Akamai stock: buy or sell?

AKAM stock price: $88.51 0.11% At close on November 19th, 2019

Updated on:
November 19th, 2019

2

Akamai Technologies shares remained steady 0.11% to $88.51 today. Tuesday was the 5th climbing session in a row, gaining 4.45%.

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. Having a trading plan helps to make decisions easier, quicker and with less hesitations. At Stocks2.com, we use very simple but trusted and powerful trend following trading strategies. Simple things usually work the best.

Currently, Akamai Technologies stock doesn't match any of these trading strategies, so our recommendation is not to buy.

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 fall 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 published by financial analysts to indicate a particular stock's attractiveness. At Stocks2.com, we collected 15 ratings published for AKAM stock in the last month.

Is AKAM a good stock to buy?
DateAnalyst / BrokerPrevious ratingCurrent rating
2019-9-23Tigress Financialn/aBuy
2019-7-31Nomuran/aNeutral
2019-7-31Morgan Stanleyn/aOverweight
2019-7-31Credit Suisse GroupNeutralSell
2019-7-31Craig Hallumn/aBuy
2019-7-24GuggenheimBuyNeutral
2019-6-14DA Davidsonn/aBuy
2019-6-14DA Davidsonn/aBuy
2019-6-13Evercore ISIn/aHold
2019-5-1Piper Jaffray CompaniesTop PickOverweight
2019-5-1KeyCorpn/aOverweight
2019-4-4Tigress Financialn/aStrong-Buy
2019-3-25Deutsche BankHoldSell
2019-3-21Evercore ISIn/an/a
2019-2-13Royal Bank of CanadaSector PerformSector Perform

Akamai stock analysis

Daily outlook

Akamai Technologies shares remained stable 0.11% to $88.51 today.

Akamai Technologies ended today at $88.51 and remained stable a neutral 0.11%. Price climbed above $88.31 breaking the short term down trend. $88.31 should act now as a support and could be tested in the coming days. For the last 4 days when AKAM stock price broke up the SMA100d line, it gained $2.86 (3.34%).

AKAM stock chart (daily)

Weekly outlook

Akamai Technologies ended this week at $88.51 and inched a tiny 0.91%.

Since SMA20d and SMA40w crossed up early May, AKAM price climbed $8.48 per share (10.60%).

AKAM stock chart (weekly)

Akamai stock price history

Akamai IPO was on October 29th, 1999 at $110.00 per share1. Since then, AKAM stock declined a -19.50%, with a yearly average of -1.00%.

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

Akamai stock historical price chart

AKAM stock reached 52-week highs on September at $93.12, and all-time highs 2000-01-03 with a price of 345.5.

Akamai stock price target is $83.80

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. We do not recommend to follow these stock price predictions without a critical thinking from your side, as their accuracy is usually low. For the last month we found 12 price targets for AKAM stock:
AKAM stock price predictions
DateAnalyst / BrokerActionPrevious targetCurrent targetDiff
2019-7-31NomuraRaises Target$75.00$81.008%
2019-7-31Morgan StanleyRaises Target$94.00$96.002.1%
2019-7-31Credit Suisse GroupReiterates$75.00$81.008%
2019-7-31Craig HallumReiterates$92.00$97.005.4%
2019-6-14DA DavidsonReiteratesn/a$95.00-
2019-6-14DA DavidsonInitiatesn/a$95.00-
2019-6-13Evercore ISIReiteratesn/a$70.00-
2019-5-1Piper Jaffray CompaniesReiterates$85.00$96.0012.9%
2019-5-1KeyCorpReiterates$80.00$91.0013.8%
2019-3-25Deutsche BankDowngradesn/a$58.00-
2019-3-21Evercore ISIInitiatesn/a$70.00-
2019-2-13Royal Bank of CanadaReiterates$77.00$76.00-1.3%
(in average)$82.60$83.801.0%
The price forecast for Akamai Technologies stock is $83.80, moving in a range between $97.00 and $58.00. In average, analysts' outlook on AKAM price target is stable from previous estimations.

Financials and fundamental analysis

Earnings date and Earnings per Share

Akamai Technologies presented beatiful results for 2018-Q4 on February. Akamai escalated Earnings per Share (EPS) by 10.40%, beating experts 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

In 2018, Akamai Technologies annual turnover escalated a cool 9.06% to $2,714.47 M USD from $2,489.03 marked in 2017. When comparing 2018 vs 2017, in contrast, profit margin (that is, the net income divided by revenues) gained 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 slightly fell a -2.89% compared to previous quarter when profit margin was 16.07%. When comparing revenues to same quarter last year, Akamai sales marked a remarkable gain 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 shares of a company, it's worth to overview its ownership structure.

Management staff in all public traded companies that hold equity is required to report every transaction to the SEC. For Akamai Technologies, 3.12% of all outstanding shares are owned by its staff.

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

The following table compares ownership indicators for other stocks related to Akamai:

AKAMEQIXFFIVIBMINAP
Market cap$14.3 B$47.6 B$8.7 B$119.0 B$43.1 M
Total shares162.0 M85.3 M60.4 M885.6 M26.8 M
Float shares157.6 M84.8 M60.2 M884.5 M21.1 M
  - Institutional holdings (%)91.0%96.1%105.4%57.5%85.4%
  - Insider holdings (%)3.1%0.5%0.5%0.1%7.3%
Shares in short selling0.0%0.0%0.0%0.0%0.0%

Akamai summary

Tuesday, November 19th, 2019
Open$88.75
Close$88.51
Day range$87.94 - $89.07
Previous close$88.41
Session gain0.11%
Average true range$1.52
50d mov avg$89.07
100d mov avg$87.47
200d mov avg$81.14
Daily patternlb06c
Weekly pattern

Akamai performance

To better understand Akamai Technologies performance you must compare its gains with other related stocks in same sector or industry. We selected Equinix, F5 Networks, International Business Machines, Internap, Limelight Networks, Nuance Communications, QUALCOMM, AT&T and VeriSign as the bechmarking frame for Akamai stock.
Stock3m6m12m
AKAMAkamai Technologi...1.75%13.63%30.56%
EQIXEquinix1.60%12.92%49.01%
FFIVF5 Networks15.58%4.99%-14.48%
IBMInternational Bus...4.88%3.95%20.10%
INAPInternap-29.39%-44.86%-74.16%
LLNWLimelight Network...83.12%31.78%22.61%
NUANNuance Communicat...12.92%8.92%16.81%
QCOMQUALCOMM24.05%39.01%70.33%
TAT&T15.37%26.37%43.48%
VRSNVeriSign-5.47%-2.65%26.10%

Akamai competitors

One check before investing in any stock is to review a list of its competitors, in this case for Akamai Technologies. We picked 9 companies as Akamai Technologies competitors as they are in the same industry or have similar market objectives.

Latest Akamai stock news