New York, June 1, 2026, 17:01 EDT
- Fastly was last at $19.08, up roughly 7.3%. Volume topped 8 million shares.
- Management is set to speak at the William Blair Growth Stock Conference on Tuesday.
- The stock now faces whether gains in security and AI-driven traffic can keep growth going after its sharp reset following earnings.
Fastly Inc. shares rallied Monday, bouncing with other software and internet-infrastructure stocks. Investors looked to a management update and circled back on the company’s AI-traffic angle.
The stock was last at $19.08, up $1.31, or 7.3%. The session high was $19.46. Volume reached 8.1 million shares, bringing the company’s market cap to about $2.93 billion.
This is a factor now because Fastly isn’t just trading as a content-delivery name. Traders are also watching it for signs on web security, bot management, and “agentic AI” traffic — automated AI setups that fetch, scan, or act on web content.
Fastly will have its management team present at the William Blair 46th Annual Growth Stock Conference in Chicago on June 2 at 5:40 p.m. ET. CEO Kip Compton and others will use the webcast to discuss the first-quarter results again. Fastly shares have seen swings over the last month.
Stocks got a boost from the broader market. Wall Street closed higher Monday, with both the S&P 500 and Nasdaq setting new records as tech shares led. That’s according to Reuters.
Fastly’s main traded rivals were up, too. Cloudflare jumped almost 12%. Akamai Technologies added about 3%. Edge-cloud and web-security shares held investor attention on AI-driven demand for the sector.
Fastly posted Q1 revenue of $173.0 million, an increase of 20% over last year. Security revenue came in at $38.8 million, up 47%. Network services, which is still Fastly’s main business, rose 11% to $126.2 million.
Compton said in the release that Fastly reported “record revenue, gross margin, and RPO.” RPO, or remaining performance obligations, jumped 63% to $369 million. Business Wire
On the call, Compton credited Fastly’s record gross margins to efforts around “traffic engineering and platform efficiency.” He also mentioned demand staying strong for the company’s newer security products—DDoS protection, bot management, API discovery. DDoS, or distributed denial-of-service, is when attackers flood a site with traffic to knock it offline.
Fastly projected second-quarter revenue in a range of $170 million to $176 million. For the year, it sees revenue coming in between $710 million and $725 million. The company is looking for non-GAAP net income per share of 5 cents to 8 cents for the second quarter, and 27 cents to 33 cents for the full year. Non-GAAP numbers cut out stock compensation and some other costs.
The stock is still reacting to expectations. Fastly dropped after its first-quarter report, Barron’s said, despite topping revenue and earnings forecasts. Investors wanted more AI-related traffic and stronger network services and compute numbers. Evercore ISI’s Peter Levine said in a note that “elevated expectations heading into the print” weighed on the stock. Barron’s
Fastly named Peter Scott as channel manager for Australia and New Zealand, giving him the job of finding partners in media, e-commerce, logistics, retail and communications. Scott called the channel “a critical part” of momentum in the region. ChannelLife Australia
AI and security are hot themes, but Fastly’s growth still depends on how fast users ramp up. In its 10-Q, Fastly noted most of its revenue comes from usage-based contracts, with large customers moving the needle up or down. That makes revenue swings possible. Fastly posted a GAAP net loss of $20.5 million for the first quarter, narrowing year over year.
Tuesday’s investor appearance is up next. Traders want to hear if management has proof that security, bot controls and edge compute are reaching more than just a handful of major customers. They’ll also be watching to see if Monday’s bounce signals more than just a solid day for tech stocks.
