Akamai Technologies (NASDAQ:AKAM) Cut to “Sell” at Wall Street Zen

Wall Street Zen downgraded shares of Akamai Technologies (NASDAQ:AKAM) from a hold rating to a sell rating in a research report released on Saturday morning,Wall Street Zen reports.

Several other brokerages have also commented on AKAM. Citigroup lowered their price objective on Akamai Technologies from $160.00 to $122.00 and set a “neutral” rating for the company in a research report on Friday, September 4th. Susquehanna reduced their target price on shares of Akamai Technologies from $175.00 to $140.00 and set a “positive” rating on the stock in a research report on Monday, August 10th. Piper Sandler reaffirmed an “overweight” rating and issued a $158.00 target price (up from $125.00) on shares of Akamai Technologies in a research report on Friday. JPMorgan Chase & Co. increased their price target on shares of Akamai Technologies from $158.00 to $167.00 and gave the stock a “neutral” rating in a research note on Friday. Finally, TD Cowen lifted their price target on shares of Akamai Technologies from $140.00 to $149.00 and gave the company a “hold” rating in a research report on Friday. Thirteen equities research analysts have rated the stock with a Buy rating, nine have given a Hold rating and two have issued a Sell rating to the stock. Based on data from MarketBeat.com, the company presently has a consensus rating of “Hold” and an average target price of $147.62.

Akamai Technologies Stock Down 4.3%

AKAM stock opened at $108.99 on Friday. Akamai Technologies has a fifty-two week low of $70.82 and a fifty-two week high of $165.45. The company has a market capitalization of $15.66 billion, a price-to-earnings ratio of 39.21, a price-to-earnings-growth ratio of 5.28 and a beta of 0.63. The business’s 50 day moving average price is $112.70 and its two-hundred day moving average price is $118.87. The company has a debt-to-equity ratio of 1.23, a quick ratio of 1.64 and a current ratio of 1.64.

Akamai Technologies (NASDAQ:AKAM) last released its earnings results on Thursday, August 6th. The technology infrastructure company reported $1.59 EPS for the quarter, beating analysts’ consensus estimates of $1.57 by $0.02. Akamai Technologies had a return on equity of 11.32% and a net margin of 9.51%.The company had revenue of $1.10 billion during the quarter, compared to analysts’ expectations of $1.09 billion. During the same quarter last year, the business posted $1.73 EPS. The firm’s revenue for the quarter was up 5.4% compared to the same quarter last year. Akamai Technologies has set its Q3 2026 guidance at 1.600-1.800 EPS and its FY 2026 guidance at 6.400-7.050 EPS. As a group, analysts forecast that Akamai Technologies will post 3.63 earnings per share for the current fiscal year.

Insider Buying and Selling at Akamai Technologies

In other news, EVP Mani Sundaram sold 7,022 shares of the stock in a transaction on Friday, September 25th. The stock was sold at an average price of $125.62, for a total value of $882,103.64. Following the sale, the executive vice president directly owned 14,625 shares of the company’s stock, valued at approximately $1,837,192.50. This represents a 32.44% decrease in their ownership of the stock. The transaction was disclosed in a legal filing with the SEC, which is accessible through this link. The transaction was executed under a pre-arranged Rule 10b5-1 trading plan. Also, EVP Kim Salem-Jackson sold 2,013 shares of the firm’s stock in a transaction on Friday, September 25th. The shares were sold at an average price of $128.00, for a total value of $257,664.00. Following the transaction, the executive vice president owned 57,197 shares of the company’s stock, valued at $7,321,216. The trade was a 3.40% decrease in their ownership of the stock. The SEC filing for this sale provides additional information. The transaction was executed under a pre-arranged Rule 10b5-1 trading plan. Over the last 90 days, insiders sold 12,135 shares of company stock worth $1,467,221. 2.30% of the stock is owned by insiders.

Hedge Funds Weigh In On Akamai Technologies

Hedge funds have recently bought and sold shares of the company. Sarver Vrooman Wealth Advisors bought a new stake in Akamai Technologies during the 4th quarter valued at about $31,000. Root Financial Partners LLC lifted its stake in shares of Akamai Technologies by 45.8% in the fourth quarter. Root Financial Partners LLC now owns 350 shares of the technology infrastructure company’s stock worth $31,000 after buying an additional 110 shares in the last quarter. Silvant Capital Management LLC bought a new position in shares of Akamai Technologies in the second quarter worth approximately $32,000. Cedar Mountain Advisors LLC purchased a new stake in shares of Akamai Technologies during the first quarter valued at approximately $47,000. Finally, Persistent Asset Partners Ltd purchased a new stake in shares of Akamai Technologies during the second quarter valued at approximately $54,000. Institutional investors own 94.28% of the company’s stock.

Akamai Technologies News Summary

Here are the key news stories impacting Akamai Technologies this week:

• Positive Sentiment: Analyst coverage remains broadly supportive. DA Davidson reaffirmed its “Buy” rating, while JPMorgan projected strong potential appreciation; the shares also previously gapped higher following an analyst upgrade. DA Davidson Reaffirms Buy Rating JPMorgan Forecasts Strong Price Appreciation Akamai Shares Gap Up Following Analyst Upgrade
• Positive Sentiment: Akamai’s reported $11.6 billion cloud arrangement with Anthropic reinforces its pivot toward edge AI and cloud-computing infrastructure. The deal could expand long-term growth opportunities beyond the company’s traditional content-delivery-network business. Akamai’s Anthropic Deal and Edge AI Pivot
• Neutral Sentiment: RBC assigned Akamai a “Sector Perform” rating, signaling a more balanced view and potentially limiting the impact of the more bullish analyst opinions. RBC Sector Perform Rating
• Negative Sentiment: The Anthropic agreement reportedly requires about $5.5 billion in capital spending and includes warrants that could dilute shareholders. Investors are also concerned that the AI transition may pressure margins before producing sufficient returns. Anthropic Deal Investment and Dilution Concerns
• Negative Sentiment: EVPs Kim Salem-Jackson and Mani Sundaram sold approximately $1.14 million of AKAM shares combined. Both transactions were made under pre-arranged Rule 10b5-1 plans, reducing their signaling value, but the insider selling may still weigh on sentiment.
• Negative Sentiment: Although AKAM was recently a strong, high-volume mover, Zacks cautioned that the latest earnings-estimate revision trend may make further near-term gains difficult. Zacks Akamai Stock Analysis

About Akamai Technologies

Akamai Technologies, Inc is a global technology company that provides cloud computing, content delivery and cybersecurity services. Its distributed platform helps businesses deliver websites, applications, software downloads, video and other digital content with improved speed, availability and scalability.

The company’s offerings include content delivery and edge computing services, cloud infrastructure, web and application performance solutions, and security products designed to protect applications, application programming interfaces, networks and users from cyber threats.