Fastly stock is rising after new pricing plan announced

Investing.com — Fastly Inc (NYSE:) shares were rising after the edge cloud computing platform disclosed new pricing and packages for its main offerings.

The company said it is adding flat-rate pricing options for customers who don’t want to manage usage-based consumption. The new plan cuts the risk of surprise bills, it said, associated with traffic spikes, global malicious attacks and misconfigurations.

Shares jumped 7.2% in midday trading and are up 116% so far this year.

“Pricing is straightforward, transparent and competitive, with no fine print or hidden charges,” Fastly said in a statement. Users can mix and match packages to suit their needs, it added.

Usage-based pricing will remain available for any customer who prefers it, the company said.

Fastly also said it has expanded its free tier to make it easier for companies to try its offerings with no commitment.

Morgan Stanley recently upgraded its rating on the stock to Equal-weight, with a price target of $18. In current trading, the stock is at $17.73.