EQUINIX, INC. NEW YORK, March 27, 2024 /PRNewswire/ -- Wolf Haldenstein Adler Freeman & Herz LLP ("Wolf Haldenstein"), a preeminent national shareholder rights litigation firm, announces that it is investigating claims on behalf of investors of Equinix, Inc. ("Equinix" or "the Company") (NASDAQ:EQIX) for violations of the securities laws.
The focus of the investigation is to whether the Company issued false and/or misleading statements and/or did not disclose information pertinent to investors.
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Equinix is the subject of a report released by Hindenburg Research on March 20, 2024, titled: "Equinix Exposed: Major Accounting Manipulation, Core Business Decay and Selling an AI Pipe Dream As Insiders Cashed Out Hundreds of Millions."
According to the report, Hindenburg's "investigation, which included a review of financial and litigation records and interviews with 37 former Equinix employees, industry experts and competitors, revealed that Equinix manipulates its accounting for AFFO ("adjusted funds from operations"), the key profitability metric for REITs. We estimate this metric was overstated by at least 22% in 2023 alone."
On this news, shares declined from a close of $844.58 per share on March 19, 2024, down to a closing price of $824.88 on March 20, 2024. The stock continued down on subsequent trading days.
On March 25, 2024, Equinix announced that the Audit Committee has commenced an independent investigation in relation to the allegations in the short seller report and disclosed receipt of a subpoena from the U.S. Attorney's Office for the Northern District of California. Equinix did not refute any allegations made in the report.
On this news, the Company's stock price continued its multi-day decline, closing at $792.52 on March 25, 2024.
Wolf Haldenstein has experience in the prosecution of securities class actions and derivative litigation in state and federal trial and appellate courts across the country. The firm has attorneys in various practice areas, and offices in New York, Chicago, Nashville, and San Diego. The reputation and expertise of this firm in shareholder and other class litigation has been repeatedly lauded by the courts, which have appointed it to major positions in complex securities, multi-district and consolidated litigation.
If you wish to discuss this action or have any questions regarding your rights and interests in this case, please immediately contact Wolf Haldenstein by telephone at (800) 575-0735 or via e-mail at classmember@whafh.com.
Contact:
Wolf Haldenstein Adler Freeman & Herz LLP
Gregory Stone, Director of Case and Financial Analysis
Email: gstone@whafh.com or classmember@whafh.com
Tel: (800) 575-0735 or (212) 545-4774
This press release may be considered Attorney Advertising in some jurisdictions under the applicable law and ethical rules.
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SOURCE Wolf Haldenstein Adler Freeman & Herz LLP
