Fastly (NYSE:FSLY) Shares Gap Down – Time to Sell?

Fastly, Inc. (NYSE:FSLY) gapped down prior to trading on Monday . The stock had previously closed at $6.41, but opened at $6.28. Fastly shares last traded at $6.30, with a volume of 952,358 shares changing hands.

Analyst Ratings Changes

A number of equities research analysts recently issued reports on FSLY shares. Robert W. Baird increased their price target on Fastly from $7.00 to $8.00 and gave the stock a “neutral” rating in a research report on Thursday, November 7th. DA Davidson boosted their price target on Fastly from $5.50 to $7.50 and gave the company a “neutral” rating in a research note on Thursday, November 7th. Morgan Stanley reduced their price objective on shares of Fastly from $12.00 to $7.00 and set an “equal weight” rating on the stock in a research note on Tuesday, August 27th. Royal Bank of Canada boosted their price target on Fastly from $6.00 to $7.00 and gave the stock a “sector perform” rating in a report on Thursday, November 7th. Finally, Raymond James lowered shares of Fastly from a “strong-buy” rating to a “market perform” rating in a research report on Tuesday, October 1st. One research analyst has rated the stock with a sell rating and eight have given a hold rating to the stock. According to data from MarketBeat, the company has an average rating of “Hold” and an average target price of $7.94.

Fastly Price Performance

The company has a fifty day simple moving average of $7.20 and a 200 day simple moving average of $7.33. The stock has a market capitalization of $888.10 million, a price-to-earnings ratio of -5.80 and a beta of 1.24. The company has a debt-to-equity ratio of 0.36, a quick ratio of 4.13 and a current ratio of 3.97.

Fastly (NYSE:FSLY) last posted its quarterly earnings results on Wednesday, November 6th. The company reported $0.02 earnings per share (EPS) for the quarter, topping analysts’ consensus estimates 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 analysts’ expectations of $131.86 million. During the same period in the prior year, the business earned ($0.33) EPS. The company’s revenue for the quarter was up 7.3% compared to the same quarter last year. Equities research analysts forecast that Fastly, Inc. will post -0.86 EPS for the current fiscal year.

Insiders Place Their Bets

In related news, CEO Todd Nightingale sold 12,163 shares of Fastly stock in a transaction that occurred on Friday, August 23rd. The shares were sold at an average price of $6.25, for a total value of $76,018.75. Following the completion of the transaction, the chief executive officer now directly owns 1,650,789 shares in the company, valued at approximately $10,317,431.25. The trade was a 0.73 % decrease in their position. The transaction was disclosed in a filing with the Securities & Exchange Commission, which is accessible through this hyperlink. Also, CTO Artur Bergman sold 19,889 shares of the stock in a transaction on Tuesday, September 3rd. The stock was sold at an average price of $5.96, for a total value of $118,538.44. Following the sale, the chief technology officer now owns 6,205,000 shares in the company, valued at approximately $36,981,800. This represents a 0.32 % decrease in their position. The disclosure for this sale can be found here. Over the last quarter, insiders have sold 92,790 shares of company stock valued at $670,655. Insiders own 6.70% of the company’s stock.

Institutional Inflows and Outflows

A number of hedge funds have recently made changes to their positions in the company. Vanguard Group Inc. raised its stake in Fastly by 5.1% in the first quarter. Vanguard Group Inc. now owns 13,581,524 shares of the company’s stock valued at $176,152,000 after purchasing an additional 657,334 shares in the last quarter. Penserra Capital Management LLC lifted its stake in Fastly by 18.8% during the third quarter. Penserra Capital Management LLC now owns 5,075,127 shares of the company’s stock worth $38,418,000 after purchasing an additional 801,968 shares during the last quarter. Geode Capital Management LLC boosted its stake in Fastly by 1.6% in the third quarter. Geode Capital Management LLC now owns 3,015,455 shares of the company’s stock worth $22,831,000 after buying an additional 46,951 shares in the last quarter. Bank of Montreal Can grew its position in Fastly by 11,140.2% during the third quarter. Bank of Montreal Can now owns 1,305,101 shares of the company’s stock valued at $9,867,000 after acquiring an additional 1,293,490 shares during the last quarter. Finally, Charles Schwab Investment Management Inc. raised its stake in shares of Fastly by 18.0% during the third quarter. Charles Schwab Investment Management Inc. now owns 1,057,642 shares of the company’s stock worth $8,006,000 after acquiring an additional 161,070 shares in 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.