Where Does Fastly Stock Rank Among Competitors?
With Fastly surging 36% in a Day, it makes sense to re-evaluate vs its peers. Consistently assessing alternatives is core to a sound investment approach. Here is how Fastly (FSLY) stock stacks up against its peers in size, valuation, growth and margin.
- FSLY’s operating margin of -24.3% is negative, lowest among peers; VRSN has 67.6%.
- FSLY’s revenue growth of 7.4% in the last 12 months is moderate, outpacing VRSN, AKAM but lagging NET.
- FSLY’s stock gained 34.4% over the past year and trades at a PE of -10.8, though peers like NET delivered stronger returns.
As a quick background, Fastly provides an edge cloud platform for processing, securing, and delivering applications globally, offering developer tools like Compute@Edge, solution libraries, APIs, and resources to enhance digital experiences.
A single stock can be risky, but there is a huge value to a broader, diversified approach we take with the Trefis High Quality Portfolio. That is one way to look at stocks. The Trefis High Quality Portfolio evaluates much more, and is designed to reduce stock-specific risk while giving upside exposure.
| FSLY | NET | VRSN | AKAM | |
|---|---|---|---|---|
| Market Cap ($ Bil) | 1.6 | 78.9 | 22.4 | 10.6 |
| Revenue ($ Bil) | 0.6 | 2.0 | 1.6 | 4.1 |
| PE Ratio | -10.8 | -765.8 | 27.6 | 24.9 |
| LTM Revenue Growth | 7.4% | 28.1% | 5.5% | 4.0% |
| LTM Operating Margin | -24.3% | -9.6% | 67.6% | 15.4% |
| LTM FCF Margin | 2.1% | 10.4% | 61.8% | 16.6% |
| 12M Market Return | 34.4% | 144.2% | 29.1% | -30.3% |
Why does this matter? FSLY just went up 37.5% in a week – peer comparison puts stock performance, valuation, and financials in context – highlighting whether it is truly outperforming, lagging behind, and above all – can this continue? Read Buy or Sell FSLY Stock to see if Fastly holds up as a quality investment. Furthermore, there is always a risk of fall after a strong rally – see how the stock has dipped and recovered in the past through FSLY Dip Buyer Analysis lens.
Revenue Growth Comparison
| LTM | 2024 | 2023 | 2022 | |
|---|---|---|---|---|
| FSLY | 7.4% | 7.4% | 16.9% | 22.1% |
| NET | 28.1% | 28.8% | 33.0% | 48.6% |
| VRSN | 5.5% | 4.3% | 4.8% | 7.3% |
| AKAM | 4.0% | 4.7% | 5.4% | 4.5% |
Operating Margin Comparison
| LTM | 2024 | 2023 | 2022 | |
|---|---|---|---|---|
| FSLY | -24.3% | -28.3% | -38.3% | -56.9% |
| NET | -9.6% | -9.3% | -14.3% | -20.6% |
| VRSN | 67.6% | 67.9% | 67.0% | 66.2% |
| AKAM | 15.4% | 15.9% | 18.5% | 19.7% |
PE Ratio Comparison
| LTM | 2024 | 2023 | 2022 | |
|---|---|---|---|---|
| FSLY | -10.8 | -8.2 | -17.2 | -5.2 |
| NET | -765.8 | -466.5 | -151.0 | -76.3 |
| VRSN | 27.6 | 25.8 | 26.0 | 32.9 |
| AKAM | 24.9 | 28.7 | 33.0 | 25.6 |
While peer comparison is critical, the Trefis High Quality (HQ) Portfolio, with a collection of 30 stocks, has a track record of comfortably outperforming its benchmark that includes all 3 — the S&P 500, S&P mid-cap, and Russell 2000 indices. Why is that? As a group, HQ Portfolio stocks provided better returns with less risk versus the benchmark index; less of a roller-coaster ride, as evident in HQ Portfolio performance metrics.