Akamai Technologies (NASDAQ:AKAM) Issues FY 2024 Earnings Guidance

Akamai Technologies (NASDAQ:AKAM) updated its FY 2024 earnings guidance on Thursday. The company provided earnings per share (EPS) guidance of 6.340-6.470 for the period, compared to the consensus estimate of 6.310. The company issued revenue guidance of $4.0 billion-$4.0 billion, compared to the consensus revenue estimate of $4.0 billion. Akamai Technologies also updated its FY24 guidance to $6.34-6.47 EPS.

Analyst Upgrades and Downgrades

AKAM has been the subject of a number of recent research reports. KeyCorp decreased their price objective on Akamai Technologies from $138.00 to $119.00 and set an overweight rating for the company in a report on Friday, May 10th. Susquehanna decreased their price target on Akamai Technologies from $150.00 to $135.00 and set a positive rating for the company in a report on Friday, May 10th. Morgan Stanley dropped their price objective on Akamai Technologies from $117.00 to $106.00 and set an equal weight rating on the stock in a research note on Friday, May 10th. Raymond James reduced their target price on shares of Akamai Technologies from $138.00 to $115.00 and set an outperform rating for the company in a research note on Friday, May 10th. Finally, Royal Bank of Canada raised their price target on shares of Akamai Technologies from $92.00 to $100.00 and gave the company a sector perform rating in a research report on Friday. One investment analyst has rated the stock with a sell rating, seven have issued a hold rating, twelve have given a buy rating and one has given a strong buy rating to the company’s stock. According to MarketBeat.com, the stock currently has an average rating of Moderate Buy and a consensus target price of $115.94.

Akamai Technologies Stock Up 10.9 %

Shares of NASDAQ AKAM traded up $9.94 during mid-day trading on Friday, reaching $101.51. 6,536,236 shares of the company were exchanged, compared to its average volume of 1,703,274. The firm has a 50-day moving average of $92.46 and a 200 day moving average of $102.18. The company has a quick ratio of 3.25, a current ratio of 3.25 and a debt-to-equity ratio of 0.76. Akamai Technologies has a 1 year low of $87.59 and a 1 year high of $129.17. The stock has a market cap of $15.46 billion, a price-to-earnings ratio of 25.25, a P/E/G ratio of 4.57 and a beta of 0.67.

Akamai Technologies (NASDAQ:AKAM) last posted its quarterly earnings data on Friday, May 10th. The technology infrastructure company reported $1.64 EPS for the quarter, beating the consensus estimate of $1.61 by $0.03. The firm had revenue of $986.97 million during the quarter, compared to the consensus estimate of $989.03 million. Akamai Technologies had a return on equity of 15.02% and a net margin of 16.12%. The firm’s revenue was up 7.8% compared to the same quarter last year. During the same period in the prior year, the company earned $1.01 EPS. On average, research analysts expect that Akamai Technologies will post 4.38 earnings per share for the current year.

Akamai Technologies declared that its board has authorized a share buyback program on Thursday, May 9th that authorizes the company to buyback $2.00 billion in outstanding shares. This buyback authorization authorizes the technology infrastructure company to buy up to 13.9% of its shares through open market purchases. Shares buyback programs are typically an indication that the company’s leadership believes its stock is undervalued.

Insiders Place Their Bets

In related news, CTO Robert Blumofe sold 3,000 shares of the stock in a transaction that occurred on Friday, June 14th. The stock was sold at an average price of $88.34, for a total value of $265,020.00. Following the completion of the transaction, the chief technology officer now directly owns 24,729 shares of the company’s stock, valued at approximately $2,184,559.86. The sale was disclosed in a filing with the Securities & Exchange Commission, which is accessible through this link. In other news, CTO Robert Blumofe sold 3,000 shares of the company’s stock in a transaction dated Friday, June 14th. The stock was sold at an average price of $88.34, for a total value of $265,020.00. Following the transaction, the chief technology officer now owns 24,729 shares in the company, valued at approximately $2,184,559.86. The sale was disclosed in a filing with the Securities & Exchange Commission, which is available through the SEC website. Also, EVP Anthony P. Williams sold 5,000 shares of the firm’s stock in a transaction that occurred on Tuesday, May 14th. The shares were sold at an average price of $93.58, for a total transaction of $467,900.00. Following the transaction, the executive vice president now directly owns 9,938 shares in the company, valued at approximately $929,998.04. The disclosure for this sale can be found here. Insiders sold a total of 9,000 shares of company stock worth $826,460 in the last 90 days. 1.80% of the stock is owned by company insiders.

About Akamai Technologies

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.