On Monday, Akamai Technologies received a rare double upgrade from Morgan Stanley, with senior analyst Sanjit Singh elevating his recommendation directly from underweight to overweight and bypassing the hold level. He also boosted his price target from $83 to $115 per share, representing a 38% increase. Singh cited the company’s low valuation relative to peers and its successful pivot from content delivery to higher-margin cybersecurity and cloud services. This marked a 180-degree shift from his previous bearish stance and underscored his view that the business is currently undervalued despite mid-to-single-digit revenue growth since the pandemic.

Following the upgrade, Akamai’s shares gained nearly 4% on heavy turnover, with volume jumping to 6.7 million shares—more than double the three-month average of 2.8 million. The name has yet to regain ground lost during a 21.7% post-earnings slide in February but has now moved into positive territory for the year. Short interest remains elevated at 8.5% of the float, suggesting that covering activity may have contributed to the rally and could continue to support the stock on further upside catalysts.

Options flow in Akamai stock surged to eight times its typical intraday level after the bull note, with traders predominantly opening long calls. The January 2026 97.50-strike and February 95-strike calls saw the highest volume, reflecting bets on continued upside toward Singh’s new target. Implied volatility sits at 35%, placing it in the low 21st percentile of its annual range, which traders interpret as relatively inexpensive hedging costs for positioning around upcoming earnings and potential M&A announcements in the cybersecurity space.