Form 4: Fastly Executive Granted 66,666 RSUs

Fastly's President of Go to Market, Scott R. Lovett, was granted 66,666 restricted stock units, increasing his beneficial ownership.

Summary

• Scott R. Lovett, President, Go to Market at Fastly, Inc. (FSLY), acquired 66,666 shares of Class A Common Stock on August 10, 2025.
• These shares are represented by Restricted Stock Units (RSUs) with a transaction price of $0, indicating a grant as compensation.
• Following this transaction, Lovett beneficially owns a total of 1,353,811 shares of Class A Common Stock.
• The RSUs are subject to a vesting schedule: 6.25% will vest on August 15, 2025, and the remaining 93.75% will vest in 15 equal quarterly installments (6.25% per quarter) thereafter, contingent on continued service.

Sentiment

Score: 7

Explanation: The grant of RSUs to a key executive is a positive indicator for executive retention and aligns management's interests with long-term shareholder value, reflecting a standard and healthy compensation practice.

Positives

• The grant of Restricted Stock Units (RSUs) aligns the executive's long-term interests with those of the shareholders.
• Increases the executive's direct stake in the company, demonstrating continued commitment and confidence.
• Equity compensation is a standard practice for retaining key talent in the technology sector.

Negatives

• The RSU grant does not provide immediate liquidity or cash flow to the executive.
• Future settlement of RSUs will result in a minor dilutive effect on existing shares, which is typical for equity compensation plans.

Risks

• Vesting of the RSUs is contingent upon Scott R. Lovett's continued service with Fastly, Inc. through each applicable vesting date.

Future Outlook

The granted RSUs are subject to a multi-year vesting schedule, with the first vesting event scheduled for August 15, 2025, and subsequent quarterly vesting installments over approximately four years, contingent on the executive's continued service.

Industry Context

This transaction represents a routine equity compensation grant to a senior executive, a common practice across the technology and software industry to incentivize and retain key leadership.

Comparison to Industry Standards

• The grant of Restricted Stock Units (RSUs) as a component of executive compensation is a standard practice in the technology sector, comparable to compensation structures at companies like Cloudflare (NET) or Akamai Technologies (AKAM).
• The vesting schedule, typically over several years, aligns with industry norms for long-term incentive plans designed to promote executive retention and performance.

Stakeholder Impact

• Shareholders: Potential minor future dilution from RSU settlement, balanced by improved executive alignment and retention.
• Employees: Reflects standard executive compensation practices within the company.

Next Steps

• Continued vesting of the granted RSUs according to the specified quarterly schedule, contingent on the Reporting Person's continued service.

Key Dates

Recommendation

This Form 4 details a routine equity compensation grant to a key executive, which is a standard event and does not provide new information that would significantly alter the investment thesis for Fastly, Inc. It primarily indicates executive retention and alignment, which are generally positive but not catalysts for a change in recommendation.

Keywords

Fastly, FSLY, SEC Form 4, Restricted Stock Units, RSU, Executive Compensation, Insider Transaction, Scott R. Lovett, Equity Grant