Fastly (NASDAQ:FSLY) Shares Gap Down Following Insider Selling

Fastly, Inc. (NASDAQ:FSLY)’s stock price gapped down before the market opened on Thursday following insider selling activity. The stock had previously closed at $29.65, but opened at $27.80. Fastly shares last traded at $27.5140, with a volume of 4,636,045 shares.

Specifically, CTO Artur Bergman sold 27,900 shares of the stock in a transaction dated Tuesday, September 22nd. The stock was sold at an average price of $27.82, for a total value of $776,178.00. Following the completion of the sale, the chief technology officer directly owned 1,517,960 shares of the company’s stock, valued at approximately $42,229,647.20. This represents a 1.80% decrease in their position. The sale was disclosed in a legal filing with the Securities & Exchange Commission, which is accessible through this hyperlink. The transaction was executed under a pre-arranged Rule 10b5-1 trading plan. Also, CTO Artur Bergman sold 49,146 shares of Fastly stock in a transaction dated Monday, September 21st. The shares were sold at an average price of $27.38, for a total value of $1,345,617.48. Following the transaction, the chief technology officer directly owned 1,545,860 shares in the company, valued at approximately $42,325,646.80. This trade represents a 3.08% decrease in their position. The SEC filing for this sale provides additional information. The transaction was executed under a pre-arranged Rule 10b5-1 trading plan. In other news, CTO Artur Bergman sold 2,200 shares of the stock in a transaction that occurred on Thursday, September 17th. The shares were sold at an average price of $25.30, for a total value of $55,660.00. Following the completion of the sale, the chief technology officer directly owned 1,595,006 shares of the company’s stock, valued at $40,353,651.80. This represents a 0.14% decrease in their ownership of the stock. The transaction was disclosed in a document filed with the Securities & Exchange Commission, which can be accessed through this link. The transaction was executed under a pre-arranged Rule 10b5-1 trading plan.

Wall Street Analyst Weigh In

Several research analysts have weighed in on the stock. Freedom Capital upgraded shares of Fastly to a “strong-buy” rating in a research note on Thursday, July 16th. Weiss Ratings restated a “sell (d-)” rating on shares of Fastly in a report on Friday, August 7th. KeyCorp reaffirmed an “overweight” rating and issued a $30.00 price target on shares of Fastly in a research note on Friday, September 18th. Raymond James Financial reissued an “outperform” rating on shares of Fastly in a research report on Wednesday. Finally, Royal Bank Of Canada reaffirmed a “sector perform” rating and issued a $25.00 target price on shares of Fastly in a research report on Wednesday. One investment analyst has rated the stock with a Strong Buy rating, six have assigned a Buy rating, six have given a Hold rating and two have given a Sell rating to the company. According to data from MarketBeat, the company has an average rating of “Hold” and a consensus price target of $26.73.

Key Fastly News

Here are the key news stories impacting Fastly this week:

• Positive Sentiment: Fastly outlined a target of approximately 14%–21% annual revenue growth over the next three years, supported by demand for edge cloud, security and AI services. The company’s AI-focused outlook helped drive renewed investor interest. Fastly growth target article
• Positive Sentiment: Fastly introduced or highlighted products including its AI Firewall, AI Runtime Control and API Security offerings. These tools are intended to protect AI applications and manage agentic traffic at the edge, potentially broadening Fastly’s addressable market beyond content delivery networks. Fastly AI Firewall article
• Positive Sentiment: Freedom Broker raised its price target to $37 from $32 and maintained a buy rating. Separately, unusually heavy call-option activity—33,432 calls purchased, about 187% above typical volume—suggested strong bullish speculation.
• Positive Sentiment: Recent fundamentals provide support for the rally: Fastly reported quarterly revenue of $183.3 million and non-GAAP EPS of $0.15, both ahead of consensus. Fiscal 2026 guidance implies approximately $739 million in revenue and midpoint EPS of $0.52. Fastly earnings analysis
• Neutral Sentiment: Analyst opinion is mixed. DA Davidson raised its target to $23 but retained a neutral rating, while BofA said Fastly’s edge-platform expansion is promising but that the size and timing of the AI opportunity remain uncertain.
• Negative Sentiment: CTO Artur Bergman sold 77,046 shares for roughly $2.1 million across September 21–22. The sales were conducted under a pre-arranged Rule 10b5-1 plan and he still owns more than 1.5 million shares, limiting the bearish significance, but insider selling may weigh on sentiment after the stock’s sharp advance.

Fastly Price Performance

The company has a debt-to-equity ratio of 0.33, a current ratio of 3.36 and a quick ratio of 3.36. The company has a market capitalization of $4.40 billion, a P/E ratio of -52.11 and a beta of 0.36. The stock’s fifty day simple moving average is $23.55 and its 200-day simple moving average is $22.60.

Fastly (NASDAQ:FSLY) last announced its earnings results on Wednesday, August 5th. The company reported $0.15 earnings per share for the quarter, beating the consensus estimate of $0.07 by $0.08. The firm had revenue of $183.32 million during the quarter, compared to the consensus estimate of $173.94 million. Fastly had a negative return on equity of 6.31% and a negative net margin of 11.80%.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, equities analysts forecast that Fastly, Inc. will post -0.29 earnings per share for the current fiscal year.

Institutional Investors Weigh In On Fastly

Several hedge funds have recently modified their holdings of the business. Integrated Wealth Concepts LLC bought a new position in Fastly during the second quarter worth $48,000. IFP Advisors Inc grew its position in Fastly by 1,621.7% in the 2nd quarter. IFP Advisors Inc now owns 1,429 shares of the company’s stock worth $26,000 after purchasing an additional 1,346 shares during the last quarter. Spark Investment Management LLC acquired a new stake in Fastly in the 2nd quarter worth $340,000. Nykredit A S bought a new position in shares of Fastly during the 2nd quarter worth about $77,000. Finally, AlphaGrep UK Ltd acquired a new position in shares of Fastly during the second quarter valued at about $366,000. 79.71% of the stock is owned by institutional investors.

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.