Fastly (NYSE:FSLY) Issues FY 2026 Earnings Guidance

Fastly (NYSE:FSLY) issued an update on its FY 2026 earnings guidance on Wednesday. The company provided earnings per share guidance of 0.500-0.540 for the period. The company issued revenue guidance of $732.0 million-$746.0 million. Fastly also updated its Q3 2026 guidance to 0.110-0.130 EPS.

Wall Street Analysts Forecast Growth

A number of brokerages recently issued reports on FSLY. KeyCorp lifted their price objective on shares of Fastly from $27.00 to $30.00 and gave the company an “overweight” rating in a research note on Thursday. Craig Hallum downgraded Fastly from a “buy” rating to a “hold” rating and set a $24.00 target price on the stock. in a report on Tuesday, April 14th. Citigroup lifted their price target on Fastly from $13.00 to $25.00 and gave the company a “neutral” rating in a research note on Thursday, May 7th. Canaccord Genuity Group began coverage on Fastly in a report on Friday, July 17th. They set a “buy” rating and a $27.00 price target for the company. Finally, Piper Sandler upped their price objective on Fastly from $27.00 to $28.00 and gave the stock a “neutral” rating in a research report on Thursday. One research analyst has rated the stock with a Strong Buy rating, five have assigned a Buy rating, six have given a Hold rating and one has given a Sell rating to the stock. According to MarketBeat.com, the stock presently has an average rating of “Hold” and a consensus target price of $25.33.

Fastly Stock Down 12.9%

FSLY traded down $3.35 during mid-day trading on Thursday, reaching $22.68. 12,036,219 shares of the stock were exchanged, compared to its average volume of 9,928,365. The company has a debt-to-equity ratio of 0.16, a quick ratio of 1.46 and a current ratio of 1.46. The company has a 50 day moving average price of $19.53 and a two-hundred day moving average price of $19.99. Fastly has a 1 year low of $6.70 and a 1 year high of $34.82. The stock has a market capitalization of $3.55 billion, a PE ratio of -23.62 and a beta of 0.34.

Insiders Place Their Bets

In related news, CEO Charles Lacey Compton III sold 14,868 shares of the business’s stock in a transaction dated Tuesday, August 4th. The shares were sold at an average price of $25.00, for a total value of $371,700.00. Following the transaction, the chief executive officer directly owned 1,030,592 shares of the company’s stock, valued at approximately $25,764,800. The trade was a 1.42% decrease in their position. The sale was disclosed in a filing with the Securities & Exchange Commission, which can be accessed through this hyperlink. The transaction was executed under a pre-arranged Rule 10b5-1 trading plan. Also, insider Scott R. Lovett sold 41,716 shares of the business’s stock in a transaction dated Wednesday, June 17th. The shares were sold at an average price of $17.77, for a total transaction of $741,293.32. Following the completion of the transaction, the insider owned 1,392,778 shares in the company, valued at approximately $24,749,665.06. The trade was a 2.91% decrease in their ownership of the stock. The SEC filing for this sale provides additional information. The transaction was executed under a pre-arranged Rule 10b5-1 trading plan. Over the last 90 days, insiders have sold 289,397 shares of company stock valued at $5,133,480. 4.20% of the stock is currently owned by company insiders.

Key Fastly News

Here are the key news stories impacting Fastly this week:

• Positive Sentiment: Fastly beat quarterly expectations and raised its outlook. Second-quarter revenue reached a record $183.3 million, up 23% year over year, while non-GAAP earnings were $0.15 per share versus the $0.07 consensus estimate. Management raised its 2026 outlook, supported by stronger operating performance and record margins. Fastly Q2 Earnings Beat as Security Growth Spurs 2026 Outlook Hike
• Positive Sentiment: Security and AI-related demand remain key growth drivers. Security revenue increased 43%, and total gross margin reached a record 65.8%, indicating improving business mix and profitability. Third-quarter revenue guidance of $184 million to $190 million and EPS guidance of $0.11 to $0.13 were above analyst expectations. Fastly Q2 Earnings Call Highlights
• Positive Sentiment: Analysts increased their targets. KeyCorp raised its target from $27 to $30 and maintained an “overweight” rating, while RBC lifted its target from $22 to $28 with a “sector perform” rating. Analyst price-target updates
• Neutral Sentiment: Fastly’s partnership with Experian’s Agent Trust ecosystem could position its edge network to help authenticate AI agents, authorize transactions and apply identity-based security policies. The opportunity strengthens the AI growth narrative, although its financial contribution remains uncertain. Fastly and Experian Agent Trust partnership
• Negative Sentiment: The shares are declining despite the results, likely reflecting “sell-the-news” activity and valuation concerns. Fastly has already delivered an exceptionally large 12-month gain, leaving the stock priced for continued strong execution. A valuation analysis cautioned that the shares may be expensive, limiting room for disappointment even after the earnings beat. Fastly Stock Looks Overvalued Despite Strong Return

Institutional Trading of Fastly

A number of institutional investors have recently modified their holdings of FSLY. Align Financial LLC purchased a new position in Fastly in the 4th quarter valued at approximately $41,000. Quarry LP purchased a new position in shares of Fastly in the third quarter valued at $49,000. Geneos Wealth Management Inc. purchased a new stake in Fastly during the 1st quarter worth about $52,000. C M Bidwell & Associates Ltd. bought a new position in Fastly in the 4th quarter worth about $54,000. Finally, Acadian Asset Management LLC purchased a new position in Fastly during the 1st quarter valued at about $78,000. 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 designed to accelerate, secure and enable modern digital experiences. The company offers a suite of services including a content delivery network (CDN), edge compute, load balancing, web application firewall (WAF) and DDoS protection. Fastly’s real-time architecture allows customers to seamlessly deploy software logic at the network edge, reducing latency by bringing applications and content closer to end users.

Founded in 2011 by Artur Bergman, Fastly has evolved from a pure-play CDN provider into a comprehensive edge cloud platform.