Akamai Technologies (NASDAQ:AKAM) Announces Earnings Results, Misses Estimates By $0.33 EPS

Akamai Technologies (NASDAQ:AKAM) announced its quarterly earnings data on Thursday. The technology infrastructure company reported $1.19 earnings per share for the quarter, missing analysts’ consensus estimates of $1.52 by ($0.33), Zacks reports. Akamai Technologies had a return on equity of 14.47% and a net margin of 12.65%. The business had revenue of $1.02 billion for the quarter, compared to analyst estimates of $1.02 billion. Akamai Technologies updated its Q1 2025 guidance to 1.540-1.590 EPS and its FY 2025 guidance to 6.000-6.400 EPS.

Akamai Technologies Price Performance

Shares of NASDAQ:AKAM traded down $21.30 on Friday, hitting $76.73. The company had a trading volume of 20,721,903 shares, compared to its average volume of 1,742,822. The company has a current ratio of 1.33, a quick ratio of 1.33 and a debt-to-equity ratio of 0.50. Akamai Technologies has a 52-week low of $76.50 and a 52-week high of $113.36. The business has a 50 day moving average of $96.15 and a 200 day moving average of $97.86. The company has a market cap of $11.53 billion, a PE ratio of 23.54, a PEG ratio of 3.50 and a beta of 0.65.

Wall Street Analyst Weigh In

AKAM has been the topic of a number of recent analyst reports. Robert W. Baird dropped their price objective on Akamai Technologies from $120.00 to $115.00 and set an “outperform” rating on the stock in a report on Monday, November 11th. Piper Sandler lowered Akamai Technologies from an “overweight” rating to a “neutral” rating and dropped their price objective for the stock from $112.00 to $100.00 in a report on Friday. Raymond James dropped their price objective on Akamai Technologies from $115.00 to $110.00 and set an “outperform” rating on the stock in a report on Friday. Bank of America lowered Akamai Technologies from a “buy” rating to a “neutral” rating and dropped their price objective for the stock from $125.00 to $100.00 in a report on Friday. Finally, Evercore ISI reaffirmed an “outperform” rating and set a $110.00 price objective on shares of Akamai Technologies in a report on Tuesday, December 17th. One research analyst has rated the stock with a sell rating, ten have issued a hold rating, ten have assigned a buy rating and two have given a strong buy rating to the company. Based on data from MarketBeat, the company presently has an average rating of “Moderate Buy” and an average target price of $107.90.

Insider Activity

In related news, CFO Edward J. Mcgowan sold 10,782 shares of the stock in a transaction dated Monday, December 16th. The stock was sold at an average price of $98.71, for a total transaction of $1,064,291.22. Following the transaction, the chief financial officer now directly owns 12,716 shares in the company, valued at approximately $1,255,196.36. This represents a 45.88 % decrease in their ownership of the stock. The transaction was disclosed in a filing with the SEC, which can be accessed through this hyperlink. Also, Director William Raymond Wagner sold 1,000 shares of the stock in a transaction dated Wednesday, November 27th. The stock was sold at an average price of $93.38, for a total value of $93,380.00. Following the transaction, the director now owns 15,719 shares in the company, valued at $1,467,840.22. This trade represents a 5.98 % decrease in their ownership of the stock. The disclosure for this sale can be found here. Insiders have sold 15,782 shares of company stock worth $1,523,951 over the last three months. 1.80% of the stock is currently owned by corporate insiders.

Akamai Technologies Company Profile

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.