Zacks Research Issues Optimistic Estimate for AKAM Earnings

Key Points

• Zacks Research has raised its earnings per share estimate for Akamai Technologies to $0.99 for Q1 2026, up from a prior estimate of $0.98, while maintaining a "Hold" rating on the stock.
• Akamai reported Q2 earnings of $1.73 per share, surpassing analysts' expectations of $1.55, with revenue reaching $1.04 billion.
• Institutional investors hold a significant stake in Akamai, with 94.28% of the company's stock owned by these entities, indicating strong institutional support.

Akamai Technologies, Inc. (NASDAQ:AKAM - Free Report) - Stock analysts at Zacks Research lifted their Q1 2026 earnings per share estimates for shares of Akamai Technologies in a research note issued on Wednesday, September 24th. Zacks Research analyst Team now forecasts that the technology infrastructure company will earn $0.99 per share for the quarter, up from their prior estimate of $0.98. Zacks Research has a "Hold" rating on the stock. The consensus estimate for Akamai Technologies' current full-year earnings is $4.60 per share. Zacks Research also issued estimates for Akamai Technologies' Q3 2026 earnings at $0.95 EPS, Q4 2026 earnings at $1.16 EPS and FY2027 earnings at $4.24 EPS.

A number of other research firms also recently issued reports on AKAM. Morgan Stanley downgraded Akamai Technologies from an "equal weight" rating to an "underweight" rating and set a $85.00 target price for the company. in a research report on Tuesday, August 5th. Raymond James Financial cut their target price on shares of Akamai Technologies from $110.00 to $84.00 and set an "outperform" rating on the stock in a report on Friday, August 8th. Wall Street Zen raised Akamai Technologies from a "hold" rating to a "buy" rating in a research report on Saturday, August 9th. KeyCorp assumed coverage on shares of Akamai Technologies in a research note on Friday, June 6th. They issued an "underweight" rating and a $63.00 price target on the stock. Finally, Piper Sandler dropped their target price on shares of Akamai Technologies from $88.00 to $83.00 and set a "neutral" rating on the stock in a report on Friday, August 8th. One investment analyst has rated the stock with a Strong Buy rating, seven have issued a Buy rating, nine have assigned a Hold rating and four have issued a Sell rating to the company's stock. Based on data from MarketBeat, Akamai Technologies presently has an average rating of "Hold" and an average target price of $92.39.

Akamai Technologies Stock Performance

Shares of Akamai Technologies stock opened at $75.38 on Friday. The firm has a market capitalization of $10.81 billion, a price-to-earnings ratio of 26.73, a PEG ratio of 3.66 and a beta of 0.77. The business has a 50-day simple moving average of $76.79 and a 200 day simple moving average of $77.73. Akamai Technologies has a one year low of $67.51 and a one year high of $106.80. The company has a debt-to-equity ratio of 0.92, a current ratio of 2.31 and a quick ratio of 2.31.

Akamai Technologies (NASDAQ:AKAM - Get Free Report) last issued its quarterly earnings results on Thursday, August 7th. The technology infrastructure company reported $1.73 earnings per share (EPS) for the quarter, topping analysts' consensus estimates of $1.55 by $0.18. The business had revenue of $1.04 billion for the quarter, compared to the consensus estimate of $1.02 billion. Akamai Technologies had a return on equity of 14.26% and a net margin of 10.40%.The firm's quarterly revenue was up 6.5% compared to the same quarter last year. During the same quarter in the prior year, the business posted $1.58 earnings per share. Akamai Technologies has set its FY 2025 guidance at 6.600-6.800 EPS. Q3 2025 guidance at 1.620-1.660 EPS.

Hedge Funds Weigh In On Akamai Technologies

Institutional investors have recently modified their holdings of the company. WPG Advisers LLC purchased a new stake in shares of Akamai Technologies during the first quarter worth about $27,000. UMB Bank n.a. lifted its holdings in shares of Akamai Technologies by 50.8% in the second quarter. UMB Bank n.a. now owns 395 shares of the technology infrastructure company's stock valued at $32,000 after purchasing an additional 133 shares in the last quarter. CYBER HORNET ETFs LLC purchased a new position in shares of Akamai Technologies during the 2nd quarter valued at $32,000. MassMutual Private Wealth & Trust FSB increased its stake in shares of Akamai Technologies by 54.8% during the 1st quarter. MassMutual Private Wealth & Trust FSB now owns 438 shares of the technology infrastructure company's stock worth $35,000 after purchasing an additional 155 shares during the last quarter. Finally, MUFG Securities EMEA plc bought a new position in shares of Akamai Technologies in the second quarter valued at approximately $35,000. Institutional investors and hedge funds own 94.28% of the company's stock.

Insider Activity at Akamai Technologies

In other Akamai Technologies news, CTO Robert Blumofe sold 3,000 shares of the firm's stock in a transaction that occurred on Friday, August 22nd. The shares were sold at an average price of $77.00, for a total value of $231,000.00. Following the transaction, the chief technology officer directly owned 27,910 shares of the company's stock, valued at $2,149,070. This trade represents a 9.71% decrease in their position. The transaction was disclosed in a document filed with the SEC, which is available through this hyperlink. Also, EVP Paul C. Joseph sold 5,000 shares of the business's stock in a transaction that occurred on Monday, September 15th. The shares were sold at an average price of $76.65, for a total value of $383,250.00. Following the completion of the sale, the executive vice president directly owned 27,349 shares in the company, valued at approximately $2,096,300.85. The trade was a 15.46% decrease in their position. The disclosure for this sale can be found here. In the last ninety days, insiders sold 17,000 shares of company stock valued at $1,305,990. 2.00% of the stock is owned by insiders.

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.

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