Equinix shares fell 3% in Wednesday trading as a cautious third-quarter revenue forecast outweighed the company’s decision to raise its full-year and long-term outlook.
The data-center operator expects third-quarter revenue of $2.53 billion, a figure that failed to meet market expectations and triggered immediate selling pressure.
The near-term miss came despite management signaling confidence in the broader trajectory of the business.
Equinix lifted its full-year guidance and extended its long-term outlook, pointing to sustained demand for digital infrastructure.
However, investors appeared focused on the immediate revenue shortfall, prioritizing the quarterly disappointment over the positive long-term signals.
The sell-off adds to a week of selling pressure that has weighed heavily on major US equity benchmarks.