- Akamai has increased its full-year adjusted earnings per share (EPS) forecast to a range of $6.60 to $6.80, up from the previous forecast of $6.10 to $6.40, surpassing the estimate of $6.30.
- Full-year revenue is now expected to be between $4.14 billion to $4.21 billion, an increase from the prior view of $4.05 billion to $4.20 billion, above the $4.13 billion estimate.
- The adjusted operating margin forecast has been raised to 29%, compared to the previous range of 28%, which was also above the estimate of 28.1%.
- For the third quarter, Akamai projects adjusted EPS between $1.62 to $1.66, significantly higher than the $1.51 estimate.
- Third-quarter revenue is expected to be between $1.04 billion to $1.05 billion, aligning with the $1.04 billion estimate.
- In the second quarter, Akamai reported a 6.5% year-over-year increase in revenue, reaching $1.04 billion, beating the $1.02 billion estimate.
- Security revenue grew by 11% year-over-year to $551.9 million, slightly above the $550.2 million estimate.
- Delivery revenue decreased by 2.8% year-over-year to $320.1 million but exceeded the $295.9 million estimate.
- Akamai’s adjusted EPS for the second quarter was $1.73, an increase from $1.58 a year ago, surpassing the $1.54 estimate.
- Market analysts have rated Akamai with 14 buys, 9 holds, and 3 sells.
Akamai Technologies on Smartkarma
Analysts on Smartkarma have been closely covering Akamai Technologies, with notable insights provided by Baptista Research analysts. In a research report titled “Akamai Technologies Is Betting Big on Cloud & Security—Will It Be Enough to Outrun Rivals?,” Baptista Research highlighted Akamai’s strong first-quarter 2025 performance. Revenue reached $1.015 billion, showing a 3% year-over-year increase. The company exceeded expectations with non-GAAP earnings per share at $1.70, driven by growth in security and compute sectors, which accounted for 69% of total revenue. This transition towards cybersecurity and cloud computing showcases Akamai’s strategic focus.
In another report by Baptista Research titled “Akamai Technologies: Expanding Security Offerings to Augment Product Capabilities & Market Reach!,” the analysis of Akamai’s fourth-quarter 2024 earnings revealed a mixed performance. Despite concerns, Akamai reported revenue of $1.02 billion, showing a 3% increase both on a reported and constant currency basis. Non-GAAP earnings per share outperformed guidance at $1.66, indicating a strong market position for the company’s expanding security offerings.
A look at Akamai Technologies Smart Scores
| Factor | Score | Magnitude |
|---|---|---|
| Value | 3 | |
| Dividend | 1 | |
| Growth | 3 | |
| Resilience | 3 | |
| Momentum | 3 | |
| OVERALL SMART SCORE | 2.6 |
Smart Score is a compound score for the Company indicating its overall outlook. It is derived by taking an equally weighted average of underlying Factor scores computed by Smartkarma
Based on the Smartkarma Smart Scores for Akamai Technologies, the company seems to have a mixed long-term outlook. While it scores moderately on factors like Value, Growth, Resilience, and Momentum with a rating of 3, its Dividend score is lower at 1. This indicates that Akamai Technologies may not be a strong dividend-paying company, but it shows promise in terms of value, growth potential, resilience, and momentum in the market.
Akamai Technologies, Inc. is a company that specializes in providing services to enhance the delivery of content and applications over the Internet. Their offerings range from live and on-demand streaming video capabilities to traditional content on websites, as well as tools that facilitate business transactions and customer outreach. With moderate scores across various factors, Akamai Technologies appears to have a solid foundation for growth and market stability in the long term.
Disclaimer: This article by Smartkarma is general in nature and based on historical data and analyst forecasts only using an unbiased methodology and our articles are not intended to be financial advice. It does not constitute a recommendation to buy or sell any stock, and does not take account of your objectives, or your financial situation. Note that our articles may not factor in the latest price-sensitive company announcements or qualitative material.
While all reasonable care has been taken in the preparation, Smartkarma makes no assurance about the accuracy of any generated data or content. All content is indicative only and should be independently checked for accuracy and confirmed before use. Smartkarma accepts no responsibility for any loss or damage caused as a result of any inaccuracy or error within the Lab online tools or generated data.
Have feedback on this article? Concerned about the content? Get in touch with us directly.
💡 Before it’s here, it’s on Smartkarma
Sign Up for Free
The Smartkarma Preview Pass is your entry to the Independent Investment Research Network
- ✓ Unlimited Research Summaries
- ✓ Personalised Alerts
- ✓ Custom Watchlists
- ✓ Company Analytics and News
- ✓ Events & Webinars
