30 Best and Worst Data Center Stocks

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14. NextDC Limited (OTC:NXDCF)

Upside Potential: 25%

Number of hedge funds: N/A

NextDC Limited (OTC:NXDCF) is a top-tier Australian provider of data center services. The company manages a network of high-performance, scalable data centers in prominent Australian and New Zealand cities. It currently operates 17 data centers with a built capacity of 165 MW. Its offerings primarily cater to large enterprises, cloud service providers, network operators, and other businesses that require mission-critical IT infrastructure. NextDC is well-positioned to capitalize on the ongoing transition to cloud computing, hybrid cloud strategies, and edge computing, all of which are anticipated to drive sustained demand for its data center infrastructure.

Recently, NextDC Limited (OTC:NXDCF) acquired a new data center site in Sydney (S7), which is expected to significantly enhance its regional capacity and capabilities. With a potential capacity of 550 MW, S7 represents a substantial investment in Australia’s digital infrastructure. The company paid around A$353 million for the property and plans to develop it over FY 2025, pending necessary approvals. Considering its current capacity of 165 MW, this expansion is quite substantial and should solidify the company’s competitive positioning.

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