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Why Fortinet (FTNT) Outpaced the Stock Market Today
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Fortinet (FTNT - Free Report) closed the most recent trading day at $98.24, moving +1.07% from the previous trading session. The stock outperformed the S&P 500, which registered a daily gain of 0.61%. Meanwhile, the Dow gained 0.3%, and the Nasdaq, a tech-heavy index, added 1.28%.
Shares of the network security company witnessed a loss of 0.62% over the previous month, trailing the performance of the Computer and Technology sector with its gain of 1.24% and the S&P 500's gain of 2.08%.
Market participants will be closely following the financial results of Fortinet in its upcoming release. The company plans to announce its earnings on February 6, 2025. The company's upcoming EPS is projected at $0.60, signifying a 17.65% increase compared to the same quarter of the previous year. At the same time, our most recent consensus estimate is projecting a revenue of $1.59 billion, reflecting a 12.59% rise from the equivalent quarter last year.
Investors should also note any recent changes to analyst estimates for Fortinet. These latest adjustments often mirror the shifting dynamics of short-term business patterns. As a result, upbeat changes in estimates indicate analysts' favorable outlook on the company's business health and profitability.
Empirical research indicates that these revisions in estimates have a direct correlation with impending stock price performance. To benefit from this, we have developed the Zacks Rank, a proprietary model which takes these estimate changes into account and provides an 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. The Zacks Consensus EPS estimate has moved 1.46% higher within the past month. Currently, Fortinet is carrying a Zacks Rank of #1 (Strong Buy).
Digging into valuation, Fortinet currently has a Forward P/E ratio of 40.74. This indicates a premium in contrast to its industry's Forward P/E of 29.01.
Meanwhile, FTNT's PEG ratio is currently 2.19. 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. By the end of yesterday's trading, the Internet - Software industry had an average PEG ratio of 2.19.
The Internet - Software industry is part of the Computer and Technology sector. This group has a Zacks Industry Rank of 41, putting it in the top 17% of all 250+ industries.
The Zacks Industry Rank assesses the vigor of our specific industry groups by computing the average Zacks Rank of the individual stocks incorporated in 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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Why Fortinet (FTNT) Outpaced the Stock Market Today
Fortinet (FTNT - Free Report) closed the most recent trading day at $98.24, moving +1.07% from the previous trading session. The stock outperformed the S&P 500, which registered a daily gain of 0.61%. Meanwhile, the Dow gained 0.3%, and the Nasdaq, a tech-heavy index, added 1.28%.
Shares of the network security company witnessed a loss of 0.62% over the previous month, trailing the performance of the Computer and Technology sector with its gain of 1.24% and the S&P 500's gain of 2.08%.
Market participants will be closely following the financial results of Fortinet in its upcoming release. The company plans to announce its earnings on February 6, 2025. The company's upcoming EPS is projected at $0.60, signifying a 17.65% increase compared to the same quarter of the previous year. At the same time, our most recent consensus estimate is projecting a revenue of $1.59 billion, reflecting a 12.59% rise from the equivalent quarter last year.
Investors should also note any recent changes to analyst estimates for Fortinet. These latest adjustments often mirror the shifting dynamics of short-term business patterns. As a result, upbeat changes in estimates indicate analysts' favorable outlook on the company's business health and profitability.
Empirical research indicates that these revisions in estimates have a direct correlation with impending stock price performance. To benefit from this, we have developed the Zacks Rank, a proprietary model which takes these estimate changes into account and provides an 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. The Zacks Consensus EPS estimate has moved 1.46% higher within the past month. Currently, Fortinet is carrying a Zacks Rank of #1 (Strong Buy).
Digging into valuation, Fortinet currently has a Forward P/E ratio of 40.74. This indicates a premium in contrast to its industry's Forward P/E of 29.01.
Meanwhile, FTNT's PEG ratio is currently 2.19. 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. By the end of yesterday's trading, the Internet - Software industry had an average PEG ratio of 2.19.
The Internet - Software industry is part of the Computer and Technology sector. This group has a Zacks Industry Rank of 41, putting it in the top 17% of all 250+ industries.
The Zacks Industry Rank assesses the vigor of our specific industry groups by computing the average Zacks Rank of the individual stocks incorporated in 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.