Fastly (NYSE:FSLY) Trading Down 5.6% - Time to Sell?

Key Points

• Fastly's stock price dropped 5.6% to $8.27, significantly below its previous closing price of $8.76, amidst lower trading volume.
• Wall Street analysts currently hold an average rating of "Hold" on Fastly, with a consensus price target of $8.69.
• Insiders have sold a total of 173,173 shares of Fastly stock in recent months, decreasing their holdings in the company.

Fastly, Inc. (NYSE:FSLY - Get Free Report)'s stock price fell 5.6% on Tuesday . The stock traded as low as $8.32 and last traded at $8.27. 1,051,902 shares were traded during mid-day trading, a decline of 63% from the average session volume of 2,858,772 shares. The stock had previously closed at $8.76.

Wall Street Analyst Weigh In

A number of equities analysts have commented on the stock. KeyCorp raised shares of Fastly to a "sector weight" rating in a research note on Thursday, June 5th. Royal Bank Of Canada lifted their target price on shares of Fastly from $6.00 to $7.00 and gave the stock a "sector perform" rating in a research note on Thursday, August 7th. Finally, Craig Hallum raised shares of Fastly from a "hold" rating to a "buy" rating and set a $10.00 target price on the stock in a research note on Thursday, August 7th. One research analyst has rated the stock with a Buy rating and nine have assigned a Hold rating to the company. According to data from MarketBeat.com, the stock presently has an average rating of "Hold" and a consensus price target of $8.69.

Fastly Stock Down 4.3%

The business has a fifty day moving average of $7.18 and a 200-day moving average of $6.87. The company has a debt-to-equity ratio of 0.16, a current ratio of 1.49 and a quick ratio of 1.49. The stock has a market cap of $1.24 billion, a PE ratio of -8.15 and a beta of 1.24.

Fastly (NYSE:FSLY - Get Free Report) last issued its quarterly earnings results on Wednesday, August 6th. The company reported ($0.03) earnings per share (EPS) for the quarter, topping analysts' consensus estimates 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 business had revenue of $148.71 million for the quarter, compared to the consensus estimate of $144.86 million. During the same period in the prior year, the firm posted ($0.07) earnings per share. The business's quarterly revenue was up 12.3% on a year-over-year basis. Equities research analysts anticipate that Fastly, Inc. will post -0.78 earnings per share for the current year.

Insider Activity

In related news, insider Scott R. Lovett sold 9,076 shares of the firm's stock in a transaction dated Monday, August 18th. The shares were sold at an average price of $6.88, for a total value of $62,442.88. Following the transaction, the insider directly owned 1,344,735 shares of the company's stock, valued at approximately $9,251,776.80. This trade represents a 0.67% decrease in their position. The sale was disclosed in a filing with the SEC, which can be accessed through the SEC website. Also, CEO Charles Lacey Compton III sold 15,335 shares of Fastly stock in a transaction that occurred on Monday, August 18th. The stock was sold at an average price of $6.88, for a total value of $105,504.80. Following the transaction, the chief executive officer owned 673,645 shares in the company, valued at approximately $4,634,677.60. The trade was a 2.23% decrease in their position. The disclosure for this sale can be found here. In the last 90 days, insiders sold 173,173 shares of company stock valued at $1,257,957. Insiders own 6.70% of the company's stock.

Hedge Funds Weigh In On Fastly

Hedge funds have recently added to or reduced their stakes in the stock. Banque Transatlantique SA purchased a new stake in Fastly in the first quarter valued at $38,000. GAMMA Investing LLC raised its holdings in shares of Fastly by 451.7% in the first quarter. GAMMA Investing LLC now owns 7,261 shares of the company's stock valued at $46,000 after buying an additional 5,945 shares during the last quarter. Geneos Wealth Management Inc. purchased a new stake in shares of Fastly in the first quarter valued at about $52,000. Acadian Asset Management LLC purchased a new position in Fastly during the first quarter worth about $78,000. Finally, Oxford Asset Management LLP purchased a new position in Fastly during the second quarter worth about $83,000. 79.71% of the stock is currently owned by hedge funds and other institutional investors.

Fastly Company Profile

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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