Akamai Technologies Shares Jumped: What You Need to Know
Feb 9th 2012 3:09PM
Updated Feb 9th 2012 3:12PM
Although we don't believe in timing the market or panicking over market movements, we do like to keep an eye on big changes -- just in case they're material to our investing thesis.
What: Shares of cloud platform provider Akamai Technologies (NAS: AKAM) jumped by more than 14% today after reporting fourth-quarter and full-year results last night.
So what: Revenue rose 14% to $324 million, while adjusted earnings per share came in at $0.45. CEO Paul Sagan said, "We believe our Content Delivery and Cloud Infrastructure solutions are stronger than ever, and we look forward to further enhancing our Cloud Infrastructure portfolio," thanks to a couple of recent acquisitions.
Now what: Akamai guided first-quarter sales higher than expected, with a range of between $305 million and $313 million, handily topping the consensus of $304.8 million. Wall Street analysts were mostly bullish on the figures, impressed that the company was able to "buck the trend" of slowing growth. They also said that Akamai is well-positioned as an Internet infrastructure provided that will continue to benefit from the Web's growth.
Interested in more info on Akamai Technologies? Add it to your watchlist by clicking here.
At the time this article was published Fool contributor Evan Niu holds no position in any company mentioned. Click here to see his holdings and a short bio. Try any of our Foolish newsletter services free for 30 days. We Fools may not all hold the same opinions, but we all believe that considering a diverse range of insights makes us better investors. The Motley Fool has a disclosure policy.
Copyright © 1995 - 2012 The Motley Fool, LLC. All rights reserved. The Motley Fool has a disclosure policy.