Shares of the edge cloud computing company Fastly (NYSE:FSLY) were rising Monday morning as investors continued last week's optimism over the company's growth. Shares were up as much as 9.9% in the first two hours of trading.
As of 11:17 a.m. EDT, Fastly's shares were up 9.5%.
Investors have been optimistic about Fastly's stock recently and that sentiment was carried over into this morning's trading. Late last week Fastly's management announced that the company had reached 100 terabits per second of connected edge capacity, making its content delivery network services faster than ever.
The company also got a boost last week after Walmart and Shopify made a deal in which Shopify merchants will be able to sell some of their goods on Walmart's website. Fastly could indirectly benefit from the deal, which helped boost the company's share price.
There wasn't any specific news lifting Fastly's shares today, but all of the positive news from last week likely pushed some investors to jump on Fastly's stock this morning, driving it higher. Some investors have been drawn toward tech stocks as they look for investments that could thrive during a recession.
Despite the worldwide pandemic and economic uncertainty, investors have vigorously bought up shares of some companies, including Fastly. Over the past 12 months, the company's share price has skyrocketed 279%, compared to the S&P 500's 4.9% gains. Fastly could end up being a great long-term investment, but investors should keep in mind that the meteoric rise of the company's share price during unprecedented economic circumstances could bring about some volatility in the near term.