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Akamai Technologies (WBO:AKAM) Cyclically Adjusted PB Ratio : 4.11 (As of Apr. 27, 2024)


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What is Akamai Technologies Cyclically Adjusted PB Ratio?

As of today (2024-04-27), Akamai Technologies's current share price is €95.39. Akamai Technologies's Cyclically Adjusted Book per Share for the quarter that ended in Dec. 2023 was €23.22. Akamai Technologies's Cyclically Adjusted PB Ratio for today is 4.11.

The historical rank and industry rank for Akamai Technologies's Cyclically Adjusted PB Ratio or its related term are showing as below:

WBO:AKAM' s Cyclically Adjusted PB Ratio Range Over the Past 10 Years
Min: 3.02   Med: 5.02   Max: 7.21
Current: 3.97

During the past years, Akamai Technologies's highest Cyclically Adjusted PB Ratio was 7.21. The lowest was 3.02. And the median was 5.02.

WBO:AKAM's Cyclically Adjusted PB Ratio is ranked worse than
66.07% of 1288 companies
in the Software industry
Industry Median: 2.495 vs WBO:AKAM: 3.97

The Shiller PE Ratio was first used by professor Robert Shiller. He uses E10 for his Shiller PE Ratio calculation. E10 is the average of the inflation adjusted earnings per share of a company over the past 10 years. The similar calculation is applied by GuruFocus to calculate the Cyclically Adjusted PB Ratio. The Cyclically Adjusted Book per Share is the average of the inflation adjusted book value per share of a company over the past 10 years.

Akamai Technologies's adjusted book value per share data for the three months ended in Dec. 2023 was €27.875. Add all the adjusted book value per share for the past 10 years together and divide the count will get our Cyclically Adjusted Book per Share, which is €23.22 for the trailing ten years ended in Dec. 2023.

Shiller PE for Stocks: The True Measure of Stock Valuation


Akamai Technologies Cyclically Adjusted PB Ratio Historical Data

The historical data trend for Akamai Technologies's Cyclically Adjusted PB Ratio can be seen below:

* For Operating Data section: All numbers are indicated by the unit behind each term and all currency related amount are in USD.
* For other sections: All numbers are in millions except for per share data, ratio, and percentage. All currency related amount are indicated in the company's associated stock exchange currency.

* Premium members only.

Akamai Technologies Cyclically Adjusted PB Ratio Chart

Akamai Technologies Annual Data
Trend Dec14 Dec15 Dec16 Dec17 Dec18 Dec19 Dec20 Dec21 Dec22 Dec23
Cyclically Adjusted PB Ratio
Get a 7-Day Free Trial Premium Member Only Premium Member Only 4.99 5.62 5.48 3.54 4.61

Akamai Technologies Quarterly Data
Mar19 Jun19 Sep19 Dec19 Mar20 Jun20 Sep20 Dec20 Mar21 Jun21 Sep21 Dec21 Mar22 Jun22 Sep22 Dec22 Mar23 Jun23 Sep23 Dec23
Cyclically Adjusted PB Ratio Get a 7-Day Free Trial Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only 3.54 3.20 3.60 4.18 4.61

Competitive Comparison of Akamai Technologies's Cyclically Adjusted PB Ratio

For the Software - Infrastructure subindustry, Akamai Technologies's Cyclically Adjusted PB Ratio, along with its competitors' market caps and Cyclically Adjusted PB Ratio data, can be viewed below:

* Competitive companies are chosen from companies within the same industry, with headquarter located in same country, with closest market capitalization; x-axis shows the market cap, and y-axis shows the term value; the bigger the dot, the larger the market cap. Note that "N/A" values will not show up in the chart.


Akamai Technologies's Cyclically Adjusted PB Ratio Distribution in the Software Industry

For the Software industry and Technology sector, Akamai Technologies's Cyclically Adjusted PB Ratio distribution charts can be found below:

* The bar in red indicates where Akamai Technologies's Cyclically Adjusted PB Ratio falls into.



Akamai Technologies Cyclically Adjusted PB Ratio Calculation

Like the Shiller PE Ratio, the Cyclically Adjusted PB Ratio takes the Book Value per Share from the past 10 years, adjusts it for inflation, and then calculates the average. This average is then used for the P/B calculation. Because it considers this 10-year average, it's often referred to as the CAPB Ratio.

The Shiller PE Ratio was first used by professor Robert Shiller to measure the valuation of the overall market. The similar calculation is applied by GuruFocus to calculate the Cyclically Adjusted PB Ratio.

Akamai Technologies's Cyclically Adjusted PB Ratio for today is calculated as

Cyclically Adjusted PB Ratio=Share Price/ Cyclically Adjusted Book per Share
=95.39/23.22
=4.11

* For Operating Data section: All numbers are indicated by the unit behind each term and all currency related amount are in USD.
* For other sections: All numbers are in millions except for per share data, ratio, and percentage. All currency related amount are indicated in the company's associated stock exchange currency.

Akamai Technologies's Cyclically Adjusted Book per Share for the quarter that ended in Dec. 2023 is calculated as:

For example, Akamai Technologies's adjusted Book Value per Share data for the three months ended in Dec. 2023 was:

Adj_Book=Book Value per Share/CPI of Dec. 2023 (Change)*Current CPI (Dec. 2023)
=27.875/129.4194*129.4194
=27.875

Current CPI (Dec. 2023) = 129.4194.

Akamai Technologies Quarterly Data

Book Value per Share CPI Adj_Book
201403 10.984 99.695 14.259
201406 11.447 100.560 14.732
201409 12.404 100.428 15.985
201412 13.397 99.070 17.501
201503 15.419 99.621 20.031
201506 15.176 100.684 19.507
201509 15.425 100.392 19.885
201512 16.167 99.792 20.967
201603 15.882 100.470 20.458
201606 16.012 101.688 20.379
201609 16.258 101.861 20.657
201612 17.638 101.863 22.410
201703 17.592 102.862 22.134
201706 17.007 103.349 21.297
201709 16.177 104.136 20.105
201712 16.724 104.011 20.809
201803 16.075 105.290 19.759
201806 17.419 106.317 21.204
201809 16.501 106.507 20.051
201812 17.223 105.998 21.029
201903 17.771 107.251 21.444
201906 18.391 108.070 22.024
201909 19.668 108.329 23.497
201912 20.322 108.420 24.258
202003 20.492 108.902 24.353
202006 21.318 108.767 25.366
202009 21.421 109.815 25.245
202012 21.477 109.897 25.292
202103 22.236 111.754 25.751
202106 22.793 114.631 25.733
202109 23.981 115.734 26.817
202112 24.977 117.630 27.480
202203 24.324 121.301 25.952
202206 25.392 125.017 26.286
202209 27.081 125.227 27.988
202212 26.301 125.222 27.183
202303 25.507 127.348 25.922
202306 26.081 128.729 26.221
202309 26.841 129.860 26.750
202312 27.875 129.419 27.875

Add all the adjusted book value per share together and divide the count will get our Cyclically Adjusted Book per Share.

Please note that we use the CPI data of the country/region where the company is headquartered. If the CPI data for that country/region is not available, then we will use the CPI data of the United States as default.


Akamai Technologies  (WBO:AKAM) Cyclically Adjusted PB Ratio Explanation

Compared with the regular PB Ratio, which works poorly for cyclical businesses, the Cyclically Adjusted PB Ratio smoothed out the fluctuations of book value during business cycles. Therefore it is more accurate in reflecting the valuation of the company.

If a company has consistent business performance, the Cyclically Adjusted PB Ratio should give similar results to regular PB Ratio.


Akamai Technologies Cyclically Adjusted PB Ratio Related Terms

Thank you for viewing the detailed overview of Akamai Technologies's Cyclically Adjusted PB Ratio provided by GuruFocus.com. Please click on the following links to see related term pages.


Akamai Technologies (WBO:AKAM) Business Description

Address
145 Broadway, Cambridge, MA, USA, 02142
Akamai operates a content delivery network, or CDN, which entails locating servers at the edges of networks so its customers, which store content on Akamai servers, can reach their own customers faster, more securely, and with better quality. Akamai has over 325,000 servers distributed over 4,100 points of presence in more than 1,000 cities worldwide. Its customers generally include media companies, which stream video content or make video games available for download, and other enterprises that run interactive or high-traffic websites, such as e-commerce firms and financial institutions. Akamai also has a significant security business, which is integrated with its core delivery and computing businesses to protect customers from cyberthreats.