Fastly (NYSE:FSLY) Trading Down 4.2% on Analyst Downgrade

Fastly, Inc. (NYSE:FSLY) shares traded down 4.2% on Friday after Royal Bank of Canada lowered their price target on the stock from $18.00 to $9.00. Royal Bank of Canada currently has a sector perform rating on the stock. Fastly traded as low as $8.34 and last traded at $8.42. 3,154,853 shares changed hands during mid-day trading, a decline of 24% from the average session volume of 4,170,707 shares. The stock had previously closed at $8.79.

A number of other brokerages also recently issued reports on FSLY. Citigroup decreased their price target on Fastly from $20.00 to $15.00 and set a “neutral” rating for the company in a report on Thursday, April 25th. Craig Hallum cut Fastly from a “buy” rating to a “hold” rating and set a $20.00 target price for the company. in a research note on Thursday, February 15th. DA Davidson downgraded Fastly from a “buy” rating to a “neutral” rating and lowered their price target for the company from $24.00 to $8.50 in a report on Thursday. Piper Sandler raised shares of Fastly from a “neutral” rating to an “overweight” rating and cut their price objective for the stock from $19.00 to $16.00 in a report on Monday, April 8th. Finally, Bank of America cut shares of Fastly from a “buy” rating to an “underperform” rating and lowered their target price for the company from $18.00 to $8.00 in a report on Thursday. One equities research analyst has rated the stock with a sell rating, five have given a hold rating, one has given a buy rating and one has given a strong buy rating to the stock. According to data from MarketBeat, Fastly has a consensus rating of “Hold” and an average target price of $15.17.

Insider Transactions at Fastly

In other Fastly news, Director Richard Devon Daniels sold 7,766 shares of the firm’s stock in a transaction on Friday, March 15th. The shares were sold at an average price of $12.66, for a total transaction of $98,317.56. Following the transaction, the director now directly owns 34,328 shares of the company’s stock, valued at approximately $434,592.48. The sale was disclosed in a legal filing with the Securities & Exchange Commission, which is available at the SEC website. In related news, CEO Todd Nightingale sold 50,708 shares of Fastly stock in a transaction that occurred on Friday, February 16th. The stock was sold at an average price of $16.09, for a total value of $815,891.72. Following the sale, the chief executive officer now directly owns 1,371,348 shares in the company, valued at $22,064,989.32. The transaction was disclosed in a document filed with the SEC, which can be accessed through this link. Also, Director Richard Devon Daniels sold 7,766 shares of the business’s stock in a transaction dated Friday, March 15th. The stock was sold at an average price of $12.66, for a total transaction of $98,317.56. Following the sale, the director now directly owns 34,328 shares in the company, valued at approximately $434,592.48. The disclosure for this sale can be found here. Over the last ninety days, insiders have sold 199,201 shares of company stock worth $3,160,402. Insiders own 7.60% of the company’s stock.

Institutional Trading of Fastly

A number of institutional investors have recently bought and sold shares of the company. Hanseatic Management Services Inc. purchased a new stake in shares of Fastly in the third quarter valued at about $33,000. Harel Insurance Investments & Financial Services Ltd. purchased a new stake in shares of Fastly during the third quarter worth about $36,000. Allworth Financial LP raised its position in shares of Fastly by 1,420.9% in the fourth quarter. Allworth Financial LP now owns 2,114 shares of the company’s stock valued at $38,000 after buying an additional 1,975 shares during the last quarter. Hollencrest Capital Management acquired a new position in shares of Fastly in the third quarter valued at approximately $58,000. Finally, Strs Ohio purchased a new position in shares of Fastly during the third quarter valued at approximately $65,000. 79.71% of the stock is currently owned by hedge funds and other institutional investors.

Fastly Stock Performance

The stock has a market cap of $1.16 billion, a price-to-earnings ratio of -8.48 and a beta of 1.21. The company has a debt-to-equity ratio of 0.35, a current ratio of 3.14 and a quick ratio of 3.14. The stock’s 50-day moving average is $13.09 and its 200-day moving average is $16.21.

Fastly (NYSE:FSLY) last announced its quarterly earnings data on Wednesday, February 14th. The company reported ($0.26) EPS for the quarter, beating analysts’ consensus estimates of ($0.31) by $0.05. The business had revenue of $137.78 million during the quarter, compared to the consensus estimate of $139.25 million. Fastly had a negative return on equity of 15.88% and a negative net margin of 25.26%. Analysts anticipate that Fastly, Inc. will post -1.07 EPS for the current fiscal year.

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.