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Fortinet (FTNT) Outperforms Broader Market: What You Need to Know
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Fortinet (FTNT - Free Report) closed at $149.49 in the latest trading session, marking a +2.18% move from the prior day. The stock outpaced the S&P 500's daily gain of 1.65%. At the same time, the Dow added 0.92%, and the tech-heavy Nasdaq gained 3.07%.
Coming into today, shares of the network security company had gained 19.16% in the past month. In that same time, the Computer and Technology sector gained 0.33%, while the S&P 500 gained 0.48%.
The investment community will be closely monitoring the performance of Fortinet in its forthcoming earnings report. The company's earnings per share (EPS) are projected to be $0.74, reflecting a 15.63% increase from the same quarter last year. Meanwhile, the Zacks Consensus Estimate for revenue is projecting net sales of $1.88 billion, up 15.44% from the year-ago period.
Looking at the full year, the Zacks Consensus Estimates suggest analysts are expecting earnings of $3.13 per share and revenue of $7.8 billion. These totals would mark changes of +13.41% and +14.65%, respectively, from last year.
Investors might also notice 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 business health and profitability.
Our research demonstrates that these adjustments in estimates directly associate with imminent stock price performance. To take advantage of this, we've established the Zacks Rank, an exclusive model that considers these estimated changes and delivers an operational 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. Over the last 30 days, the Zacks Consensus EPS estimate has witnessed a 0.84% increase. At present, Fortinet boasts a Zacks Rank of #3 (Hold).
In the context of valuation, Fortinet is at present trading with a Forward P/E ratio of 46.67. This indicates a premium in contrast to its industry's Forward P/E of 42.
Meanwhile, FTNT's PEG ratio is currently 3.56. The PEG ratio bears resemblance to the frequently used P/E ratio, but this parameter also includes the company's expected earnings growth trajectory. By the end of yesterday's trading, the Security industry had an average PEG ratio of 2.96.
The Security industry is part of the Computer and Technology sector. This industry, currently bearing a Zacks Industry Rank of 108, finds itself in the top 45% echelons of all 250+ industries.
The Zacks Industry Rank gauges the strength of our 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.
Don't forget to use Zacks.com to keep track of all these stock-moving metrics, and others, in the upcoming trading sessions.
View the Zacks #1 Rank List
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Fortinet (FTNT) Outperforms Broader Market: What You Need to Know
Fortinet (FTNT - Free Report) closed at $149.49 in the latest trading session, marking a +2.18% move from the prior day. The stock outpaced the S&P 500's daily gain of 1.65%. At the same time, the Dow added 0.92%, and the tech-heavy Nasdaq gained 3.07%.
Coming into today, shares of the network security company had gained 19.16% in the past month. In that same time, the Computer and Technology sector gained 0.33%, while the S&P 500 gained 0.48%.
The investment community will be closely monitoring the performance of Fortinet in its forthcoming earnings report. The company's earnings per share (EPS) are projected to be $0.74, reflecting a 15.63% increase from the same quarter last year. Meanwhile, the Zacks Consensus Estimate for revenue is projecting net sales of $1.88 billion, up 15.44% from the year-ago period.
Looking at the full year, the Zacks Consensus Estimates suggest analysts are expecting earnings of $3.13 per share and revenue of $7.8 billion. These totals would mark changes of +13.41% and +14.65%, respectively, from last year.
Investors might also notice 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 business health and profitability.
Our research demonstrates that these adjustments in estimates directly associate with imminent stock price performance. To take advantage of this, we've established the Zacks Rank, an exclusive model that considers these estimated changes and delivers an operational 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. Over the last 30 days, the Zacks Consensus EPS estimate has witnessed a 0.84% increase. At present, Fortinet boasts a Zacks Rank of #3 (Hold).
In the context of valuation, Fortinet is at present trading with a Forward P/E ratio of 46.67. This indicates a premium in contrast to its industry's Forward P/E of 42.
Meanwhile, FTNT's PEG ratio is currently 3.56. The PEG ratio bears resemblance to the frequently used P/E ratio, but this parameter also includes the company's expected earnings growth trajectory. By the end of yesterday's trading, the Security industry had an average PEG ratio of 2.96.
The Security industry is part of the Computer and Technology sector. This industry, currently bearing a Zacks Industry Rank of 108, finds itself in the top 45% echelons of all 250+ industries.
The Zacks Industry Rank gauges the strength of our 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.
Don't forget to use Zacks.com to keep track of all these stock-moving metrics, and others, in the upcoming trading sessions.