How Fastly’s (FSLY) New Partner Certification Program Could Reshape Its Security Services Investment Story

• Earlier this month, Fastly, Inc. announced the launch of its Fastly Certified Services Partner Program, providing comprehensive training and certification for partner organizations to implement its advanced security solutions, while also reporting third-quarter results with sales of US$158.22 million and a narrowed net loss compared to the previous year.
• This partner certification initiative marks an important step in broadening Fastly’s security solution delivery options and deepening partner engagement, potentially supporting expanded reach and customer flexibility.
• We'll now assess how Fastly's new partner certification program could influence its position in high-margin security services and broader investment narrative.

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Fastly Investment Narrative Recap

To be a Fastly shareholder, you need to believe that the company's ability to deliver high-margin security services and expand partnerships will offset mounting competitive pressure in the content delivery and edge compute markets. While the new Fastly Certified Services Partner Program improves go-to-market flexibility and could enhance customer adoption of Fastly’s security solutions, it does not resolve the company's most significant risk, customer concentration and the ongoing threat of revenue volatility from churn among its largest clients.

Among recent company updates, Fastly's Q3 2025 earnings are particularly relevant. The company reported US$158.22 million in sales and a narrower net loss year-over-year, showing incremental progress, but continued dependence on a small set of major customers leaves revenue growth exposed to shifts in their spending, even as new programs aim to broaden Fastly's reach.

But, investors should be aware that despite growing partnerships, customer concentration risk remains high and if churn accelerates...

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

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

Uncover how Fastly's forecasts yield a $9.42 fair value, a 18% downside to its current price.

Exploring Other Perspectives

Simply Wall St Community members set Fastly's fair value between US$0.32 and US$15.89, from six different viewpoints. Still, with ongoing reliance on a few top customers, shifting sentiment could mean significant swings in performance, so consider a range of perspectives before drawing your own conclusions.

Explore 6 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 1 key reward and 3 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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