Fastly (NYSE:FSLY) Shares Gap Up - Here's Why

Fastly, Inc. (NYSE:FSLY - Get Free Report) shares gapped up prior to trading on Wednesday . The stock had previously closed at $11.33, but opened at $11.79. Fastly shares last traded at $11.60, with a volume of 940,543 shares changing hands.

Analyst Upgrades and Downgrades

FSLY has been the topic of several research analyst reports. Craig Hallum raised their target price on shares of Fastly from $6.00 to $8.00 and gave the company a "hold" rating in a research note on Thursday, November 7th. DA Davidson upped their target price on Fastly from $5.50 to $7.50 and gave the stock a "neutral" rating in a research report on Thursday, November 7th. Oppenheimer raised Fastly from a "market perform" rating to an "outperform" rating and set a $12.00 price target for the company in a research note on Monday, December 2nd. Morgan Stanley dropped their price objective on Fastly from $12.00 to $7.00 and set an "equal weight" rating on the stock in a research note on Tuesday, August 27th. Finally, Royal Bank of Canada raised their target price on Fastly from $6.00 to $7.00 and gave the company a "sector perform" rating in a research note on Thursday, November 7th. One analyst has rated the stock with a sell rating, eight have given a hold rating and one has assigned a buy rating to the company's stock. According to MarketBeat, Fastly has a consensus rating of "Hold" and an average price target of $8.55.

Fastly Stock Down 7.1 %

The company has a market capitalization of $1.48 billion, a price-to-earnings ratio of -9.65 and a beta of 1.27. The company has a quick ratio of 3.97, a current ratio of 3.97 and a debt-to-equity ratio of 0.36. The business has a 50-day moving average price of $8.12 and a 200-day moving average price of $7.42.

Fastly (NYSE:FSLY - Get Free Report) last posted its quarterly earnings data on Wednesday, November 6th. The company reported $0.02 earnings per share (EPS) for the quarter, topping the consensus estimate of ($0.06) by $0.08. Fastly had a negative return on equity of 13.24% and a negative net margin of 27.47%. The firm had revenue of $137.21 million for the quarter, compared to the consensus estimate of $131.86 million. During the same quarter in the previous year, the company earned ($0.33) EPS. The business's revenue for the quarter was up 7.3% compared to the same quarter last year. As a group, equities analysts anticipate that Fastly, Inc. will post -0.86 earnings per share for the current fiscal year.

Insiders Place Their Bets

In other Fastly news, CEO Todd Nightingale sold 49,816 shares of the stock in a transaction that occurred on Monday, November 18th. The shares were sold at an average price of $6.25, for a total value of $311,350.00. Following the completion of the sale, the chief executive officer now owns 1,600,973 shares in the company, valued at $10,006,081.25. This represents a 3.02 % decrease in their position. The transaction was disclosed in a filing with the Securities & Exchange Commission, which is available through this hyperlink. Also, CTO Artur Bergman sold 49,178 shares of Fastly stock in a transaction on Wednesday, November 6th. The shares were sold at an average price of $8.07, for a total transaction of $396,866.46. Following the sale, the chief technology officer now directly owns 6,155,822 shares of the company's stock, valued at $49,677,483.54. This trade represents a 0.79 % decrease in their position. The disclosure for this sale can be found here. In the last three months, insiders have sold 215,241 shares of company stock worth $1,699,684. Corporate insiders own 6.70% of the company's stock.

Institutional Trading of Fastly

Several hedge funds and other institutional investors have recently modified their holdings of FSLY. Bank of Montreal Can increased its position in Fastly by 11,140.2% in the 3rd quarter. Bank of Montreal Can now owns 1,305,101 shares of the company's stock worth $9,867,000 after purchasing an additional 1,293,490 shares during the last quarter. Penserra Capital Management LLC grew its stake in shares of Fastly by 18.8% in the 3rd quarter. Penserra Capital Management LLC now owns 5,075,127 shares of the company's stock valued at $38,418,000 after buying an additional 801,968 shares in the last quarter. Point72 Asset Management L.P. increased its holdings in Fastly by 461.5% in the second quarter. Point72 Asset Management L.P. now owns 756,380 shares of the company's stock worth $5,575,000 after buying an additional 621,680 shares during the last quarter. Susquehanna Fundamental Investments LLC bought a new position in Fastly during the second quarter valued at approximately $1,233,000. Finally, Charles Schwab Investment Management Inc. lifted its stake in Fastly by 18.0% in the third quarter. Charles Schwab Investment Management Inc. now owns 1,057,642 shares of the company's stock valued at $8,006,000 after acquiring an additional 161,070 shares during the last quarter. 79.71% of the stock is currently owned by hedge funds and other institutional investors.

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.