AKAM
Akamai Technologies
$120.74
▼ 3.3%Updated Today 7:15 PM ET
▲ Up 58.7% over the last 12 months
Market Cap
$18.16B
P/E
41.78x
Forward P/E (est.)
41.71x
ROE
9.1%
Revenue Growth
6.2%
EPS Growth
0.1%
Profit Margin
10.2%
FCF Yield
5.5%
Debt / Equity
0.82x
ROIC
9.0%
Interest Coverage
32.01x
Current Ratio
2.06x
Dividend Yield
—
Implied Growth (rev. DCF)
3.3%
Rating Score
39/100
Technical analysis reads price and volume to judge momentum and timing. It complements the fundamentals above — it does not replace them. Here is what AKAM's chart says today, with each tool explained.
Trend — moving averages. A moving average is the average closing price over a window, which smooths out daily noise. AKAM trades near $120.74, around its 50-day average ($126.46) and 200-day average ($99.08). Price tangled in its moving averages means there is no clear trend — the stock is ranging.
Momentum — RSI. The Relative Strength Index runs 0–100 and measures how strong recent gains are versus losses. Above 70 is "overbought", below 30 "oversold". At 28 it is oversold — selling has been heavy and a bounce is possible.
MACD. MACD compares two moving averages to flag shifts in momentum. Its histogram is currently negative — short-term momentum is fading.
Volatility — ATR. Average True Range is the typical daily move. AKAM's is $7.76 (~6.4% of price), so swings of about that size each day are normal — handy for setting a stop that isn't too tight.
Support & resistance. Over the last month AKAM found buyers near $122.76 (support) and sellers near $164.80 (resistance); its 52-week range is $69.78–$165.45. A decisive break beyond either edge often marks the next move.
Volume. The latest session traded 1.6× the 20-day average — heavier than usual, which adds conviction to the move. Rising volume on up-days suggests real buying; on down-days, real selling.
Educational information to help you read a chart — not a recommendation or a forecast. It updates daily as the price and indicators change.
Akamai Technologies (AKAM) is a large-cap company in the Internet Services & Infrastructure industry, part of the Information Technology sector of the S&P 500, with a market value around $18.16B.
In its latest reported year it generated about $4.21B in revenue and $452.03M in net profit.
Our model rates AKAM Weak (39/100) on growth, profitability, financial health, and valuation. The summary below is built from its filed financials and current ratios and refreshes automatically.
4Y CAGR
5.0%
Revenue moved from $3.46B in 2021 to $4.21B in 2025, a 5.0% compound annual growth rate. The most recent year grew a steady 6.2% year over year. Slower, mature growth is common for established businesses.
Gross Margin
58.3%
Operating Margin
13.5%
Net Margin
10.7%
ROE
9.1%
Akamai Technologies keeps about 10.2% of each sales dollar as net profit, with a 58.3% gross margin and 13.5% operating margin. Return on equity is 9.1% and return on invested capital about 9.0%. Margins are moderate — typical of a competitive but profitable business.
Total Debt
—
Net Debt
—
Net Debt / EBITDA
—
Debt / Equity
0.82x
Leverage: debt-to-equity is 0.8x, and operating profit covers interest about 32.0x, with a current ratio of 2.1x. That is a moderate, manageable debt load for most businesses.
Operating CF
$1.52B
Free Cash Flow
$1.01B
FCF Margin
24.0%
In the latest year Akamai Technologies produced about $1.52B of operating cash flow and $1.01B of free cash flow after capital spending. That is a free-cash-flow yield of about 5.5% on today's price. Strong cash generation funds dividends, buybacks, and reinvestment.
P/E
41.78x
P/S
4.58x
P/B
2.38x
EV / EBITDA
14.59x
AKAM trades at 41.8x trailing earnings (about 41.7x on estimated forward earnings), 4.6x sales, and 2.4x book value. Reverse-engineering today's price implies the market expects roughly 3.3% long-term free-cash-flow growth. That is a rich multiple that prices in a lot of future growth.
Where this stock sits versus what most companies trade at.
Typical ranges are general references (e.g., many stocks trade at ~18–26x earnings), not hard rules. Context only — not investment advice.
How AKAM stacks up against its Information Technology peers — valuation, profitability, and growth versus the sector median.
In the Information Technology sector (72 S&P 500 companies), AKAM ranks #66 of 72 by our overall rating. It trades at a premium versus the sector on earnings (41.8x P/E vs. 35.6x median) with a lower return on equity (9.1% vs. 25.6%) and slower revenue growth (6.2% vs. 17.4%).
P/E vs sector
41.8x
median 35.6x
ROE vs sector
9.1%
median 25.6%
Growth vs sector
6.2%
median 17.4%
Sector rank
#66
of 72 by rating
Valuation vs. quality map
The sweet spot is upper-left: more profitable (higher ROE) for a lower P/E. Dashed lines mark the sector median.
Peers are the closest Information Technology companies by sub-industry and size. Sector median is across all 72 S&P 500 names in the sector. Educational, not a recommendation.
Project revenue → earnings → price. Edit the assumptions to build your own case.
2030 price target (Base Case)
$106.52 – $178.96
vs. $120.74 today · expected CAGR -2% – 8%
| Metric | 2026 | 2027 | 2028 | 2029 | 2030 |
|---|---|---|---|---|---|
| Revenue | $4.46B | $4.73B | $5.01B | $5.31B | $5.63B |
| Net income | $490.67M | $520.11M | $551.32M | $584.40M | $619.46M |
| EPS | $3.37 | $3.58 | $3.79 | $4.02 | $4.26 |
| Share price (low) | $84.37 | $89.44 | $94.80 | $100.49 | $106.52 |
| Share price (high) | $141.75 | $150.25 | $159.27 | $168.83 | $178.96 |
| CAGR (low–high) | -30% / 17% | -14% / 12% | -8% / 10% | -4% / 9% | -2% / 8% |
Educational model on sample fundamentals — not a forecast or investment advice. Outputs are only as good as your assumptions.
The case for AKAM:
- Healthy free-cash-flow yield (~5.5%) funds buybacks and dividends.
- As an established S&P 500 member in Information Technology, it brings scale and a long operating history.
The case against AKAM:
- A rich 41.8x earnings multiple prices in a lot of growth.
- Our model's overall read is Weak (39/100).
Valuation risk — at 41.8x earnings, disappointing results could compress the multiple.
Market risk — sector rotation, the economic cycle, and broad sentiment move the stock regardless of fundamentals.
On balance, the fundamentals screen weakly: Akamai Technologies is a large-cap information technology business growing at a mature pace, with modest profitability, and a heavier debt load to watch. It trades at 41.8x earnings, which our model scores Weak (39/100). Weigh this against your own goals and time horizon — this is educational information, not a recommendation.
Data notice. Fundamentals and financial statements are sourced from company filings (SEC EDGAR) and market-data providers; prices and market caps refresh on trading days and may be delayed. Ratings, projections, technical signals, and written summaries are model- or rule-generated for education and may simplify or lag the latest filings.
Not advice. Nothing on this page is investment advice or a recommendation to buy, hold, or sell any security. Do your own research and consult a licensed financial professional before investing.