Question 1

Which companies are currently leading the market in terms of share price growth?

Accepted Answer

Global Data Centre is the sector's primary growth driver, achieving a 70.3% share price increase over the last 12 months. This performance significantly outpaces the broader market, even as other high-growth entities like DigitalBridge experienced an 11.5% pullback in the most recent month.

Question 2

What kind of valuation multiples are the top-tier players commanding right now?

Accepted Answer

Market leaders are trading at significant premiums, with Equinix and Nextdc reaching forward revenue multiples of 20.5x and 17.8x respectively. The sector median for forward EV/EBITDA is 18.9x, though Equinix pushes the upper limit of the valuation ceiling at 44.7x.

Question 3

Is there a significant valuation gap between the market leaders and the rest of the sector?

Accepted Answer

Yes, a wide disparity exists between premium data centre assets and traditional infrastructure providers. While the median sector forward EV/Revenue is 5.7x, lower-tier players like Chorus and Uniti Group trade at much lower EV/EBITDA multiples of 8.1x and 7.2x.

Question 4

Are smaller infrastructure providers showing any signs of a recovery?

Accepted Answer

Adisyn has demonstrated a sharp short-term recovery with a 21.1% share price gain over the last month. However, this momentum has yet to offset long-term value erosion, as the company remains down 28.1% over the full 12-month period.

Digital Infrastructure

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