Movement Alert|Akamai Technologies Rises 5.31% in Pre-Market Trading, Oppenheimer Says Cloud and AI Inferencing Growth Undervalued

Market Focus07-07

On July 7, Akamai Technologies rose 5.31% in pre-market trading, trading at $117.1/share, with turnover of approximately $1.74 million.

On the news front, Oppenheimer recently issued a research note stating that the market is undervaluing Akamai's growth opportunity in cloud computing and AI inferencing, arguing the company's cloud infrastructure services are at a growth inflection point. Additionally, on July 2, the company completed its acquisition of secure enterprise browser provider LayerX, further expanding its zero trust security and AI usage control capabilities.

The positive catalysts build on earlier developments including an $1.8 billion seven-year cloud infrastructure services agreement signed with Anthropic, and BofA Securities upgrading the stock to Buy with a $175 price target, calling Akamai a credible AI infrastructure platform. BofA noted Cloud Infrastructure Services grew 40% year-over-year, with momentum supported by AI workloads and edge inference use cases. These multiple tailwinds continue to drive market reassessment of the company's AI and cloud business prospects.

(The above content is based on publicly available market information, generated by a program or algorithm, and is intended solely as a stock movement alert. It does not constitute investment advice or a basis for trading decisions.)

Disclaimer: Investing carries risk. This is not financial advice. The above content should not be regarded as an offer, recommendation, or solicitation on acquiring or disposing of any financial products, any associated discussions, comments, or posts by author or other users should not be considered as such either. It is solely for general information purpose only, which does not consider your own investment objectives, financial situations or needs. TTM assumes no responsibility or warranty for the accuracy and completeness of the information, investors should do their own research and may seek professional advice before investing.

Comments

We need your insight to fill this gap
Leave a comment