Fastly Valuation

Is 2Y7 undervalued compared to its fair value, analyst forecasts and its price relative to the market?

Valuation Score

0/6

Valuation Score 0/6

  • Below Fair Value

  • Significantly Below Fair Value

  • Price-To-Sales vs Peers

  • Price-To-Sales vs Industry

  • Price-To-Sales vs Fair Ratio

  • Analyst Forecast

Share Price vs Fair Value

What is the Fair Price of 2Y7 when looking at its future cash flows? For this estimate we use a Discounted Cash Flow model.

Below Fair Value: 2Y7 (€9.65) is trading above our estimate of fair value (€8.85)

Significantly Below Fair Value: 2Y7 is trading above our estimate of fair value.


Key Valuation Metric

Which metric is best to use when looking at relative valuation for 2Y7?

Key metric: As 2Y7 is unprofitable we use its Price-To-Sales Ratio for relative valuation analysis.

The above table shows the Price to Sales ratio for 2Y7. This is calculated by dividing 2Y7's market cap by their current revenue.
What is 2Y7's PS Ratio?
PS Ratio2.4x
SalesUS$540.87m
Market CapUS$1.32b

Price to Sales Ratio vs Peers

How does 2Y7's PS Ratio compare to its peers?

The above table shows the PS ratio for 2Y7 vs its peers. Here we also display the market cap and forecasted growth for additional consideration.
CompanyForward PSEstimated GrowthMarket Cap
Peer Average1.1x
IOS IONOS Group
2.1x7.9%€3.1b
QBY q.beyond
0.5x4.8%€88.5m
SANT Kontron
0.8x7.3%€1.2b
NA9 Nagarro
1.1x10.3%€1.1b
2Y7 Fastly
2.4x9.2%€1.3b

Price-To-Sales vs Peers: 2Y7 is expensive based on its Price-To-Sales Ratio (2.4x) compared to the peer average (1.1x).


Price to Sales Ratio vs Industry

How does 2Y7's PS Ratio compare vs other companies in the DE IT Industry?

1 CompanyPrice / SalesEstimated GrowthMarket Cap
ASKN asknet Solutions
0.01x20.1%US$984.32k
No more companies available in this PS range
2Y7 2.4xIndustry Avg. 0.7xNo. of Companies6PS00.61.21.82.43+
1 CompanyEstimated GrowthMarket Cap
No more companies

Price-To-Sales vs Industry: 2Y7 is expensive based on its Price-To-Sales Ratio (2.4x) compared to the German IT industry average (0.7x).


Price to Sales Ratio vs Fair Ratio

What is 2Y7's PS Ratio compared to its Fair PS Ratio? This is the expected PS Ratio taking into account the company's forecast earnings growth, profit margins and other risk factors.

2Y7 PS Ratio vs Fair Ratio.
Fair Ratio
Current PS Ratio2.4x
Fair PS Ration/a

Price-To-Sales vs Fair Ratio: Insufficient data to calculate 2Y7's Price-To-Sales Fair Ratio for valuation analysis.


Analyst Price Targets

What is the analyst 12-month forecast and do we have any statistical confidence in the consensus price target?

The above table shows the analyst 2Y7 forecast and predictions for the stock price in 12 month’s time.
DateShare PriceAverage 1Y Price TargetDispersionHighLow1Y Actual priceAnalysts
Current€9.65
€7.79
-19.3%
35.1%€14.30€4.77n/a9
Dec ’25€7.41
€6.64
-10.4%
18.0%€8.34€4.63n/a9
Nov ’25€6.81
€5.87
-13.8%
22.4%€9.03€4.52n/a9
Oct ’25€6.43
€5.87
-8.7%
22.4%€9.03€4.52n/a9
Sep ’25n/a
€5.96
0%
21.8%€8.96€4.48n/a10
Aug ’25€7.46
€9.21
+23.5%
14.2%€11.92€7.34n/a10
Jul ’25€6.56
€9.45
+43.9%
14.3%€12.10€7.45n/a10
Jun ’25n/a
€9.45
0%
14.3%€12.10€7.45n/a10
May ’25€11.80
€18.09
+53.3%
20.6%€25.25€10.29n/a11
Apr ’25€11.55
€19.03
+64.8%
12.4%€25.03€16.69n/a11
Mar ’25€13.13
€20.06
+52.8%
15.2%€26.00€16.71n/a10
Feb ’25€18.63
€19.39
+4.1%
14.0%€25.73€16.54n/a10
Jan ’25€16.57
€18.02
+8.8%
24.4%€24.80€10.29€9.6510
Dec ’24€16.38
€18.02
+10.0%
24.4%€24.80€10.29€7.4110
Nov ’24€13.26
€18.12
+36.7%
25.5%€25.08€9.46€6.8110
Oct ’24€18.26
€17.92
-1.8%
25.5%€24.80€9.36€6.4310
Sep ’24€21.34
€17.44
-18.3%
24.5%€24.27€9.16n/a11
Aug ’24€16.56
€16.65
+0.5%
28.2%€24.33€7.34€7.4611
Jul ’24€14.11
€16.65
+18.0%
28.2%€24.33€7.34€6.5611
Jun ’24€15.11
€15.22
+0.7%
32.5%€24.04€7.26n/a11
May ’24€13.65
€14.93
+9.4%
34.6%€24.18€7.30€11.8011
Apr ’24€15.51
€13.90
-10.4%
31.6%€23.38€7.48€11.5511
Mar ’24€12.74
€13.90
+9.1%
31.6%€23.38€7.48€13.1311
Feb ’24€9.16
€10.49
+14.5%
48.8%€23.17€5.56€18.6311
Jan ’24€7.50
€11.14
+48.5%
47.9%€24.41€5.86€16.5711

Analyst Forecast: Target price is lower than the current share price.


Discover undervalued companies

Company Analysis and Financial Data Status

DataLast Updated (UTC time)
Company Analysis2025/01/02 04:53
End of Day Share Price 2024/12/27 00:00
Earnings2024/09/30
Annual Earnings2023/12/31

Data Sources

The data used in our company analysis is from S&P Global Market Intelligence LLC. The following data is used in our analysis model to generate this report. Data is normalised which can introduce a delay from the source being available.

PackageDataTimeframeExample US Source *
Company Financials10 years
  • Income statement
  • Cash flow statement
  • Balance sheet
Analyst Consensus Estimates+3 years
  • Forecast financials
  • Analyst price targets
Market Prices30 years
  • Stock prices
  • Dividends, Splits and Actions
Ownership10 years
  • Top shareholders
  • Insider trading
Management10 years
  • Leadership team
  • Board of directors
Key Developments10 years
  • Company announcements

* example for US securities, for non-US equivalent regulatory forms and sources are used.

Unless specified all financial data is based on a yearly period but updated quarterly. This is known as Trailing Twelve Month (TTM) or Last Twelve Month (LTM) Data. Learn more here.

Analysis Model and Snowflake

Details of the analysis model used to generate this report is available on our Github page, we also have guides on how to use our reports and tutorials on Youtube.

Learn about the world class team who designed and built the Simply Wall St analysis model.

Industry and Sector Metrics

Our industry and section metrics are calculated every 6 hours by Simply Wall St, details of our process are available on .

Analyst Sources

Fastly, Inc. is covered by 18 analysts. 11 of those analysts submitted the estimates of revenue or earnings used as inputs to our report. Analysts submissions are updated throughout the day.

AnalystInstitution
Ishan MajumdarBaptista Research
Madeline BrooksBofA Global Research
Tal LianiBofA Global Research