Akamai Technologies Inc. (AKAM) Stock

Akamai Technologies Inc. trades at a P/E ratio of 26.71, which is above the market average of approximately 20. This premium valuation suggests investors expect above-average growth or the company has competitive advantages justifying the higher multiple. Looking ahead, the forward P/E of 12.89 is lower than the current P/E, indicating analysts expect earnings to grow over the next year. The PEG ratio of 1.11 indicates reasonable value when growth is considered.

With a beta of 0.77, Akamai Technologies Inc. is less volatile than the overall market. This means when the market moves up or down by 10%, this stock typically moves less than 10% in the same direction. Lower beta stocks are often preferred by conservative investors seeking stability. The price-to-book ratio of 2.47 shows investors value the company above its book value, which often reflects intangible assets or growth prospects.

Akamai Technologies Inc. achieves a profit margin of 11.30%, meaning it retains $11.30 from every $100 in revenue after all expenses. This represents a solid margin typical of well-run businesses, showing the company can effectively balance revenue generation with cost control. The operating margin of 15.30% reveals how efficiently the company runs its core business operations before interest and taxes. With ROE at 9.82% and ROA at 3.92%, the company achieves moderate returns on invested capital.

Akamai Technologies Inc.'s revenue grew by 2.90% year-over-year, showing steady progress in growing the business. This positive trajectory indicates the company maintains competitive positioning in its markets. Earnings decreased by 26.10% year-over-year, reflecting the bottom-line impact of business performance. These growth metrics should be evaluated against SERVICES-BUSINESS SERVICES, NEC industry averages for proper context.

Akamai Technologies Inc. has a market capitalization of $11.33B, classifying it as a large-cap stock ($10B-$200B). Large-caps are typically industry leaders with established business models, offering a balance of stability and growth potential. They often provide dividend income and are core holdings in institutional portfolios. With 142.34M shares outstanding, the company's ownership is relatively concentrated. As a participant in the SERVICES-BUSINESS SERVICES, NEC industry, it competes with other firms in this sector.

Akamai Technologies Inc.'s book value per share is $31.38, while the current stock price is $77.70, resulting in a price-to-book (P/B) ratio of 2.48. This reasonable premium to book value suggests the market values the company's earnings power and intangible assets appropriately. Most profitable companies trade between 1-3x book value. As a common stock, this represents equity ownership with voting rights.

23 analysts cover AKAM with 61% recommending buy/strong buy ratings. Analyst predictions have mixed reliability - studies show consensus rarely beats market returns consistently. The mixed views reflect uncertainty about the outlook. The consensus target of $100.33 implies 29.1% upside, but targets are often adjusted to follow price moves rather than predict them.

Current analyst recommendations:2 Strong Buy, 12 Buy, 8 Hold, 01 Strong Sell. The bullish tilt suggests optimism about future prospects, though investors should conduct independent research.Remember that analyst opinions often lag price movements and can be influenced by investment banking relationships.

RSI data is not available for this stock.

MACD and moving average data are not available for this stock.