Fastly (NASDAQ:FSLY) Stock Gets Price Target Reduction from Royal Bank Of Canada

Fastly (NASDAQ:FSLY) had its price objective decreased by investment analysts at Royal Bank Of Canada from $25.00 to $19.00 in a note issued to investors on Thursday, Benzinga reports. The brokerage presently has a “sector perform” rating on the stock. Royal Bank Of Canada‘s price target would suggest a potential upside of 23.89% from the stock’s previous close.

Several other research analysts also recently weighed in on FSLY. Freedom Capital raised shares of Fastly to a “strong-buy” rating in a research note on Thursday, July 16th. Weiss Ratings reiterated a “sell (d-)” rating on shares of Fastly in a report on Friday, August 7th. Canaccord Genuity Group initiated coverage on shares of Fastly in a research report on Friday, July 17th. They issued a “buy” rating and a $27.00 price objective for the company. Freedom Broker raised their target price on shares of Fastly from $32.00 to $37.00 and gave the stock a “buy” rating in a research report on Wednesday, September 23rd. Finally, KeyCorp reaffirmed an “overweight” rating and issued a $30.00 target price on shares of Fastly in a research note on Friday, September 18th. One investment analyst has rated the stock with a Strong Buy rating, seven have issued a Buy rating, five have assigned a Hold rating and two have given a Sell rating to the company’s stock. Based on data from MarketBeat, the company has a consensus rating of “Hold” and an average price target of $26.17.

Fastly Price Performance

NASDAQ:FSLY traded down $5.69 during trading hours on Thursday, reaching $15.34. 12,241,490 shares of the company traded hands, compared to its average volume of 8,888,783. The firm’s 50-day moving average is $24.30 and its 200-day moving average is $21.45. The stock has a market cap of $2.44 billion, a P/E ratio of -28.89 and a beta of 0.22. The company has a debt-to-equity ratio of 0.33, a current ratio of 3.36 and a quick ratio of 3.36. Fastly has a 1-year low of $7.87 and a 1-year high of $34.82.

Fastly (NASDAQ:FSLY) last released its quarterly earnings results on Wednesday, November 4th. The company reported $0.17 earnings per share for the quarter, topping analysts’ consensus estimates of $0.12 by $0.05. Fastly had a negative return on equity of 6.31% and a negative net margin of 11.80%. The company had revenue of $190.19 million during the quarter, compared to analysts’ expectations of $187.82 million. Equities research analysts expect that Fastly will post -0.29 earnings per share for the current fiscal year.

Insider Buying and Selling at Fastly

In related news, CTO Artur Bergman sold 379,602 shares of the firm’s stock in a transaction that occurred on Wednesday, September 23rd. The shares were sold at an average price of $30.16, for a total value of $11,448,796.32. Following the sale, the chief technology officer directly owned 1,138,358 shares of the company’s stock, valued at approximately $34,332,877.28. This trade represents a 25.01% decrease in their ownership of the stock. The transaction 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, CFO Richard Wong sold 148,015 shares of the business’s stock in a transaction that occurred on Tuesday, August 18th. The shares were sold at an average price of $28.61, for a total transaction of $4,234,709.15. Following the completion of the sale, the chief financial officer owned 1,091,286 shares of the company’s stock, valued at approximately $31,221,692.46. The trade was a 11.94% decrease in their ownership of the stock. Additional details regarding this sale are available in the official SEC disclosure. Over the last 90 days, insiders sold 1,334,973 shares of company stock worth $35,706,621. 4.20% of the stock is currently owned by insiders.

Hedge Funds Weigh In On Fastly

Hedge funds have recently made changes to their positions in the stock. Bank of America Corp DE increased its holdings in shares of Fastly by 120.0% during the 1st quarter. Bank of America Corp DE now owns 1,269,369 shares of the company’s stock worth $36,888,000 after buying an additional 692,459 shares during the last quarter. Convergence Investment Partners LLC purchased a new position in shares of Fastly in the 1st quarter worth $1,951,000. Range Financial Group LLC acquired a new position in Fastly in the first quarter valued at $1,667,000. Castleark Management LLC acquired a new position in Fastly in the first quarter valued at $5,164,000. Finally, Wellington Management Group LLP acquired a new position in Fastly in the second quarter valued at $8,696,000. Institutional investors and hedge funds own 79.71% of the company’s stock.

Key Stories Impacting Fastly

Here are the key news stories impacting Fastly this week:

• Positive Sentiment: Fastly reported record Q3 revenue of about $190.2 million, up 20.2% year over year, and adjusted earnings of $0.17 per share versus the $0.12 consensus estimate. Security sales rose 32%, with growth also supported by deeper customer use of its platform. Fastly Q3 earnings beat estimates
• Positive Sentiment: Management raised its 2026 outlook, projecting revenue of $744 million to $748 million and free cash flow of $50 million to $60 million. Q4 revenue guidance of $198 million to $202 million also came in above analysts’ expectations. 2026 revenue and free cash flow outlook
• Neutral Sentiment: Go-to-market president Scott Lovett plans to retire in 2027, and Fastly is beginning a search for a chief revenue officer. The transition is not immediate, but investors may watch for its effect on sales leadership. Fastly leadership transition announcement
• Negative Sentiment: Some analysts cut their price targets while maintaining neutral or sector-perform ratings: Piper Sandler lowered its target to $24 from $28, and RBC cut its target to $19 from $25. These reductions may have weighed on sentiment amid the post-earnings decline. RBC cuts Fastly price target
• Negative Sentiment: Despite stronger Q4 guidance, reports noted that growth is expected to decelerate in the quarter, a potential concern for investors weighing Fastly’s longer-term growth trajectory. Fastly Q3 earnings call highlights

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.