Fastly (NASDAQ:FSLY) Shares Gap Up – Time to Buy?

Fastly, Inc. (NASDAQ:FSLY)’s share price gapped up prior to trading on Wednesday . The stock had previously closed at $21.49, but opened at $22.69. Fastly shares last traded at $24.1450, with a volume of 1,310,431 shares traded.

Wall Street Analyst Weigh In

FSLY has been the subject of several recent analyst reports. Weiss Ratings reaffirmed a “sell (d-)” rating on shares of Fastly in a report on Friday, August 7th. Piper Sandler raised their price target on shares of Fastly from $27.00 to $28.00 and gave the company a “neutral” rating in a research report on Thursday, August 6th. Canaccord Genuity Group started coverage on Fastly in a research report on Friday, July 17th. They issued a “buy” rating and a $27.00 price objective on the stock. Royal Bank Of Canada increased their target price on Fastly from $22.00 to $28.00 and gave the company a “sector perform” rating in a research note on Thursday, August 6th. Finally, Raymond James Financial reiterated an “outperform” rating and set a $29.00 target price on shares of Fastly in a research note on Thursday, August 6th. One equities research analyst has rated the stock with a Strong Buy rating, five have assigned a Buy rating, six have issued a Hold rating and one has assigned a Sell rating to the stock. Based on data from MarketBeat, Fastly presently has a consensus rating of “Hold” and an average target price of $25.33.

Fastly Trading Up 3.1%

The company has a debt-to-equity ratio of 0.33, a quick ratio of 3.36 and a current ratio of 3.36. The firm has a market cap of $3.53 billion, a PE ratio of -41.96 and a beta of 0.36. The stock has a 50-day simple moving average of $22.33 and a two-hundred day simple moving average of $22.15.

Fastly (NASDAQ:FSLY) last announced its quarterly earnings results on Wednesday, August 5th. The company reported $0.15 earnings per share (EPS) for the quarter, beating analysts’ consensus estimates 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 for the quarter, compared to the consensus estimate 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. As a group, sell-side analysts anticipate that Fastly, Inc. will post -0.29 EPS for the current year.

Insider Buying and Selling

In other Fastly news, CTO Artur Bergman sold 17,576 shares of Fastly stock in a transaction that occurred on Thursday, September 3rd. The shares were sold at an average price of $20.66, for a total value of $363,120.16. Following the completion of the sale, the chief technology officer owned 1,896,249 shares of the company’s stock, valued at approximately $39,176,504.34. The trade was a 0.92% decrease in their position. The transaction was disclosed in a document filed with the SEC, which is accessible through this hyperlink. The transaction was executed under a pre-arranged Rule 10b5-1 trading plan. Also, CFO Richard Wong sold 47,676 shares of the business’s stock in a transaction on Friday, August 21st. The shares were sold at an average price of $24.09, for a total transaction of $1,148,514.84. Following the sale, the chief financial officer owned 1,043,610 shares of the company’s stock, valued at approximately $25,140,564.90. This represents a 4.37% decrease in their ownership of the stock. The disclosure for this sale is available in the SEC filing. The transaction was executed under a pre-arranged Rule 10b5-1 trading plan. Insiders have sold a total of 568,894 shares of company stock valued at $13,946,933 in the last ninety days. Corporate insiders own 4.20% of the company’s stock.

Institutional Trading of Fastly

A number of hedge funds have recently bought and sold shares of the company. Bank of America Corp DE raised its stake in shares of Fastly by 120.0% in the first quarter. Bank of America Corp DE now owns 1,269,369 shares of the company’s stock worth $36,888,000 after buying an additional 692,459 shares during the period. Convergence Investment Partners LLC purchased a new position in shares of Fastly during the 1st quarter valued at about $1,951,000. Range Financial Group LLC bought a new position in shares of Fastly during the 1st quarter valued at approximately $1,667,000. Castleark Management LLC bought a new position in shares of Fastly during the 1st quarter valued at approximately $5,164,000. Finally, Handelsbanken Fonder AB purchased a new stake in Fastly in the 2nd quarter worth approximately $812,000. Hedge funds and other institutional investors own 79.71% of the company’s stock.

Fastly Company Profile

Fastly, Inc operates an edge cloud platform designed to accelerate, secure and enable modern digital experiences. The company offers a suite of services including a content delivery network (CDN), edge compute, load balancing, web application firewall (WAF) and DDoS protection. Fastly’s real-time architecture allows customers to seamlessly deploy software logic at the network edge, reducing latency by bringing applications and content closer to end users.

Founded in 2011 by Artur Bergman, Fastly has evolved from a pure-play CDN provider into a comprehensive edge cloud platform.