New York, February 13, 2026, 06:43 (EST) — Premarket
- Fastly shares added to gains early, climbing again in premarket after their sharp jump the session before.
- AI-fueled traffic and margins took center stage again after record Q4 numbers and a bumped-up 2026 outlook.
- All eyes on whether the rally sticks as Friday’s session kicks off, with new remarks from management slated for March 2.
Fastly Inc jumped another 3.2% premarket Friday, trading at $16.55 after a wild session Thursday that saw the stock soar 72.3% to finish at $16.04. Shares fluctuated between $13.38 and $17.86 across the day, with volume hitting roughly 116 million. (Investing)
This shift is significant: Fastly has long worked to convert its unpredictable, usage-driven network activity into more reliable gains and earnings. A strong forecast—and a surge in the share price—can quickly push a previously overlooked stock into the market’s regular rotation.
Fastly’s “edge cloud” platform handles delivery and security right near the user, not back at a big central data center. AI tools fit into that setup: automated requests, bot-driven traffic — all of it can push demand higher for speed and filtering, and put pressure on a pricing model that needs to hold up when usage suddenly soars.
Fastly, based in San Francisco, reported a 23% jump in fourth-quarter revenue to $172.6 million in its latest quarterly update. Adjusted earnings landed at 12 cents per share, excluding items like stock compensation. Remaining performance obligations climbed 55% year-over-year, reaching $353.8 million. For the current quarter, Fastly put revenue guidance between $168 million and $174 million, projecting adjusted profit in the range of 7 to 10 cents a share. Looking further out, the company outlined a 2026 outlook targeting $700 million to $720 million in revenue and adjusted earnings of 23 to 29 cents per share. CEO Kip Compton described the quarter as “an inflection,” noting AI is becoming “an increasing tailwind.” (Fastly Investor Relations)
According to Investing.com, analysts were expecting adjusted earnings of 6 cents per share on $161.4 million in revenue. Fastly’s data, also cited by the outlet, showed network services revenue up 19% to $130.8 million, with security revenue climbing 32% to $35.4 million. (Investing)
The company’s Form 8-K, filed with the U.S. Securities and Exchange Commission, included both the earnings release and an investor supplement. Traders tend to lean on these documents for updating models and adjusting targets—moves that frequently set off the next round of post-earnings action. (SEC)
Several analysts wasted no time reacting to the results. William Blair’s Jonathan Ho bumped up his rating on Fastly, calling it “a stellar quarter driven by rising contribution from agentic AI traffic,” a reference to AI agents handling automated tasks for users and ramping up request volume, according to Investors.com. (Investors)
Fastly is up against some heavyweights—Akamai and Cloudflare among them—as more customers opt for bundled edge offerings that package delivery, security, and compute. On the call, investors will want to know if that AI-driven traffic surge is a one-off, or if the narrative stretches past just a single quarter and a single player.
The rapid run-up tightens the margin for error. Fastly reported that its top ten clients made up 34% of fourth-quarter revenue. The company also issued $180 million in 0% convertible notes maturing in 2030—essentially debt that could turn into equity—and spent $149 million to buy back notes set to mature in 2026. (Nasdaq)
Fastly plans to appear at the Raymond James 47th Annual Institutional Investors Conference in Orlando on March 2, giving investors an early shot to quiz management about AI traffic, pricing, and spending. But first up is Friday’s cash session — the real test is whether the rally can stick when regular trading gets underway. (Investing)
