1.96%
-20.16%
-15.21%
-21.45%
-26.15%
-26.49%
-10.89%

Company Description

Akamai Technologies, Inc.provides cloud services for securing, delivering, and optimizing content and business applications over the internet in the United States and internationally.The company offers cloud solutions to keep infrastructure, websites, applications, application programming interfaces, and users safe from various cyberattacks and online threats while enhancing performance.


It also provides web and mobile performance solutions to enable dynamic websites and applications; media delivery solutions, including video streaming and video player services, game and software delivery, broadcast operations, authoritative domain name system, resolution, and data and analytics; and edge compute solutions to enable developers to deploy and distribute code at the edge.In addition, the company offers carrier offerings, including cybersecurity protection, parental controls, DNS infrastructure and content delivery solutions; and an array of service and support to assist customers with integrating, configuring, optimizing, and managing its offerings.It sells its solutions through direct sales and service organizations, as well as through various channel partners.


Akamai Technologies, Inc.was incorporated in 1998 and is headquartered in Cambridge, Massachusetts.

Market Data

Last Price 79.58
Change Percentage 1.96%
Open 78.19
Previous Close 78.05
Market Cap ( Millions) 11955
Volume 3712461
Year High 113.36
Year Low 75.5
M A 50 95.7
M A 200 96.26

Financial Ratios

FCF Yield 6.98%
Dividend Yield 0.00%
ROE 10.60%
Debt / Equity 95.00%
Net Debt / EBIDTA 382.66%
Price To Book 2.45
Price Earnings Ratio 23.68
Price To FCF 14.34
Price To sales 3.0
EV / EBITDA 14.94

News

Business Breakdown

Expected Mid-Term Growth

Segment nΒ°1 -> Security

Expected Growth : 7 %

What the company do ?

Akamai's Security solutions protect websites and applications from cyber threats, DDoS attacks, and data breaches, ensuring secure digital experiences.

Why we expect these perspectives ?

Akamai's 7% growth driven by increasing demand for cloud security and content delivery services, fueled by rising online traffic and cybersecurity threats. Growing adoption of cloud-based solutions, expansion into new markets, and strategic partnerships also contribute to growth.

Segment nΒ°2 -> Delivery

Expected Growth : 5 %

What the company do ?

Akamai Technologies, Inc.'s Delivery solution accelerates and secures online content delivery, ensuring fast, reliable, and secure access to digital experiences.

Why we expect these perspectives ?

Akamai's 5% growth driven by increasing demand for cloud security, rising adoption of online video and gaming, expansion into new markets, and growing need for digital transformation. Additionally, the company's focus on innovation, strategic partnerships, and cost savings initiatives contribute to its growth momentum.

Segment nΒ°3 -> Compute

Expected Growth : 4 %

What the company do ?

Akamai Compute is a cloud-based platform that enables developers to build, deploy, and manage serverless functions and applications at the edge, closer to users.

Why we expect these perspectives ?

Akamai's 4% growth is driven by increasing demand for cloud security and content delivery services, fueled by the rise of online video, gaming, and e-commerce. Additionally, the company's expansion into new markets, such as Latin America and Asia, and its strategic acquisitions, like Linode, contribute to its growth momentum.

Akamai Technologies, Inc. Products

Product Range What is it ?
Content Delivery Network (CDN) A network of distributed servers that deliver content to users from locations close to them, reducing latency and improving performance.
Web Application Firewall (WAF) A security solution that protects web applications from cyber threats and attacks, ensuring the security and integrity of online applications.
DDoS Protection A solution that detects and mitigates Distributed Denial of Service (DDoS) attacks, ensuring the availability and uptime of online services.
Performance and Optimization A suite of solutions that optimize the performance and speed of online applications, ensuring fast and seamless user experiences.
Cloud Security A comprehensive security solution that protects cloud-based applications and data from cyber threats and attacks.
Media and Entertainment A suite of solutions that enable the secure and efficient delivery of high-quality media content, including video, audio, and images.
Enterprise Application Access A solution that provides secure and controlled access to enterprise applications, ensuring the security and integrity of sensitive data.

Akamai Technologies, Inc.'s Porter Forces

Akamai Technologies, Inc. has a low threat of substitutes due to its unique content delivery network (CDN) and cloud security solutions, making it difficult for substitutes to emerge.

Akamai Technologies, Inc. has a medium bargaining power of customers due to the presence of large enterprises and organizations that have some negotiating power, but the company's strong brand and unique offerings mitigate this power.

Akamai Technologies, Inc. has a low bargaining power of suppliers due to its strong relationships with suppliers and its ability to negotiate favorable terms.

Akamai Technologies, Inc. has a medium threat of new entrants due to the high barriers to entry in the CDN and cloud security markets, but new entrants could still emerge with innovative solutions.

Akamai Technologies, Inc. operates in a highly competitive market with intense rivalry among existing players, including Cloudflare, Verizon Digital Media Services, and Limelight Networks.

Capital Structure

Value
Debt Weight 45.00%
Debt Cost 3.95%
Equity Weight 55.00%
Equity Cost 7.53%
WACC 5.92%
Leverage 81.82%

Historical Valuation

Price/Earnings Ratio

Margin Valuation

Peers Valuation

Competitors

Company Rational
DBX Dropbox, Inc. provides a content collaboration platform worldwide. Its platform allows individuals, families, teams, and organizations to collaborate and sign up for free through its website or app, as well …
SQSP Squarespace, Inc. operates platform for businesses and independent creators to build online presence, grow their brands, and manage their businesses across the internet. Its suite of integrated products enables users …
NTNX Nutanix, Inc. provides an enterprise cloud platform in North America, Europe, the Asia Pacific, the Middle East, Latin America, and Africa. The company offers Acropolis converges virtualization, enterprise storage services, …
OKTA Okta, Inc. provides identity solutions for enterprises, small and medium-sized businesses, universities, non-profits, and government agencies in the United States and internationally. The company offers Okta Identity Cloud, a platform …
EEFT Euronet Worldwide, Inc. provides payment and transaction processing and distribution solutions to financial institutions, agents, retailers, merchants, content providers, and individual consumers worldwide. The company's Electronic Fund Transfer Processing segment …

Peers Metrics

DCF BETA

Parameters

Short Term Growth
Short term Time
Long-Term Growth
WACC
Target Price
79.58$
Current Price
79.58$
Potential
-0.00%

Expected Cash-Flows

Scoring Insights

Peers Group Analysis

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