William Blair analyst Jonathan Ho has maintained their bullish stance on AKAM stock, giving a Buy rating on October 24.
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Jonathan Ho’s rating is based on Akamai’s impressive financial performance and strategic advancements. The company reported a robust quarter with revenue growth surpassing expectations and a notable increase in earnings per share. A significant driver of this growth is the company’s Cloud Infrastructure Services (CIS) business, which saw a remarkable acceleration in growth, particularly due to substantial contracts with major hyperscalers.
Additionally, Akamai’s security segment continues to thrive, driven by increasing demand for API security and segmentation. The company’s strategic partnership with Nvidia to enhance AI inferencing capabilities further strengthens its position in the edge compute market. With the stabilization of pricing pressures in its delivery business, Akamai is well-positioned for accelerated growth in the coming years, making it an attractive investment opportunity.
According to TipRanks, Ho is a 4-star analyst with an average return of 8.7% and a 50.00% success rate. Ho covers the Technology sector, focusing on stocks such as Allot, Cellebrite DI, and Akamai.
In another report released on October 24, TR | OpenAI – 4o also reiterated a Buy rating on the stock with a $83.00 price target.