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Akamai Technologies (AKAM) Rises Higher Than Market: Key Facts

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Akamai Technologies (AKAM - Free Report) ended the recent trading session at $74.25, demonstrating a +1.91% change from the preceding day's closing price. The stock exceeded the S&P 500, which registered a gain of 1.07% for the day. Meanwhile, the Dow experienced a rise of 1.12%, and the technology-dominated Nasdaq saw an increase of 1.37%.

Heading into today, shares of the cloud services provider had lost 4.48% over the past month, lagging the Computer and Technology sector's gain of 2.68% and the S&P 500's gain of 1.08%.

The upcoming earnings release of Akamai Technologies will be of great interest to investors. The company's earnings report is expected on November 6, 2025. The company is expected to report EPS of $1.64, up 3.14% from the prior-year quarter. Simultaneously, our latest consensus estimate expects the revenue to be $1.04 billion, showing a 3.7% escalation compared to the year-ago quarter.

For the entire fiscal year, the Zacks Consensus Estimates are projecting earnings of $6.71 per share and a revenue of $4.17 billion, representing changes of +3.55% and +4.36%, respectively, from the prior year.

Investors might also notice recent changes to analyst estimates for Akamai Technologies. These latest adjustments often mirror the shifting dynamics of short-term business patterns. Therefore, positive revisions in estimates convey analysts' confidence in the business performance and profit potential.

Empirical research indicates that these revisions in estimates have a direct correlation with impending stock price performance. To exploit this, we've formed the Zacks Rank, a quantitative model that includes these estimate changes and presents a viable 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 last 30 days, the Zacks Consensus EPS estimate has moved 0.61% higher. Right now, Akamai Technologies possesses a Zacks Rank of #2 (Buy).

In terms of valuation, Akamai Technologies is currently trading at a Forward P/E ratio of 10.86. This expresses a discount compared to the average Forward P/E of 25.3 of its industry.

Investors should also note that AKAM has a PEG ratio of 2.22 right now. The PEG ratio bears resemblance to the frequently used P/E ratio, but this parameter also includes the company's expected earnings growth trajectory. By the end of yesterday's trading, the Internet - Services industry had an average PEG ratio of 1.72.

The Internet - Services industry is part of the Computer and Technology sector. With its current Zacks Industry Rank of 80, this industry ranks in the top 33% of all industries, numbering over 250.

The strength of our individual industry groups is measured by the Zacks Industry Rank, which is calculated based on the average Zacks Rank of the individual stocks within these 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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