NEW YORK (TheStreet) -- Shares of Akamai Technologies (AKAM) - Get Report were falling 6.22% to $69.07 Wednesday after the content delivery network (CDN) provider missed analysts' estimates for earnings in the second quarter.
Akamai reported earnings of 57 cents a share in the second quarter, below analysts' estimates of 58 cents a share. Revenue grew 13.6% year over year to $540.72 million for the quarter, in line with analysts' estimates.
Performance and Security revenue grew 15% year over year to $256 million in the year-ago quarter, Media Delivery revenue grew 12% to $244 million, and Service and Support revenue grew 14% to $41 million.
"Akamai delivered a solid second quarter with strong revenue growth across every geography and solution category, with particularly strong growth in our Cloud Security Solutions," CEO Dr. Tom Leighton said in a statement. "We are continuing to make major investments in innovation and the expansion of our platform to develop new products and to accommodate the potential for substantially increased OTT traffic in 2016."
About 1.3 million shares of Akamai Technologies were traded by 9:45 a.m. Wednesday, compared to the company's average trading volume of about 1.4 million shares a day.
TheStreet Ratings team rates AKAMAI TECHNOLOGIES INC as a Buy with a ratings score of B. TheStreet Ratings Team has this to say about their recommendation:
"We rate AKAMAI TECHNOLOGIES INC (AKAM) a BUY. This is driven by a few notable strengths, which we believe should have a greater impact than any weaknesses, and should give investors a better performance opportunity than most stocks we cover. The company's strengths can be seen in multiple areas, such as its robust revenue growth, largely solid financial position with reasonable debt levels by most measures, growth in earnings per share, reasonable valuation levels and expanding profit margins. Although no company is perfect, currently we do not see any significant weaknesses which are likely to detract from the generally positive outlook."
You can view the full analysis from the report here: AKAM Ratings Report