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Fortinet (FTNT) Gains But Lags Market: What You Should Know
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Fortinet (FTNT - Free Report) closed at $66.46 in the latest trading session, marking a +0.99% move from the prior day. This move lagged the S&P 500's daily gain of 1.44%. Elsewhere, the Dow gained 1.26%, while the tech-heavy Nasdaq added 5.21%.
Prior to today's trading, shares of the network security company had gained 10.35% over the past month. This has outpaced the Computer and Technology sector's gain of 8.79% and the S&P 500's gain of 2.28% in that time.
Fortinet will be looking to display strength as it nears its next earnings release. On that day, Fortinet is projected to report earnings of $0.28 per share, which would represent year-over-year growth of 47.37%. Meanwhile, our latest consensus estimate is calling for revenue of $1.2 billion, up 25.71% from the prior-year quarter.
FTNT's full-year Zacks Consensus Estimates are calling for earnings of $1.41 per share and revenue of $5.41 billion. These results would represent year-over-year changes of +18.49% and +22.36%, respectively.
It is also important to note the recent changes to analyst estimates for Fortinet. These revisions help to show the ever-changing nature of near-term business trends. As such, positive estimate revisions reflect analyst optimism about the company's business and profitability.
Based on our research, we believe these estimate revisions are directly related to near-team stock moves. Investors can capitalize on this by using the Zacks Rank. This model considers these estimate changes and provides a simple, actionable rating system.
The Zacks Rank system ranges from #1 (Strong Buy) to #5 (Strong Sell). It has a remarkable, outside-audited track record of success, with #1 stocks delivering an average annual return of +25% since 1988. Over the past month, the Zacks Consensus EPS estimate has moved 0.27% higher. Fortinet currently has a Zacks Rank of #2 (Buy).
In terms of valuation, Fortinet is currently trading at a Forward P/E ratio of 46.82. For comparison, its industry has an average Forward P/E of 30.28, which means Fortinet is trading at a premium to the group.
Meanwhile, FTNT's PEG ratio is currently 2.6. This metric is used similarly to the famous P/E ratio, but the PEG ratio also takes into account the stock's expected earnings growth rate. The Security industry currently had an average PEG ratio of 2.4 as of yesterday's close.
The Security industry is part of the Computer and Technology sector. This industry currently has a Zacks Industry Rank of 46, which puts it in the top 19% of all 250+ industries.
The Zacks Industry Rank includes is listed in order from best to worst in terms of the average Zacks Rank of the individual companies within each of these sectors. Our research shows that the top 50% rated industries outperform the bottom half by a factor of 2 to 1.
Be sure to follow all of these stock-moving metrics, and many more, on Zacks.com.
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Fortinet (FTNT) Gains But Lags Market: What You Should Know
Fortinet (FTNT - Free Report) closed at $66.46 in the latest trading session, marking a +0.99% move from the prior day. This move lagged the S&P 500's daily gain of 1.44%. Elsewhere, the Dow gained 1.26%, while the tech-heavy Nasdaq added 5.21%.
Prior to today's trading, shares of the network security company had gained 10.35% over the past month. This has outpaced the Computer and Technology sector's gain of 8.79% and the S&P 500's gain of 2.28% in that time.
Fortinet will be looking to display strength as it nears its next earnings release. On that day, Fortinet is projected to report earnings of $0.28 per share, which would represent year-over-year growth of 47.37%. Meanwhile, our latest consensus estimate is calling for revenue of $1.2 billion, up 25.71% from the prior-year quarter.
FTNT's full-year Zacks Consensus Estimates are calling for earnings of $1.41 per share and revenue of $5.41 billion. These results would represent year-over-year changes of +18.49% and +22.36%, respectively.
It is also important to note the recent changes to analyst estimates for Fortinet. These revisions help to show the ever-changing nature of near-term business trends. As such, positive estimate revisions reflect analyst optimism about the company's business and profitability.
Based on our research, we believe these estimate revisions are directly related to near-team stock moves. Investors can capitalize on this by using the Zacks Rank. This model considers these estimate changes and provides a simple, actionable rating system.
The Zacks Rank system ranges from #1 (Strong Buy) to #5 (Strong Sell). It has a remarkable, outside-audited track record of success, with #1 stocks delivering an average annual return of +25% since 1988. Over the past month, the Zacks Consensus EPS estimate has moved 0.27% higher. Fortinet currently has a Zacks Rank of #2 (Buy).
In terms of valuation, Fortinet is currently trading at a Forward P/E ratio of 46.82. For comparison, its industry has an average Forward P/E of 30.28, which means Fortinet is trading at a premium to the group.
Meanwhile, FTNT's PEG ratio is currently 2.6. This metric is used similarly to the famous P/E ratio, but the PEG ratio also takes into account the stock's expected earnings growth rate. The Security industry currently had an average PEG ratio of 2.4 as of yesterday's close.
The Security industry is part of the Computer and Technology sector. This industry currently has a Zacks Industry Rank of 46, which puts it in the top 19% of all 250+ industries.
The Zacks Industry Rank includes is listed in order from best to worst in terms of the average Zacks Rank of the individual companies within each of these sectors. Our research shows that the top 50% rated industries outperform the bottom half by a factor of 2 to 1.
Be sure to follow all of these stock-moving metrics, and many more, on Zacks.com.