DailyIQ
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Last updated 3 minutes ago

AKAM·Akamai Technologies, Inc.

$.
-. (-.%)
High
$122.00
Open
$120.60
Market Cap
18.29B
52W High
$165.45
Low
$118.21
P. Close
$120.01
P/E
42.04
52W Low
$69.78
Fwd P/E
79.83
DailyIQ Est.
$165.24
Technical Score (1D)
59
BUY
News Sentiment
62
BULLISH
Akamai’s shares slipped 4.84% to $120.01 in the latest session, trailing the S&P 500 as investors digest the company’s upcoming earnings announcement on August 6. The guidance for the quarter projects EPS of $1.58 and revenue of $1.09 billion, a modest year‑over‑year earnings decline but a 4.76% lift in sales, while full‑year estimates forecast a 5.34% earnings drop and a 6.81% revenue rise. This mixed outlook signals that the market is weighing the company’s ability to sustain revenue growth against a tightening earnings trajectory, which could influence short‑term volatility. On the upside, Akamai’s security arm is riding a surge in demand for web‑application firewalls and API protection, propelled by heightened cyber‑threat activity and digital‑transformation initiatives. The company’s State of the Internet report notes that nearly half of commerce traffic on its network is now AI bot traffic, and Layer‑7 DDoS and API attacks are on the rise, underscoring a shift toward agentic commerce. These developments suggest that Akamai is positioning new bot‑mitigation and API‑security solutions to capture the growing need for AI‑aware protection, which could prop up revenue in the near term. For the next 1–10 trading days, the mandate is to monitor how the earnings release reconciles the revenue growth with the earnings decline and whether the security segment’s performance meets expectations. Additionally, watch for any updates on product launches or pricing changes that could accelerate adoption of the company’s new AI‑ready security offerings. Finally, keep an eye on broader sector sentiment, as any shift in the technology index could amplify Akamai’s short‑term price movement given its lag behind peers.
Earnings Summary
Akamai Technologies, Inc. is a global provider of cloud services that focus on securing and accelerating online experiences, offering web application firewalls, bot protection, and a suite of cloud computing solutions that include compute, storage, networking, and content delivery for video streaming and game delivery. Operating in the technology sector’s software‑infrastructure niche, Akamai’s business model centers on protecting digital assets while enhancing performance for content creators and distributors worldwide. In the most recent quarters, Akamai’s earnings showed a mixed trajectory: Q1 2025 EPS rose to $1.70 from $1.66 in Q4 2024, while revenue slipped slightly to $1.015 billion from $1.020 billion; Q2 2025 EPS climbed to $1.73 and revenue increased to $1.043 billion; Q3 2025 EPS jumped to $1.86 with revenue at $1.055 billion; Q4 2025 EPS reached $1.84, a modest $0.02 decline from Q3 2025, and revenue hit $1.095 billion, up 7.5% YoY; Q1 2026 EPS fell to $1.61, a 12% drop from Q4 2025, and revenue dipped to $1.074 billion, a 2% YoY decline. Across the five quarters, Akamai consistently beat EPS estimates in four of the last five reports, while revenue growth has been largely positive with a brief slowdown in Q1 2026. Historically, the company has maintained a steady upward revenue trend, with EPS growth outpacing revenue in most periods, indicating improving profitability margins; however, the recent Q1 2026 EPS decline signals a potential headwind that investors should monitor. Recent news highlights Oppenheimer’s reaffirmed Outperform rating and a $180 price target, citing underestimation of Akamai’s cloud and AI inference data‑center opportunities and projected capacity growth to 100 MW by 2028; LayerX’s acquisition adds edge‑computing capabilities, and a seven‑year contract with Anthropic expands AI‑cloud services; the Claroty alliance introduces micro‑segmentation expertise for critical infrastructure. Forward‑looking watch points include monitoring new data‑center contracts and capital‑expenditure announcements that could confirm the projected capacity build‑out, tracking the integration timeline of LayerX for early revenue acceleration, and observing Claroty partnership adoption metrics that may broaden Akamai’s recurring revenue mix.}}

EPS

EstBeatMiss
$1.48$1.59$1.69$1.80$1.91Q1'25Q2'25Q3'25Q4'25Q1'26Q2'26
QtrEstActual+/−
Q2'26$1.58 - -
Q1'26$1.63$1.61-1.1%
Q4'25$1.79$1.84+2.8%
Q3'25$1.64$1.86+13.7%
Q2'25$1.53$1.73+13.2%
Q1'25$1.57$1.70+8.6%

Revenue

EstBeatMiss
$1.0B$1.0B$1.1B$1.1B$1.1BQ1'25Q2'25Q3'25Q4'25Q1'26Q2'26
QtrEstActual+/−
Q2'26$1.1B - -
Q1'26$1.1B$1.1B-1.9%
Q4'25$1.1B$1.1B-0.2%
Q3'25 - $1.1B -
Q2'25 - $1.0B -
Q1'25 - $1.0B -
Full Earnings BreakdownEstimates, actuals, guidance, and historical context
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Market Data

AKAM Stock Snapshot

AKAM is currently trading at $119.69, giving Akamai Technologies, Inc. a market cap of 18.29B and a P/E ratio of 42.0. Today's range spans $118.21–$122.00, with shares opening at $120.60 and moving down $0.32 (0.3%) from the prior close. DailyIQ's technical score sits at 59/100 (HOLD) with a news sentiment reading of 62/100.

Over the past year AKAM has traded between $69.78 and $165.45 - the current price is +71.5% off the 52-week low and -27.7% from the high. 34 analysts cover the stock with a Buy consensus and a mean 12-month target of $159.30 (range $87.00–$195.00), implying upside of +33.1%.

The quality factor scores well for Akamai Technologies, Inc. (AKAM) even in a HOLD phase - at 18.29B in Technology market cap with a 59/100 technical read (HOLD) and bullish sentiment (62/100), the stock's balance sheet and earnings stability attract defensive allocators who don't need a mixed signal to hold the position. (P/E: 42.0) Price: $119.69 (in the middle of its 52-week range). Range: $69.78–$165.45.

The 52-week range of $69.78–$165.45 for AKAM provides the structural reference that options traders, systematic funds, and discretionary managers all anchor to — and at $119.69 (in the middle of its 52-week range), the stock sits in a zone where the next 5–10% move will likely define which crowd was right. A HOLD signal at 59/100 and bullish news backdrop (62/100) don't break the tie yet, but they narrow the probability distribution toward the upside.