Brokerages Expect Akamai Technologies, Inc. (AKAM) Will Post Earnings of $0.70 Per Share

Equities research analysts expect Akamai Technologies, Inc. (NASDAQ:AKAM) to post earnings of $0.70 per share for the current quarter, Zacks reports. Eleven analysts have made estimates for Akamai Technologies’ earnings, with the highest EPS estimate coming in at $0.75 and the lowest estimate coming in at $0.68. Akamai Technologies reported earnings of $0.69 per share in the same quarter last year, which would suggest a positive year-over-year growth rate of 1.4%. The business is expected to announce its next earnings results after the market closes on Monday, April 30th.

According to Zacks, analysts expect that Akamai Technologies will report full-year earnings of $3.02 per share for the current financial year, with EPS estimates ranging from $2.92 to $3.20. For the next financial year, analysts forecast that the firm will report earnings of $3.57 per share, with EPS estimates ranging from $3.22 to $3.95. Zacks’ earnings per share calculations are an average based on a survey of analysts that follow Akamai Technologies.

Akamai Technologies (NASDAQ:AKAM) last posted its quarterly earnings results on Tuesday, February 6th. The technology infrastructure company reported $0.69 EPS for the quarter, beating the consensus estimate of $0.63 by $0.06. The firm had revenue of $663.50 million during the quarter, compared to analysts’ expectations of $649.08 million. Akamai Technologies had a return on equity of 9.90% and a net margin of 8.72%. The company’s revenue for the quarter was up 7.7% on a year-over-year basis. During the same quarter in the prior year, the firm posted $0.72 EPS.



A number of brokerages have recently issued reports on AKAM. Zacks Investment Research cut Akamai Technologies from a “buy” rating to a “hold” rating in a report on Tuesday. Morgan Stanley raised Akamai Technologies from an “underweight” rating to an “equal weight” rating and set a $75.00 target price for the company in a report on Thursday, March 29th. KeyCorp raised Akamai Technologies from an “underweight” rating to a “sector weight” rating and set a $57.00 target price for the company in a report on Thursday, March 15th. Credit Suisse Group reissued an “outperform” rating and issued a $88.00 target price (up from $78.00) on shares of Akamai Technologies in a report on Friday, March 9th. Finally, JPMorgan Chase raised Akamai Technologies from a “neutral” rating to an “overweight” rating and increased their target price for the stock from $44.65 to $75.19 in a report on Friday, March 9th. One analyst has rated the stock with a sell rating, ten have assigned a hold rating, thirteen have issued a buy rating and two have assigned a strong buy rating to the stock. Akamai Technologies presently has an average rating of “Buy” and a consensus price target of $69.96.

Akamai Technologies stock traded up $0.33 during trading hours on Thursday, hitting $71.92. The stock had a trading volume of 968,419 shares, compared to its average volume of 1,822,869. The company has a quick ratio of 2.82, a current ratio of 2.82 and a debt-to-equity ratio of 0.20. The stock has a market cap of $12,321.69, a price-to-earnings ratio of 37.85, a price-to-earnings-growth ratio of 2.55 and a beta of 0.67. Akamai Technologies has a fifty-two week low of $44.65 and a fifty-two week high of $78.28.

Akamai Technologies announced that its board has approved a share buyback program on Thursday, March 8th that allows the company to buyback $417.00 million in outstanding shares. This buyback authorization allows the technology infrastructure company to repurchase shares of its stock through open market purchases. Stock buyback programs are generally an indication that the company’s board of directors believes its shares are undervalued.

In related news, insider William Wheaton sold 5,000 shares of the stock in a transaction that occurred on Monday, March 5th. The stock was sold at an average price of $70.00, for a total transaction of $350,000.00. Following the sale, the insider now directly owns 39,465 shares in the company, valued at approximately $2,762,550. The transaction was disclosed in a filing with the SEC, which can be accessed through this hyperlink. Also, EVP Robert Blumofe sold 8,379 shares of the stock in a transaction that occurred on Monday, April 2nd. The stock was sold at an average price of $70.81, for a total value of $593,316.99. The disclosure for this sale can be found here. Over the last 90 days, insiders have sold 34,427 shares of company stock worth $2,388,359. 3.20% of the stock is owned by corporate insiders.

A number of hedge funds and other institutional investors have recently added to or reduced their stakes in the stock. CenterStar Asset Management LLC bought a new position in Akamai Technologies in the 4th quarter valued at $114,000. Avestar Capital LLC bought a new position in Akamai Technologies in the 4th quarter valued at $131,000. We Are One Seven LLC bought a new position in Akamai Technologies in the 4th quarter valued at $160,000. Delpha Capital Management LLC bought a new position in Akamai Technologies in the 4th quarter valued at $177,000. Finally, Welch & Forbes LLC bought a new position in Akamai Technologies in the 4th quarter valued at $203,000. Institutional investors and hedge funds own 89.24% of the company’s stock.

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About Akamai Technologies

Akamai Technologies, Inc is engaged in providing cloud services for delivering, optimizing and securing content and business applications over the Internet. The Company is involved in offering content delivery network (CDN) services. Its services include the delivery of content, applications and software over the Internet, as well as mobile and security solutions.

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Earnings History and Estimates for Akamai Technologies (NASDAQ:AKAM)

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