Akamai Technologies (NASDAQ:AKAM) Given New $167.00 Price Target at JPMorgan Chase & Co.

Key Points

• JPMorgan raised Akamai’s price target to $167 from $158 while maintaining a neutral rating, implying approximately 41.5% upside from the reported share price. Analysts overall maintain a consensus “Hold” rating with a $144.43 target.
• Akamai shares rose 6.9% to $118.01 in Friday trading. The company recently exceeded quarterly earnings and revenue estimates, reporting $1.59 in EPS and $1.10 billion in revenue.
• Akamai announced a potential multiyear cloud agreement with Anthropic worth $11.6 billion, with an option for up to $9 billion more, strengthening its AI infrastructure outlook. However, the deal includes a warrant for up to roughly 5% of Akamai’s stock, creating potential dilution and execution risks.

Akamai Technologies (NASDAQ:AKAM - Get Free Report) had its target price boosted by research analysts at JPMorgan Chase & Co. from $158.00 to $167.00 in a research report issued to clients and investors on Friday, Benzinga reports. The firm currently has a "neutral" rating on the technology infrastructure company's stock. JPMorgan Chase & Co.'s target price points to a potential upside of 41.51% from the company's current price.

Other equities analysts also recently issued research reports about the company. TD Cowen reiterated a "hold" rating on shares of Akamai Technologies in a report on Friday. Citigroup reduced their target price on shares of Akamai Technologies from $160.00 to $122.00 and set a "neutral" rating on the stock in a research report on Friday, September 4th. Zacks Research upgraded shares of Akamai Technologies from a "strong sell" rating to a "hold" rating in a research note on Monday, July 13th. Evercore restated an "outperform" rating on shares of Akamai Technologies in a report on Friday. Finally, Bank of America raised their target price on shares of Akamai Technologies from $175.00 to $185.00 and gave the company a "buy" rating in a research note on Friday. Thirteen equities research analysts have rated the stock with a Buy rating, nine have assigned a Hold rating and two have issued a Sell rating to the company's stock. According to data from MarketBeat.com, the stock has a consensus rating of "Hold" and a consensus target price of $144.43.

Akamai Technologies Trading Up 6.9%

AKAM stock traded up $7.60 during trading on Friday, reaching $118.01. The company had a trading volume of 11,344,367 shares, compared to its average volume of 4,511,366. The company has a debt-to-equity ratio of 1.23, a current ratio of 1.64 and a quick ratio of 1.64. Akamai Technologies has a 52 week low of $70.82 and a 52 week high of $165.45. The business has a 50 day moving average of $113.10 and a 200 day moving average of $118.76. The company has a market cap of $16.96 billion, a P/E ratio of 41.82, a PEG ratio of 5.49 and a beta of 0.63.

Akamai Technologies (NASDAQ:AKAM - Get Free Report) last posted its earnings results on Thursday, August 6th. The technology infrastructure company reported $1.59 earnings per share for the quarter, topping analysts' consensus estimates of $1.57 by $0.02. Akamai Technologies had a return on equity of 11.32% and a net margin of 9.51%.The firm had revenue of $1.10 billion for the quarter, compared to the consensus estimate of $1.09 billion. During the same quarter in the prior year, the business earned $1.73 EPS. The business's revenue for the quarter was up 5.4% on a year-over-year basis. 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 forecast that Akamai Technologies will post 3.63 earnings per share for the current fiscal year.

Insider Buying and Selling at Akamai Technologies

In other Akamai Technologies news, EVP Paul Joseph sold 3,100 shares of the business's stock in a transaction on Tuesday, September 15th. The shares were 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 approximately $3,007,497.36. The trade was a 9.82% decrease in their position. The sale was disclosed in a filing with the Securities & Exchange Commission, which is accessible through this hyperlink. The transaction was executed under a pre-arranged Rule 10b5-1 trading plan. 2.30% of the stock is owned by insiders.

Institutional Investors Weigh In On Akamai Technologies

A number of hedge funds have recently modified their holdings of the business. Contravisory Investment Management Inc. purchased a new position in Akamai Technologies during the first quarter valued at approximately $1,172,000. HighTower Advisors LLC boosted its position in shares of Akamai Technologies by 132.4% in the fourth quarter. HighTower Advisors LLC now owns 25,960 shares of the technology infrastructure company's stock worth $2,265,000 after purchasing an additional 14,792 shares during the period. Baker Avenue Asset Management LP purchased a new stake in shares of Akamai Technologies in the fourth quarter worth $1,393,000. Empowered Funds LLC raised its position in shares of Akamai Technologies by 503.6% during the 1st quarter. Empowered Funds LLC now owns 42,831 shares of the technology infrastructure company's stock valued at $4,919,000 after purchasing an additional 35,735 shares during the period. Finally, PNC Financial Services Group Inc. raised its position in shares of Akamai Technologies by 59.2% during the 1st quarter. PNC Financial Services Group Inc. now owns 40,593 shares of the technology infrastructure company's stock valued at $4,662,000 after purchasing an additional 15,091 shares during the period. Institutional investors own 94.28% of the company's stock.

Key Akamai Technologies News

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

• Positive Sentiment: Anthropic committed to pay Akamai $11.6 billion over seven years for access to Akamai Cloud’s distributed infrastructure and software, primarily to support growing CPU workloads. The agreement also allows for up to an additional $9 billion, creating a potential total commitment of approximately $20 billion. Reuters article
• Positive Sentiment: The contract provides substantial long-term revenue visibility and could accelerate Akamai’s transition toward higher-growth AI and cloud infrastructure markets, where demand for computing capacity is expanding rapidly. Invezz article
• Positive Sentiment: The announcement prompted a sharp rally in Akamai shares as analysts and investors reassessed the company’s growth prospects and strategic position in AI infrastructure. 247WallSt article
• Neutral Sentiment: Akamai issued Anthropic a warrant for up to approximately 5% of its common stock; about 2% is expected to vest in connection with the initial commitment, with additional vesting tied to expansion of the relationship. Akamai press release
• Negative Sentiment: The warrant could dilute existing shareholders, while fulfilling the agreement may require significant investment and carries execution and customer-concentration risks. Akamai’s valuation—near 40 times earnings—also leaves less room for disappointment if AI-related growth takes longer than expected.

About Akamai Technologies

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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