You know that moment when a stock quietly drops to a scary level… then suddenly rockets because everyone finally sees what you saw months ago? That’s Akamai right now. It kissed $71, got called “dead money” for years-and just woke up with Wall Street screaming “BUY” and price targets up to $134. Here’s why the sleeping giant of the internet is finally roaring.

Akamai Technologies isn’t just delivering content-it’s the invisible force accelerating the internet’s backbone. With over 365,000 servers spanning 135 countries, the company powers everything from streaming marathons to secure API calls, blending CDN roots with cutting-edge AI and cybersecurity. For investors eyeing resilient tech plays, Akamai’s pivot to edge computing feels like spotting the next wave before it crashes.

Operations: Speed Meets Security

Akamai’s Intelligent Edge Platform processes billions of daily requests, routing traffic through its vast network to slash latency and fend off threats in real-time. Security now drives 54% of revenue, up 10% year-over-year in Q3 2025, while cloud services surged 39% to $81 million, fueled by NVIDIA-powered AI inference tools. This isn’t legacy tech-it’s the infrastructure hyperscalers like OpenAI quietly rely on, turning data into instant decisions at the network’s edge.

Financial Snapshot: Profits Accelerating

Q3 2025 delivered $1.055 billion in revenue-a 5% rise-beating estimates with GAAP EPS jumping 155% to $0.97 amid margin expansion to 16%. Cash from operations hit $442 million (42% of revenue), underscoring operational muscle, while full-year guidance now eyes $4.18-$4.20 billion in sales. For institutional portfolios, this signals a maturing growth story; retail traders, it’s proof Akamai’s turning AI hype into hard cash flow.

Key Ratios:

Akamai’s trailing P/E sits at 26.4, a discount to peers amid forward estimates of 11.1, reflecting AI-driven upside. EV/EBITDA clocks in at 12.5, with debt-to-equity at a manageable 1.18 and current ratio of 2.31 -solid for weathering volatility. These metrics paint a picture of efficiency: not flashy like pure AI bets, but reliable for diversified holdings seeking 30% non-GAAP margins.

Stock Momentum: From Laggard to Leader

YTD 2025, AKAM climbed 20% to around $89, outpacing its sector after Q3 beats sparked a 15% weekly surge-now trading near analyst targets of $98. Recent 5% pops tie to edge AI buzz, with shares repurchased at $79.77 averaging $800 million YTD. Retail investors, this rebound rewards patience; institutions, it’s a tactical entry amid broader tech rotation.

The stock price has fallen by more than 38.17% since the IPO.

Dividends and Buybacks: Capital Discipline

Akamai skips dividends, channeling cash into growth-zero yield means zero distractions from reinvestment. Instead, a $2 billion buyback program through 2027 has already retired 10 million shares, boosting EPS by shrinking the float. For yield chasers, look elsewhere; for total return hunters, this is smart allocation in a high-conviction edge play.

Rivals in the Ring: Edge Wars Heat Up

Akamai l eads with unmatched scale against Cloudflare’s developer-friendly zero-trust edge and Fastly’s real-time speed focus-Limelight lags as a niche player. While Cloudflare grabs SMBs with pricing edge, Akamai dominates enterprises via threat intel depth, holding 15–30% web traffic share. The battle? AI at the edge: Akamai’s NVIDIA tie-up positions it to outpace rivals in low-latency inference.

Latest Buzz: AI Tailwinds Ignite Value

November was a good month for Akamai:

• Another bank, HSBC, raised their target all the way to $134 and said the company is rock solid.
• A big bank, Oppenheimer, started covering the stock and said “Buy!” with a $100 price target. They love how much Akamai will grow in AI and cloud security in 2026.
• Right after the last earnings report, the stock jumped 5% because everyone got excited about their new AI computing service.
• There was a short internet glitch in Asia — fixed in no time, no big deal.

Voices from the Edge: X Experts Weigh In

• Oppenheimer’s fresh take: „Growth upside from AI, cloud compute, and security tailwinds driving top-line acceleration.” @AIStockSavvy .
• @whydidthismove nails the rally: „Earnings beat and positive product traction… momentum meeting a friendlier tape.”
• on Akamai Cloud: „3x throughput improvement, 60% less latency, 86% lower cost-great bet.”

Consensus? Undervalued gem in AI infrastructure-buy the dip, hold the surge.

Investment Insights

The company is still growing revenue, but profits are getting squeezed. Net profit margin has dropped to just 12.65% — that’s not great and most smart investors won’t be happy with it. Gross margin is still decent at 59.4%, but it’s sliding, which shows the competition is making life tougher.

Costs are the big problem. Selling, general & admin expenses + research & development now eat up more than 60% of Gross profit. That’s a very high number and leaves little room for error. The good news — Cash flow from the core business is strong and growing fast — real money is coming in the door.

The worrying part — Debt is rising quickly. Debt-to-equity is still okay at 0.95 and the Quick ratio is a safe 1.23, but the portion of long-term debt that has to be paid in the next 12 months is 5 times bigger than Operating profit. That’s a red flag.

Overall investment rating is still positive — the Investment Scoreboard gives it 64 out of 100 (a “good” score). We expect the stock price to grow faster than its historical average of 7.33% per year. So yes, there are risks and margins are shrinking, but the growth story and cash generation still make it interesting for patient investors.

Investment Attractiveness — Live Dynamic Heat Bars

Akamai Technologies Stock Forecast

2025–2029 Price Targets:

Trading and investing tips

At the time of writing, Akamai’s stock has just bounced strongly from its recent low and from the key psychological support level at $71. That sharp rebound makes right now an excellent moment to buy and add shares to your portfolio before the next leg up.

Conclusion

Akamai isn’t the sexy new AI kid on the block-it’s the quiet engineer who actually built the block and now charges rent to every hot startup. The stock can still be bought cheaper than a fancy dinner in Manhattan, yet analysts see it serving $130+ steaks in a couple of years. Buy it, forget it, wake up richer… or keep scrolling and tell your friends in 2027 how you “almost” bought it at $89. Your call.

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Originally published at https://aipt.lt on November 26, 2025.

Is Akamai the Most Underrated AI Stock of 2025? was originally published in Coinmonks on Medium, where people are continuing the conversation by highlighting and responding to this story.

Imagine waking up one morning, scrolling through your portfolio, and realizing the stock you almost sold last quarter has just jumped 36% overnight. That’s not a dream-it’s Globus Medical (GMED) after its blowout Q3 results. If you’ve ever wondered how innovation, precision, and timing collide in the medical tech world, this stock is your masterclass. Between robotic surgeons, record-breaking buybacks, and near-zero debt, GMED isn’t just fixing spines-it might fix your portfolio’s posture too.

Operations: Precision Engineering Meets Global Reach

Globus Medical designs and sells life-changing devices for spine, trauma, and joint reconstruction, powering over 10 million procedures worldwide. Their crown jewel? The ExcelsiusGPS robot, now in 500+ U.S. hospitals, slashing surgery times by 30% and errors to near-zero.

With 5,300 employees across 64 countries, revenue tilts 60% U.S.-heavy but expands via smart acquisitions like Nevro’s pain-tech, tapping a $3 billion neuromodulation market. It’s not just hardware-software like Surgimap plans surgeries virtually, turning complex ops into seamless wins.

Financial Firepower: Cash Machine in Overdrive

Q3 2025 was a rout: revenue hit $769 million (up 23% YoY), smashing estimates by $34 million, with non-GAAP EPS at $1.18 (up 43%). Free cash flow? A record $214 million, fueling $256 million in YTD buybacks.

Globus Medical Stock Surge: From Underdog to Momentum Monster

Analysts swarm:

• BofA’s „Buy” at $91 cites 16% EPS CAGR through 2027;
• Truist’s $93 targets 11x EBITDA.
• Volatility? Sure, but with 50% two-year revenue CAGR, it’s the kind that rewards holders.

The stock price has risen by more than 527.04% since the IPO.

Returns to You: Buybacks Over Boring Dividends

No dividends here-Globus prioritizes reinvestment in R&D (12% of sales) and growth. Instead, a $500 million buyback bonanza signals rock-solid confidence, erasing 2% of shares YTD at bargain prices. It’s smart capital allocation: why pay out when you can compound at 30% margins? For yield chasers, it’s zero-but for total return hunters, those repurchases juice EPS by 5–7% annually.

Rivals in the Ring: Globus Packs a Punch

In the $13 billion spine arena (growing 6% CAGR), Globus ties Medtronic at 25% share, nipping at heels with robotics edge over J&J’s (10%) procedural focus and Stryker’s (12%) breadth. Acquisitions like NuVasive doubled scale without the integration headaches of past deals. IP moat? Ironclad-$9.5 million patent win vs. Life Spine deters copycats. While peers chase diversification, Globus lasers on spine, outpacing with 38% five-year revenue CAGR vs. Medtronic’s 5%.

Data as of Nov 10 close; yields reflect trailing 12 months. GMED’s zero yield underscores growth reinvestment, trading at a peer discount on P/E.

Headlines That Hit Hard: Earnings Ignite a Rally

November 6’s Q3 bombshell- 23% sales leap, EPS crush, Nevro turning profitable now-catapulted shares 36%, adding $4 billion in market cap overnight. Why the jolt? It crushes fears of acquisition indigestion, proving Globus can integrate and accelerate (U.S. spine up 10%). Downside? R obotics dipped 27% on hospital budget squeezes, but it’s just 4% of sales. Net impact: a 20% EPS guide hike signals $4+ earnings by 2027, potentially $100+ stock. For investors, it’s validation-buy the dip, ride the wave.

X-Factor: What Wall Street Whispers

Investment Insights

Globus Medical’s profitability has been under pressure in recent years. The company’s Net profit margin has declined to 4.09%, continuing a multi-year downtrend. Gross margin has also narrowed slightly, now standing at 59%, still near its long-term average but showing signs of cost inflation and operational strain.

A closer look reveals that General and administrative expenses are weighing heavily on performance, absorbing 66% of Gross profit. This high expense ratio signals that management is investing heavily in scaling operations and infrastructure — a hallmark of an aggressive growth phase.

Rapid Expansion Driving Operational Costs

Globus Medical is clearly in the midst of a strong expansion cycle. Over the past five years, the company’s headcount surged by 165% to more than 5,300 employees, reflecting rapid integration following acquisitions and continued investment in R&D and global distribution.

Such growth inevitably brings short-term pressure on profitability ratios, but it positions the company for higher long-term revenue potential and operating leverage once integration costs normalize.

Strengthened Balance Sheet Through Full Debt Repayment

This strategic deleveraging move reinforces investor confidence, particularly in an environment where interest rate volatility and capital efficiency are in focus.

Investment Outlook: A Growth Stock with Moderate Risk

Following its improved capital structure, Globus Medical’s Investment Scoreboard rating stands at 69, classifying it as a solid investment-grade growth stock. We expect the company’s share price performance to outpace its long-term historical CAGR of 12.35%, supported by expanding markets and product innovation.

Investment attractiveness

Globus Medical Stock Forecast

2025–2029 Price Targets:

Trading and investing tips

At the time of writing, the stock price has surged sharply following strong positive news, yet it still remains well below its previous all-time high (ATH).
This presents a favorable opportunity to open a new position or add to an existing one, as under the current supportive market conditions, a meaningful correction appears unlikely.

Despite the roughly 40% price increase, the stock is still reasonably and fairly valued compared to fixed-income instruments. Even at current levels, the expected annual return in an optimistic scenario could reach up to 19% on average per year.

Conclusion

Globus Medical’s story is one of surgical precision-literally and financially. It’s rare to find a company that cuts operation times and boosts operating margins. With robots doing the heavy lifting and management trimming the debt fat, GMED looks fit for long-term growth. And let’s be honest-if your back ever needs a fix, wouldn’t you rather it be done by a company that just gained 36% in a day?

Have you already invested in this company’s stock? Leave a comment-we’re closely following this stock!

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Originally published at https://aipt.lt on November 13, 2025.

Globus Medical: The $4B Rally No One Saw Coming was originally published in Coinmonks on Medium, where people are continuing the conversation by highlighting and responding to this story.