Champagne corks are popping everywhere out at cloud computing stock Fastly (NASDAQ:FSLY) today, as it posted earnings that demonstrated a championship run in the making. Better yet, it also delivered some fantastic projections that suggested the near future should be roughly as good as the last quarter. That combination was enough to send Fastly on a rocket into the sun, up over 22% in Thursday afternoon’s trading.
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Fastly’s earnings report numbers weren’t perfect, but the numbers they had were all winners. Fastly posted a loss of $0.04 per share, which was better than twice as good as the loss of $0.10 analysts were projecting. Fastly also won on revenue, bringing in $122.8 million against analyst projections calling for $118.91 million. That $122.8 million, meanwhile, represented a 19.8% jump over the revenues from last year’s second quarter. While Fastly did lose some numbers in the customer count—the count came in at 3,072 against 3,100 in the first quarter—it gained in the enterprise customer count, which stood at 551 against 540 in the first quarter.
Projections also proved a win; Fastly looks to bring in total revenue between $125 million and $128 million for the third quarter. That’s a narrow win against consensus of $127.06 million, but a potential win nonetheless. However, earnings aren’t looking so good with a loss between $0.07 and $0.09 against a consensus projection of a loss of $0.05. The full year is better, though, with revenue projected between $500 million and $510 million against a projected $502.1 million, and earnings between a loss of $0.21 and $0.27 against a projected loss of $0.26 from analysts.
However, analysts are pretty evenly split about Fastly’s likely outcome. With four Buy ratings, five Hold and two Sell, Fastly stock stands at a consensus rating of Hold. Further, Fastly stock also offers investors a 14.18% downside risk thanks to its average price target of $17.31.