UPDATE: Wells Fargo Upgrades Akamai Technologies (AKAM) to Outperform
- Global stocks sag as bond 'bloodbath' shows no sign of letting up
- UPDATE: Alphabet (GOOG) Tops Q3 EPS Views; Revs Strong
- Baker Hughes (BHI), General Electric (GE) in Partnership Talks, Not Merger Talks
- Cirrus Logic, Inc. (CRUS) Q2 Results and Guidance Beat Estimates
- Amazon.com (AMZN) Misses Q3 EPS by 26c, Offers Q4 Guidance
Get access to the best calls on Wall Street with StreetInsider.com's Ratings Insider Elite. Get your Free Trial here.
(Updated - August 12, 2016 8:23 AM EDT)
Wells Fargo upgraded Akamai Technologies (NASDAQ: AKAM) from Market Perform to Outperform with a price target of $59-$62 (from $51-$54). Analyst Gray Powell said he is more confident in the potential for revenue growth to reaccelerate.
"After analyzing past cycles in the CDN space and examining AKAM's top customer exposure, we are now more confident in the potential for revenue growth to reaccelerate in 2017," said the analyst. "In fact, we think street estimates which call for 10% yr./yr. growth in 2017 are achievable if not conservative. We also see potential for gross margins to improve. In addition, we are encouraged that AKAM's CEO continues to aggressively buy stock with personal funds at current levels. Lastly, AKAM's shares currently trade well below its historical average earnings multiple. With improving growth and margins, we see potential for multiple expansion. As a result, we are increasing our valuation range to $59 - $62/share from $51 - $54/share previously and upgrading AKAM to Outperform."
Shares of Akamai Technologies closed at $51.41 yesterday.
Serious News for Serious Traders! Try StreetInsider.com Premium Free!
You May Also Be Interested In
- Rosenblatt Upgrades NETGEAR (NTGR) to Buy
- Jefferies Raises Price Target on Planet Fitness (PLNT) Following Solid 3Q
- Jefferies Raises Price Target as Cheesecake Factory (CAKE) Posts 3Q Beat
Create E-mail Alert Related CategoriesAnalyst Comments, Analyst PT Change, Upgrades
Related EntitiesEarnings, Wells Fargo
Sign up for StreetInsider Free!
Receive full access to all new and archived articles, unlimited portfolio tracking, e-mail alerts, custom newswires and RSS feeds - and more!