Fastly (NASDAQ:FSLY) Shares Down 3.5% – Time to Sell?

Fastly, Inc. (NASDAQ:FSLY)’s stock price dropped 3.5% on Tuesday. The company traded as low as $21.55 and last traded at $22.1860. 1,225,099 shares changed hands during mid-day trading, a decline of 86% from the average session volume of 9,063,941 shares. The stock had previously closed at $22.99.

Wall Street Analyst Weigh In

A number of research analysts recently issued reports on FSLY shares. Evercore reissued an “outperform” rating on shares of Fastly in a research report on Wednesday, September 23rd. Oppenheimer raised shares of Fastly from a “market perform” rating to an “outperform” rating and set a $35.00 price objective on the stock in a research note on Friday, October 9th. DA Davidson upped their price objective on shares of Fastly from $21.00 to $23.00 and gave the stock a “neutral” rating in a report on Wednesday, September 23rd. Bank of America raised their target price on shares of Fastly from $20.00 to $22.00 and gave the company an “underperform” rating in a research note on Wednesday, September 23rd. Finally, Royal Bank Of Canada reaffirmed a “sector perform” rating and set a $25.00 target price on shares of Fastly in a research note on Wednesday, September 23rd. One equities research analyst has rated the stock with a Strong Buy rating, seven have given a Buy rating, five have issued a Hold rating and two have given a Sell rating to the company. According to data from MarketBeat.com, the company presently has an average rating of “Hold” and an average price target of $27.42.

Fastly Trading Down 3.7%

The stock’s 50 day moving average is $24.84 and its 200-day moving average is $22.60. The company has a market cap of $3.53 billion, a P/E ratio of -41.76 and a beta of 0.31. The company has a current ratio of 3.36, a quick ratio of 3.36 and a debt-to-equity ratio of 0.33.

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

Insider Activity

In related news, CTO Artur Bergman sold 37,039 shares of the business’s stock in a transaction that occurred on Monday, October 12th. The shares were sold at an average price of $26.81, for a total value of $993,015.59. Following the completion of the transaction, the chief technology officer directly owned 1,061,278 shares in the company, valued at $28,452,863.18. The trade was a 3.37% decrease in their position. The sale was disclosed in a legal filing with the Securities & Exchange Commission, which is available at the SEC website. The transaction was executed under a pre-arranged Rule 10b5-1 trading plan. Also, insider Jeffrey Ford sold 45,832 shares of the company’s stock in a transaction that occurred on Thursday, September 17th. The shares were sold at an average price of $24.65, for a total value of $1,129,758.80. Following the completion of the transaction, the insider directly owned 249,861 shares in the company, valued at $6,159,073.65. This trade represents a 15.50% decrease in their ownership of the stock. The SEC filing for this sale provides additional information. The transaction was executed under a pre-arranged Rule 10b5-1 trading plan. Insiders have sold a total of 1,283,412 shares of company stock worth $34,418,450 over the last 90 days. 4.20% of the stock is currently owned by insiders.

Institutional Trading of Fastly

A number of institutional investors and hedge funds have recently modified their holdings of FSLY. 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 purchasing an additional 692,459 shares during the last quarter. Convergence Investment Partners LLC bought a new position in shares of Fastly during the first quarter valued at $1,951,000. Range Financial Group LLC purchased a new stake in shares of Fastly during the first quarter valued at $1,667,000. Castleark Management LLC purchased a new stake in shares of Fastly during the first quarter valued at $5,164,000. Finally, Wellington Management Group LLP purchased a new stake in shares of Fastly during the second quarter valued at $8,696,000. Institutional investors own 79.71% of the company’s stock.

Fastly Company Profile

Fastly, Inc is a technology company that provides an edge cloud platform designed to help businesses deliver, secure, and optimize digital applications and content. Its platform processes data and applications closer to end users, supporting faster performance, improved reliability, and greater control over internet-based services.

Fastly’s products and services include content delivery, application programming interface (API) acceleration, edge computing, application and API security, bot management, distributed denial-of-service protection, and observability tools.