Akamai Technologies (AKAM) Stock Price, News & Analysis

Company Overview

Akamai Technologies, Inc. provides cloud computing, security, and content delivery services in the United States and internationally. The company offers cloud solutions to keep infrastructure, websites, applications, application programming interfaces, and users safe from various cyberattacks and online threats while enhancing performance. It also provides web and mobile performance solutions to enable dynamic websites and applications; media delivery solutions, including video streaming and video player services, game and software delivery, broadcast operations, authoritative domain name system, resolution, and data and analytics; and cloud computing services, such as compute, storage, networking, database, and container management services to build, deploy, and secure applications and workloads. In addition, the company offers content delivery solutions; and an array of service and support to assist customers with integrating, configuring, optimizing, and managing its offerings. It sells its solutions through various channel partners. Akamai Technologies, Inc. was incorporated in 1998 and is headquartered in Cambridge, Massachusetts.

Key Stats

• Today's Range: $100.49 to $102.32
• 50-Day Range: $91.32 to $102.11
• 52-Week Range: $87.59 to $129.17
• Volume: 1.10 million shs
• Average Volume: 1.63 million shs
• Market Capitalization: $15.39 billion
• P/E Ratio: 25.27
• Dividend Yield: N/A
• Price Target: $116.47
• Consensus Rating: Moderate Buy

Akamai Technologies Stock Analysis - MarketRank™

Akamai Technologies scored higher than 88% of companies evaluated by MarketBeat, and ranked 134th out of 667 stocks in the computer and technology sector. Scores are calculated by averaging available category scores, with extra weight given to analysis and valuation.

Analyst's Opinion

• Score: 3.3 / 5
• Analyst Rating: Moderate Buy

Consensus Rating

Akamai Technologies has received a consensus rating of Moderate Buy. The company's average rating score is 2.63, and is based on 11 buy ratings, 6 hold ratings, and 1 sell rating.

Amount of Analyst Coverage

Akamai Technologies has been the subject of 11 research reports in the past 90 days, demonstrating strong analyst interest in this stock.

Earnings and Valuation

• Score: 1.9 / 5
• Proj. Earnings Growth: 6.79%

Earnings Growth

Earnings for Akamai Technologies are expected to grow by 6.79% in the coming year, from $4.42 to $4.72 per share.

Price to Earnings Ratio vs. the Market

The P/E ratio of Akamai Technologies is 25.27, which means that it is trading at a less expensive P/E ratio than the market average P/E ratio of about 124.32.

Price to Earnings Ratio vs. Sector

The P/E ratio of Akamai Technologies is 25.27, which means that it is trading at a less expensive P/E ratio than the Computer and Technology sector average P/E ratio of about 231.52.

Price to Earnings Growth Ratio

Akamai Technologies has a PEG Ratio of 3.23. PEG Ratios above 1 indicate that a company could be overvalued.

Price to Book Value per Share Ratio

Akamai Technologies has a P/B Ratio of 3.33. P/B Ratios above 3 indicate that a company could be overvalued with respect to its assets and liabilities.

Short Interest

• Score: 2.0 / 5
• Short Interest Level: Bearish

Percentage of Shares Shorted

5.63% of the float of Akamai Technologies has been sold short.

Short Interest Ratio / Days to Cover

Akamai Technologies has a short interest ratio ("days to cover") of 5.8.

Change versus previous month

Short interest in Akamai Technologies has recently decreased by 1.06%, indicating that investor sentiment is improving.

Dividend

• Score: 0.0 / 5
• Dividend Strength: N/A

Dividend Yield

Akamai Technologies does not currently pay a dividend.

Dividend Growth

Akamai Technologies does not have a long track record of dividend growth.

Sustainability and ESG

• Score: 2.8 / 5
• Environmental Score: -1.04

Percentage of Shares Shorted

5.63% of the float of Akamai Technologies has been sold short.

Short Interest Ratio / Days to Cover

Akamai Technologies has a short interest ratio ("days to cover") of 5.8.

Change versus previous month

Short interest in Akamai Technologies has recently decreased by 1.06%, indicating that investor sentiment is improving.

News and Social Media

• Score: 2.6 / 5
• News Sentiment: 0.70

News Sentiment

Akamai Technologies has a news sentiment score of 0.70. This score is calculated as an average of sentiment of articles about the company over the last seven days and ranges from 2 (good news) to -2 (bad news). This is a higher news sentiment than the 0.58 average news sentiment score of Computer and Technology companies.

News Coverage This Week

MarketBeat has tracked 13 news articles for Akamai Technologies this week, compared to 10 articles on an average week.

Search Interest

Only 7 people have searched for AKAM on MarketBeat in the last 30 days. This is a decrease of -70% compared to the previous 30 days.

MarketBeat Follows

Only 7 people have added Akamai Technologies to their MarketBeat watchlist in the last 30 days. This is a decrease of -30% compared to the previous 30 days.

Company Ownership

• Score: 2.5 / 5
• Insider Trading: Selling Shares

Insider Buying vs. Insider Selling

In the past three months, Akamai Technologies insiders have sold more of their company's stock than they have bought. Specifically, they have bought $0.00 in company stock and sold $741,655.00 in company stock.

Percentage Held by Insiders

Only 1.80% of the stock of Akamai Technologies is held by insiders.

Percentage Held by Institutions

94.28% of the stock of Akamai Technologies is held by institutions. High institutional ownership can be a signal of strong market trust in this company.

AKAM Stock Analysis - Frequently Asked Questions

How have AKAM shares performed this year?

Akamai Technologies' stock was trading at $118.35 at the beginning of 2024. Since then, AKAM shares have decreased by 14.2% and is now trading at $101.57.
View the best growth stocks for 2024 here.

How were Akamai Technologies' earnings last quarter?

Akamai Technologies, Inc. (NASDAQ:AKAM) released its quarterly earnings data on Thursday, August, 8th. The technology infrastructure company reported $1.58 EPS for the quarter, topping the consensus estimate of $1.53 by $0.05. The company's revenue was up 4.7% compared to the same quarter last year.
Read the conference call transcript.

Is Akamai Technologies doing a stock buyback?

Akamai Technologies' board approved a share repurchase program on Thursday, May 9th 2024, which permits the company to buy back $2,000,000,000 in shares, according to EventVestor. This means that the company could buy up to 13.9% of its stock through open market purchases. Stock buyback programs are typically a sign that the company's management believes its stock is undervalued.

Does Akamai Technologies have any subsidiaries?

Akamai Technologies subsidiaries include these companies: Linode, GuardiCore, Inverse, Asavie Technologies, ChameleonX, krypt.co, Exceda, and more.

Who are Akamai Technologies' major shareholders?

Akamai Technologies' top institutional investors include Mackenzie Financial Corp (1.47%), Earnest Partners LLC (1.40%), Dimensional Fund Advisors LP (1.14%) and Disciplined Growth Investors Inc. MN (0.93%). Insiders that own company stock include F Thomson Leighton, Paul C Joseph, Kim Salem-Jackson, Robert Blumofe, Mani Sundaram, William Raymond Wagner, Edward J Mcgowan, Aaron Ahola, Anthony P Williams, Adam Karon, Madhu Ranganathan and Bernardus Johannes M Verwaayen.
View institutional ownership trends.

How do I buy shares of Akamai Technologies?

Shares of AKAM stock can be purchased through any online brokerage account. Popular online brokerages with access to the U.S. stock market include Charles Schwab, E*TRADE, Fidelity, and Vanguard Brokerage Services.
Compare Top Brokerages Here.

What other stocks do shareholders of Akamai Technologies own?

Based on aggregate information from My MarketBeat watchlists, some other companies that Akamai Technologies investors own include NVIDIA (NVDA), Alibaba Group (BABA), Intel (INTC), Advanced Micro Devices (AMD), Micron Technology (MU), Cisco Systems (CSCO) and Netflix (NFLX).

Company Calendar

• Last Earnings: 8/08/2024
• Today: 9/27/2024
• Next Earnings (Estimated): 11/05/2024
• Fiscal Year End: 12/31/2024

Industry, Sector and Symbol

• Stock Exchange: NASDAQ
• Sector: Computer and Technology
• Industry: Business services, not elsewhere classified
• Sub-Industry: Internet Software & Services
• Current Symbol: NASDAQ:AKAM
• CUSIP: 00971T10
• CIK: 1086222
• Web: www.akamai.com
• Phone: (617) 444-3000
• Fax: 617-444-3001
• Employees: 10,250
• Year Founded: 1998

Price Target and Rating

• Average Stock Price Target: $116.47
• High Stock Price Target: $140.00
• Low Stock Price Target: $81.00
• Potential Upside/Downside: +14.7%
• Consensus Rating: Moderate Buy
• Rating Score (0-4): 2.63
• Research Coverage: 19 Analysts

Profitability

• EPS (Most Recent Fiscal Year): $4.02
• Trailing P/E Ratio: 25.27
• Forward P/E Ratio: 22.98
• P/E Growth: 3.23
• Net Income: $547.63 million
• Net Margins: 16.01%
• Pretax Margin: 18.61%
• Return on Equity: 14.78%
• Return on Assets: 6.85%

Debt

• Debt-to-Equity Ratio: 0.50
• Current Ratio: 1.32
• Quick Ratio: 1.32

Sales & Book Value

• Annual Sales: $3.81 billion
• Price / Sales: 4.04
• Cash Flow: $8.46 per share
• Price / Cash Flow: 12.00
• Book Value: $30.48 per share
• Price / Book: 3.33

Miscellaneous

• Outstanding Shares: 151,530,000
• Free Float: 149,575,000
• Market Cap: $15.39 billion
• Optionable: Optionable
• Beta: 0.68