Akamai Technologies (NASDAQ:AKAM) Upgraded to Buy at Bank of America

Key Points

• Bank of America upgraded Akamai Technologies from “neutral” to “buy” and set a $175 price target, implying about 17% upside from the current share price.
• Analyst sentiment is mixed overall: several firms recently raised targets, but the stock’s consensus rating remains Hold with an average target of $140.76.
• Akamai’s latest earnings met expectations with $1.61 EPS and $1.07 billion in revenue, while the company also issued FY2026 guidance of 6.40 to 7.15 EPS.

Akamai Technologies (NASDAQ:AKAM - Get Free Report) was upgraded by stock analysts at Bank of America from a "neutral" rating to a "buy" rating in a research report issued on Wednesday. The firm presently has a $175.00 target price on the technology infrastructure company's stock. Bank of America's price target points to a potential upside of 17.01% from the stock's current price.

A number of other research analysts have also weighed in on AKAM. Scotiabank lifted their target price on Akamai Technologies from $120.00 to $180.00 and gave the company a "sector outperform" rating in a report on Friday, May 8th. TD Cowen cut their price objective on shares of Akamai Technologies from $104.00 to $100.00 and set a "hold" rating for the company in a research report on Friday, February 20th. HSBC boosted their price objective on shares of Akamai Technologies from $134.00 to $171.00 in a research note on Monday. Evercore initiated coverage on shares of Akamai Technologies in a report on Tuesday, April 14th. They set an "outperform" rating and a $130.00 target price on the stock. Finally, Oppenheimer raised their price target on shares of Akamai Technologies from $115.00 to $130.00 and gave the company an "outperform" rating in a report on Thursday, April 23rd. Twelve investment analysts have rated the stock with a Buy rating, eight have issued a Hold rating and two have assigned a Sell rating to the company's stock. Based on data from MarketBeat.com, the stock currently has an average rating of "Hold" and a consensus target price of $140.76.

Akamai Technologies Price Performance

Shares of NASDAQ:AKAM opened at $149.56 on Wednesday. The company has a market capitalization of $21.74 billion, a P/E ratio of 50.36, a price-to-earnings-growth ratio of 5.28 and a beta of 0.45. The company's 50-day moving average is $108.47 and its 200 day moving average is $96.43. The company has a debt-to-equity ratio of 0.84, a quick ratio of 2.36 and a current ratio of 2.06. Akamai Technologies has a fifty-two week low of $69.78 and a fifty-two week high of $156.32.

Akamai Technologies (NASDAQ:AKAM - Get Free Report) last released its earnings results on Thursday, May 7th. The technology infrastructure company reported $1.61 earnings per share (EPS) for the quarter, hitting analysts' consensus estimates of $1.61. The business had revenue of $1.07 billion during the quarter, compared to the consensus estimate of $1.07 billion. Akamai Technologies had a return on equity of 12.96% and a net margin of 10.20%.The business's revenue for the quarter was up 5.8% on a year-over-year basis. During the same period last year, the business posted $1.70 earnings per share. Akamai Technologies has set its FY 2026 guidance at 6.400-7.150 EPS and its Q2 2026 guidance at 1.450-1.650 EPS. On average, equities research analysts forecast that Akamai Technologies will post 4.15 earnings per share for the current year.

Insider Activity

In other Akamai Technologies news, EVP Anthony P. Williams sold 15,000 shares of Akamai Technologies stock in a transaction that occurred on Wednesday, March 11th. The shares were sold at an average price of $104.29, for a total transaction of $1,564,350.00. Following the transaction, the executive vice president directly owned 22,064 shares of the company's stock, valued at approximately $2,301,054.56. This trade represents a 40.47% decrease in their ownership of the stock. The transaction was disclosed in a legal filing with the SEC, which can be accessed through this hyperlink. Also, Director Jon Miller sold 11,000 shares of the business's stock in a transaction that occurred on Wednesday, March 4th. The stock was sold at an average price of $102.67, for a total transaction of $1,129,370.00. Following the completion of the sale, the director owned 22,806 shares of the company's stock, valued at approximately $2,341,492.02. The trade was a 32.54% decrease in their ownership of the stock. The SEC filing for this sale provides additional information. In the last three months, insiders sold 57,454 shares of company stock valued at $5,889,371. Insiders own 2.30% of the company's stock.

Institutional Trading of Akamai Technologies

Several institutional investors have recently added to or reduced their stakes in AKAM. First Trust Advisors LP lifted its stake in shares of Akamai Technologies by 16.5% in the 4th quarter. First Trust Advisors LP now owns 6,752,000 shares of the technology infrastructure company's stock valued at $589,112,000 after acquiring an additional 957,345 shares during the last quarter. Dimensional Fund Advisors LP grew its position in Akamai Technologies by 11.2% during the 1st quarter. Dimensional Fund Advisors LP now owns 3,464,793 shares of the technology infrastructure company's stock worth $397,881,000 after acquiring an additional 349,451 shares during the last quarter. Nordea Investment Management AB grew its position in Akamai Technologies by 39.9% during the 3rd quarter. Nordea Investment Management AB now owns 3,437,472 shares of the technology infrastructure company's stock worth $258,739,000 after acquiring an additional 980,966 shares during the last quarter. Invesco Ltd. lifted its position in Akamai Technologies by 5.8% in the third quarter. Invesco Ltd. now owns 3,239,099 shares of the technology infrastructure company's stock valued at $245,394,000 after purchasing an additional 177,756 shares during the last quarter. Finally, Norges Bank purchased a new stake in shares of Akamai Technologies during the fourth quarter valued at approximately $192,959,000. 94.28% of the stock is currently owned by hedge funds and other institutional investors.

About Akamai Technologies

Akamai Technologies, Inc is a leading provider of content delivery network (CDN) services and cloud security solutions designed to optimize and safeguard digital experiences. Leveraging a globally distributed platform, the company accelerates web and mobile content delivery for enterprises, media companies, e-commerce platforms and government agencies. Its edge computing architecture brings processing power closer to end users, reducing latency and improving application performance across geographies.

The company's core offerings include content acceleration, web and mobile performance optimization, media delivery, and a suite of cybersecurity solutions that protect against DDoS attacks, application-layer threats and bot-driven fraud.

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