Akamai Technologies Stock Z Score
AKAM Stock | USD 109.63 1.61 1.49% |
Akamai | Z Score |
Akamai Z Score Analysis
Akamai Technologies' Z-Score is a simple linear, multi-factor model that measures the financial health and economic stability of a company. The score is used to predict the probability of a firm going into bankruptcy within next 24 months or two fiscal years from the day stated on the accounting statements used to calculate it. The model uses five fundamental business ratios that are weighted according to algorithm of Professor Edward Altman who developed it in the late 1960s at New York University..
More About Z Score | All Equity Analysis
2021 | 2022 | 2023 | 2024 (projected) | Gross Profit | 2.2B | 2.2B | 2.2B | 2.3B | Total Revenue | 3.5B | 3.6B | 3.8B | 4.0B |
Z Score | = | Sum Of | | 5 Factors |
Current Akamai Technologies Z Score | 3.44 |
Most of Akamai Technologies' fundamental indicators, such as Z Score, are part of a valuation analysis module that helps investors searching for stocks that are currently trading at higher or lower prices than their real value. If the real value is higher than the market price, Akamai Technologies is considered to be undervalued, and we provide a buy recommendation. Otherwise, we render a sell signal.
| |||||||
| |||||||
| |||||||
| |||||||
|
Akamai Z Score Driver Correlations
Understanding the fundamental principles of building solid financial models for Akamai Technologies is extremely important. It helps to project a fair market value of Akamai Stock properly, considering its historical fundamentals such as Z Score. Since Akamai Technologies' main accounts across its financial reports are all linked and dependent on each other, it is essential to analyze all possible correlations between related accounts. However, instead of reviewing all of Akamai Technologies' historical financial statements, investors can examine the correlated drivers to determine its overall health. This can be effectively done using a conventional correlation matrix of Akamai Technologies' interrelated accounts and indicators.
Click cells to compare fundamentals
To calculate a Z-Score, one would need to know a company's current working capital, its total assets and liabilities, and the amount of its latest earnings as well as earnings before interest and tax. Z-Scores can be used to compare the odds of bankruptcy of companies in a similar line of business or firms operating in the same industry. Companies with Z-Scores above 3.1 are generally considered to be stable and healthy with a low probability of bankruptcy. Scores that fall between 1.8 and 3.1 lie in a so-called 'grey area,' with scores of less than 1 indicating the highest probability of distress. Z Score is a used widely measure by financial auditors, accountants, money managers, loan processors, wealth advisers, and day traders. In the last 25 years, many financial models that utilize z-scores proved it to be successful as a predictor of corporate bankruptcy.
Competition |
In accordance with the company's disclosures, Akamai Technologies has a Z Score of 3.44. This is 74.42% lower than that of the IT Services sector and significantly higher than that of the Information Technology industry. The z score for all United States stocks is 60.55% higher than that of the company.
Akamai Z Score Peer Comparison
Stock peer comparison is one of the most widely used and accepted methods of equity analyses. It analyses Akamai Technologies' direct or indirect competition against its Z Score to detect undervalued stocks with similar characteristics or determine the stocks which would be a good addition to a portfolio. Peer analysis of Akamai Technologies could also be used in its relative valuation, which is a method of valuing Akamai Technologies by comparing valuation metrics of similar companies.Akamai Technologies is currently under evaluation in z score category among related companies.
Akamai Technologies ESG Sustainability
Some studies have found that companies with high sustainability scores are getting higher valuations than competitors with lower social-engagement activities. While most ESG disclosures are voluntary and do not directly affect the long term financial condition, Akamai Technologies' sustainability indicators can be used to identify proper investment strategies using environmental, social, and governance scores that are crucial to Akamai Technologies' managers, analysts, and investors.Environment Score | Governance Score | Social Score |
Akamai Technologies Institutional Holders
Institutional Holdings refers to the ownership stake in Akamai Technologies that is held by large financial organizations, pension funds or endowments. Institutions may purchase large blocks of Akamai Technologies' outstanding shares and can exert considerable influence upon its management. Institutional holders may also work to push the share price higher once they own the stock. Extensive social media coverage, TV shows, articles in high-profile magazines, and presentations at investor conferences help move the stock higher, increasing Akamai Technologies' value.Shares | Barclays Plc | 2023-12-31 | 2.6 M | King Luther Capital Management Corp | 2023-12-31 | 2.4 M | Jericho Capital Asset Management Lp | 2023-12-31 | 2.4 M | Arrowstreet Capital Limited Partnership | 2023-12-31 | 2.1 M | Jpmorgan Chase & Co | 2023-12-31 | 2 M | Amvescap Plc. | 2023-12-31 | 2 M | Mackenzie Investments | 2023-12-31 | 2 M | Earnest Partners Llc | 2023-12-31 | 2 M | Northern Trust Corp | 2023-12-31 | 1.9 M | Vanguard Group Inc | 2023-12-31 | 17.6 M | Blackrock Inc | 2023-12-31 | 14.3 M |
Akamai Fundamentals
Return On Equity | 0.12 | ||||
Return On Asset | 0.0486 | ||||
Profit Margin | 0.14 % | ||||
Operating Margin | 0.19 % | ||||
Current Valuation | 20.04 B | ||||
Shares Outstanding | 151.53 M | ||||
Shares Owned By Insiders | 1.84 % | ||||
Shares Owned By Institutions | 98.88 % | ||||
Number Of Shares Shorted | 7.45 M | ||||
Price To Earning | 29.46 X | ||||
Price To Book | 3.56 X | ||||
Price To Sales | 4.29 X | ||||
Revenue | 3.81 B | ||||
Gross Profit | 2.24 B | ||||
EBITDA | 1.27 B | ||||
Net Income | 547.63 M | ||||
Cash And Equivalents | 864.15 M | ||||
Cash Per Share | 5.50 X | ||||
Total Debt | 4.54 B | ||||
Debt To Equity | 0.74 % | ||||
Current Ratio | 2.25 X | ||||
Book Value Per Share | 30.40 X | ||||
Cash Flow From Operations | 1.35 B | ||||
Short Ratio | 3.55 X | ||||
Earnings Per Share | 3.52 X | ||||
Price To Earnings To Growth | 1.33 X | ||||
Target Price | 129.25 | ||||
Number Of Employees | 10.25 K | ||||
Beta | 0.72 | ||||
Market Capitalization | 16.37 B | ||||
Total Asset | 9.9 B | ||||
Retained Earnings | 2.47 B | ||||
Working Capital | 968.82 M | ||||
Current Asset | 1.25 B | ||||
Current Liabilities | 332.44 M | ||||
Z Score | 3.44 | ||||
Net Asset | 9.9 B |
About Akamai Technologies Fundamental Analysis
The Macroaxis Fundamental Analysis modules help investors analyze Akamai Technologies's financials across various querterly and yearly statements, indicators and fundamental ratios. We help investors to determine the real value of Akamai Technologies using virtually all public information available. We use both quantitative as well as qualitative analysis to arrive at the intrinsic value of Akamai Technologies based on its fundamental data. In general, a quantitative approach, as applied to this company, focuses on analyzing financial statements comparatively, whereas a qaualitative method uses data that is important to a company's growth but cannot be measured and presented in a numerical way.
Please read more on our fundamental analysis page.Akamai Technologies, Inc. provides cloud services for securing, delivering, and optimizing content and business applications over the internet in the United States and internationally. Akamai Technologies, Inc. was incorporated in 1998 and is headquartered in Cambridge, Massachusetts. Akamai Technologies operates under SoftwareInfrastructure classification in the United States and is traded on NASDAQ Exchange. It employs 8700 people.
Akamai Technologies Investors Sentiment
The influence of Akamai Technologies' investor sentiment on the probability of its price appreciation or decline could be a good factor in your decision-making process regarding taking a position in Akamai. The overall investor sentiment generally increases the direction of a stock movement in a one-year investment horizon. However, the impact of investor sentiment on the entire stock market does not have solid backing from leading economists and market statisticians.
Investor biases related to Akamai Technologies' public news can be used to forecast risks associated with an investment in Akamai. The trend in average sentiment can be used to explain how an investor holding Akamai can time the market purely based on public headlines and social activities around Akamai Technologies. Please note that most equities that are difficult to arbitrage are affected by market sentiment the most.
Akamai Technologies' market sentiment shows the aggregated news analyzed to detect positive and negative mentions from the text and comments. The data is normalized to provide daily scores for Akamai Technologies' and other traded tickers. The bigger the bubble, the more accurate is the estimated score. Higher bars for a given day show more participation in the average Akamai Technologies' news discussions. The higher the estimated score, the more favorable is the investor's outlook on Akamai Technologies.
Akamai Technologies Implied Volatility | 22.55 |
Akamai Technologies' implied volatility exposes the market's sentiment of Akamai Technologies stock's possible movements over time. However, it does not forecast the overall direction of its price. In a nutshell, if Akamai Technologies' implied volatility is high, the market thinks the stock has potential for high price swings in either direction. On the other hand, the low implied volatility suggests that Akamai Technologies stock will not fluctuate a lot when Akamai Technologies' options are near their expiration.
Some investors attempt to determine whether the market's mood is bullish or bearish by monitoring changes in market sentiment. Unlike more traditional methods such as technical analysis, investor sentiment usually refers to the aggregate attitude towards Akamai Technologies in the overall investment community. So, suppose investors can accurately measure the market's sentiment. In that case, they can use it for their benefit. For example, some tools to gauge market sentiment could be utilized using contrarian indexes, Akamai Technologies' short interest history, or implied volatility extrapolated from Akamai Technologies options trading.
Pair Trading with Akamai Technologies
One of the main advantages of trading using pair correlations is that every trade hedges away some risk. Because there are two separate transactions required, even if Akamai Technologies position performs unexpectedly, the other equity can make up some of the losses. Pair trading also minimizes risk from directional movements in the market. For example, if an entire industry or sector drops because of unexpected headlines, the short position in Akamai Technologies will appreciate offsetting losses from the drop in the long position's value.Moving against Akamai Stock
0.8 | DTSS | Datasea | PairCorr |
0.65 | SQ | Block Inc Sell-off Trend | PairCorr |
0.62 | EEFT | Euronet Worldwide Financial Report 7th of May 2024 | PairCorr |
0.56 | MOGO | Mogo Inc Financial Report 9th of May 2024 | PairCorr |
0.55 | DOCN | DigitalOcean Holdings Financial Report 14th of May 2024 | PairCorr |
The ability to find closely correlated positions to Akamai Technologies could be a great tool in your tax-loss harvesting strategies, allowing investors a quick way to find a similar-enough asset to replace Akamai Technologies when you sell it. If you don't do this, your portfolio allocation will be skewed against your target asset allocation. So, investors can't just sell and buy back Akamai Technologies - that would be a violation of the tax code under the "wash sale" rule, and this is why you need to find a similar enough asset and use the proceeds from selling Akamai Technologies to buy it.
The correlation of Akamai Technologies is a statistical measure of how it moves in relation to other instruments. This measure is expressed in what is known as the correlation coefficient, which ranges between -1 and +1. A perfect positive correlation (i.e., a correlation coefficient of +1) implies that as Akamai Technologies moves, either up or down, the other security will move in the same direction. Alternatively, perfect negative correlation means that if Akamai Technologies moves in either direction, the perfectly negatively correlated security will move in the opposite direction. If the correlation is 0, the equities are not correlated; they are entirely random. A correlation greater than 0.8 is generally described as strong, whereas a correlation less than 0.5 is generally considered weak.
Correlation analysis and pair trading evaluation for Akamai Technologies can also be used as hedging techniques within a particular sector or industry or even over random equities to generate a better risk-adjusted return on your portfolios.Check out Akamai Technologies Piotroski F Score and Akamai Technologies Valuation analysis. To learn how to invest in Akamai Stock, please use our How to Invest in Akamai Technologies guide.Note that the Akamai Technologies information on this page should be used as a complementary analysis to other Akamai Technologies' statistical models used to find the right mix of equity instruments to add to your existing portfolios or create a brand new portfolio. You can also try the Equity Forecasting module to use basic forecasting models to generate price predictions and determine price momentum.
Complementary Tools for Akamai Stock analysis
When running Akamai Technologies' price analysis, check to measure Akamai Technologies' market volatility, profitability, liquidity, solvency, efficiency, growth potential, financial leverage, and other vital indicators. We have many different tools that can be utilized to determine how healthy Akamai Technologies is operating at the current time. Most of Akamai Technologies' value examination focuses on studying past and present price action to predict the probability of Akamai Technologies' future price movements. You can analyze the entity against its peers and the financial market as a whole to determine factors that move Akamai Technologies' price. Additionally, you may evaluate how the addition of Akamai Technologies to your portfolios can decrease your overall portfolio volatility.
Portfolio Backtesting Avoid under-diversification and over-optimization by backtesting your portfolios | |
Transaction History View history of all your transactions and understand their impact on performance | |
FinTech Suite Use AI to screen and filter profitable investment opportunities | |
Risk-Return Analysis View associations between returns expected from investment and the risk you assume | |
Piotroski F Score Get Piotroski F Score based on the binary analysis strategy of nine different fundamentals | |
Competition Analyzer Analyze and compare many basic indicators for a group of related or unrelated entities | |
Portfolio Diagnostics Use generated alerts and portfolio events aggregator to diagnose current holdings | |
Equity Search Search for actively traded equities including funds and ETFs from over 30 global markets |
Is Akamai Technologies' industry expected to grow? Or is there an opportunity to expand the business' product line in the future? Factors like these will boost the valuation of Akamai Technologies. If investors know Akamai will grow in the future, the company's valuation will be higher. The financial industry is built on trying to define current growth potential and future valuation accurately. All the valuation information about Akamai Technologies listed above have to be considered, but the key to understanding future value is determining which factors weigh more heavily than others.
Quarterly Earnings Growth 0.257 | Earnings Share 3.52 | Revenue Per Share 24.995 | Quarterly Revenue Growth 0.072 | Return On Assets 0.0486 |
The market value of Akamai Technologies is measured differently than its book value, which is the value of Akamai that is recorded on the company's balance sheet. Investors also form their own opinion of Akamai Technologies' value that differs from its market value or its book value, called intrinsic value, which is Akamai Technologies' true underlying value. Investors use various methods to calculate intrinsic value and buy a stock when its market value falls below its intrinsic value. Because Akamai Technologies' market value can be influenced by many factors that don't directly affect Akamai Technologies' underlying business (such as a pandemic or basic market pessimism), market value can vary widely from intrinsic value.
Please note, there is a significant difference between Akamai Technologies' value and its price as these two are different measures arrived at by different means. Investors typically determine if Akamai Technologies is a good investment by looking at such factors as earnings, sales, fundamental and technical indicators, competition as well as analyst projections. However, Akamai Technologies' price is the amount at which it trades on the open market and represents the number that a seller and buyer find agreeable to each party.