What is Scotiabank's Forecast for AKAM FY2026 Earnings?

Key Points

• Scotiabank cut its FY2026 EPS forecast for Akamai to $3.63 from $3.97, slightly below the $3.67 consensus estimate, while maintaining a “Sector Outperform” rating and $180 price target. The bank projects FY2027 EPS of $3.82.
• Akamai’s latest quarterly results exceeded expectations, with EPS of $1.59 versus the $1.57 consensus and revenue of $1.10 billion versus $1.09 billion. Revenue increased 5.4% year over year, although EPS declined from $1.73 in the prior-year quarter.
• Analyst sentiment remains mixed: Akamai has a consensus “Hold” rating and an average price target of $144.14, based on 12 Buy, 10 Hold and 2 Sell recommendations.

Akamai Technologies, Inc. (NASDAQ:AKAM - Free Report) - Investment analysts at Scotiabank lowered their FY2026 EPS estimates for shares of Akamai Technologies in a research note issued on Wednesday, August 19th. Scotiabank analyst P. Colville now forecasts that the technology infrastructure company will earn $3.63 per share for the year, down from their prior forecast of $3.97. Scotiabank has a "Sector Outperform" rating and a $180.00 price objective on the stock. The consensus estimate for Akamai Technologies' current full-year earnings is $3.67 per share. Scotiabank also issued estimates for Akamai Technologies' FY2027 earnings at $3.82 EPS.

Akamai Technologies (NASDAQ:AKAM - Get Free Report) last announced its quarterly earnings data on Thursday, August 6th. The technology infrastructure company reported $1.59 EPS for the quarter, beating analysts' consensus estimates of $1.57 by $0.02. Akamai Technologies had a net margin of 9.51% and a return on equity of 11.32%. The business had revenue of $1.10 billion during the quarter, compared to analyst estimates of $1.09 billion. During the same quarter in the prior year, the business earned $1.73 earnings per share. The firm'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.

AKAM has been the topic of several other research reports. Guggenheim boosted their price target on shares of Akamai Technologies from $181.00 to $190.00 and gave the company a "buy" rating in a report on Friday, August 7th. TD Cowen increased their price target on Akamai Technologies from $135.00 to $140.00 and gave the stock a "hold" rating in a research report on Friday, August 7th. Bank of America raised shares of Akamai Technologies from a "neutral" rating to a "buy" rating and increased their price objective for the stock from $130.00 to $175.00 in a report on Wednesday, May 13th. Craig Hallum upgraded shares of Akamai Technologies from a "hold" rating to a "buy" rating and set a $190.00 price objective for the company in a research report on Friday, May 8th. Finally, Royal Bank Of Canada dropped their target price on shares of Akamai Technologies from $150.00 to $135.00 and set a "sector perform" rating for the company in a research note on Friday, August 7th. Twelve investment analysts have rated the stock with a Buy rating, ten have issued a Hold rating and two have assigned a Sell rating to the company. According to data from MarketBeat.com, Akamai Technologies presently has a consensus rating of "Hold" and an average price target of $144.14.

Akamai Technologies Stock Performance

Shares of AKAM opened at $110.42 on Monday. Akamai Technologies has a 12-month low of $70.82 and a 12-month high of $165.45. The firm has a market capitalization of $15.87 billion, a price-to-earnings ratio of 39.72, a P/E/G ratio of 5.07 and a beta of 0.63. The stock's 50-day moving average price is $119.17 and its 200 day moving average price is $117.40. The company has a quick ratio of 1.64, a current ratio of 1.64 and a debt-to-equity ratio of 1.23.

Insider Activity at Akamai Technologies

In related news, EVP Kim Salem-Jackson sold 2,300 shares of the stock in a transaction that occurred on Wednesday, June 10th. The shares were sold at an average price of $135.57, for a total value of $311,811.00. Following the transaction, the executive vice president directly owned 59,210 shares in the company, valued at $8,027,099.70. This represents a 3.74% decrease in their ownership of the stock. The sale was disclosed in a filing with the SEC, which is available at the SEC website. The transaction was executed under a pre-arranged Rule 10b5-1 trading plan. Also, CTO Robert Blumofe sold 243 shares of the firm's stock in a transaction that occurred on Thursday, June 18th. The shares were sold at an average price of $129.41, for a total transaction of $31,446.63. Following the completion of the transaction, the chief technology officer directly owned 31,006 shares in the company, valued at approximately $4,012,486.46. The trade was a 0.78% 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. Corporate insiders own 2.30% of the company's stock.

Institutional Inflows and Outflows

Hedge funds and other institutional investors have recently made changes to their positions in the stock. HB Wealth Management LLC grew its stake in shares of Akamai Technologies by 33.0% during the second quarter. HB Wealth Management LLC now owns 5,859 shares of the technology infrastructure company's stock worth $693,000 after purchasing an additional 1,454 shares during the period. AlphaGrep UK Ltd acquired a new position in Akamai Technologies in the second quarter valued at about $211,000. Timbuktu Capital Management LLC acquired a new position in Akamai Technologies in the second quarter valued at about $244,000. Concurrent Investment Advisors LLC boosted its holdings in Akamai Technologies by 9.4% during the second quarter. Concurrent Investment Advisors LLC now owns 7,010 shares of the technology infrastructure company's stock worth $829,000 after buying an additional 603 shares during the last quarter. Finally, NEOS Investment Management LLC boosted its holdings in Akamai Technologies by 14.0% during the second quarter. NEOS Investment Management LLC now owns 23,428 shares of the technology infrastructure company's stock worth $2,769,000 after buying an additional 2,878 shares during the last quarter. 94.28% of the stock is currently owned by institutional investors.

Akamai Technologies Company Profile

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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