Why the Nextdc Ltd share price is near a record high

Nextdc Ltd (ASX:NXT) is leveraged to businesses ever-growing demand for the storage of data online.

a woman

You’re reading a free article with opinions that may differ from The Motley Fool’s Premium Investing Services. Become a Motley Fool member today to get instant access to our top analyst recommendations, in-depth research, investing resources, and more. Learn More

Nextdc Ltd (ASX: NXT) is heading towards its November 22 AGM with its share price up 36% YTD. 

Nextdc Ltd also announced on 16 October that its B2 Brisbane data centre had become the first in Australia to receive Uptime Institute Tier IV Certification of Constructed Facility (TCCF). The Uptime Institute is the IT industry's most trusted and adopted Global Standard for the design, build and operation of data storage centres. 

The Uptime Institute website shows the B2 Brisbane facility to be one of only forty data centres worldwide to have reached this peak level of certification.

In announcing record financial results for the financial year ended June 30 2017, Nextdc Ltd had flagged its intention to seek Tier IV certification (TCCF) for each of the company's three new data storage centres, being B2 Brisbane, M2 Melbourne and S2 Sydney.

B2 Brisbane is also the first Tier Certified data centre, globally, with a Fault Tolerant N+1 redundant IP-DRUPS electrical system.

Nextdc is a technology company, which is engaged in the development and operation of independent data centres in Australia.

Shares were trading at $4.97, a new year-to-date high on volume of 1.22m shares. Consensus amongst analysts has the stock as outperform or buy recommendations.

Motley Fool contributor Martin Beauchamp has no financial interest in any company mentioned. The Motley Fool Australia has no position in any of the stocks mentioned. We Fools may not all hold the same opinions, but we all believe that considering a diverse range of insights makes us better investors. The Motley Fool has a disclosure policy. This article contains general investment advice only (under AFSL 400691). Authorised by Bruce Jackson.

More on ⏸️ Investing

Close up of baby looking puzzled
Retail Shares

What has happened to the Baby Bunting (ASX:BBN) share price this year?

It's been a volatile year so far for the Aussie nursery retailer. We take a closer look

Read more »

woman holds sign saying 'we need change' at climate change protest
ETFs

3 ASX ETFs that invest in companies fighting climate change

If you want to shift some of your investments into more ethical companies, exchange-traded funds can offer a good option

Read more »

a jewellery store attendant stands at a cabinet displaying opulent necklaces and earrings featuring diamonds and precious stones.
⏸️ Investing

The Michael Hill (ASX: MHJ) share price poised for growth

Investors will be keeping an eye on the Michael Hill International Limited (ASX: MHJ) share price today. The keen interest…

Read more »

ASX shares buy unstoppable asx share price represented by man in superman cape pointing skyward
⏸️ Investing

The Atomos (ASX:AMS) share price is up 15% in a week

The Atomos (ASX: AMS) share price has surged 15% this week. Let's look at what's ahead as the company build…

Read more »

Two people in suits arm wrestle on a black and white chess board.
Retail Shares

How does the Temple & Webster (ASX:TPW) share price stack up against Nick Scali (ASX:NCK)?

How does the Temple & Webster (ASX: TPW) share price stack up against rival furniture retailer Nick Scali Limited (ASX:…

Read more »

A medical researcher works on a bichip, indicating share price movement in ASX tech companies
Healthcare Shares

The Aroa (ASX:ARX) share price has surged 60% since its IPO

The Aroa (ASX:ARX) share price has surged 60% since the Polynovo (ASX: PNV) competitor listed on the ASX in July.…

Read more »

asx investor daydreaming about US shares
⏸️ How to Invest

How to buy US shares from Australia right now

If you have been wondering how to buy US shares from Australia to gain exposure from the highly topical market,…

Read more »

⏸️ Investing

Why Fox (NASDAQ:FOX) might hurt News Corp (ASX:NWS) shareholders

News Corporation (ASX: NWS) might be facing some existential threats from its American cousins over the riots on 6 January

Read more »