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Fortinet (FTNT) Outpaces Stock Market Gains: What You Should Know
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Fortinet (FTNT - Free Report) closed at $78.25 in the latest trading session, marking a +1.99% move from the prior day. The stock outpaced the S&P 500's daily gain of 0.85%. Elsewhere, the Dow gained 0.14%, while the tech-heavy Nasdaq added 5.61%.
Prior to today's trading, shares of the network security company had gained 7.33% over the past month. This has outpaced the Computer and Technology sector's gain of 1.89% and the S&P 500's gain of 3.18% in that time.
Wall Street will be looking for positivity from Fortinet as it approaches its next earnings report date. This is expected to be August 3, 2023. In that report, analysts expect Fortinet to post earnings of $0.34 per share. This would mark year-over-year growth of 41.67%. Our most recent consensus estimate is calling for quarterly revenue of $1.3 billion, up 26.41% from the year-ago period.
FTNT's full-year Zacks Consensus Estimates are calling for earnings of $1.46 per share and revenue of $5.46 billion. These results would represent year-over-year changes of +22.69% and +23.61%, respectively.
It is also important to note the recent changes to analyst estimates for Fortinet. These recent revisions tend to reflect the evolving nature of short-term business trends. As a result, we can interpret positive estimate revisions as a good sign for the company's business outlook.
Our research shows that these estimate changes are directly correlated with near-term stock prices. 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, which ranges from #1 (Strong Buy) to #5 (Strong Sell), has an impressive outside-audited track record of outperformance, with #1 stocks generating an average annual return of +25% since 1988. Over the past month, the Zacks Consensus EPS estimate has moved 0.06% higher. Fortinet is currently a Zacks Rank #1 (Strong Buy).
Looking at its valuation, Fortinet is holding a Forward P/E ratio of 52.41. This represents a premium compared to its industry's average Forward P/E of 42.73.
Also, we should mention that FTNT has a PEG ratio of 2.91. 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. Internet - Software stocks are, on average, holding a PEG ratio of 1.73 based on yesterday's closing prices.
The Internet - Software industry is part of the Computer and Technology sector. This group has a Zacks Industry Rank of 57, putting it in the top 23% of all 250+ industries.
The Zacks Industry Rank gauges the strength of our individual industry groups by measuring the average Zacks Rank of the individual stocks within the groups. Our research shows that the top 50% rated industries outperform the bottom half by a factor of 2 to 1.
You can find more information on all of these metrics, and much more, on Zacks.com.
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Fortinet (FTNT) Outpaces Stock Market Gains: What You Should Know
Fortinet (FTNT - Free Report) closed at $78.25 in the latest trading session, marking a +1.99% move from the prior day. The stock outpaced the S&P 500's daily gain of 0.85%. Elsewhere, the Dow gained 0.14%, while the tech-heavy Nasdaq added 5.61%.
Prior to today's trading, shares of the network security company had gained 7.33% over the past month. This has outpaced the Computer and Technology sector's gain of 1.89% and the S&P 500's gain of 3.18% in that time.
Wall Street will be looking for positivity from Fortinet as it approaches its next earnings report date. This is expected to be August 3, 2023. In that report, analysts expect Fortinet to post earnings of $0.34 per share. This would mark year-over-year growth of 41.67%. Our most recent consensus estimate is calling for quarterly revenue of $1.3 billion, up 26.41% from the year-ago period.
FTNT's full-year Zacks Consensus Estimates are calling for earnings of $1.46 per share and revenue of $5.46 billion. These results would represent year-over-year changes of +22.69% and +23.61%, respectively.
It is also important to note the recent changes to analyst estimates for Fortinet. These recent revisions tend to reflect the evolving nature of short-term business trends. As a result, we can interpret positive estimate revisions as a good sign for the company's business outlook.
Our research shows that these estimate changes are directly correlated with near-term stock prices. 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, which ranges from #1 (Strong Buy) to #5 (Strong Sell), has an impressive outside-audited track record of outperformance, with #1 stocks generating an average annual return of +25% since 1988. Over the past month, the Zacks Consensus EPS estimate has moved 0.06% higher. Fortinet is currently a Zacks Rank #1 (Strong Buy).
Looking at its valuation, Fortinet is holding a Forward P/E ratio of 52.41. This represents a premium compared to its industry's average Forward P/E of 42.73.
Also, we should mention that FTNT has a PEG ratio of 2.91. 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. Internet - Software stocks are, on average, holding a PEG ratio of 1.73 based on yesterday's closing prices.
The Internet - Software industry is part of the Computer and Technology sector. This group has a Zacks Industry Rank of 57, putting it in the top 23% of all 250+ industries.
The Zacks Industry Rank gauges the strength of our individual industry groups by measuring the average Zacks Rank of the individual stocks within the groups. Our research shows that the top 50% rated industries outperform the bottom half by a factor of 2 to 1.
You can find more information on all of these metrics, and much more, on Zacks.com.