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Fortinet (FTNT) Falls More Steeply Than Broader Market: What Investors Need to Know
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In the latest market close, Fortinet (FTNT - Free Report) reached $76.61, with a -1.1% movement compared to the previous day. This move lagged the S&P 500's daily loss of 0.19%. Meanwhile, the Dow experienced a drop of 0.7%, and the technology-dominated Nasdaq saw an increase of 0.04%.
Prior to today's trading, shares of the network security company had gained 1.96% over the past month. This has outpaced the Computer and Technology sector's gain of 0.73% and the S&P 500's gain of 1.95% in that time.
The investment community will be closely monitoring the performance of Fortinet in its forthcoming earnings report. In that report, analysts expect Fortinet to post earnings of $0.51 per share. This would mark year-over-year growth of 24.39%. Simultaneously, our latest consensus estimate expects the revenue to be $1.48 billion, showing a 10.7% escalation compared to the year-ago quarter.
FTNT's full-year Zacks Consensus Estimates are calling for earnings of $2.03 per share and revenue of $5.85 billion. These results would represent year-over-year changes of +24.54% and +10.22%, respectively.
Investors should also pay attention to any latest changes in analyst estimates for Fortinet. These revisions help to show the ever-changing nature of near-term business trends. With this in mind, we can consider positive estimate revisions a sign of optimism about the company's business outlook.
Our research demonstrates that these adjustments in estimates directly associate with imminent stock price performance. To utilize this, we have created the Zacks Rank, a proprietary model that integrates these estimate changes and provides a functional rating system.
The Zacks Rank system, ranging from #1 (Strong Buy) to #5 (Strong Sell), possesses a remarkable history of outdoing, externally audited, with #1 stocks returning an average annual gain of +25% since 1988. Within the past 30 days, our consensus EPS projection has moved 0.95% higher. Fortinet presently features a Zacks Rank of #1 (Strong Buy).
In terms of valuation, Fortinet is currently trading at a Forward P/E ratio of 38.16. This signifies a premium in comparison to the average Forward P/E of 31.01 for its industry.
We can additionally observe that FTNT currently boasts a PEG ratio of 2.35. Comparable to the widely accepted P/E ratio, the PEG ratio also accounts for the company's projected earnings growth. As of the close of trade yesterday, the Internet - Software industry held an average PEG ratio of 2.07.
The Internet - Software industry is part of the Computer and Technology sector. Currently, this industry holds a Zacks Industry Rank of 80, positioning it in the top 32% of all 250+ industries.
The Zacks Industry Rank assesses the strength of our separate industry groups by calculating the average Zacks Rank of the individual stocks contained within the groups. Our research shows that the top 50% rated industries outperform the bottom half by a factor of 2 to 1.
Keep in mind to rely on Zacks.com to watch all these stock-impacting metrics, and more, in the succeeding trading sessions.
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Fortinet (FTNT) Falls More Steeply Than Broader Market: What Investors Need to Know
In the latest market close, Fortinet (FTNT - Free Report) reached $76.61, with a -1.1% movement compared to the previous day. This move lagged the S&P 500's daily loss of 0.19%. Meanwhile, the Dow experienced a drop of 0.7%, and the technology-dominated Nasdaq saw an increase of 0.04%.
Prior to today's trading, shares of the network security company had gained 1.96% over the past month. This has outpaced the Computer and Technology sector's gain of 0.73% and the S&P 500's gain of 1.95% in that time.
The investment community will be closely monitoring the performance of Fortinet in its forthcoming earnings report. In that report, analysts expect Fortinet to post earnings of $0.51 per share. This would mark year-over-year growth of 24.39%. Simultaneously, our latest consensus estimate expects the revenue to be $1.48 billion, showing a 10.7% escalation compared to the year-ago quarter.
FTNT's full-year Zacks Consensus Estimates are calling for earnings of $2.03 per share and revenue of $5.85 billion. These results would represent year-over-year changes of +24.54% and +10.22%, respectively.
Investors should also pay attention to any latest changes in analyst estimates for Fortinet. These revisions help to show the ever-changing nature of near-term business trends. With this in mind, we can consider positive estimate revisions a sign of optimism about the company's business outlook.
Our research demonstrates that these adjustments in estimates directly associate with imminent stock price performance. To utilize this, we have created the Zacks Rank, a proprietary model that integrates these estimate changes and provides a functional rating system.
The Zacks Rank system, ranging from #1 (Strong Buy) to #5 (Strong Sell), possesses a remarkable history of outdoing, externally audited, with #1 stocks returning an average annual gain of +25% since 1988. Within the past 30 days, our consensus EPS projection has moved 0.95% higher. Fortinet presently features a Zacks Rank of #1 (Strong Buy).
In terms of valuation, Fortinet is currently trading at a Forward P/E ratio of 38.16. This signifies a premium in comparison to the average Forward P/E of 31.01 for its industry.
We can additionally observe that FTNT currently boasts a PEG ratio of 2.35. Comparable to the widely accepted P/E ratio, the PEG ratio also accounts for the company's projected earnings growth. As of the close of trade yesterday, the Internet - Software industry held an average PEG ratio of 2.07.
The Internet - Software industry is part of the Computer and Technology sector. Currently, this industry holds a Zacks Industry Rank of 80, positioning it in the top 32% of all 250+ industries.
The Zacks Industry Rank assesses the strength of our separate industry groups by calculating the average Zacks Rank of the individual stocks contained within the groups. Our research shows that the top 50% rated industries outperform the bottom half by a factor of 2 to 1.
Keep in mind to rely on Zacks.com to watch all these stock-impacting metrics, and more, in the succeeding trading sessions.