Akamai Technologies’ (AKAM) “Sector Perform” Rating Reaffirmed at Royal Bank Of Canada

Akamai Technologies (NASDAQ:AKAM – Get Free Report)‘s stock had its “sector perform” rating reaffirmed by analysts at Royal Bank Of Canada in a research report issued on Friday, Benzinga reports. They presently have a $135.00 price target on the technology infrastructure company’s stock. Royal Bank Of Canada’s price target would indicate a potential upside of 17.15% from the company’s previous close.

AKAM has been the topic of a number of other reports. Bank of America boosted their target price on Akamai Technologies from $175.00 to $185.00 and gave the stock a “buy” rating in a research report on Friday. Susquehanna decreased their target price on Akamai Technologies from $175.00 to $140.00 and set a “positive” rating on the stock in a research report on Monday, August 10th. Zacks Research upgraded Akamai Technologies from a “strong sell” rating to a “hold” rating in a research report on Monday, July 13th. Evercore reiterated an “outperform” rating on shares of Akamai Technologies in a research report on Friday. Finally, UBS Group boosted their target price on Akamai Technologies from $143.00 to $148.00 and gave the stock a “neutral” rating in a research report on Friday. Thirteen equities research analysts have rated the stock with a Buy rating, nine have issued a Hold rating and two have given a Sell rating to the company. According to data from MarketBeat.com, Akamai Technologies currently has a consensus rating of “Hold” and a consensus target price of $149.29.

Check Out Our Latest Analysis on Akamai Technologies

Akamai Technologies Stock Performance

AKAM traded up $4.83 during trading on Friday, hitting $115.24. 23,526,825 shares of the stock were exchanged, compared to its average volume of 4,588,149. The firm has a market capitalization of $16.56 billion, a P/E ratio of 41.57, a PEG ratio of 5.49 and a beta of 0.63. Akamai Technologies has a 1-year low of $70.82 and a 1-year high of $165.45. The stock has a fifty day moving average price of $113.10 and a two-hundred day moving average price of $118.76. The company has a quick ratio of 1.64, a current ratio of 1.64 and a debt-to-equity ratio of 1.23.

Akamai Technologies (NASDAQ:AKAM – Get Free Report) last released its quarterly earnings results on Thursday, August 6th. The technology infrastructure company reported $1.59 EPS for the quarter, topping the consensus estimate of $1.57 by $0.02. The company had revenue of $1.10 billion for the quarter, compared to analyst estimates of $1.09 billion. Akamai Technologies had a return on equity of 11.32% and a net margin of 9.51%.The firm’s revenue was up 5.4% compared to the same quarter last year. During the same quarter in the previous year, the company posted $1.73 earnings per share. Akamai Technologies has set its Q3 2026 guidance at 1.600-1.800 EPS and its FY 2026 guidance at 6.400-7.050 EPS. As a group, sell-side analysts predict that Akamai Technologies will post 3.63 earnings per share for the current year.

Insiders Place Their Bets

In other Akamai Technologies news, EVP Paul Joseph sold 3,100 shares of the company’s stock in a transaction dated Tuesday, September 15th. The stock was sold at an average price of $105.63, for a total transaction of $327,453.00. Following the completion of the sale, the executive vice president directly owned 28,472 shares in the company, valued at $3,007,497.36. This represents a 9.82% decrease in their ownership of the stock. The sale was disclosed in a legal filing with the SEC, which is available through this hyperlink. The transaction was executed under a pre-arranged Rule 10b5-1 trading plan. Company insiders own 2.30% of the company’s stock.

Institutional Investors Weigh In On Akamai Technologies

Institutional investors and hedge funds have recently modified their holdings of the stock. Silvant Capital Management LLC purchased a new stake in shares of Akamai Technologies in the second quarter worth about $32,000. Sarver Vrooman Wealth Advisors purchased a new position in Akamai Technologies in the fourth quarter valued at about $31,000. Root Financial Partners LLC boosted its holdings in Akamai Technologies by 45.8% in the fourth quarter. Root Financial Partners LLC now owns 350 shares of the technology infrastructure company’s stock valued at $31,000 after purchasing an additional 110 shares during the last quarter. Cedar Mountain Advisors LLC purchased a new position in Akamai Technologies in the first quarter valued at about $47,000. Finally, Persistent Asset Partners Ltd purchased a new position in Akamai Technologies in the second quarter valued at about $54,000. Hedge funds and other institutional investors own 94.28% of the company’s stock.

Akamai Technologies News Summary

Here are the key news stories impacting Akamai Technologies this week:

  • Positive Sentiment: Major Anthropic contract: Anthropic agreed to pay Akamai $11.6 billion over seven years for access to Akamai Cloud’s distributed infrastructure and software to support CPU workloads. The relationship could expand by another $9 billion, creating potential total commitments of approximately $20 billion. Reuters article
  • Positive Sentiment: AI growth catalyst: Investors view the agreement as validation of Akamai’s cloud platform and its ability to capture rising demand for AI computing capacity. Reports indicated the stock rose more than 14% to 23% in premarket and early trading. Invezz article
  • Positive Sentiment: Analyst support strengthened: Piper Sandler reaffirmed its overweight rating and raised its price target to $158 from $125. DA Davidson maintained a buy rating with a $185 target, while JPMorgan lifted its target to $167 from $158 despite retaining a neutral rating. Benzinga article
  • Neutral Sentiment: Options activity surged: Traders purchased 16,651 call options, more than double typical volume, signaling strong speculative interest but potentially adding short-term volatility.
  • Negative Sentiment: Potential dilution and execution risk: Akamai issued Anthropic a warrant for up to approximately 5% of its common stock, with about 2% expected to vest initially. Investors must also assess the capital spending and execution required to deliver the expanded cloud capacity. Akamai press release

About Akamai Technologies

(Get Free Report)

Akamai Technologies, Inc is a global technology company that provides cloud computing, content delivery and cybersecurity services. Its distributed platform helps businesses deliver websites, applications, software downloads, video and other digital content with improved speed, availability and scalability.

The company’s offerings include content delivery and edge computing services, cloud infrastructure, web and application performance solutions, and security products designed to protect applications, application programming interfaces, networks and users from cyber threats.

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Analyst Recommendations for Akamai Technologies (NASDAQ:AKAM)

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