Research Analysts Offer Predictions for AKAM FY2027 Earnings

Key Points

• Scotiabank lowered its FY2027 EPS forecast for Akamai to $3.64 from $3.82, though the estimate remains above the $3.58 analyst consensus.
• Akamai’s latest quarter exceeded expectations, with EPS of $1.59 versus $1.57 expected and revenue of $1.10 billion versus $1.09 billion; revenue rose 5.4% year over year.
• Analyst sentiment remains mixed: the stock carries a consensus “Hold” rating and an average price target of $150.10, while institutional investors own 94.28% of outstanding shares.

Akamai Technologies, Inc. (NASDAQ:AKAM - Free Report) - Stock analysts at Scotiabank lowered their FY2027 earnings per share estimates for Akamai Technologies in a research note issued to investors on Thursday, October 1st. Scotiabank analyst P. Colville now forecasts that the technology infrastructure company will post earnings of $3.64 per share for the year, down from their previous forecast of $3.82. The consensus estimate for Akamai Technologies' current full-year earnings is $3.58 per share.

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

Several other equities research analysts have also commented on the stock. UBS Group boosted their price objective on shares of Akamai Technologies from $143.00 to $148.00 and gave the stock a "neutral" rating in a research note on Friday, September 25th. Weiss Ratings reiterated a "hold (c)" rating on shares of Akamai Technologies in a report on Monday, September 21st. HSBC cut Akamai Technologies from a "buy" rating to a "hold" rating and dropped their price target for the stock from $171.00 to $123.00 in a research report on Monday, August 10th. JPMorgan Chase & Co. upped their price target on Akamai Technologies from $158.00 to $167.00 and gave the stock a "neutral" rating in a research note on Friday, September 25th. Finally, Guggenheim raised their price objective on Akamai Technologies from $190.00 to $225.00 and gave the company a "buy" rating in a research report on Friday, September 25th. 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. Based on data from MarketBeat.com, the stock presently has a consensus rating of "Hold" and an average price target of $150.10.

Akamai Technologies Price Performance

Shares of Akamai Technologies stock opened at $108.92 on Monday. The company has a debt-to-equity ratio of 1.23, a current ratio of 1.64 and a quick ratio of 1.64. The company has a 50-day moving average of $111.67 and a 200 day moving average of $118.91. The firm has a market cap of $15.65 billion, a price-to-earnings ratio of 39.18, a PEG ratio of 5.12 and a beta of 0.62. Akamai Technologies has a 1 year low of $70.82 and a 1 year high of $165.45.

Institutional Trading of Akamai Technologies

A number of institutional investors and hedge funds have recently modified their holdings of AKAM. Dimensional Fund Advisors LP lifted its holdings in shares of Akamai Technologies by 11.2% during the first quarter. Dimensional Fund Advisors LP now owns 3,464,793 shares of the technology infrastructure company's stock valued at $397,881,000 after purchasing an additional 349,451 shares in the last quarter. Edmond DE Rothschild Holding S.A. bought a new stake in Akamai Technologies in the 2nd quarter worth about $222,046,000. William Blair Investment Management LLC bought a new stake in Akamai Technologies in the 2nd quarter worth about $181,508,000. Legal & General Group Plc purchased a new position in Akamai Technologies in the 2nd quarter worth about $159,564,000. Finally, Rubric Capital Management LP raised its position in Akamai Technologies by 8.3% in the 1st quarter. Rubric Capital Management LP now owns 1,300,000 shares of the technology infrastructure company's stock worth $149,305,000 after buying an additional 100,000 shares during the last quarter. Institutional investors own 94.28% of the company's stock.

Insider Transactions at Akamai Technologies

In related news, EVP Mani Sundaram sold 7,022 shares of the business's stock in a transaction that occurred on Friday, September 25th. The shares were sold at an average price of $125.62, for a total value of $882,103.64. Following the completion of the transaction, the executive vice president directly owned 14,625 shares in the company, valued at $1,837,192.50. The trade was a 32.44% decrease in their position. The sale was disclosed in a legal filing with the Securities & Exchange Commission, which is available at the SEC website. The transaction was executed under a pre-arranged Rule 10b5-1 trading plan. Also, EVP Kim Salem-Jackson sold 2,013 shares of the company's stock in a transaction that occurred on Friday, September 25th. The shares were sold at an average price of $128.00, for a total value of $257,664.00. Following the completion of the transaction, the executive vice president directly owned 57,197 shares in the company, valued at $7,321,216. This trade represents a 3.40% decrease in their ownership of the stock. The SEC filing for this sale provides additional information. The transaction was executed under a pre-arranged Rule 10b5-1 trading plan. Over the last 90 days, insiders have sold 12,135 shares of company stock worth $1,467,221. Corporate insiders own 2.30% of the company's stock.

Akamai Technologies Company Profile

Akamai Technologies, Inc NASDAQ: AKAM provides cloud computing, cybersecurity and content delivery services for businesses and public-sector organizations. Its distributed edge platform helps customers deliver websites, applications, media and other digital experiences while improving performance, availability and scalability.

The company's services include web and application performance optimization, content delivery, cloud infrastructure, application and API security, distributed denial-of-service protection, zero-trust security and bot management.

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