Akamai's Share Of Netflix Failing

Goldman Sachs has published a research report on Akamai Technologies (NASDAQ: AKAM) following the results regarding the Netflix (NASDAQ: NFLX) account.

In the report, Goldman Sachs writes "We believe the shift is about economics, not capabilities. We strongly believe that there are no video performance issues at Akamai. To the contrary, our latest conversations with large media customers have tended to highlight Akamai's superiority on multiple fronts. We believe that Akamai may choose to forego less-profitable volume relationships, given the company's much higher margin profile relative to competitors, driven by its portfolio of differentiated value-added services."

Goldman Sachs maintains its Buy rating and $60 price target.

Akamai Technologies closed yesterday at $51.56.