Fastly (NYSE:FSLY) Issues Q3 2025 Earnings Guidance

Key Points

• Fastly has issued Q3 2025 earnings guidance, expecting an earnings per share (EPS) between -0.020 and -0.02, outpacing the consensus estimate of -0.004, while forecasting revenues of $149.0 million to $153.0 million compared to a $147.2 million consensus.
• Shares of Fastly rose 17.3% to $7.65, with over 3.6 million shares exchanged, indicating increased investor interest.
• Several analysts have raised their price targets for Fastly, with a consensus rating of "Hold" and an average price target of $8.50.

Fastly (NYSE:FSLY - Get Free Report) issued an update on its third quarter 2025 earnings guidance on Thursday morning. The company provided earnings per share guidance of -0.020-0.02 for the period, compared to the consensus earnings per share estimate of -0.004. The company issued revenue guidance of $149.0 million-$153.0 million, compared to the consensus revenue estimate of $147.2 million.

Fastly Stock Down 6.2%

FSLY traded down $0.46 during mid-day trading on Friday, reaching $7.00. 3,623,933 shares of the stock were exchanged, compared to its average volume of 2,650,578. The company has a debt-to-equity ratio of 0.16, a quick ratio of 1.50 and a current ratio of 1.49. The stock has a market capitalization of $1.03 billion, a PE ratio of -6.80 and a beta of 1.19. The company has a 50 day moving average price of $7.09 and a two-hundred day moving average price of $7.21. Fastly has a 1 year low of $4.65 and a 1 year high of $12.08.

Fastly (NYSE:FSLY - Get Free Report) last announced its earnings results on Wednesday, August 6th. The company reported ($0.03) earnings per share (EPS) for the quarter, beating the consensus estimate of ($0.05) by $0.02. Fastly had a negative return on equity of 11.98% and a negative net margin of 25.85%. The firm had revenue of $148.71 million during the quarter, compared to analyst estimates of $144.86 million. During the same period last year, the firm posted ($0.07) EPS. The business's revenue was up 12.3% compared to the same quarter last year. As a group, research analysts anticipate that Fastly will post -0.78 EPS for the current year.

Analyst Upgrades and Downgrades

Several equities research analysts have commented on FSLY shares. Craig Hallum raised shares of Fastly from a "hold" rating to a "buy" rating and set a $10.00 price objective on the stock in a report on Thursday. KeyCorp upgraded shares of Fastly to a "sector weight" rating in a research report on Thursday, June 5th. Piper Sandler boosted their price target on shares of Fastly from $6.00 to $7.00 and gave the stock a "neutral" rating in a research note on Thursday, May 8th. Morgan Stanley increased their price target on shares of Fastly from $7.00 to $8.00 and gave the company an "equal weight" rating in a research report on Thursday, May 8th. Finally, Royal Bank Of Canada boosted their price objective on shares of Fastly from $6.00 to $7.00 and gave the company a "sector perform" rating in a research report on Thursday. Nine investment analysts have rated the stock with a hold rating and one has assigned a buy rating to the company. Based on data from MarketBeat.com, Fastly presently has a consensus rating of "Hold" and an average price target of $8.61.

Insider Transactions at Fastly

In other news, CRO Scott R. Lovett sold 127,608 shares of the stock in a transaction on Tuesday, June 17th. The stock was sold at an average price of $6.95, for a total value of $886,875.60. Following the sale, the executive directly owned 1,287,145 shares of the company's stock, valued at approximately $8,945,657.75. This represents a 9.02% decrease in their ownership of the stock. The transaction was disclosed in a legal filing with the SEC, which is accessible through this link. Also, CEO Todd Nightingale sold 12,547 shares of the business's stock in a transaction on Friday, May 23rd. The stock was sold at an average price of $7.19, for a total value of $90,212.93. Following the completion of the transaction, the chief executive officer owned 1,904,388 shares of the company's stock, valued at $13,692,549.72. This represents a 0.65% decrease in their position. The disclosure for this sale can be found here. Over the last three months, insiders have sold 162,124 shares of company stock valued at $1,138,628. Insiders own 6.70% of the company's stock.

Hedge Funds Weigh In On Fastly

Institutional investors and hedge funds have recently modified their holdings of the company. Creative Planning lifted its stake in shares of Fastly by 30.9% during the 2nd quarter. Creative Planning now owns 33,678 shares of the company's stock valued at $238,000 after buying an additional 7,959 shares in the last quarter. Acadian Asset Management LLC purchased a new stake in Fastly during the first quarter valued at $78,000. Geneos Wealth Management Inc. purchased a new stake in Fastly during the first quarter valued at approximately $52,000. UBS AM A Distinct Business Unit of UBS Asset Management Americas LLC raised its position in Fastly by 25.7% during the first quarter. UBS AM A Distinct Business Unit of UBS Asset Management Americas LLC now owns 330,878 shares of the company's stock valued at $2,094,000 after purchasing an additional 67,754 shares during the period. Finally, Goldman Sachs Group Inc. boosted its stake in Fastly by 7.8% during the first quarter. Goldman Sachs Group Inc. now owns 2,302,164 shares of the company's stock worth $14,573,000 after buying an additional 165,937 shares during the period. 79.71% of the stock is currently owned by hedge funds and other institutional investors.

About Fastly

Fastly, Inc operates an edge cloud platform for processing, serving, and securing its customer's applications in the United States, the Asia Pacific, Europe, and internationally. The edge cloud is a category of Infrastructure as a Service that enables developers to build, secure, and deliver digital experiences at the edge of the internet.