Akamai Technologies, Inc. (AKAM), headquartered in Cambridge, Massachusetts, provides security, delivery, and cloud computing solutions. Valued at $17.9 billion by market cap, the company provides services for accelerating and improving the delivery of content and applications over the internet, ranging from live and on-demand streaming video capabilities to conventional content on websites, to tools that help people transact business and reach out to new and existing customers. The cybersecurity and cloud computing company is expected to announce its fiscal second-quarter earnings for 2026 after the market closes on Thursday, Aug. 6.
Ahead of the event, analysts expect AKAM to report a profit of $0.90 per share on a diluted basis, down 18.2% from $1.10 per share in the year-ago quarter. The company beat the consensus estimates in three of the last four quarters while missing the forecast on another occasion.
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For the full year, analysts expect AKAM to report EPS of $3.92, down 11.1% from $4.41 in fiscal 2025. However, its EPS is expected to rise 5.1% year over year to $4.12 in fiscal 2027.
www.barchart.comAKAM stock has outperformed the S&P 500 Index’s ($SPX) 19.1% gains over the past 52 weeks, with shares up 58.7% during this period. Similarly, it outperformed the State Street Technology Select Sector SPDR ETF’s (XLK) 38.4% gains over the same time frame.
www.barchart.comAKAM outperformed as investor sentiment improved on strong cloud and security momentum. A landmark $1.8 billion, 7-year deal with a leading frontier AI model provider validated Akamai’s role in AI infrastructure, supported by its global platform of 4,300 locations for low-latency compute and security. In addition, security revenue grew about 11% annually on rising AI-driven threats, and large contract wins across retail, gaming, and healthcare added to the strength. Backed by the megadeal and an upgraded outlook, management expects these investments to drive double-digit growth heading into 2027.
Analysts’ consensus opinion on AKAM stock is reasonably bullish, with a “Moderate Buy” rating overall. Out of 22 analysts covering the stock, 11 advise a “Strong Buy” rating, one suggests a “Moderate Buy,” eight give a “Hold,” and two recommend a “Strong Sell.” AKAM’s average analyst price target is $160.38, indicating a notable potential upside of 28.4% from the current levels.
On the date of publication, Neha Panjwani did not have (either directly or indirectly) positions in any of the securities mentioned in this article. All information and data in this article is solely for informational purposes. For more information please view the Barchart Disclosure Policy here.
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