Akamai stock: buy or sell?

AKAM stock price: $90.61 -3.99% At close on March 27th, 2020

Updated on:
March 27th, 2020

2

After boosting a dazzling 5.33% on Mar/26, Akamai closed yesterday at $90.61 and plummed a chilling -3.99%. On March 20th AKAM collapsed a hair-raising -7.87%.

Akamai Technologies, Inc. provides cloud services for delivering, optimizing, and securing content and business applications over the Internet in the United States and internationally.

Should I buy Akamai stock?

Make a decision about when to buy or sell stocks is one of the hardest parts of being a trader or investor. Trading strategies are meant for helping you in the decision process of what stocks to pick and when is the best time to buy them. There are thousands of trading strategies for you to choose, but at Stocks2.com we prefer those that are simple but successful.

None of our preferred buy setups matches with Akamai stock situation right now, hence this is not a suitable entry point.

Buy setupElegible
New all-time highNo
New 52 week highNo
Price crossing up 200d MANo
100d MA crossing up 200d MANo
This doesn't mean AKAM will slide in coming sessions, or it will not rise higher. Simply, it doesn't match our recommended trading systems.

Is Akamai Technologies stock a buy?

Everyday, hundreds of stock ratings are posted by financial analysts to indicate a particular stock's attractiveness. Unfortunately, we couldn't find any rating for AKAM stock for the last 30 days.

Akamai stock analysis

Daily outlook

After boosting a dazzling 5.33% on Mar 26th, Akamai closed yesterday at $90.61 and plummed a chilling -3.99%.

After boosting a dazzling 5.33% on Mar/26, Akamai closed yesterday at $90.61 and plummed a chilling -3.99%. On Tuesday AKAM price bounced up over the SMA of 200 days demonstrating to be a significant support for this stock. Since SMA50d and SMA100d crossed up on February, AKAM price slid a -2.94%.

AKAM stock chart (daily)

Weekly outlook

Akamai shares climbed 10.00% this week, ending at $90.61. Early March AKAM plunged a chilling -5.70% in just one week.

Akamai is in a clear downtrend, marking successive falling peaks and bottoms. Now is trading in between the - range. There is a chance to rebound and reverse this situation if price can hold above the level. This week AKAM price bounced up over the SMA of 40 weeks that acted as support stopping new slides. Since early May 2019 when SMA20w and SMA40w crossed up, AKAM price gained $10.58 per share (13.22%).

AKAM stock chart (weekly)

Akamai stock price history

Akamai stock went public on October 29th, 1999 with a price of $110.001. Since then, AKAM stock sliced a -17.60%, with a yearly average of -0.90%.

1: Adjusted price after possible price splits or reverse-splits.

Akamai stock historical price chart

AKAM stock reached 52-week highs on Feb 20th at $103.34, and all-time highs 2000-01-03 with a price of 345.5.

Akamai stock price target

Nobody can reliably foresee how stock prices may evolve in the future. However, financial institutions invest time and resources to provide the most accurated estimations to help investors to make their decisions. You should not follow the analysts' AKAM stock price predictions in the hope that they will be met as they may be wrong and not met. For the last month we have not found any price target for Akamai stock by any trusted analyst.

Financials and fundamental analysis

Earnings date and Earnings per Share

Akamai reported beatiful results for 2018-Q4 . Akamai soared Earnings per Share (EPS) by 10.40%, beating experts consensus of $0.77. Akamai posted $0.85.
AKAM earnings date and EPS evolution
QuarterReporting dateEstimated EPSActual EPSSurprise
2017-Q2-n/a0.36n/a
2017-Q32017-10-240.590.625.1%
2017-Q42018-02-060.630.699.5%
2018-Q12018-04-300.510.5813.7%
2018-Q22018-07-310.590.58-1.7%
2018-Q32018-10-290.610.6811.5%
2018-Q42019-02-120.770.8510.4%
2019-Q1-n/an/an/a
2019-Q2-n/an/an/a
2019-Q3-n/an/an/a

Annual financial results

Compared to 2017, last anual turnover report draw a superb gain of 9.06% to $2,714.47 million dollars. When comparing 2018 vs 2017, by contrast, profit margin (that is, the net income divided by revenues) raised a 2.04% to 10.99%.

AKAM annual Sales and Income evolution
YearSalesYoYIncome/(margin)YoY
2013$1,580 M-$293 M18.6%-
2014$1,964 M24.30%$334 M17.0%13.79%
2015$2,197 M11.89%$321 M14.6%-3.76%
2016$2,340 M6.49%$316 M13.5%-1.64%
2017$2,489 M6.37%$223 M8.9%-29.53%
2018$2,714 M9.06%$298 M11.0%33.94%

Quarterly financial results

Akamai Technologies posted $713.36 million in revenues for 2018-Q4, a 6.53% improvement compared to previous quarter. Reported quarter earnings marked $94.02 M with a profit margin of 13.18%. Profit margin declined a -2.89% compared to previous quarter when profit margin was 16.07%. When comparing turnover to same quarter last year, Akamai sales marked a shining growth and rose a 6.09%. Looking back to recent quarterly results, Akamai Technologies posted 2 positive quarters in a row.
AKAM quarterly Sales and Income evolution
QuarterSales1QoQ2Income1/(margin)QoQ2
2017-Q2$609 M-$58 M9.5%-
2017-Q3$621 M2.05%$61 M9.7%4.75%
2017-Q4$672 M8.21%$23 M3.4%-61.87%
2018-Q1$669 M-0.55%$54 M8.0%132.78%
2018-Q2$663 M-0.89%$43 M6.5%-19.83%
2018-Q3$670 M1.04%$108 M16.1%149.84%
2018-Q4$713 M6.53%$94 M13.2%-12.61%
2019-Q1$707 M-0.96%$107 M15.2%13.95%

Akamai ownership

When you are planning to buy a company, it's always worth to overview its ownership structure.

Akamai shares owned by insiders (that is, founders, CEO, CTO, main executives or other management staff) currently counts a 2.78% of all shares.

Bearish positions for AKAM stock account 0.00%, no big difference from last month.

For a better understanding, the following table shows ownership data compared to other related companies:

AKAM
Market cap$14.6 B
Total shares161.6 M
Float shares158.2 M
  - Institutional holdings (%)92.4%
  - Insider holdings (%)2.8%
Shares in short selling0.0%

Akamai summary

Friday, March 27th, 2020
Open$93.03
Close$90.61
Day range$88.93 - $93.10
Previous close$94.38
Session gain-3.99%
Average true range$7.72
50d mov avg$92.96
100d mov avg$90.05
200d mov avg$88.29
Daily patternlt01a
Weekly pattern lt02a

Akamai performance

Performance as an absolute value is never valid if it's not benchmarked against competitors or related stocks in the industry. In the following table, we compare Akamai Technologies performance to :
Stock3m6m12m
AKAMAkamai Technologi...4.75%0.91%26.36%

Akamai competitors

Unfortunately, we could not find any public company that could be defined as Akamai competitor. This doesn't mean Akamai does not have any competitor in the market, it's just we could not detected it.

    Latest Akamai stock news