Akamai Technologies (NASDAQ:AKAM) Sets New 52-Week Low - Here's Why

Shares of Akamai Technologies, Inc. (NASDAQ:AKAM - Get Free Report) hit a new 52-week low during trading on Friday . The stock traded as low as $73.57 and last traded at $75.11, with a volume of 564970 shares. The stock had previously closed at $78.78.

Wall Street Analyst Weigh In

Several research analysts have recently weighed in on the stock. TD Cowen cut shares of Akamai Technologies from a "buy" rating to a "hold" rating and reduced their price target for the company from $125.00 to $98.00 in a report on Friday, February 21st. Piper Sandler reduced their target price on shares of Akamai Technologies from $100.00 to $80.00 and set a "neutral" rating for the company in a research note on Tuesday. JPMorgan Chase & Co. dropped their price target on Akamai Technologies from $76.00 to $72.00 and set an "underweight" rating on the stock in a research note on Friday, February 21st. Needham & Company LLC restated a "hold" rating on shares of Akamai Technologies in a report on Friday, February 21st. Finally, Susquehanna decreased their price objective on Akamai Technologies from $110.00 to $105.00 and set a "positive" rating for the company in a report on Friday, February 21st. One analyst has rated the stock with a sell rating, ten have given a hold rating, ten have assigned a buy rating and two have given a strong buy rating to the stock. According to data from MarketBeat, the stock presently has an average rating of "Moderate Buy" and a consensus price target of $105.55.

Akamai Technologies Price Performance

The company has a current ratio of 1.23, a quick ratio of 1.33 and a debt-to-equity ratio of 0.49. The firm has a market capitalization of $10.82 billion, a price-to-earnings ratio of 22.51, a P/E/G ratio of 2.74 and a beta of 0.80. The company's 50 day moving average is $84.76 and its 200-day moving average is $92.92.

Akamai Technologies (NASDAQ:AKAM - Get Free Report) last released its quarterly earnings data on Thursday, February 20th. The technology infrastructure company reported $1.19 earnings per share (EPS) for the quarter, missing analysts' consensus estimates of $1.52 by ($0.33). The business had revenue of $1.02 billion during the quarter, compared to analyst estimates of $1.02 billion. Akamai Technologies had a net margin of 12.65% and a return on equity of 14.35%. Equities research analysts anticipate that Akamai Technologies, Inc. will post 4.6 earnings per share for the current year.

Insider Activity

In other news, CEO F Thomson Leighton purchased 37,670 shares of Akamai Technologies stock in a transaction that occurred on Thursday, February 27th. The stock was acquired at an average cost of $79.58 per share, for a total transaction of $2,997,778.60. Following the purchase, the chief executive officer now directly owns 137,342 shares of the company's stock, valued at $10,929,676.36. This trade represents a 37.79 % increase in their position. The transaction was disclosed in a legal filing with the SEC, which is accessible through this hyperlink. Also, EVP Paul C. Joseph sold 4,000 shares of the company's stock in a transaction on Wednesday, January 15th. The shares were sold at an average price of $91.57, for a total value of $366,280.00. Following the completion of the transaction, the executive vice president now directly owns 23,104 shares in the company, valued at approximately $2,115,633.28. This represents a 14.76 % decrease in their ownership of the stock. The disclosure for this sale can be found here. Insiders have sold 35,394 shares of company stock valued at $3,019,323 over the last ninety days. 1.80% of the stock is currently owned by company insiders.

Institutional Trading of Akamai Technologies

Hedge funds and other institutional investors have recently bought and sold shares of the business. First Trust Advisors LP raised its position in shares of Akamai Technologies by 15.6% in the fourth quarter. First Trust Advisors LP now owns 5,116,398 shares of the technology infrastructure company's stock valued at $489,383,000 after buying an additional 690,341 shares in the last quarter. Norges Bank acquired a new position in Akamai Technologies in the 4th quarter valued at $477,454,000. Geode Capital Management LLC raised its holdings in Akamai Technologies by 5.1% in the 3rd quarter. Geode Capital Management LLC now owns 4,197,009 shares of the technology infrastructure company's stock valued at $423,066,000 after acquiring an additional 202,746 shares in the last quarter. Mackenzie Financial Corp grew its holdings in shares of Akamai Technologies by 3.5% during the 4th quarter. Mackenzie Financial Corp now owns 2,427,580 shares of the technology infrastructure company's stock worth $232,198,000 after purchasing an additional 81,744 shares in the last quarter. Finally, Earnest Partners LLC raised its stake in Akamai Technologies by 2.7% in the fourth quarter. Earnest Partners LLC now owns 2,215,735 shares of the technology infrastructure company's stock valued at $211,935,000 after purchasing an additional 58,013 shares in the last quarter. Institutional investors and hedge funds own 94.28% of the company's stock.

About Akamai Technologies

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.