Fastly recognized as leader in edge development platforms
Written by Emily J. Thompson, Senior Investment Analyst
Updated: Mar 24 2026
0mins
Should l Buy FSLY?
Source: Newsfilter
Fastly Inc. experienced a significant decline, hitting a 5-day low amid broader market gains, with the Nasdaq-100 up 0.02% and the S&P 500 up 0.32%.
The company was recently recognized as a Leader in 'The Forrester Wave™: Edge Development Platforms, Q1 2026 report', receiving above-average customer feedback. This recognition highlights Fastly's strong competitive edge and innovative capabilities in AI-assisted development and edge-first event streaming, which are crucial for performance-critical workloads. Despite this positive recognition, the stock's decline suggests a potential sector rotation or profit-taking by investors.
This acknowledgment positions Fastly favorably in the edge computing sector, but the current stock movement indicates that investors may be reacting to broader market trends rather than the company's strong fundamentals.
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Analyst Views on FSLY
Wall Street analysts forecast FSLY stock price to fall
10 Analyst Rating
2 Buy
7 Hold
1 Sell
Hold
Current: 25.520
Low
10.00
Averages
11.70
High
14.00
Current: 25.520
Low
10.00
Averages
11.70
High
14.00
About FSLY
Fastly, Inc. provides a programmable edge cloud platform that helps the world’s brands deliver online experiences through edge compute, delivery, security, and observability offerings, improving site performance, and enhancing security at a global scale. The Company enables developers to deliver secure Websites and apps. The edge cloud is a category of Infrastructure as a Service (IaaS) that enables developers to build, secure, and deliver digital experiences at the edge of the Internet. The Company’s products and services includes Programmable Edge Platform, Network Services, Security, Compute, Observability, and Services. Its Network services include content delivery network, video / streaming, load balancing, image optimization, and origin connect. Its Security service includes Next-Gen WAF, bot management, DDoS protection, and others. The Company’s professional services include network services, managed security service, and response security service.
About the author
Emily J. Thompson
Emily J. Thompson, a Chartered Financial Analyst (CFA) with 12 years in investment research, graduated with honors from the Wharton School. Specializing in industrial and technology stocks, she provides in-depth analysis for Intellectia’s earnings and market brief reports.
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- Prominent Innovation Strategy: The report highlights Fastly's emphasis on a global compute fabric rooted in Wasm security and interoperability, aiming to enhance its innovative capabilities in AI-assisted development and edge-first event streaming, thereby strengthening its market position.
- Performance and Security Combined: Fastly is recognized as a top choice for performance-critical, event-driven, and security-sensitive edge workloads, indicating its platform's significant advantages in meeting enterprises' demands for high performance and security.
- Global Market Influence: Fastly's edge cloud platform aids top global brands in enhancing online experiences, supporting enterprises in achieving continuous competitive advantages in software delivery on a global scale, further solidifying its leadership in the edge computing sector.
See More
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- Market Challenges for Fastly: Fastly reported a 15% year-over-year revenue growth to $624 million in fiscal 2025, achieving its first profitable year; however, with a price-to-earnings ratio exceeding 70 times and rising infrastructure costs, analysts remain cautious, with Citigroup setting a price target of $10, indicating a 62% downside potential.
- Impact of Market Volatility: Fastly's growth is heavily reliant on unpredictable customer traffic, and despite strong demand in Q4, the company warns that such demand may not be sustainable, with capital expenditures expected to reach 10% to 12% of revenue in 2026, adding to future uncertainties.
See More
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- Strong Contract Growth: Palantir signed contracts worth approximately $4.3 billion in Q4, a 138% year-over-year increase, indicating accelerated customer adoption of its AI platform, yet analysts remain concerned about its high valuation and potential for a correction.
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See More
