Akamai operates a content delivery network, in which customers store content on distributed servers to deliver it to their own customers more quickly. Akamai has over 350,000 servers distributed over 4,350 points of presence in more than 700 cities globally.
It is a $15.3B technology company. Revenue grew 5.9% over the last year, and it keeps 10¢ of every dollar of sales as profit. It trades at 37.4× earnings — near the highest of its own history.
- Website
- akamai.com
- Location
- Cambridge, MA
- Employees
- 11 000
- Sector
- Technology
- Founded
- 1998
Skills
Six independent scores, 0–100, built from reported numbers and valuation history. Click a row to see how it was scored.
Strong quality and moat; Valuation, Growth and Profitability lag behind.
Valuation45
- P/E vs own history92th pct · 0/25
- FCF yield6.2% · 20/25
- P/S3.6x · 20/25
- EV/EBITDA33.9x · 5/25
Growth37
- Revenue CAGR5.0% · 12/25
- Net income CAGR-8.7% · 0/25
- EPS CAGR ~5Y-1.8% · 0/25
- Fwd implied growth123.5% · 25/25
Profitability49
- ROIC11.9% · 12/25
- ROE8.5% · 12/25
- Net margin9.5% · 13/25
- Operating margin10.5% · 12/25
Health53
- Altman Z1.61 · 10/25
- Current ratio1.64 · 18/25
- Interest coverage85.4x · 25/25
- Net cash / debtn/a · 0/25
Quality90
- Piotroski F6/9 · 15/25
- Beneish M-3.03 · 25/25
- FCF conversion233% · 25/25
- Margin stabilityσ 3.9% · 25/25
Moat88
- ROIC >12% years8/10 yrs · 20/25
- Median gross margin64.0% · 25/25
- FCF-positive years10/10 yrs · 25/25
- Worst-year net marginworst 8.7% · 18/25
Experience
The company's career so far — founding, the IPO, landmark products and acquisitions, plus revenue milestones and insider buying.
- 2022AcquisitionThe company's cloud infrastructure services primarily consist of compute and storage solutions developed based on…
- FY2021FinancialBest year on record$652M net income
- FY2016FinancialProfitable every year on record10 consecutive profitable years in our data
- FY2016FinancialRevenue already above $1B$2.34B in first reported year
- FY2016FinancialPositive free cash flow every year since10-year streak
- Oct 29, 1999IPOThe company launched its commercial service in April 1999 and was listed on the NASDAQ Stock Market from October 29,…
- Aug 20, 1998FoundedThomson Leighton and Daniel Lewin as founders, and Akamai Technologies was incorporated on August 20, 1998
- 1998ProductThe team had developed a working prototype
Achievements
Verifiable track record, straight from the reported numbers.
Strengths & watch-outs
What a bull and a bear would each point to. Both lists come from the reported numbers, not opinions.
Strengths
- High gross margin (57.5%)
- Strong cash conversion — FCF is 22.1% of revenue
- Interest covered 85.4× by operating earnings
Watch-outs
- Altman Z-Score 1.61 — elevated financial-distress risk
- Net debt would take ~6.3 years of free cash flow to repay
Qualifications
The basics a company should meet before you research it further. Each check uses the reported numbers.
- Revenue growing — the company sells more than a year ago+5.9% YoY
- Profitable — makes more than it spends$411M TTM
- Profit growing — earnings are higher than last year-2.0% YoY
- Generates cash — cash left after running and investing$956M TTM
- Debt under control — could handle its obligationscurrent ratio 1.64
- Established company — not a micro-cap — lower blow-up risk$15.3B market cap
- Not printing shares — share count not ballooning — you keep your slice-11.0% shares over ~5y
- Proven track record — years of profitability behind it10/10 profitable years
- Financially stable — balance sheet not near distressAltman Z 1.6 — distress
- Pays a dividend — returns cash to shareholdersno data
- Valuation not extreme — price not wildly above earningsP/E 37.4
Peer comparisonAkamai Technologies Inc vs 6 largest technology peers — cap, P/E, growth and margin side by sideOpen ▾Close ▴
| Company | Market cap | P/E | Revenue growth | Net margin | Profile |
|---|---|---|---|---|---|
| AKAM this company | $15.3B | 37.4 | +5.9% | 9.5% | Solid |
| NVDA Nvidia Corp | $5.5T | 28.6 | +83.4% | 63.7% | Mixed |
| AAPL Apple Inc. | $4.9T | 38.1 | +14.2% | 27.6% | Strong |
| GOOGL Alphabet Inc. | $4.3T | 17.6 | +20.1% | 54.8% | Mixed |
| MSFT Microsoft Corp | $4.0T | 29.7 | +17.8% | 40.3% | Strong |
| SPCX Space Exploration Technologies Corp. | $2.1T | — | +33.2% | -34.0% | Strained |
| META Meta Platforms, Inc. | $1.8T | 26.9 | +27.7% | 29.8% | Mixed |
Head-to-head: AKAM vs NVDA · AKAM vs AAPL · AKAM vs GOOGL
References
What covering analysts publish about the company — information only, not a recommendation.
Appendix · Financial records
The full statements behind this CV, FY2016–FY2025. For readers who want to check the numbers.
Live data and quarterly detail: stockcv.com/AKAM
Want the live picture — intraday moves, valuation history and full analysis?
Deeper analysis of AKAM on PreMarketPriceFigures are derived from company filings (quarterly values normalised from as-filed year-to-date data where applicable) and may be delayed, restated or incomplete. This page is information, not investment advice. Latest price $106.80 · market cap $15.3B.