Akamai initiated with a Hold at Loop Capital

Loop Capital analyst Fahad Najam initiated coverage of Akamai with a Hold rating and $91 price target. The firm is kept on the sidelines by near-term concerns regarding Akamai’s high capex intensity over the next 12-36 months, along with a challenging near-term outlook in Akamai’s security business, the analyst tells investors in a research note. Loop Capital sees shares reflecting a balanced risk-reward and says the lack of any near-term catalysts keeps it looking for incremental data points to become more positive.