Why Fastly Stock Skyrocketed Today

Agentic AI is becoming a powerful tailwind for the edge computing network.Shares of Fastly (FSLY +72.66%) soared on Thursday after the cloud platform's revenue and earnings handily exceeded investors' expectations. By the close of trading, Fastly's stock price was up a whopping 72%. Image source: Getty Images. Living on the edge Fastly's revenue jumped 23% year over year to $172.6 million in the fourth quarter. The gains were driven by a 19% jump in network services sales, to $130.8 million, and a 32% surge in security revenue to $35.4 million. The content delivery network helps to speed up and protect websites and applications. Fastly's edge computing platform reduces latency by placing data and application logic closer to end users. These increasingly valuable benefits have Fastly well-placed to profit from the rising adoption of AI agents. "As the Internet moves into the age of agentic AI, it's clear that the edge will play a pivotal role," CEO Kip Compton said during a conference call with analysts. "Our infrastructure is designed to power this edge intelligent layer, optimizing authorized AI agents and blocking abuse." ExpandNASDAQ: FSLYFastlyToday's Change(72.66%) $6.76Current Price$16.07Key Data PointsMarket Cap$1.4BDay's Range$13.38 - $17.8552wk Range$4.65 - $17.85Volume3.1MAvg Vol4.2MGross Margin52.11% All told, Fastly generated adjusted net income of $20.1 million, compared to a loss of $2.4 million in the year-ago quarter. That placed its adjusted earnings per share at $0.12, twice what Wall Street was expecting. A bullish forecast Looking ahead to 2026, Fastly expects revenue to grow roughly 14% to $710 million, with operating income of $55 million and adjusted earnings per share of $0.26. "We anticipate continued momentum, with AI as an increasing tailwind for our business," Compton said.Read NextOct 30, 2025 •By Anders BylundChief Technology Officer Sells 20,000 Fastly Shares for $165KSep 16, 2025 •By Parkev Tatevosian, CFAUndercover Growth Stocks to Buy: Fastly vs. Monday.comAug 8, 2025 •By Eric VolkmanWhy Fastly Stock Was Zooming Higher This WeekMay 9, 2025 •By Eric VolkmanWhy Fastly Stock Was Soaring This WeekMay 8, 2025 •By Chris NeigerWhy Fastly Stock Rocketed Higher TodayFeb 13, 2025 •By Keith NoonanWhy Fastly Stock Is Plummeting TodayAbout the AuthorJoe Tenebruso is a contributing Motley Fool stock market analyst with more than 3,000 financial bylines to his name. Joe was an investment analyst for Stock Advisor, Income Investor, Crypto Society, and other top-rated investing services. He also managed Tier 1 Investments, a market-crushing real-money portfolio with 24.58% annualized returns. Joe graduated summa cum laude from Rutgers University with a Bachelor of Science in Finance.tmfguardianX@Tier1InvestorStocks MentionedFastlyNASDAQ: FSLY$16.07 (+72.66%) $+6.76*Average returns of all recommendations since inception. Cost basis and return based on previous market day close.