UPDATE: Goldman Sachs Resumes Coverage on Akamai Technologies with Neutral Rating, $44 PT

In a report published Wednesday, Goldman Sachs Group resumed coverage on Akamai Technologies AKAM with a Neutral rating and $44.00 price target. Goldman Sachs noted, “We resume coverage of Akamai with a Neutral rating and a $44, 12-month price target. CDN price declines are expected to be ongoing in 2012/13 (we estimate 15-20% declines in each) and we think traffic growth will increase at a slower rate in 2013. As such, we see AKAM's content delivery business (42% of sales in 2012) decelerating despite market share gains, which we think were a key driver of segment revenue growth acceleration in 2012 (we estimate 20% yoy in CY12 vs 5% in 2011). Further, we think the Cloud Infrastructure segment will continue to decelerate, especially as Amazon.com's dynamic site acceleration (DSA) solution matures in 2H13.” Akamai Technologies closed on Tuesday at $39.60.