Fastly Inc. (FSLY) saw its stock soar on Wednesday, November 4th, after the company reported strong third-quarter earnings results. The content delivery network provider reported revenue of $71 million, beating analyst expectations of $70.8 million. Additionally, Fastly reported a loss of $0.04 per share, which was better than the expected loss of $0.06 per share.
The positive earnings report sent Fastly's stock climbing more than 20% in after-hours trading, reaching a new all-time high. The company's stock has been on a rollercoaster ride this year, with shares hitting a low of $10.63 in March due to the economic impact of the COVID-19 pandemic, before bouncing back and reaching a high of $118.79 earlier this month.
Fastly's strong performance in the third quarter can be attributed to a significant increase in demand for its services as more businesses shifted online during the pandemic. The company provides services that help websites and apps load faster and deliver content more efficiently, which has become increasingly important as more people rely on digital platforms for work, entertainment, and communication.
In addition to the increased demand for its services, Fastly has also been successful in expanding its customer base and securing new contracts with major companies. The company recently announced partnerships with Microsoft and Shopify, among others, which have helped drive revenue growth and boost investor confidence.
Looking ahead, Fastly is optimistic about its future prospects and expects continued growth in the fourth quarter and beyond. The company raised its revenue guidance for the full year, now expecting revenue to range between $280 million and $284 million, up from previous estimates of $280 million. Fastly also anticipates continued expansion in its customer base and increased demand for its services as businesses continue to prioritize digital transformation.
Overall, Fastly's strong Q3 earnings report and bullish outlook have investors feeling optimistic about the company's future potential. With a solid track record of innovation and growth, Fastly is well-positioned to capitalize on the increasing demand for digital content delivery services and continue to deliver value to its shareholders.