Oppenheimer Reports Solid 1Q11 For Akamai Technologies

In a report published by Oppenheimer, Akamai Technologies (NASDAQ: AKAM) saw solid 1Q11 results but disappointing guidance.

Oppenheimer said that AKAM posted solid 1Q11 EPS of $0.38 vs. the $0.37 forecast. “Results

were generally above our estimates/consensus with revenue and EBITDA growth of 15% and 9%, respectively. However, management gave cautious 2Q11 guidance and appeared to back away from previous objectives of 15% revenue growth for the year. Volume growth also appears to be slowing, but no specifics were given. We note that volumes, expenses and pricing trends can be lumpy quarter to quarter, and management remains confident (and so are we) on the longer-term outlook. However, we remain cautious on the stock largely due to concerns regarding price competition in the media segment and negative earnings leverage due to increasing below-the-line items. ”

Akamai Technologies closed yesterday at $40.98.