BUZZ - Akamai Technologies' stock surges due to $11.6 billion deal with Anthropic

September 25 - ** Akamai Technologies (stock code: AKAM.O) surged 21% in pre-market trading after the company signed a $11.6 billion cloud services agreement (link) with artificial intelligence lab Anthropic

** The seven-year contract includes a warrant granting Anthropic the right to purchase shares that, upon conversion, could give it up to 5% ownership of the cloud services company

** AKAM estimates total capital expenditure related to the initial commitment at about $5.5 billion, expecting an approximate $1.7 billion increase in capital expenditure in 2026

** At least two brokerage firms have raised their target price for AKAM

** The average rating from 26 analysts is “Buy”; the median target price is $149 - compiled data from Reuters (LSEG)

** Year-to-date, AKAM shares have risen about 26.5%, while the Nasdaq .IXIC index is up 15.9%

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