Fastly (NASDAQ:FSLY) Stock Price Down 5.3% – Here’s Why

Fastly, Inc. (NASDAQ:FSLY)’s stock price fell 5.3% on Friday . The company traded as low as $23.60 and last traded at $23.2710. Approximately 721,993 shares traded hands during trading, a decline of 92% from the average daily volume of 9,171,075 shares. The stock had previously closed at $24.57.

Analyst Ratings Changes

A number of research firms have recently issued reports on FSLY. Freedom Capital upgraded shares of Fastly to a “strong-buy” rating in a research report on Thursday, July 16th. KeyCorp reissued an “overweight” rating and issued a $30.00 target price on shares of Fastly in a report on Friday. Weiss Ratings restated a “sell (d-)” rating on shares of Fastly in a research note on Friday, August 7th. Raymond James Financial reaffirmed an “outperform” rating and set a $29.00 target price on shares of Fastly in a report on Thursday, August 6th. Finally, Royal Bank Of Canada increased their price target on Fastly from $22.00 to $28.00 and gave the stock a “sector perform” rating in a research report on Thursday, August 6th. One investment analyst has rated the stock with a Strong Buy rating, five have given a Buy rating, six have issued a Hold rating and one has assigned a Sell rating to the company. According to MarketBeat, the company currently has a consensus rating of “Hold” and an average target price of $25.33.

Fastly Stock Performance

The firm has a market cap of $3.76 billion, a price-to-earnings ratio of -44.45 and a beta of 0.36. The stock’s fifty day moving average is $23.02 and its two-hundred day moving average is $22.43. The company has a debt-to-equity ratio of 0.33, a quick ratio of 3.36 and a current ratio of 3.36.

Fastly (NASDAQ:FSLY) last posted its earnings results on Wednesday, August 5th. The company reported $0.15 EPS for the quarter, topping the consensus estimate of $0.07 by $0.08. Fastly had a negative net margin of 11.80% and a negative return on equity of 6.31%. The firm had revenue of $183.32 million during the quarter, compared to analysts’ expectations of $173.94 million. Fastly has set its FY 2026 guidance at 0.500-0.540 EPS and its Q3 2026 guidance at 0.110-0.130 EPS. On average, analysts expect that Fastly, Inc. will post -0.29 earnings per share for the current fiscal year.

Insiders Place Their Bets

In related news, CFO Richard Wong sold 148,015 shares of the firm’s stock in a transaction that occurred on Tuesday, August 18th. The stock was sold at an average price of $28.61, for a total value of $4,234,709.15. Following the sale, the chief financial officer directly owned 1,091,286 shares in the company, valued at $31,221,692.46. This trade represents a 11.94% decrease in their position. The transaction was disclosed in a legal filing with the Securities & Exchange Commission, which is available through this hyperlink. Also, insider Scott Lovett sold 19,624 shares of the stock in a transaction on Monday, August 31st. The stock was sold at an average price of $23.00, for a total value of $451,352.00. Following the completion of the transaction, the insider directly owned 1,358,218 shares of the company’s stock, valued at approximately $31,239,014. The trade was a 1.42% decrease in their position. Additional details regarding this sale are available in the official SEC disclosure. Over the last 90 days, insiders sold 587,926 shares of company stock valued at $14,915,391. 4.20% of the stock is owned by corporate insiders.

Hedge Funds Weigh In On Fastly

Several large investors have recently made changes to their positions in the business. Integrated Wealth Concepts LLC acquired a new position in shares of Fastly in the 2nd quarter worth approximately $48,000. IFP Advisors Inc grew its position in Fastly by 1,621.7% in the second quarter. IFP Advisors Inc now owns 1,429 shares of the company’s stock worth $26,000 after buying an additional 1,346 shares during the last quarter. Spark Investment Management LLC bought a new position in shares of Fastly in the second quarter valued at $340,000. Nykredit A S acquired a new stake in shares of Fastly during the 2nd quarter valued at $77,000. Finally, AlphaGrep UK Ltd bought a new stake in shares of Fastly during the 2nd quarter worth $366,000. Institutional investors own 79.71% of the company’s stock.

About Fastly

Fastly, Inc is a cloud computing company that provides an edge cloud platform for delivering, securing and accelerating digital experiences. Its platform processes and serves applications, websites, APIs, streaming media and other internet content closer to end users, helping organizations improve performance, reliability and control.

Fastly’s product portfolio includes content delivery and application performance services, application programming interface (API) security, web application and bot protection, distributed denial-of-service (DDoS) mitigation, and edge compute capabilities.