Fastly (NYSE:FSLY) Stock Price Down 7.5% - What's Next?

Key Points

• Fastly's stock price fell 7.5% to approximately $8.01, with trading volume down 46% compared to the average.
• Analyst ratings on Fastly show a mixed outlook, with one upgrade to a "buy" rating at a $10.00 target, while another firm maintained a "sell" rating.
• Insiders have sold nearly 489,000 shares of Fastly stock in the last three months, indicating potential concerns about the company's future performance.

Fastly, Inc. (NYSE:FSLY - Get Free Report) shares dropped 7.5% during trading on Tuesday . The company traded as low as $8.02 and last traded at $8.01. Approximately 1,597,699 shares changed hands during mid-day trading, a decline of 46% from the average daily volume of 2,977,443 shares. The stock had previously closed at $8.66.

Analyst Upgrades and Downgrades

FSLY has been the topic of a number of recent analyst reports. Craig Hallum upgraded Fastly from a "hold" rating to a "buy" rating and set a $10.00 price objective on the stock in a report on Thursday, August 7th. Royal Bank Of Canada upped their price target on Fastly from $6.00 to $7.00 and gave the stock a "sector perform" rating in a research note on Thursday, August 7th. Finally, Weiss Ratings restated a "sell (d-)" rating on shares of Fastly in a research note on Saturday, September 27th. One research analyst has rated the stock with a Buy rating, eight have given a Hold rating and one has given a Sell rating to the company. According to data from MarketBeat, the stock presently has an average rating of "Hold" and a consensus target price of $8.69.

Fastly Stock Down 6.1%

The stock has a market cap of $1.20 billion, a PE ratio of -7.87 and a beta of 1.30. The firm has a fifty day moving average of $7.66 and a 200 day moving average of $7.06. The company has a quick ratio of 1.49, a current ratio of 1.49 and a debt-to-equity ratio of 0.16.

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

Insider Buying and Selling at Fastly

In related news, CTO Artur Bergman sold 58,138 shares of the stock in a transaction on Tuesday, September 2nd. The stock was sold at an average price of $7.41, for a total value of $430,802.58. Following the transaction, the chief technology officer owned 3,521,276 shares of the company's stock, valued at $26,092,655.16. This represents a 1.62% decrease in their ownership of the stock. The transaction was disclosed in a filing with the SEC, which is available through this hyperlink. Also, insider Scott R. Lovett sold 178,931 shares of the stock in a transaction on Monday, September 15th. The shares were sold at an average price of $8.28, for a total value of $1,481,548.68. Following the completion of the transaction, the insider directly owned 1,165,185 shares in the company, valued at $9,647,731.80. This trade represents a 13.31% decrease in their position. The disclosure for this sale can be found here. Insiders sold 488,738 shares of company stock worth $3,907,380 in the last three months. 6.70% of the stock is currently owned by corporate insiders.

Hedge Funds Weigh In On Fastly

Several hedge funds have recently made changes to their positions in FSLY. GAMMA Investing LLC grew its holdings in shares of Fastly by 451.7% during the first quarter. GAMMA Investing LLC now owns 7,261 shares of the company's stock worth $46,000 after purchasing an additional 5,945 shares during the last quarter. Wealth Enhancement Advisory Services LLC purchased a new position in shares of Fastly during the first quarter worth about $91,000. Oppenheimer & Co. Inc. grew its holdings in shares of Fastly by 423.0% during the first quarter. Oppenheimer & Co. Inc. now owns 82,628 shares of the company's stock worth $523,000 after purchasing an additional 66,828 shares during the last quarter. Sumitomo Mitsui DS Asset Management Company Ltd boosted its stake in shares of Fastly by 12.4% during the first quarter. Sumitomo Mitsui DS Asset Management Company Ltd now owns 17,852 shares of the company's stock worth $113,000 after buying an additional 1,975 shares during the period. Finally, Teacher Retirement System of Texas acquired a new stake in shares of Fastly during the first quarter worth about $123,000. Hedge funds and other institutional investors own 79.71% of the company's stock.

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.

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