NEW YORK (TheStreet) -- Akamai Technologies (AKAM) shares are flat at $61.97 in early market trading on Thursday after analysts at Pacific Crest set a $65 price target on the company's shares.
The firm believes that the the cloud infrastructure services provider will experience strong momentum in near term and while seeing limited risk from Apple (AAPL) as a rival.
"There have been numerous reports that Apple, which we estimate is a mid- to higher-single-digit percentage of revenue for Akamai, has built a CDN. Based on our initial industry checks, we believe the loss of Apple-related business is low. Our contacts didn't expect Apple to take its content delivery completely in-house and thought the current agreement with Akamai would continue unchanged," said the firm.
TheStreet Ratings team rates AKAMAI TECHNOLOGIES INC as a Buy with a ratings score of A-. TheStreet Ratings Team has this to say about their recommendation:
"We rate AKAMAI TECHNOLOGIES INC (AKAM) a BUY. This is based on the convergence of positive investment measures, which should help this stock outperform the majority of stocks that we rate. 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, impressive record of earnings per share growth, compelling growth in net income and good cash flow from operations. Although no company is perfect, currently we do not see any significant weaknesses which are likely to detract from the generally positive outlook."