Seek Returns logo

AKAM vs. STX: A Head-to-Head Stock Comparison

Updated on

Here’s a clear look at AKAM and STX, comparing key factors like historical performance, profitability, financial strength, growth, dividend, and valuation.

Company Profile

SymbolAKAMSTX
Company NameAkamai Technologies, Inc.Seagate Technology Holdings plc
CountryUnited StatesSingapore
GICS SectorInformation TechnologyInformation Technology
GICS IndustryIT ServicesTechnology Hardware, Storage & Peripherals
Market Capitalization10.91 billion USD33.69 billion USD
ExchangeNasdaqGSNasdaqGS
Listing DateOctober 29, 1999December 11, 2002
Security TypeCommon StockCommon Stock

Historical Performance

This chart compares the performance of AKAM and STX by tracking the growth of an initial $10,000 investment in each. Use the tabs to select the desired time period. Data is adjusted for dividends and splits.

AKAM vs. STX: Growth of a $10,000 investment over the past one year.

Historical Performance at a Glance

SymbolAKAMSTX
5-Day Price Return1.39%1.71%
13-Week Price Return-1.97%45.27%
26-Week Price Return-24.31%56.09%
52-Week Price Return-23.89%52.37%
Month-to-Date Return0.24%0.89%
Year-to-Date Return-20.03%83.52%
10-Day Avg. Volume2.84M2.30M
3-Month Avg. Volume2.26M4.06M
3-Month Volatility25.31%31.96%
Beta0.761.60

Profitability

Return on Equity (TTM)

AKAM

9.07%

IT Services Industry

Max
29.51%
Q3
16.98%
Median
13.47%
Q1
7.93%
Min
-3.97%

AKAM’s Return on Equity of 9.07% is on par with the norm for the IT Services industry, indicating its profitability relative to shareholder equity is typical for the sector.

STX

398.07%

Technology Hardware, Storage & Peripherals Industry

Max
47.24%
Q3
29.40%
Median
9.11%
Q1
6.06%
Min
-0.79%

STX’s Return on Equity of 398.07% is exceptionally high, placing it well beyond the typical range for the Technology Hardware, Storage & Peripherals industry. This demonstrates a superior ability to generate profit from shareholder investments, though it could also be inflated by high financial leverage.

AKAM vs. STX: A comparison of their Return on Equity (TTM) against their respective IT Services and Technology Hardware, Storage & Peripherals industry benchmarks.

Net Profit Margin (TTM)

AKAM

10.40%

IT Services Industry

Max
19.82%
Q3
11.49%
Median
6.67%
Q1
3.61%
Min
-4.62%

AKAM’s Net Profit Margin of 10.40% is aligned with the median group of its peers in the IT Services industry. This indicates its ability to convert revenue into profit is typical for the sector.

STX

16.15%

Technology Hardware, Storage & Peripherals Industry

Max
13.86%
Q3
8.17%
Median
4.62%
Q1
3.65%
Min
-0.21%

STX’s Net Profit Margin of 16.15% is exceptionally high, placing it well beyond the typical range for the Technology Hardware, Storage & Peripherals industry. This demonstrates outstanding operational efficiency and a strong competitive advantage in converting revenue into profit.

AKAM vs. STX: A comparison of their Net Profit Margin (TTM) against their respective IT Services and Technology Hardware, Storage & Peripherals industry benchmarks.

Operating Profit Margin (TTM)

AKAM

12.85%

IT Services Industry

Max
21.69%
Q3
14.50%
Median
10.06%
Q1
6.98%
Min
0.06%

AKAM’s Operating Profit Margin of 12.85% is around the midpoint for the IT Services industry, indicating that its efficiency in managing core business operations is typical for the sector.

STX

20.88%

Technology Hardware, Storage & Peripherals Industry

Max
17.80%
Q3
10.33%
Median
6.31%
Q1
4.86%
Min
2.53%

STX’s Operating Profit Margin of 20.88% is exceptionally high, placing it well above the typical range for the Technology Hardware, Storage & Peripherals industry. This demonstrates outstanding efficiency in managing its core operations, which can be a result of strong pricing power or superior cost control.

AKAM vs. STX: A comparison of their Operating Profit Margin (TTM) against their respective IT Services and Technology Hardware, Storage & Peripherals industry benchmarks.

Profitability at a Glance

SymbolAKAMSTX
Return on Equity (TTM)9.07%398.07%
Return on Assets (TTM)4.13%18.64%
Net Profit Margin (TTM)10.40%16.15%
Operating Profit Margin (TTM)12.85%20.88%
Gross Profit Margin (TTM)59.13%35.32%

Financial Strength

Current Ratio (MRQ)

AKAM

2.31

IT Services Industry

Max
2.42
Q3
1.81
Median
1.47
Q1
1.09
Min
0.44

AKAM’s Current Ratio of 2.31 is in the upper quartile for the IT Services industry. This signifies a strong liquidity position, suggesting the company is well-equipped to cover its immediate liabilities compared to its peers.

STX

1.38

Technology Hardware, Storage & Peripherals Industry

Max
2.47
Q3
1.98
Median
1.40
Q1
1.26
Min
0.70

STX’s Current Ratio of 1.38 aligns with the median group of the Technology Hardware, Storage & Peripherals industry, indicating that its short-term liquidity is in line with its sector peers.

AKAM vs. STX: A comparison of their Current Ratio (MRQ) against their respective IT Services and Technology Hardware, Storage & Peripherals industry benchmarks.

Debt-to-Equity Ratio (MRQ)

AKAM

0.92

IT Services Industry

Max
2.33
Q3
1.17
Median
0.54
Q1
0.15
Min
0.00

AKAM’s Debt-to-Equity Ratio of 0.92 is typical for the IT Services industry, indicating its use of leverage is in line with the sector norm. This suggests a balanced approach to its capital structure.

STX

51.80

Technology Hardware, Storage & Peripherals Industry

Max
1.47
Q3
0.93
Median
0.32
Q1
0.19
Min
0.00

With a Debt-to-Equity Ratio of 51.80, STX operates with exceptionally high leverage compared to the Technology Hardware, Storage & Peripherals industry norm. This suggests an aggressive reliance on debt financing, which can magnify returns but also significantly elevates financial risk.

AKAM vs. STX: A comparison of their Debt-to-Equity Ratio (MRQ) against their respective IT Services and Technology Hardware, Storage & Peripherals industry benchmarks.

Interest Coverage Ratio (TTM)

AKAM

85.36

IT Services Industry

Max
144.50
Q3
84.49
Median
13.76
Q1
2.59
Min
-28.13

AKAM’s Interest Coverage Ratio of 85.36 is in the upper quartile for the IT Services industry, signifying a strong and healthy capacity to meet its interest payments from operating profits.

STX

6.11

Technology Hardware, Storage & Peripherals Industry

Max
204.63
Q3
90.22
Median
21.70
Q1
6.79
Min
-23.93

In the lower quartile for the Technology Hardware, Storage & Peripherals industry, STX’s Interest Coverage Ratio of 6.11 indicates a tighter cushion for servicing debt, suggesting less financial flexibility than many of its competitors.

AKAM vs. STX: A comparison of their Interest Coverage Ratio (TTM) against their respective IT Services and Technology Hardware, Storage & Peripherals industry benchmarks.

Financial Strength at a Glance

SymbolAKAMSTX
Current Ratio (MRQ)2.311.38
Quick Ratio (MRQ)1.980.84
Debt-to-Equity Ratio (MRQ)0.9251.80
Interest Coverage Ratio (TTM)85.366.11

Growth

Revenue Growth

AKAM vs. STX: A side-by-side comparison of their Revenue Growth for the MRQ (YoY), TTM (YoY), 3-Year CAGR, and 5-Year CAGR periods.

EPS Growth

AKAM vs. STX: A side-by-side comparison of their EPS Growth for the MRQ (YoY), TTM (YoY), 3-Year CAGR, and 5-Year CAGR periods.

Dividend

Dividend Yield (TTM)

AKAM

0.00%

IT Services Industry

Max
2.80%
Q3
1.74%
Median
0.62%
Q1
0.00%
Min
0.00%

AKAM currently does not pay a dividend, resulting in a yield of 0%. This is a common strategy for growth-focused companies that prioritize reinvesting earnings, though it may be less typical in mature, income-oriented sectors.

STX

1.78%

Technology Hardware, Storage & Peripherals Industry

Max
4.50%
Q3
3.66%
Median
1.90%
Q1
0.00%
Min
0.00%

STX’s Dividend Yield of 1.78% is consistent with its peers in the Technology Hardware, Storage & Peripherals industry, providing a dividend return that is standard for its sector.

AKAM vs. STX: A comparison of their Dividend Yield (TTM) against their respective IT Services and Technology Hardware, Storage & Peripherals industry benchmarks.

Dividend Payout Ratio (TTM)

AKAM

0.00%

IT Services Industry

Max
147.75%
Q3
63.58%
Median
24.63%
Q1
0.00%
Min
0.00%

AKAM has a Dividend Payout Ratio of 0%, indicating it does not currently pay a dividend. This is a common strategy for growth-oriented companies that reinvest all profits back into the business.

STX

40.84%

Technology Hardware, Storage & Peripherals Industry

Max
142.87%
Q3
66.07%
Median
42.79%
Q1
0.00%
Min
0.00%

STX’s Dividend Payout Ratio of 40.84% is within the typical range for the Technology Hardware, Storage & Peripherals industry, suggesting a balanced approach between shareholder payouts and company reinvestment.

AKAM vs. STX: A comparison of their Dividend Payout Ratio (TTM) against their respective IT Services and Technology Hardware, Storage & Peripherals industry benchmarks.

Dividend at a Glance

SymbolAKAMSTX
Dividend Yield (TTM)0.00%1.78%
Dividend Payout Ratio (TTM)0.00%40.84%

Valuation

Price-to-Earnings Ratio (TTM)

AKAM

25.68

IT Services Industry

Max
41.55
Q3
31.54
Median
23.25
Q1
18.12
Min
6.57

AKAM’s P/E Ratio of 25.68 is within the middle range for the IT Services industry. This suggests its valuation is in line with the sector average, representing neither a significant premium nor a discount compared to its peers.

STX

22.93

Technology Hardware, Storage & Peripherals Industry

Max
43.16
Q3
27.56
Median
17.85
Q1
12.48
Min
6.21

STX’s P/E Ratio of 22.93 is within the middle range for the Technology Hardware, Storage & Peripherals industry. This suggests its valuation is in line with the sector average, representing neither a significant premium nor a discount compared to its peers.

AKAM vs. STX: A comparison of their Price-to-Earnings Ratio (TTM) against their respective IT Services and Technology Hardware, Storage & Peripherals industry benchmarks.

Price-to-Sales Ratio (TTM)

AKAM

2.67

IT Services Industry

Max
6.61
Q3
4.37
Median
2.02
Q1
1.20
Min
0.19

AKAM’s P/S Ratio of 2.67 aligns with the market consensus for the IT Services industry. This suggests its valuation, based on sales, is seen as standard and is on par with its competitors.

STX

3.70

Technology Hardware, Storage & Peripherals Industry

Max
4.27
Q3
1.99
Median
0.93
Q1
0.45
Min
0.04

STX’s P/S Ratio of 3.70 is in the upper echelon for the Technology Hardware, Storage & Peripherals industry. This means the company is valued richly on its revenue stream compared to its peers, suggesting the stock is priced for a high level of future performance.

AKAM vs. STX: A comparison of their Price-to-Sales Ratio (TTM) against their respective IT Services and Technology Hardware, Storage & Peripherals industry benchmarks.

Price-to-Book Ratio (MRQ)

AKAM

2.61

IT Services Industry

Max
11.19
Q3
6.38
Median
3.47
Q1
2.31
Min
0.96

AKAM’s P/B Ratio of 2.61 is within the conventional range for the IT Services industry. This shows a balanced market view, where the stock’s price is neither at a significant premium nor a discount to the book value of its peers.

STX

136.18

Technology Hardware, Storage & Peripherals Industry

Max
12.51
Q3
6.11
Median
1.73
Q1
1.01
Min
0.31

At 136.18, STX’s P/B Ratio is at an extreme premium to the Technology Hardware, Storage & Peripherals industry. This signifies that the market’s valuation is heavily reliant on future potential rather than its current net asset value, which can be a high-risk proposition.

AKAM vs. STX: A comparison of their Price-to-Book Ratio (MRQ) against their respective IT Services and Technology Hardware, Storage & Peripherals industry benchmarks.

Valuation at a Glance

SymbolAKAMSTX
Price-to-Earnings Ratio (TTM)25.6822.93
Price-to-Sales Ratio (TTM)2.673.70
Price-to-Book Ratio (MRQ)2.61136.18
Price-to-Free Cash Flow Ratio (TTM)20.9341.18