Internet Initiative Japan (OTCMKTS:IIJIY) vs. Akamai Technologies (NASDAQ:AKAM) Head to Head Review

Internet Initiative Japan (OTCMKTS:IIJIY) and Akamai Technologies (NASDAQ:AKAM) are both computer and technology companies, but which is the better business? We will compare the two companies based on the strength of their risk, valuation, analyst recommendations, institutional ownership, profitability, dividends and earnings.

Profitability

This table compares Internet Initiative Japan and Akamai Technologies’ net margins, return on equity and return on assets.

	Net Margins	Return on Equity	Return on Assets
Internet Initiative Japan	6.97%	15.88%	7.27%
Akamai Technologies	10.20%	12.96%	5.56%

Volatility and Risk

Internet Initiative Japan has a beta of 1.16, meaning that its stock price is 16% more volatile than the S&P 500. Comparatively, Akamai Technologies has a beta of 0.6, meaning that its stock price is 40% less volatile than the S&P 500.

Earnings & Valuation

This table compares Internet Initiative Japan and Akamai Technologies”s gross revenue, earnings per share and valuation.

	Gross Revenue	Price/Sales Ratio	Net Income	Earnings Per Share	Price/Earnings Ratio
Internet Initiative Japan	$2.29 billion	1.60	$160.68 million	$1.80	22.22
Akamai Technologies	$4.21 billion	5.54	$452.03 million	$2.97	53.98

Akamai Technologies has higher revenue and earnings than Internet Initiative Japan. Internet Initiative Japan is trading at a lower price-to-earnings ratio than Akamai Technologies, indicating that it is currently the more affordable of the two stocks.

Analyst Ratings

This is a breakdown of recent ratings and recommmendations for Internet Initiative Japan and Akamai Technologies, as reported by MarketBeat.com.

	Sell Ratings	Hold Ratings	Buy Ratings	Strong Buy Ratings	Rating Score
Internet Initiative Japan	0	0	0	1	4.00
Akamai Technologies	3	7	12	0	2.41

Akamai Technologies has a consensus price target of $145.29, suggesting a potential downside of 9.38%. Given Akamai Technologies’ higher possible upside, analysts plainly believe Akamai Technologies is more favorable than Internet Initiative Japan.

Institutional and Insider Ownership

94.3% of Akamai Technologies shares are held by institutional investors. 6.7% of Internet Initiative Japan shares are held by insiders. Comparatively, 2.3% of Akamai Technologies shares are held by insiders. Strong institutional ownership is an indication that hedge funds, large money managers and endowments believe a stock is poised for long-term growth.

Summary

Akamai Technologies beats Internet Initiative Japan on 9 of the 15 factors compared between the two stocks.

About Internet Initiative Japan

Internet Initiative Japan Inc. provides Internet connectivity, WAN, outsourcing, systems integration, and network-related equipment sales services in Japan. It operates through two segments, Network Services and Systems Integration Business, and ATM Operation Business. The company offers mobile communication and remote access/telework services; WAN/network services, including SDN, multi-cloud network, closed connection, internet VPN, SEIL, remote access, wireless LAN, and GIGA-school; leased line and broadband services; IIJ DNS platform, and domain name registration and maintenance services; IIJ access ID management, dial-up access, and IIJ IPv6 fiber access services; and security solutions for IIJ managed firewall, DDoS protection, and managed IPS/IDS services. It also provides cloud solutions, such as HaaS/IaaS, cloud storage, monitoring/operation, virtual desktop, Paas/Saas, solution for Microsoft and AWS, IoT/M2M, ID management and authentication, network, global, mobile, license, and specialized solutions, as well as IIJ cloud exchange and IIJ cloud integration solutions; integrated, network, mail, and web security, endpoint, security assessment/consulting, web and mail hosting, online storage, content delivery/CDN/CMS, and system integration; IoT services and solutions in the field of industrial, agriculture, energy, and IoT-oriented mobile communication; industry-specific solution; content delivery; and global/privacy products. In addition, the company offers IT outsourcing, IIJ consulting, cognitive factory, IIJ PC deployment support, IIJ PaaS solution, IIJ EMM utilization support, IIJ private cloud, network solutions, IIJ security audit, IIJ malware analysis, IIJ content management, cloud integration solution for Microsoft and AWS, Microsoft 365 transition support solution, data center service, and data center construction engineering solutions, as well as DX edge services. The company was incorporated in 1992 and is headquartered in Tokyo, Japan.

About Akamai Technologies

Akamai Technologies, Inc. provides cloud computing, security, and content delivery services in the United States and internationally. The company offers cloud solutions to keep infrastructure, websites, applications, application programming interfaces, and users safe from various cyberattacks and online threats while enhancing performance. It also provides web and mobile performance solutions to enable dynamic websites and applications; media delivery solutions, including video streaming and video player services, game and software delivery, broadcast operations, authoritative domain name system, resolution, and data and analytics; and cloud computing services, such as compute, storage, networking, database, and container management services to build, deploy, and secure applications and workloads. In addition, the company offers content delivery solutions; and an array of service and support to assist customers with integrating, configuring, optimizing, and managing its offerings. It sells its solutions through various channel partners. Akamai Technologies, Inc. was incorporated in 1998 and is headquartered in Cambridge, Massachusetts.