Akamai (AKAM) reported Q2 EPS 35c vs. consensus 36c. Q2 revenue for Akamai were $277M vs. consensus $277.98M. :
CEO of Akamai said,
‘œWe’ve seen our topline growth slow down, driven primarily by the pricing and traffic dynamics in our media and software delivery businesses. And we’ve encountered a general slowdown in a few of the more mature markets outside of the US where we operate, due primarily to the tougher macroeconomic headwinds in those markets”
We have long held a negative view of Akamai. Our predictions are coming true. For our reader’s convenience, a post from 2008 is reproduced below:
SHORT AKAM ( AKAMAI )
July 30, 2008
Competition has increased in AKAM’s niche and likely to continue to increase. AKAM will continue to lose market share.
After earnings release, the stock is falling. Before the situation is fully recognized, take initial position in after hours right here in high twenties. Short more aggressively on bounces to low thirties or even high twenties if the bounce is with negative money flow.
Actionable signals on Akamai will be available, when appropriate,in real-time on the Real Time Feed of the ZYX Short Sell Change Alert.