Overall Fundamental outlook

Business Operations:

Sector: Technology
Industry: Software - Infrastructure

Akamai Technologies, Inc. engages in the provision of security, delivery, and cloud computing solutions in the United States and internationally. It offers security solutions that include web application and application programming interfaces (API) protection solutions, which protect web, API, and mobile app traffic from attacks; Bot & Abuse portfolio, which provides solutions to help customers protect against threats; full account lifecycle protections including the ability to defend against account takeover and opening abuse, adversarial bot protection, protection against credential stuffing, inventory scalping, and hoarding; and solutions designed to stop persistent scrapers from stealing content; API security, which discovers, audits, and monitors API; and microservice and application component protection that analyzes and protects application traffic that moves between application components. The company also offers cloud computing services, which include compute, storage, and cloud native and networking services; and Akamai App Platform, provides ready-to-run templates that address challenges in deploying, managing and scaling Kubernetes clusters at scale. In addition, it offers delivery solutions that include web and mobile performance solutions, which enables dynamic websites and applications, as well as global traffic management, site acceleration, application load balancing, large-scale load testing, and real-user monitoring; and media delivery solutions, including video streaming and video player services, game and software delivery, broadcast operations, authoritative domain name system, resolution, and data and analytics. Akamai Technologies, Inc. was incorporated in 1998 and is headquartered in Cambridge, Massachusetts.

Revenue projections:

Revenue projections for AKAM
Revenue projections for AKAM

AKAM's projected revenue decline from last year is likely to make investors cautious. Lower revenues often hurt a company's bottom line, leading investors to be concerned about the company's ability to maintain profitability and deliver strong financial results in the future.

Financial Ratios:

currentRatio 2.36300
forwardPE 12.91973
debtToEquity 114.02400
earningsGrowth -0.37400
revenueGrowth 0.07400
grossMargins 0.58949
operatingMargins 0.13822
trailingEps 3.07000
forwardEps 7.59536

AKAM's current ratio being 2.363 shows it has more than enough assets to cover its short-term debts. The company's liquidity position is strong, with ample cash reserves available to meet its immediate financial obligations without strain.
Akamai Technologies, Inc.'s Forward PE is well-positioned, indicating the stock price is favorable compared to its earnings. This suggests the stock is not overpriced and offers room for growth, making it an attractive option for investors looking for future value appreciation.
AKAM's high debt-to-equity ratio shows the company is significantly leveraged, relying heavily on debt financing. This raises the potential for increased financial risk, especially if the company's earnings or cash flow are negatively impacted.
AKAM's low earnings and revenue growth suggest that its profits could shrink. This points to a potential downturn in the company's financial outlook and may indicate challenges in maintaining profitability.
Akamai Technologies, Inc.'s negative gross and operating margins suggest the company is not generating profit from either its production process or day-to-day operations. This could signal cost overruns or difficulties in maintaining revenue levels.
AKAM's forward EPS exceeding its trailing EPS means that the company is expected to increase profitability in the current financial year. This reflects improved earnings potential, signaling that AKAM is likely to outperform its previous year's financial performance.

Price projections:

Price projections for AKAM
Price projections for AKAM

The price of Akamai Technologies, Inc. has regularly been close to the lower end of projections, suggesting that it might be struggling to meet market expectations. This trend raises questions about the company's future performance.

Insider Transactions:

Insider Transactions for AKAM
Insider Transactions for AKAM


In recent market activity, 33 sales of AKAM shares took place, with market price at 90.08636382131866.There were 2 purchases of AKAM stock, with market price of 74.2400016784668.AKAM's current price levels are marked by more sells than buys, potentially signaling a price decline. If this trend continues, it may suggest that investors expect the stock to drop further in value.

Recommendation changes over time:

Recommendations trend for AKAM
Recommendations trend for AKAM


Analysts are favoring Akamai Technologies, Inc. with a buy bias, highlighting the stock's potential as a solid investment. This recommendation might drive more investors to consider Akamai Technologies, Inc. as a secure and profitable option for their money, contributing to a broader positive sentiment in the market.