Zacks Research Brokers Lift Earnings Estimates for Akamai Technologies, Inc. (NASDAQ:AKAM)

Akamai Technologies, Inc. (NASDAQ:AKAM) – Equities research analysts at Zacks Research raised their Q1 2025 earnings per share (EPS) estimates for Akamai Technologies in a report issued on Thursday, August 29th. Zacks Research analyst A. Chatterjee now forecasts that the technology infrastructure company will post earnings per share of $1.19 for the quarter, up from their previous forecast of $1.17. The consensus estimate for Akamai Technologies’ current full-year earnings is $4.41 per share. Zacks Research also issued estimates for Akamai Technologies’ Q2 2025 earnings at $1.15 EPS.

Akamai Technologies (NASDAQ:AKAM) last issued its quarterly earnings results on Thursday, August 8th. The technology infrastructure company reported $1.58 earnings per share for the quarter, beating the consensus estimate of $1.53 by $0.05. Akamai Technologies had a return on equity of 14.78% and a net margin of 16.01%. The firm had revenue of $979.60 million during the quarter, compared to the consensus estimate of $977.67 million. During the same period last year, the company earned $1.01 earnings per share. The company’s revenue was up 4.7% on a year-over-year basis.

Several other research firms also recently commented on AKAM. Tigress Financial reiterated a “strong-buy” rating and issued a $140.00 price objective on shares of Akamai Technologies in a report on Thursday. Piper Sandler reduced their price objective on Akamai Technologies from $114.00 to $112.00 and set an “overweight” rating for the company in a report on Monday, July 15th. KeyCorp reduced their price objective on Akamai Technologies from $138.00 to $119.00 and set an “overweight” rating for the company in a report on Friday, May 10th. Morgan Stanley dropped their target price on Akamai Technologies from $117.00 to $106.00 and set an “equal weight” rating on the stock in a research report on Friday, May 10th. Finally, Bank of America dropped their target price on Akamai Technologies from $145.00 to $125.00 and set a “buy” rating on the stock in a research report on Friday, May 10th. One investment analyst has rated the stock with a sell rating, seven have given a hold rating, eleven have assigned a buy rating and one has issued a strong buy rating to the company’s stock. According to data from MarketBeat, the company has an average rating of “Moderate Buy” and a consensus target price of $116.47.

Akamai Technologies Price Performance

NASDAQ AKAM opened at $101.84 on Monday. Akamai Technologies has a one year low of $87.59 and a one year high of $129.17. The stock has a 50-day moving average of $95.95 and a 200 day moving average of $99.43. The company has a market capitalization of $15.51 billion, a price-to-earnings ratio of 25.33, a PEG ratio of 3.27 and a beta of 0.67. The company has a debt-to-equity ratio of 0.50, a quick ratio of 1.32 and a current ratio of 1.32.

Akamai Technologies declared that its board has authorized a stock buyback plan on Thursday, May 9th that authorizes the company to buyback $2.00 billion in outstanding shares. This buyback authorization authorizes the technology infrastructure company to reacquire up to 13.9% of its shares through open market purchases. Shares buyback plans are often an indication that the company’s board believes its stock is undervalued.

Insider Activity

In other news, Director William Raymond Wagner sold 1,000 shares of Akamai Technologies stock in a transaction dated Tuesday, August 27th. The stock was sold at an average price of $100.73, for a total transaction of $100,730.00. Following the transaction, the director now directly owns 16,719 shares of the company’s stock, valued at approximately $1,684,104.87. The transaction was disclosed in a legal filing with the SEC, which can be accessed through this link. In related news, Director William Raymond Wagner sold 1,000 shares of the business’s stock in a transaction that occurred on Tuesday, August 27th. The stock was sold at an average price of $100.73, for a total value of $100,730.00. Following the transaction, the director now directly owns 16,719 shares of the company’s stock, valued at approximately $1,684,104.87. The transaction was disclosed in a legal filing with the SEC, which can be accessed through the SEC website. Also, CTO Robert Blumofe sold 3,000 shares of the business’s stock in a transaction that occurred on Friday, June 14th. The stock was sold at an average price of $88.34, for a total value of $265,020.00. Following the completion of the transaction, the chief technology officer now directly owns 24,729 shares in the company, valued at $2,184,559.86. The disclosure for this sale can be found here. Insiders have sold a total of 6,500 shares of company stock valued at $617,475 in the last ninety days. Corporate insiders own 1.80% of the company’s stock.

Institutional Inflows and Outflows

A number of large investors have recently added to or reduced their stakes in AKAM. Versant Capital Management Inc increased its stake in Akamai Technologies by 170.8% in the 2nd quarter. Versant Capital Management Inc now owns 306 shares of the technology infrastructure company’s stock worth $28,000 after acquiring an additional 193 shares during the last quarter. Innealta Capital LLC bought a new stake in Akamai Technologies in the 2nd quarter worth approximately $28,000. EntryPoint Capital LLC bought a new position in shares of Akamai Technologies during the 1st quarter valued at approximately $31,000. Family Firm Inc. bought a new position in shares of Akamai Technologies during the 2nd quarter valued at approximately $35,000. Finally, Covestor Ltd increased its position in shares of Akamai Technologies by 224.6% during the 1st quarter. Covestor Ltd now owns 448 shares of the technology infrastructure company’s stock valued at $48,000 after purchasing an additional 310 shares during the last quarter. 94.28% of the stock is owned by hedge funds and other institutional investors.

Akamai Technologies Company Profile

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.