Sunday, October 12, 2008

John's Data Center Stock Index

I imagine we are in for another week of Wall Street news and analysis.  As I mentioned last week, I decided (for the heck of it) to create my own Index.  I researched it a little bit and decided to use the capitalization-weighted method.  I wanted to use it just to keep an eye on the market, from a data center perspective.  Many have speculated that the data center industry will continue to boom throughout all of the rest of the turmoil in the financial industry.  Google Spreadsheets has some awesome formula tie-ins to Google Finance that made tracking my Index very easy.

If anyone would like to see the spreadsheet - just let me know and I will share it.  I picked the companies in my index as representatives of colocation providers, infrastructure equipment manufacturers, service providers and REITs.  I wanted to keep the list somewhat managable -- I am open for suggestions if anyone feels there is a company that is missing from my list.  Outside of Cisco, I wanted to keep the Really large companies out of the mix (i.e.: Microsoft, Google).  I felt Cisco contributes SO much to the data center that they were a good candidate.  The companies in my index are:

Cisco, EMC, Digital Realty Trust, Equinix, Terrermark, Savvis, Level 3, DuPont Fabros, Internap, Switch and Data, Akamai, VMWare, Rackable, Schneider Electric (APC).

I started tracking it on Oct. 6th, and it was 23.13.  On Oct. 10th, it was 19.12

I'll post the Index price once a week, or more often if requested.  I'm mainly interested in this acting like any other stock index -- just an aggregate view of the industry.


Unknown said...

If you're going to include Schneider, you should consider including Eaton (NYSE:ETN) (Powerware/Cutler-Hammer) and Emerson (NYSE:EMR)(Liebert/Aperture)as they also contribute highly to the DC market.

Paolo Gorgo said...

How can I get the spreadsheet? I am doing a similar exercise and I would like to have a closer look.. Thanks in advance.

Ken Oestreich said...

John - I like the concept. I've done the same, starting late last year. Outperformed the NASDAQ by 4x....