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Why Akamai Technologies (AKAM) Dipped More Than Broader Market Today
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Akamai Technologies (AKAM - Free Report) closed the latest trading day at $106.61, indicating a -0.98% change from the previous session's end. The stock trailed the S&P 500, which registered a daily loss of 0.5%. Elsewhere, the Dow gained 0.12%, while the tech-heavy Nasdaq lost 1.23%.
Prior to today's trading, shares of the cloud services provider had gained 2.03% over the past month. This has outpaced the Computer and Technology sector's loss of 0.1% and the S&P 500's loss of 2.4% in that time.
The investment community will be closely monitoring the performance of Akamai Technologies in its forthcoming earnings report. The company is scheduled to release its earnings on November 7, 2023. It is anticipated that the company will report an EPS of $1.51, marking a 19.84% rise compared to the same quarter of the previous year. Meanwhile, the latest consensus estimate predicts the revenue to be $944.57 million, indicating a 7.11% increase compared to the same quarter of the previous year.
AKAM's full-year Zacks Consensus Estimates are calling for earnings of $5.94 per share and revenue of $3.78 billion. These results would represent year-over-year changes of +10.61% and +4.57%, respectively.
Any recent changes to analyst estimates for Akamai Technologies should also be noted by investors. Such recent modifications usually signify the changing landscape of near-term business trends. As a result, upbeat changes in estimates indicate analysts' favorable outlook on the company's business health and profitability.
Based on our research, we believe these estimate revisions are directly related to near-team stock moves. To capitalize on this, we've crafted the Zacks Rank, a unique model that incorporates these estimate changes and offers a practical rating system.
The Zacks Rank system, spanning from #1 (Strong Buy) to #5 (Strong Sell), boasts an impressive track record of outperformance, audited externally, with #1 ranked stocks yielding an average annual return of +25% since 1988. Over the past month, there's been no change in the Zacks Consensus EPS estimate. As of now, Akamai Technologies holds a Zacks Rank of #2 (Buy).
Investors should also note Akamai Technologies's current valuation metrics, including its Forward P/E ratio of 18.14. This represents a discount compared to its industry's average Forward P/E of 24.86.
Also, we should mention that AKAM has a PEG ratio of 1.87. The PEG ratio is similar to the widely-used P/E ratio, but this metric also takes the company's expected earnings growth rate into account. The Internet - Services industry had an average PEG ratio of 1.9 as trading concluded yesterday.
The Internet - Services industry is part of the Computer and Technology sector. This industry, currently bearing a Zacks Industry Rank of 74, finds itself in the top 30% echelons of all 250+ industries.
The Zacks Industry Rank gauges the strength of our individual industry groups by measuring the average Zacks Rank of the individual stocks within the groups. Our research shows that the top 50% rated industries outperform the bottom half by a factor of 2 to 1.
Make sure to utilize Zacks.com to follow all of these stock-moving metrics, and more, in the coming trading sessions.
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Why Akamai Technologies (AKAM) Dipped More Than Broader Market Today
Akamai Technologies (AKAM - Free Report) closed the latest trading day at $106.61, indicating a -0.98% change from the previous session's end. The stock trailed the S&P 500, which registered a daily loss of 0.5%. Elsewhere, the Dow gained 0.12%, while the tech-heavy Nasdaq lost 1.23%.
Prior to today's trading, shares of the cloud services provider had gained 2.03% over the past month. This has outpaced the Computer and Technology sector's loss of 0.1% and the S&P 500's loss of 2.4% in that time.
The investment community will be closely monitoring the performance of Akamai Technologies in its forthcoming earnings report. The company is scheduled to release its earnings on November 7, 2023. It is anticipated that the company will report an EPS of $1.51, marking a 19.84% rise compared to the same quarter of the previous year. Meanwhile, the latest consensus estimate predicts the revenue to be $944.57 million, indicating a 7.11% increase compared to the same quarter of the previous year.
AKAM's full-year Zacks Consensus Estimates are calling for earnings of $5.94 per share and revenue of $3.78 billion. These results would represent year-over-year changes of +10.61% and +4.57%, respectively.
Any recent changes to analyst estimates for Akamai Technologies should also be noted by investors. Such recent modifications usually signify the changing landscape of near-term business trends. As a result, upbeat changes in estimates indicate analysts' favorable outlook on the company's business health and profitability.
Based on our research, we believe these estimate revisions are directly related to near-team stock moves. To capitalize on this, we've crafted the Zacks Rank, a unique model that incorporates these estimate changes and offers a practical rating system.
The Zacks Rank system, spanning from #1 (Strong Buy) to #5 (Strong Sell), boasts an impressive track record of outperformance, audited externally, with #1 ranked stocks yielding an average annual return of +25% since 1988. Over the past month, there's been no change in the Zacks Consensus EPS estimate. As of now, Akamai Technologies holds a Zacks Rank of #2 (Buy).
Investors should also note Akamai Technologies's current valuation metrics, including its Forward P/E ratio of 18.14. This represents a discount compared to its industry's average Forward P/E of 24.86.
Also, we should mention that AKAM has a PEG ratio of 1.87. The PEG ratio is similar to the widely-used P/E ratio, but this metric also takes the company's expected earnings growth rate into account. The Internet - Services industry had an average PEG ratio of 1.9 as trading concluded yesterday.
The Internet - Services industry is part of the Computer and Technology sector. This industry, currently bearing a Zacks Industry Rank of 74, finds itself in the top 30% echelons of all 250+ industries.
The Zacks Industry Rank gauges the strength of our individual industry groups by measuring the average Zacks Rank of the individual stocks within the groups. Our research shows that the top 50% rated industries outperform the bottom half by a factor of 2 to 1.
Make sure to utilize Zacks.com to follow all of these stock-moving metrics, and more, in the coming trading sessions.