We recently compiled a list of 12 Cheap Small-Cap Stocks to Invest in Before the Next Breakout. The sixth stock on our list of best small cap stocks is Fastly, Inc.
TheFly reported on January 16 that Citi analyst Fatima Boolani lowered the price target on FSLY from $12 to $10 and maintained a neutral rating. The adjustment was made as part of Citi’s 2026 outlook for the infrastructure software group, with the company expecting the sector’s momentum from 2025 to continue into the new year.
Separately, on January 5, RBC Capital raised its price target on Fastly, Inc. (NASDAQ: FSLY) from $9 to $10 and maintained a Sector Perform rating. According to the company, companies that are well-positioned to drive enterprise AI adoption could experience new AI-related tailwinds in 2026. Despite management teams’ cautious forecasts for early 2026, RBC said business investments appear to be stabilizing across several sectors, with generative AI driving innovation.
Fastly, Inc. (NASDAQ: FSLY) is an American cloud computing and edge infrastructure company that provides high-performance content delivery network (CDN), edge computing, security and web performance services.
While we recognize FSLY’s potential as an investment, we believe certain AI stocks offer greater upside potential and carry less downside risk. If you’re looking for a hugely undervalued AI stock that also stands to benefit significantly from Trump-era tariffs and the reshoring trend, check out our free report on the best AI stock in the short term.
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Disclosure: None.
