it had purchased a new data centre site in Sydney ‘S7’ for $353m. S7 is 45km west of Sydney’s CBD and is expected to accommodate a data centre facility capable of approximately 550MW of capacity.
Figure 2: Digital infrastructure valuation multiples October 2024
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