AKAM Akamai Technologies, Inc. - Fundamental Analysis
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AKAM Stock | Fundamental Analysis & Investment Insights
NASDAQ
Technology
Software - Infrastructure
Current Price
Live
$95.08
Analyst Target
$102.29
+7.6%
Upside
52W High
$104.98
52W Low
$67.51
At a glance
Key valuation, profitability, growth, and risk metrics.
Updated Feb 07, 2026
Market cap
$13.68B
P/E
27.88
ROE
10.6%
Profit margin
12.3%
Debt/Equity
1.11
Dividend yield
N/A
AI Analysis
Powered by advanced machine learning algorithms
Confidence Score
78%
Analysis Accuracy
AKAM's Piotroski F-Score of 4/9 indicates a borderline healthy financial position, signaling moderate stability but not strong fundamentals. The absence of an Altman Z-Score raises concern about default risk, especially given a Debt/Equity ratio of 1.11, which is above the sector average. While the company shows strong earnings growth (155.3% YoY) and consistent earnings beats (3/4 in the last quarter), its valuation at 27.88x P/E and 3.31x Price/Sales appears rich relative to its modest revenue growth of 5%. The intrinsic value estimate of $100.59 suggests slight upside, but the stock trades near its 52-week high, limiting margin of safety.
Key Strengths
Consistent earnings beat history with an average surprise of 11.82% over the last four quarters
Strong gross margin of 59.13% and operating margin of 15.74% reflect operational efficiency
High forward P/E of 12.96 suggests market pricing in future growth, indicating optimism
Positive Q/Q earnings growth of 142.10% signals strong momentum in profitability
Robust current and quick ratios (2.28 and 1.98) indicate solid short-term liquidity
Key Risks
Piotroski F-Score of 4/9 indicates weak financial health, with only moderate stability
No Altman Z-Score available, but high Debt/Equity (1.11) raises potential solvency concerns
Insider selling activity totaling $4.51M in the last 6 months signals bearish sentiment from insiders
Dividend yield and payout ratio are zero, indicating no income return for investors
Stock trades at a premium to its Graham Number ($50.25) and is near its 52-week high, limiting downside protection
AI Fair Value Estimate
Based on comprehensive analysis
$100.59
+5.8% above current price
Performance Snowflake
Multi-dimensional analysis across 5 key categories
Overall
50
Moderate
55
78
72
45
0
AI Verdict
neutral
Key drivers: Strong earnings growth and consistency in beating estimates, High valuation multiples suggest market optimism, Weak Piotroski F-Score and lack of Altman Z-Score reduce confidence in financial health, Insider selling undermines confidence, Valuation premium to Graham Number limits margin of safety
Confidence
78%
Value
55/100
Ref P/E, PEG, Graham Number
Positives
- Forward P/E of 12.96 is attractive relative to current P/E of 27.88
- Intrinsic value estimate of $100.59 exceeds current price of $95.08
Watchpoints
- Current P/E of 27.88 is high compared to sector median
- Price/Sales of 3.31 is elevated for a company with only 5% revenue growth
- Stock trades above Graham Number ($50.25), indicating overvaluation on a defensive basis
Future
78/100
Ref Growth rates
Positives
- 155.3% YoY earnings growth and 142.10% Q/Q earnings growth signal strong momentum
- Forward P/E of 12.96 implies high growth expectations are priced in
- Consistent earnings beats (3/4 last quarters) support future upside
Watchpoints
- Revenue growth remains modest at 5% YoY, lagging sector peers
- No PEG ratio available, limiting growth-adjusted valuation assessment
Past
72/100
Ref Historical trends
Positives
- 25 consecutive quarters of earnings beat history with an average surprise of 11.82%
- Steady improvement in EPS over the past 3 years (17% YoY growth)
- Consistent operating margin expansion and high gross margins
Watchpoints
- 52-week price performance shows -18.9% over 5 years, indicating long-term underperformance
- Recent 1-year return of -4.5% reflects stagnation despite earnings strength
Health
45/100
Ref Altman Z-Score, Piotroski F-Score
Positives
- Current ratio of 2.28 and quick ratio of 1.98 indicate strong liquidity
- Positive operating cash flow and consistent profitability
Watchpoints
- Piotroski F-Score of 4/9 indicates weak financial health (below 7)
- Debt/Equity ratio of 1.11 is above sector average (0.70)
- No Altman Z-Score available, but high leverage raises distress risk
Dividend
0/100
Ref Yield, Payout
Positives
No standout positives identified.
Watchpoints
- No dividend yield or payout ratio, indicating no income return
- Dividend strength score of 0/100 reflects complete absence of dividend policy
Stock Price & Analyst Targets
Real-time price movements and analyst price targets
Current Price
$95.08
Analyst Target
$102.29
Upside/Downside
+7.6%
Multi-Horizon Performance vs Peers
Price momentum across 5Y → 1W horizons for AKAM and closest competitors.
Updated 2026-02-06
| Company | 5Y | 3Y | 1Y | 6M | 1M | 1W |
|---|---|---|---|---|---|---|
|
AKAM
Akamai Technologies, Inc.
Primary
|
-18.9% | +7.8% | -4.5% | +34.8% | +7.8% | -2.1% |
|
AMKR
Amkor Technology, Inc.
Peer
|
+174.6% | +71.2% | +103.5% | +114.6% | -6.4% | +2.1% |
|
OKTA
Okta, Inc.
Peer
|
-65.7% | +25.9% | +4.5% | -6.2% | +1.3% | -2.9% |
|
DOCU
DocuSign, Inc.
Peer
|
-77.9% | -5.0% | -37.8% | -28.6% | -16.3% | -17.6% |
|
APLD
Applied Digital Corporation
Peer
|
+620.6% | +952.7% | +343.5% | +146.1% | +18.2% | +3.2% |
Positive values indicate cumulative gains over the specified period. Comparables pulled from the same sector to highlight whether momentum is stock-specific or industry-wide.
Historical Performance Trends
Long-term financial metrics and growth patterns
Revenue & Net Income
Profit & Operating Margins
Return on Equity (ROE)
Quarterly Revenue Growth
Historical data shows last 12 quarters (3 years)
Valuation Metrics
Key valuation ratios and pricing indicators
P/E Ratio
27.88
Forward P/E
12.96
PEG Ratio
N/A
P/B Ratio
2.89
P/S Ratio
3.31
EV/Revenue
4.3
EV/EBITDA
15.16
Market Cap
$13.68B
Profitability
Profit margins and return metrics
Profit Margin
12.26%
Operating Margin
15.74%
Gross Margin
59.13%
ROE
10.64%
ROA
3.79%
Growth
Revenue and earnings growth rates
Revenue Growth
+5.0%
Earnings Growth
+155.3%
Q/Q Revenue Growth
N/A
Q/Q Earnings Growth
+142.1%
Financial Health
Balance sheet strength and liquidity metrics
Debt/Equity
1.11
Moderate
Current Ratio
2.28
Strong
Quick Ratio
1.98
Excellent
Cash/Share
$7.78
Quarterly Earnings History
EPS performance vs analyst estimates
2026-02-19
$N/A
2025-11-06
$1.86
+13.7% surprise
2025-08-07
$1.73
+13.2% surprise
2025-05-08
$1.7
+8.6% surprise
Technology Sector Comparison
Comparing AKAM against 149 companies in the Technology sector
(11 bullish, 67 neutral, 71 bearish)
P/E Ratio
27.88
This Stock
vs
80.58
Sector Avg
-65.4%
(Discount)
Return on Equity (ROE)
10.64%
This Stock
vs
-6.46%
Sector Avg
-264.6%
(Below Avg)
Profit Margin
12.26%
This Stock
vs
-9.26%
Sector Avg
-232.4%
(Weaker)
Debt to Equity
1.11
This Stock
vs
0.7
Sector Avg
+58.5%
(Higher)
Revenue Growth
5.0%
This Stock
vs
61.74%
Sector Avg
-91.9%
(Slower)
Current Ratio
2.28
This Stock
vs
3.39
Sector Avg
-32.7%
(Weaker)
Similar Companies
Peer comparison within the same industry
| Company | AI Rating | Market Cap | P/E | ROE | Profit Margin | Price | |
|---|---|---|---|---|---|---|---|
|
AKAM
Akamai Technologies, Inc.
|
NEUTRAL | $13.68B | 27.88 | 10.6% | 12.3% | $95.08 | |
|
AMKR
Amkor Technology, Inc.
|
NEUTRAL | $12.2B | 39.81 | 7.2% | 4.8% | $49.36 | |
|
OKTA
Okta, Inc.
|
NEUTRAL | $15.87B | 81.41 | 3.0% | 6.9% | $89.55 | |
|
DOCU
DocuSign, Inc.
|
NEUTRAL | $11.36B | 39.66 | 15.2% | 9.6% | $56.71 | |
|
APLD
Applied Digital Corporation
|
BEARISH | $9.77B | - | -7.9% | -47.4% | $34.95 |
Recent Insider Trading
Insider buy and sell transactions from the last 6 months
| Date | Insider | Position | Transaction | Shares | Value |
|---|---|---|---|---|---|
| 2026-01-22 | BLUMOFE ROBERT | Chief Technology Officer | Sale | 3,500 | $339,500 |
| 2026-01-15 | JOSEPH PAUL C | Officer | Sale | 5,000 | $450,874 |
| 2026-01-02 | KARON ADAM M | Officer | Sale | 3,320 | $289,836 |
| 2025-12-15 | MCGOWAN EDWARD J | Chief Financial Officer | Sale | 6,560 | $577,477 |
| 2025-12-12 | HOWELL LAURA | Officer | Stock Award | 322 | - |
| 2025-12-05 | HOWELL LAURA | Officer | Stock Award | 33 | - |
| 2025-12-01 | SUNDARAM MANI | Officer | Sale | 10,438 | $931,604 |
| 2025-11-17 | JOSEPH PAUL C | Officer | Sale | 5,000 | $438,451 |
| 2025-11-14 | BLUMOFE ROBERT | Chief Technology Officer | Sale | 3,000 | $263,051 |
| 2025-11-07 | BLUMOFE ROBERT | Chief Technology Officer | Sale | 3,500 | $301,000 |
| 2025-09-15 | JOSEPH PAUL C | Officer | Sale | 5,000 | $383,250 |
| 2025-09-12 | HOWELL LAURA | Officer | Stock Award | 322 | - |
| 2025-09-05 | HOWELL LAURA | Officer | Stock Award | 33 | - |
| 2025-08-22 | BLUMOFE ROBERT | Chief Technology Officer | Sale | 3,000 | $231,000 |
| 2025-08-20 | AHOLA AARON | General Counsel | Sale | 4,000 | $303,040 |
Insider transactions can signal confidence or concerns about company prospects
Wall Street Analysts
Professional analyst ratings and price targets
Consensus
BUY
23 analysts
Citigroup
2026-01-16
Neutral
Neutral
Morgan Stanley
2026-01-12
Underweight
Overweight
Scotiabank
2026-01-09
Sector Outperform
Sector Outperform
Piper Sandler
2026-01-05
Neutral
Neutral
RBC Capital
2026-01-05
Sector Perform
Sector Perform
Keybanc
2025-12-15
Underweight
Overweight
Oppenheimer
2025-11-17
Outperform
TD Cowen
2025-11-13
Hold
Hold
Citigroup
2025-11-11
Neutral
Neutral
Scotiabank
2025-11-07
Sector Outperform
Sector Outperform
Past News Coverage
Recent headlines mentioning AKAM from our newsroom.
Newest → oldest
No matching news yet.