Akamai Technologies, Inc.’s Stock Price Plummets to $76.73, Marking a Sharp 21.73% Drop

Akamai Technologies, Inc. (AKAM)

76.73 USD -21.30 (-21.73%) Volume: 20.69M

Discover Akamai Technologies, Inc.’s stock price performance, currently trading at 76.73 USD, experiencing a significant drop of -21.73% this session with a trading volume of 20.69M, and a year-to-date decline of -19.78%, highlighting the company’s market volatility.

Latest developments on Akamai Technologies, Inc.

Akamai Technologies has been in the spotlight recently with a mix of positive and negative news affecting its stock price. Despite beating Q4 earnings and revenue estimates, Wall Street is questioning the company’s future. Akamai secured a significant multi-year agreement worth $100 million in cloud services with a major tech company, but also lowered its revenue forecast amid fierce AI competition. The stock price plummeted 20% despite surpassing quarterly expectations, hitting a 52-week low of $84.64. Analyst downgrades from Booz Allen Hamilton, Craig-Hallum, and BofA have added to the pressure, with concerns about a multi-year transition and sluggish demand for 2025. Despite the challenges, Akamai remains a strategic cloud computing provider for one of the world’s largest technology companies, showing resilience in the face of market shifts and uncertainties.

Akamai Technologies, Inc. on Smartkarma

Analysts on Smartkarma, such as Baptista Research, are bullish on Akamai Technologies. In their report titled “Akamai Technologies: Cloud Computing Expansion As A Primary Growth Accelerator! – Major Drivers”, they highlight the company’s financial success in the third quarter of 2024. Akamai Technologies reported exceeding $1 billion in total revenue for the first time, showing a 4% increase year-over-year. Additionally, the company achieved a significant milestone with its total annual revenue run rate surpassing $4 billion and its security revenue crossing $2 billion.

Overall, analysts like Baptista Research are optimistic about Akamai Technologies‘ growth prospects. They see the company’s expansion in cloud computing as a primary driver for future growth. With key achievements and ongoing challenges in mind, analysts are keeping a close eye on how Akamai Technologies navigates the evolving market landscape to capitalize on its strengths and drive further success in the future.

A look at Akamai Technologies, Inc. Smart Scores

Smart Score is a compound score for the Company indicating its overall outlook. It is derived by taking an equally weighted average of underlying Factor scores computed by Smartkarma

Based on the Smartkarma Smart Scores, Akamai Technologies has a positive long-term outlook. The company scores high in value, indicating that it is seen as a good investment opportunity. However, its dividend score is low, suggesting that it may not be the best choice for investors seeking regular income. In terms of growth, Akamai Technologies has a moderate score, indicating potential for expansion in the future. The company’s resilience score is also moderate, suggesting that it is able to withstand economic challenges. Additionally, Akamai Technologies has a momentum score of 3, indicating that it is on a steady path of progress.

Akamai Technologies, Inc. is a company that specializes in providing services to enhance the delivery of content and applications over the Internet. Their offerings range from live and on-demand streaming video capabilities to traditional content on websites, as well as tools that facilitate business transactions and customer outreach. With a strong emphasis on value and growth, Akamai Technologies is positioned well for long-term success in the ever-evolving digital landscape.

Disclaimer: This article by Smartkarma is general in nature and based on historical data and analyst forecasts only using an unbiased methodology and our articles are not intended to be financial advice. It does not constitute a recommendation to buy or sell any stock, and does not take account of your objectives, or your financial situation. Note that our articles may not factor in the latest price-sensitive company announcements or qualitative material.
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