William Blair analyst Jonathan Ho has maintained their bullish stance on AKAM stock, giving a Buy rating on July 31.
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Jonathan Ho has given his Buy rating due to a combination of factors that highlight Akamai’s strong performance and growth potential. The company reported a robust quarter with revenue growth surpassing expectations and a notable earnings per share outperformance. A significant driver of this success is the impressive growth in Akamai’s Cloud Infrastructure Services (CIS) business, which saw over 30% growth and is expected to accelerate further as existing contracts start contributing more significantly.
Additionally, Akamai’s delivery segment showed signs of stabilization, with only a minor decline, aided by improved volumes and reduced pricing pressure. The security segment, particularly API security and microsegmentation, continues to be a strong growth area, expanding at a rate exceeding 30%. These factors, combined with raised guidance and a healthier competitive environment, underpin Jonathan Ho’s optimistic outlook and Buy rating for Akamai’s stock.
In another report released on July 31, TR | OpenAI – 4o also reiterated a Buy rating on the stock with a $87.00 price target.