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Fastly (FSLY) Dips More Than Broader Markets: What You Should Know

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In the latest trading session, Fastly (FSLY - Free Report) closed at $46.69, marking a -1.21% move from the previous day. This change lagged the S&P 500's daily loss of 0.03%.

Prior to today's trading, shares of the cloud software developer had gained 18.36% over the past month. This has outpaced the Computer and Technology sector's gain of 4.91% and the S&P 500's gain of 3.59% in that time.

Wall Street will be looking for positivity from FSLY as it approaches its next earnings report date. On that day, FSLY is projected to report earnings of -$0.19 per share, which would represent a year-over-year decline of 375%. Meanwhile, the Zacks Consensus Estimate for revenue is projecting net sales of $84.3 million, up 19.34% from the year-ago period.

Looking at the full year, our Zacks Consensus Estimates suggest analysts are expecting earnings of -$0.62 per share and revenue of $345.38 million. These totals would mark changes of -244.44% and +18.74%, respectively, from last year.

It is also important to note the recent changes to analyst estimates for FSLY. These recent revisions tend to reflect the evolving nature of short-term business trends. As such, positive estimate revisions reflect analyst optimism about the company's business and profitability.

Based on our research, we believe these estimate revisions are directly related to near-team stock moves. We developed the Zacks Rank to capitalize on this phenomenon. Our system takes these estimate changes into account and delivers a clear, actionable rating model.

Ranging from #1 (Strong Buy) to #5 (Strong Sell), the Zacks Rank system has a proven, outside-audited track record of outperformance, with #1 stocks returning an average of +25% annually since 1988. Over the past month, the Zacks Consensus EPS estimate has moved 40.11% lower. FSLY is holding a Zacks Rank of #4 (Sell) right now.

The Internet - Software industry is part of the Computer and Technology sector. This industry currently has a Zacks Industry Rank of 195, which puts it in the bottom 24% of all 250+ industries.

The Zacks Industry Rank gauges the strength of our individual industry groups by measuring the average Zacks Rank of the individual stocks within the groups. Our research shows that the top 50% rated industries outperform the bottom half by a factor of 2 to 1.

Be sure to follow all of these stock-moving metrics, and many more, on Zacks.com.


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