Equinix (EQIX) Investor Settlement
Equinix has reached a settlement with $EQIX investors over claims that it misled the market about its financial reporting practices and failed to disclose internal control weaknesses.
Outline:
Equinix reported financial performance and growth using key REIT metrics such as adjusted funds from operations. Investors later alleged the company overstated these metrics and failed to disclose weaknesses in its internal controls. In March 2023, Equinix disclosed accounting issues and control failures, and the stock declined sharply. Investors filed suit and Equinix later agreed to a settlement.
Timeline:
May 3, 2019: Equinix reported strong AFFO growth as part of its financial results.
Late 2021: Internal reviews identified potential misstatements and accounting control weaknesses.
March 2023: Equinix disclosed material weaknesses in internal controls related to revenue and expenses.
March 2023: $EQIX declined more than 13% following the disclosure.
March 24, 2023: Investors filed a securities class action lawsuit.
May 28, 2025: Equinix agreed to settle the claims.
Background:
Equinix is a global provider of data center infrastructure and interconnection services used by enterprises and cloud computing companies. As a real estate investment trust (REIT), the company frequently highlighted adjusted funds from operations (AFFO) as a key financial performance metric.
During the period referenced in the claims, Equinix reported steady growth and emphasized its financial discipline and operational efficiency. Investors later alleged that the company’s accounting practices overstated AFFO and did not accurately reflect its financial performance.
According to the claims, internal reviews identified issues related to accounting practices and the classification of certain expenses and fees. These issues raised concerns about the reliability of previously reported financial metrics.
In March 2023, Equinix disclosed material weaknesses in its internal controls and revised certain financial measures. Following the disclosure and the decline in the company’s share price, investors filed a securities class action alleging the company’s earlier statements were misleading.
What Can Investors Expect Now?
Equinix agreed to a settlement with $EQIX investors to resolve claims that it misled them about financial reporting practices and internal control weaknesses.
If you were damaged due to this situation, you can file for a payout and get your share of the settlement. You can check if you are eligible and other details in the FAQ section.
Frequently Asked Questions
All persons and entities who purchased or otherwise acquired Equinix, Inc. common stock during the period from May 3, 2019 through March 24, 2023, inclusive, and were damaged thereby.
No, if you have purchased securities within the class period, you are eligible to participate.
You can participate in the settlement and retain (or sell) your securities.
The entire process usually takes 4 to 9 months after the claim deadline. But the exact timing depends on the court and settlement administration.
The final payout amount depends on your specific trades and the number of investors participating in the settlement.
If 100% of investors file their claims - the average payout will be $2.36 per share. Although typically only 25% of investors file claims, in this case, the average recovery will be $9.44 per share.
If you're eligible, you can file your claim directly from this case page by clicking the "Collect Payout" button.
More than 100 companies are currently paying out settlements. Connect your brokerage account to automatically check which ones you may have missed — or file manually for this case.
11th.com is an investor recovery company that helps investors track and collect securities class action settlements. We will:
1. Prepare documents for your payout.
2. Audit the claim and make sure you get the maximum possible payout.
3. File a claim with the settlement administration.
4. Correspond with the settlement administration to resolve emerging issues.
5. Deliver payout directly to your brokerage account.
There is no upfront cost, but we will deduct 20% of the recovered amount as a commission for our services.