Akamai Technologies, Inc. (AKAM) - Stock Analysis

Last updated: Jan 18, 2026

TechnologyClosed

Research Idea

Research content for general circulation. Not individualized advice. Methodology & Disclosures

Strong Q3 beat with 5% revenue growth, 39% Cloud Infrastructure segment growth, AI product expansions, strategic partnerships, solid profitability and liquidity, accompanied by a 20% price gain over 21 days and breakout above resistance, indicating robust short-term momentum.

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Idea window: 11/26/2025 – 12/3/2025Sector: Technology

AI Analyst Overview

Last Price
$93.49
Market Cap
$13449.96
1D Return
+2.14%
YTD Return
+7.15%

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Valuation Metrics

P/E
26.9
P/B
2.9
P/S
3.3
EV/EBITDA
12.4
Div Yield
—

Fundamental Analysis

6.0

Key Financial Insights: • Strong gross margin • Rising long-term debt • Elevated capex Akamai posts strong margins and FCF supporting improved short-term liquidity but rising debt, elevated capex and weaker quarterly profitability materially increase risk to the investment case.

FreeCashFlow
HighLeverage

Price Behavior

6.0

Key Price Behavior Insights: • Steady ascent • Intermittent pullbacks • Mid‑80s support Support Level: $85.00–$86.00 Resistance Level: $88.00–$92.00 Over the last month AKAM strengthened from about $85.32 to $93.49, showing a steady bullish trend with intermittent pullbacks that signal manageable short-term resistance around the high-$80s to low-$90s.

Bullish
WatchRisk

Sentiment & News

7.0

Key News Insights: • Institutional buying • Analyst upgrade • ISV Catalyst launch Institutional accumulation, a notable Morgan Stanley upgrade and the ISV Catalyst launch point to improving cloud-focused momentum for Akamai despite short-term share volatility and mixed broker guidance.

BuySignal
MixedOutlook
AI

AI Summary

6.0
Neutral

Akamai's strategic pivot from a cash‑generative CDN/security business to capital‑intensive edge‑AI and inference services could materially re-rate the stock if CIS ARR and Inference Cloud utilization scale quickly, but investors should explicitly watch near‑term capex cadence, cash conversion and leverage metrics—if utilization lags or capex stays elevated without margin recovery, downside risk is amplified.

EdgeAI
LeverageRisk
CISScale
AI summary updated today

Description

Akamai Technologies provides cloud-based services that secure, deliver and optimize internet content and business applications globally. Its portfolio includes protections for infrastructure, websites, APIs and users, performance tools for web and mobile applications, media and software delivery capabilities, edge computing for distributed code execution, and carrier-oriented network services, supported by integration and management services. The company sells through direct and channel sales, was founded in 1998 and is headquartered in Cambridge, Massachusetts.

Idea History

DateCloseTickerCompanySummaryStatusP/L
Nov 26Dec 3AKAMAkamai Technologies, Inc.
Strong Q3 beat with 5% revenue growth, 39% Cloud Infrastructure segment growth, AI product expansions, strategic partnerships, solid profitability and liquidity, accompanied by a 20% price gain over 21 days and breakout above resistance, indicating robust short-term momentum.
Closed-1.7%
Research content for educational purposes only. Not investment advice. All decisions are your responsibility.