Does Ongoing Customer Acclaim Signal Enduring Competitive Strength for Fastly (FSLY) in Cybersecurity?

• Fastly recently announced it was recognized as a 2025 Gartner Peer Insights Customers’ Choice for Cloud Web Application and API Protection, marking the seventh consecutive year it has earned this distinction.
• This consistent industry recognition highlights Fastly’s strong customer satisfaction and trusted standing among enterprise IT professionals in the cybersecurity space.
• We'll examine how Fastly's sustained customer acclaim for application and API protection influences its current investment narrative.

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Fastly Investment Narrative Recap

To invest in Fastly today, shareholders generally need to believe the company can maintain differentiation in a crowded and fast-evolving cloud security sector, despite ongoing competitive threats and the challenges of scaling profitably. While Fastly’s seventh consecutive Gartner Peer Insights Customers’ Choice award reinforces its reputation among enterprise buyers, the announcement does not materially reduce immediate risks around volatile revenue growth and customer concentration, which remain central to the near-term outlook.

Among recent developments, the company’s update to DDoS Protection with Attack Insights enhances Fastly’s security portfolio, supporting the investment narrative that advanced security adoption could drive higher-margin growth. Yet with the stock’s sharp rally in recent months and its valuation now trading above the estimated fair value, investors may want to stay mindful of...

Read the full narrative on Fastly (it's free!)

Fastly's narrative projects $694.5 million revenue and $44.3 million earnings by 2028. This requires 6.7% yearly revenue growth and a $191.9 million earnings increase from -$147.6 million today.

Uncover how Fastly's forecasts yield a $7.67 fair value, a 15% downside to its current price.

Exploring Other Perspectives

Five varied fair value estimates from the Simply Wall St Community range from US$0.32 to US$15.89 per share. With competitive pressures persisting in cloud services, these different viewpoints show how widely opinions can diverge, consider reviewing several perspectives before making decisions.

Explore 5 other fair value estimates on Fastly - why the stock might be worth less than half the current price!

Build Your Own Fastly Narrative

Disagree with existing narratives? Create your own in under 3 minutes - extraordinary investment returns rarely come from following the herd.

• A great starting point for your Fastly research is our analysis highlighting 2 important warning signs that could impact your investment decision.
• Our free Fastly research report provides a comprehensive fundamental analysis summarized in a single visual - the Snowflake - making it easy to evaluate Fastly's overall financial health at a glance.

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This article by Simply Wall St is general in nature. We provide commentary based on historical data and analyst forecasts only using an unbiased methodology and our articles are not intended to be financial advice. It does not constitute a recommendation to buy or sell any stock, and does not take account of your objectives, or your financial situation. We aim to bring you long-term focused analysis driven by fundamental data. Note that our analysis may not factor in the latest price-sensitive company announcements or qualitative material. Simply Wall St has no position in any stocks mentioned.

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