What Happened?
Shares of edge cloud platform Fastly (NYSE: FSLY) jumped 5.6% in the afternoon session after Keybanc upgraded the stock from 'Sector Weight' to 'Overweight' and announced a new price target of $14.
The upgrade followed meetings with Fastly's new CFO, Rich Wong, which left KeyBanc analysts feeling more positive about the company's prospects. KeyBanc highlighted the expansion of Fastly's security portfolio from one to five products over the last couple of years as a key factor.
Additionally, the firm cited the new CFO's focus on cash flow and a recent convertible offering aimed at strengthening the company's balance sheet.
Is now the time to buy Fastly? Access our full analysis report here.
What Is The Market Telling Us
Fastly’s shares are extremely volatile and have had 37 moves greater than 5% over the last year. In that context, today’s move indicates the market considers this news meaningful but not something that would fundamentally change its perception of the business.
The previous big move we wrote about was 19 days ago when the stock dropped 6.7% on the news that its Chief Technology Officer, Artur Bergman, sold 40,000 shares of the company's stock.
The transaction was disclosed in a recent filing, showing the shares were sold at an average price of $11.43, totaling approximately $457,200. Such a sale by a high-level executive can sometimes concern investors, who may interpret it as a sign of weakening confidence in the company's near-term prospects. Following the sale, the CTO still held a substantial position in the company, with over 2.9 million shares.
Fastly is up 14.9% since the beginning of the year, but at $10.58 per share, it is still trading 14.2% below its 52-week high of $12.34 from November 2025. Investors who bought $1,000 worth of Fastly’s shares 5 years ago would now be looking at an investment worth $112.72.
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