Diamonds and Dogs
Akamai Technologies (AKAM) climbing back. The Cambridge, Mass. based provider of content delivery network, or CDN is up 5% to a five month high following earnings. Third-quarter profits actually fell 9% from a year earlier but topped expectations. Revenue rose 6% to $621 million, also above estimates. Akamai is moving into higher margin cloud security services as prices for the content delivery network services continue to tumble. Good news going forward.
Chipotle Mexican Grill (CMG) not so hot. The fast food restaurateur is down 14% to a 52 week low following disappointing earnings. The company missed earnings estimates by a wide margin blaming a data breach, a hurricane or two and other concerns dating back to their 2015 food safety issues. Even with the pull back, the stock still looks expensive. One analyst said he is struggling to find any positive takeaways. Not good.