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Fortinet (FTNT) Gains As Market Dips: What You Should Know
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Fortinet (FTNT - Free Report) closed the most recent trading day at $82.47, moving +1.17% from the previous trading session. The stock's change was more than the S&P 500's daily loss of 0.24%. Elsewhere, the Dow saw a downswing of 0.62%, while the tech-heavy Nasdaq appreciated by 0.23%.
Shares of the network security company have depreciated by 0.51% over the course of the past month, underperforming the Computer and Technology sector's gain of 0.89%, and the S&P 500's gain of 1.31%.
The investment community will be paying close attention to the earnings performance of Fortinet in its upcoming release. It is anticipated that the company will report an EPS of $0.74, marking stability compared to the same quarter of the previous year. In the meantime, our current consensus estimate forecasts the revenue to be $1.86 billion, indicating a 11.92% growth compared to the corresponding quarter of the prior year.
For the full year, the Zacks Consensus Estimates project earnings of $2.69 per share and a revenue of $6.75 billion, demonstrating changes of +13.5% and +13.37%, respectively, from the preceding year.
Investors should also note any recent changes to analyst estimates for Fortinet. These revisions typically reflect the latest short-term business trends, which can change frequently. As a result, we can interpret positive estimate revisions as a good sign for the business outlook.
Our research suggests that these changes in estimates have a direct relationship with upcoming stock price performance. To exploit this, we've formed the Zacks Rank, a quantitative model that includes these estimate changes and presents a viable rating system.
The Zacks Rank system, stretching from #1 (Strong Buy) to #5 (Strong Sell), has a noteworthy track record of outperforming, validated by third-party audits, with stocks rated #1 producing an average annual return of +25% since the year 1988. Within the past 30 days, our consensus EPS projection has moved 1.43% higher. Fortinet is currently a Zacks Rank #3 (Hold).
Digging into valuation, Fortinet currently has a Forward P/E ratio of 30.3. This represents a discount compared to its industry average Forward P/E of 54.68.
Also, we should mention that FTNT has a PEG ratio of 2.69. This popular metric is similar to the widely-known P/E ratio, with the difference being that the PEG ratio also takes into account the company's expected earnings growth rate. By the end of yesterday's trading, the Security industry had an average PEG ratio of 2.69.
The Security industry is part of the Computer and Technology sector. This industry, currently bearing a Zacks Industry Rank of 54, finds itself in the top 22% echelons 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.
Remember to apply Zacks.com to follow these and more stock-moving metrics during the upcoming trading sessions.
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Fortinet (FTNT) Gains As Market Dips: What You Should Know
Fortinet (FTNT - Free Report) closed the most recent trading day at $82.47, moving +1.17% from the previous trading session. The stock's change was more than the S&P 500's daily loss of 0.24%. Elsewhere, the Dow saw a downswing of 0.62%, while the tech-heavy Nasdaq appreciated by 0.23%.
Shares of the network security company have depreciated by 0.51% over the course of the past month, underperforming the Computer and Technology sector's gain of 0.89%, and the S&P 500's gain of 1.31%.
The investment community will be paying close attention to the earnings performance of Fortinet in its upcoming release. It is anticipated that the company will report an EPS of $0.74, marking stability compared to the same quarter of the previous year. In the meantime, our current consensus estimate forecasts the revenue to be $1.86 billion, indicating a 11.92% growth compared to the corresponding quarter of the prior year.
For the full year, the Zacks Consensus Estimates project earnings of $2.69 per share and a revenue of $6.75 billion, demonstrating changes of +13.5% and +13.37%, respectively, from the preceding year.
Investors should also note any recent changes to analyst estimates for Fortinet. These revisions typically reflect the latest short-term business trends, which can change frequently. As a result, we can interpret positive estimate revisions as a good sign for the business outlook.
Our research suggests that these changes in estimates have a direct relationship with upcoming stock price performance. To exploit this, we've formed the Zacks Rank, a quantitative model that includes these estimate changes and presents a viable rating system.
The Zacks Rank system, stretching from #1 (Strong Buy) to #5 (Strong Sell), has a noteworthy track record of outperforming, validated by third-party audits, with stocks rated #1 producing an average annual return of +25% since the year 1988. Within the past 30 days, our consensus EPS projection has moved 1.43% higher. Fortinet is currently a Zacks Rank #3 (Hold).
Digging into valuation, Fortinet currently has a Forward P/E ratio of 30.3. This represents a discount compared to its industry average Forward P/E of 54.68.
Also, we should mention that FTNT has a PEG ratio of 2.69. This popular metric is similar to the widely-known P/E ratio, with the difference being that the PEG ratio also takes into account the company's expected earnings growth rate. By the end of yesterday's trading, the Security industry had an average PEG ratio of 2.69.
The Security industry is part of the Computer and Technology sector. This industry, currently bearing a Zacks Industry Rank of 54, finds itself in the top 22% echelons 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.
Remember to apply Zacks.com to follow these and more stock-moving metrics during the upcoming trading sessions.