--- title: "Stock Market Today, May 7: Fastly Shares Plunge After Record Q1 Results Fail to Ease Growth Concerns" type: "News" locale: "en" url: "https://longbridge.com/en/news/285627581.md" description: "Fastly (NASDAQ:FSLY) shares plummeted 38.23% to $19.50 after Q1 results and 2026 guidance failed to alleviate growth concerns. Despite a 20% sales increase and profitability, the market reacted negatively due to slowing core networking services growth, which rose only 11%. Trading volume surged to 47.1 million shares. The S&P 500 and Nasdaq Composite also saw slight declines. Analysts suggest caution, as Fastly's stock trades at 71 times forward earnings, and it was not included in a list of top recommended stocks by The Motley Fool." datetime: "2026-05-07T22:00:58.000Z" locales: - [zh-CN](https://longbridge.com/zh-CN/news/285627581.md) - [en](https://longbridge.com/en/news/285627581.md) - [zh-HK](https://longbridge.com/zh-HK/news/285627581.md) --- # Stock Market Today, May 7: Fastly Shares Plunge After Record Q1 Results Fail to Ease Growth Concerns **Fastly** (NASDAQ:FSLY), a real-time content delivery network provider, closed Thursday at $19.50, down 38.23%. The stock sank after record Q1 results and raised 2026 guidance failed to ease concerns about slowing core networking services growth. Trading volume reached 47.1 million shares, about 208% above its three-month average of 15.3 million shares. Fastly IPO'd in 2019 and has fallen 19% since going public. ## How the markets moved today The **S&P 500** slipped 0.38% to 7,337, while the **Nasdaq Composite** eased 0.13% to finish at 25,806. Industry peers **Akamai Technologies** closed at $116.69 (-4.34%) and **Cloudflare** ended at $257.05 (+3.40%), underscoring mixed reactions to recent earnings. ## What this means for investors Fastly grew sales by 20% in Q1 and delivered profitability on an adjusted EPS basis, beating Wall Street’s estimates. However, while it raised 2026 guidance to include 15% sales growth, the market sold the stock off on the prospect that sales growth would decelerate, and Fastly’s core Network Services segment grew revenue by only 11%. While this deceleration was disappointing, management noted this 11% growth was still double the market’s rate. Meanwhile, its nascent Security and Compute units -- which account for roughly one-fourth of Fastly’s sales now -- delivered revenue growth of 67% and 47%, respectively. However, trading at 71 times forward earnings after its stock tripled over the last year, I’m just going to watch Fastly for now, especially as management believes its infrastructure capex (as a percentage of revenue) will more than double in 2026. ## Should you buy stock in Fastly right now? Before you buy stock in Fastly, consider this: The _Motley Fool Stock Advisor_ analyst team just identified what they believe are the **10 best stocks** for investors to buy now… and Fastly wasn’t one of them. The 10 stocks that made the cut could produce monster returns in the coming years. Consider when **Netflix** made this list on December 17, 2004... if you invested $1,000 at the time of our recommendation, **you’d have $476,034**!\* Or when **Nvidia** made this list on April 15, 2005... if you invested $1,000 at the time of our recommendation, **you’d have $1,274,109**!\* Now, it’s worth noting _Stock Advisor’s_ total average return is 974% — a market-crushing outperformance compared to 206% for the S&P 500. **Don't miss the latest top 10 list, available with _Stock Advisor_, and join an investing community built by individual investors for individual investors.** **See the 10 stocks »** _\*Stock Advisor returns as of May 7, 2026._ _Josh Kohn-Lindquist has positions in Cloudflare. The Motley Fool has positions in and recommends Cloudflare and Fastly. The Motley Fool recommends Akamai Technologies. The Motley Fool has a disclosure policy._ The views and opinions expressed herein are the views and opinions of the author and do not necessarily reflect those of Nasdaq, Inc. ### Related Stocks - [FSLY.US](https://longbridge.com/en/quote/FSLY.US.md) - [AKAM.US](https://longbridge.com/en/quote/AKAM.US.md) - [NET.US](https://longbridge.com/en/quote/NET.US.md) - [.SPX.US](https://longbridge.com/en/quote/.SPX.US.md) - [NDAQ.US](https://longbridge.com/en/quote/NDAQ.US.md) - [.IXIC.US](https://longbridge.com/en/quote/.IXIC.US.md) - [NFLX.US](https://longbridge.com/en/quote/NFLX.US.md) - [NVDA.US](https://longbridge.com/en/quote/NVDA.US.md) - [NVD.DE](https://longbridge.com/en/quote/NVD.DE.md) ## Related News & Research - [Why Fastly Stock Plunged 14% on Tuesday](https://longbridge.com/en/news/282783718.md) - [Insider Selling: Fastly (NYSE:FSLY) CEO Sells 7,059 Shares of Stock](https://longbridge.com/en/news/283462184.md) - [WISeKey International, SEALSQ Launch WISeRobot Platform](https://longbridge.com/en/news/287037927.md) - [$100 Invested In AST SpaceMobile 5 Years Ago Would Be Worth This Much Today](https://longbridge.com/en/news/286971455.md) - [HAV Group to webcast Q1 2026 results presentation](https://longbridge.com/en/news/287020287.md)