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Akamai Technologies Inc. ($AKAM) Stock Forecast: Down 11.2% Today

Morpher AI identified a bearish signal. The stock price may continue to fall based on the momentum of the negative news.

What is Akamai Technologies Inc.?

Akamai Technologies (AKAM) is a web content delivery and security company listed on the NASDAQ. The company focuses on providing services to help businesses deliver online content efficiently and securely.

Why is Akamai Technologies Inc. going down?

AKAM stock is down 11.2% on May 10, 2024 19:41

  • Akamai's stock experienced a strong bearish movement today, dropping by 11.2%.
  • The decline was triggered by the company's first-quarter earnings report, where although the EPS beat expectations, the full-year revenue guidance fell short of analysts' forecasts.
  • Despite announcing a new share repurchase program, investors seemed concerned about the company's future revenue prospects.
  • The market reaction highlights the importance of not just meeting, but exceeding, revenue expectations in today's competitive landscape.

AKAM Price Chart

AKAM News

Why Akamai (AKAM) Shares Are Sliding Today

Shares of web content delivery and security company Akamai (NASDAQ:AKAM) fell 11.2% in the morning session after the company reported first-quarter earnings results. Although its EPS beat Wall Street''s estimates, its full-year revenue guidance missed analysts'' expectations, sending the stock down. Company outlooks have been the big focus this earnings season. On the bright side, the Board authorized a new three-year, $2.0 billion share repurchase program. Overall, the results could have been better.

https://stockstory.org/nasdaq/akam/why-it-moves-single/why-akamai-akam-shares-are-sliding-today

News Article Image Why Akamai (AKAM) Shares Are Sliding Today

Friday''s rapid-fire: Akamai, Enbridge, Sweetgreen, Array, Unity

Jim Cramer looks at five stocks outside the CNBC Investing Club portfolio.

https://www.cnbc.com/video/2024/05/10/fridays-rapid-fire-akamai-enbridge-sweetgreen-array-unity.html

News Article Image Friday''s rapid-fire: Akamai, Enbridge, Sweetgreen, Array, Unity

Jim Cramer is a ''huge fan'' of Akamai not for content delivery but for a hidden jewel

Jim Cramer looks at five stocks outside the CNBC Investing Club portfolio.

https://www.cnbc.com/2024/05/10/jim-cramer-likes-akamai-for-a-hidden-jewel-not-for-content-delivery.html

News Article Image Jim Cramer is a ''huge fan'' of Akamai not for content delivery but for a hidden jewel

Earnings Summary: Akamai Technologies reports Q1 2024 financial results

Cloud company Akamai Technologies, Inc. (NASDAQ: AKAM) has announced financial results for the first quarter of 2024, reporting higher sales and profit. First-quarter revenue was $987 million, up 8% year-over-year […] The post Earnings Summary: Akamai Technologies reports Q1 2024 financial results first appeared on AlphaStreet .

https://news.alphastreet.com/earnings-summary-akamai-technologies-reports-q1-2024-financial-results/

News Article Image Earnings Summary: Akamai Technologies reports Q1 2024 financial results

Cramers Mad Dash: Akamai

CNBCs Jim Cramer delivers his daily Mad Dash.

https://www.cnbc.com/video/2024/05/10/crameras-mad-dash-akamai.html

News Article Image Cramers Mad Dash: Akamai

Akamai Technologies Inc. Price History

10.04.2024 - AKAM Stock was down 11.2%

  • Akamai's stock experienced a strong bearish movement today, dropping by 11.2%.
  • The decline was triggered by the company's first-quarter earnings report, where although the EPS beat expectations, the full-year revenue guidance fell short of analysts' forecasts.
  • Despite announcing a new share repurchase program, investors seemed concerned about the company's future revenue prospects.
  • The market reaction highlights the importance of not just meeting, but exceeding, revenue expectations in today's competitive landscape.

10.04.2024 - AKAM Stock was down 9.8%

  • The decline in AKAM stock may be linked to analysts revising their forecasts following the company's loss in the first quarter, which fell short of market expectations for earnings per share and sales.
  • Despite reporting increased sales and profit in Q1 2024, concerns raised by analysts regarding the company's performance may have impacted the stock.
  • Comments from Jim Cramer, a prominent figure in the investing realm, about Akamai's undisclosed asset, not necessarily related to content delivery, could have introduced uncertainty or speculation among investors.
  • Broader market sentiment and external factors may have also influenced the bearish trend in AKAM stock today.

10.04.2024 - AKAM Stock was down 7.7%

  • Akamai Technologies reported strong earnings for the first quarter but provided a less optimistic outlook, leading to a negative market response.
  • Analysts adjusted their projections for Akamai Technologies downwards following the subdued guidance, impacting market sentiment.
  • B of A Securities decreased the price target for Akamai Technologies from $145 to $125, suggesting a lack of confidence in the company's future.
  • The downward revisions in forecasts, cautious guidance, and a lowered price target likely prompted investors to sell off AKAM shares, driving the bearish trend witnessed today.

10.04.2024 - AKAM Stock was down 7.6%

  • Akamai Technologies stock dropped significantly due to slowing traffic growth and weak delivery revenues, impacting the company's guidance for the future.
  • The company issued a weak outlook for FY24, with adjusted EPS and revenue projections below market expectations, leading to a sharp decline in the stock price.
  • Analysts at B of A Securities also cut Akamai's price target, adding to the negative sentiment surrounding the stock.
  • The combination of disappointing guidance, slowing traffic growth, and reduced price targets contributed to the bearish movement in Akamai's stock today.

14.01.2024 - AKAM Stock was down 7.5%

  • The bearish movement in AKAM stock today could be attributed to the following factors:
  • 1. Disappointing fourth-quarter earnings: Akamai's earnings missing the mark could have led to a negative sentiment among investors, causing the stock to decline.
  • 2. Lower trading due to negative sentiments: Reports mentioning that AKAM stock is trading lower today could have influenced investors to sell their shares, contributing to the bearish movement.
  • 3. Competitive challenges: Akamai's introduction of Gecko, an initiative to challenge cloud giants in the edge computing market, might have raised concerns about increased competition, leading to a decline in the stock price.
  • Overall, the combination of disappointing earnings, negative sentiments, and concerns about competition could have caused the bearish movement in AKAM stock today.

14.01.2024 - AKAM Stock was down 8.0%

  • The company recently launched a new product called Gecko, which aims to compete with major players in the edge computing market. This could potentially impact AKAM's market position and lead to the bearish movement observed.
  • Despite surpassing profit expectations, AKAM's fourth quarter results fell short in terms of revenue, potentially contributing to the bearish sentiment.
  • Concerns were raised when the company announced the integration of cloud computing capabilities into its edge network. This raised doubts about AKAM's ability to effectively compete in the rapidly evolving cloud computing market, which may have influenced the bearish sentiment.

14.01.2024 - AKAM Stock was down 6.0%

  • The company's Q4 earnings surpassed profit expectations but fell short on revenue, indicating a mixed performance.
  • Despite meeting the sales estimates, the stock experienced a decline, suggesting potential disappointment among investors regarding other aspects of the earnings report.
  • The CEO specifically highlighted cloud computing as the company's strongest area of growth, signaling a positive outlook for this segment.
  • The market reacted bearishly, possibly due to concerns or uncertainties related to the company's strategy of integrating cloud computing capabilities into its edge network.

14.01.2024 - AKAM Stock was down 10.3%

  • The bearish movement in AKAM's stock today can be attributed to a combination of factors:
  • 1. Disappointing Q4 Sales: Despite posting sales in line with estimates, the market may have been expecting stronger revenue growth. This could have led to some profit-taking by investors, resulting in the bearish movement.
  • 2. Earnings Beat, but Uncertainty Ahead: While AKAM's Q4 earnings surpassed estimates, the market may have reacted cautiously due to concerns about future growth. Investors might be questioning whether the company can sustain its performance and navigate potential challenges in the competitive cloud services industry.
  • 3. Lack of Clarity from Earnings Call: The absence of a summary for the Q4 earnings call suggests that there may have been no significant announcements or updates that could have positively influenced investor sentiment. This lack of clarity could have contributed to the bearish movement.
  • 4. Broader Market Volatility: It's important to consider that AKAM's stock movement could also be influenced by broader market conditions and investor sentiment. If there is overall market volatility or negative sentiment, it can impact the stock's performance regardless of the company's specific news or financials.

14.01.2024 - AKAM Stock was down 10.3%

  • The recent bearish movement in AKAM stock can be attributed to the following factors:
  • 1. Earnings Surprise: AKAM exceeded earnings estimates for the fourth quarter, but fell slightly short of revenue expectations. This mixed performance may have disappointed investors, leading to a sell-off.
  • 2. Sales Guidance: AKAM's revenue guidance for the full year 2024 was below expectations. This lower-than-anticipated outlook could have raised concerns about the company's future growth prospects, prompting investors to sell their positions.
  • 3. Market Reaction: Following AKAM's earnings report, the stock experienced a negative market reaction and declined. This suggests that investors were not entirely satisfied with the company's financial performance and outlook.
  • 4. Overall Market Sentiment: It's important to consider broader market sentiment, as negative market conditions or factors specific to the sector could have influenced AKAM's bearish movement. However, without additional information, it is challenging to determine the exact impact of external factors on the stock's performance.

13.01.2024 - AKAM Stock was down 10.3%

  • Akamai Technologies reported a profit for its fourth quarter that beat estimates, but the stock dropped.
  • The company's Q4 sales were in line with estimates, but the stock fell.
  • Akamai's revenue missed expectations and its sales guidance for AKAM stock was light.
  • Akamai announced the launch of its Gecko "Generalized Edge Compute" platform, expanding its cloud-computing network.
  • Combined
  • The bearish movement of AKAM today could be attributed to the mixed results in its earnings report, where the company beat profit estimates but missed revenue expectations. Additionally, the light sales guidance for AKAM stock may have contributed to the negative sentiment. However, the announcement of Akamai's expansion of its cloud-computing network with the Gecko platform could potentially be a positive development for the company in the long term.

13.01.2024 - AKAM Stock was down 10.3%

  • Fourth-quarter earnings for Akamai outperformed expectations, while revenue targets were not met. This led to a decrease in the stock's value.
  • The company's projected revenue for the entire year was below what was anticipated, which further contributed to the negative sentiment.
  • Despite the announcement of its Gecko platform, which aimed to compete with other major services, such as AWS, Azure, and GCP, the impact on the stock's movement was minimal.
  • Alongside cautious optimism in the software industry, the bearish movement in Akamai's stock may have been influenced by ongoing uncertainties on a larger scale.

13.01.2024 - AKAM Stock was down 10.3%

  • The bearish movement in AKAM's stock today could be attributed to several factors:
  • 1. Profit-taking: After a period of strong momentum and revenue growth, investors may have decided to take profits, leading to a sell-off in the stock.
  • 2. Market sentiment: Despite positive earnings and revenue growth in the technology sector, there may be concerns about the sustainability of the current market rally, leading to a cautious approach by investors.
  • 3. Competitive pressures: AKAM operates in a highly competitive market, and any news of increased competition or market share loss could have negatively impacted the stock.
  • 4. Technical factors: Technical indicators such as moving averages or trend lines may have signaled a bearish trend in AKAM's stock, prompting traders to sell their positions.
  • Overall, the bearish movement in AKAM's stock today could be a result of profit-taking, market sentiment, competitive pressures, or technical factors.

12.11.2023 - AKAM Stock was up 0.8%

  • The bullish movement in AKAM's stock can be attributed to the following factors:
  • 1. Upgrade to hold rating: The downgrade of AKAM's stock from a buy rating to a hold rating by StockNews.com might have initially caused a slight dip in the stock price. However, investors seem to have interpreted this as a positive sign, as it indicates that the stock is already performing well and may have limited upside potential.
  • 2. Positive earnings report: AKAM's strong performance in its last earnings report, which was released 30 days ago, has likely contributed to the bullish movement. This positive report has instilled confidence in investors and increased their optimism about the company's future prospects.
  • 3. Overall software industry growth: The software industry as a whole is expected to experience growth due to rising tech dependence in businesses and advancements in emerging technologies like artificial intelligence and cloud technology. This positive sentiment towards the software industry has likely spilled over to AKAM, leading to increased investor interest and a bullish market movement.
  • 4. Market optimism: The overall positive market sentiment towards technology stocks has likely played a role in AKAM's bullish movement. Investors are optimistic about the potential for technology companies to thrive in the current market environment, leading to increased demand for AKAM's stock.
  • In conclusion, AKAM's bullish movement can be attributed to factors such as the upgrade to hold rating, positive earnings report, growth in the software industry, and overall market optimism towards technology stocks.
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Disclaimer
Morpher is not liable for the content of the AI investment insights. Like most GPT-powered tools, these summaries may contain AI hallucinations and inaccurate information. Morpher is not presenting you with any investment advice. All investments involve risk, and the past performance of a security, industry, sector, market, or financial product does not guarantee future results or returns. Investors are fully responsible for any investment decisions they make. Such decisions should be based solely on an evaluation of their financial circumstances, investment objectives, risk tolerance, and liquidity needs. These summaries do not constitute investment advice.