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Fortinet (FTNT) Stock Declines While Market Improves: Some Information for Investors
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Fortinet (FTNT - Free Report) closed at $169.41 in the latest trading session, marking a -1.84% move from the prior day. This change lagged the S&P 500's 0.17% gain on the day. At the same time, the Dow lost 0.18%, and the tech-heavy Nasdaq gained 0.4%.
Heading into today, shares of the network security company had gained 14.45% over the past month, outpacing the Computer and Technology sector's gain of 0.37% and the S&P 500's loss of 1.29%.
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 $0.86, marking a 16.22% rise compared to the same quarter of the previous year. Simultaneously, our latest consensus estimate expects the revenue to be $2.06 billion, showing a 19.44% escalation compared to the year-ago quarter.
In terms of the entire fiscal year, the Zacks Consensus Estimates predict earnings of $3.42 per share and a revenue of $8.12 billion, indicating changes of +23.91% and +19.37%, respectively, from the former year.
It's also important for investors to be aware of any recent modifications to analyst estimates for Fortinet. These revisions typically reflect the latest short-term business trends, which can change frequently. As a result, upbeat changes in estimates indicate analysts' favorable outlook on the business health and profitability.
Based on our research, we believe these estimate revisions are directly related to near-term stock moves. 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 0.8% higher. Right now, Fortinet possesses a Zacks Rank of #1 (Strong Buy).
Valuation is also important, so investors should note that Fortinet has a Forward P/E ratio of 50.39 right now. This expresses no noticeable deviation compared to the average Forward P/E of 50.39 of its industry.
It's also important to note that FTNT currently trades at a PEG ratio of 2.91. Comparable to the widely accepted P/E ratio, the PEG ratio also accounts for the company's projected earnings growth. As the market closed yesterday, the Security industry was having an average PEG ratio of 2.98.
The Security industry is part of the Computer and Technology sector. This industry currently has a Zacks Industry Rank of 47, which puts it in the top 20% 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.
Keep in mind to rely on Zacks.com to watch all these stock-impacting metrics, and more, in the succeeding trading sessions.
View the Zacks #1 Rank List
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Fortinet (FTNT) Stock Declines While Market Improves: Some Information for Investors
Fortinet (FTNT - Free Report) closed at $169.41 in the latest trading session, marking a -1.84% move from the prior day. This change lagged the S&P 500's 0.17% gain on the day. At the same time, the Dow lost 0.18%, and the tech-heavy Nasdaq gained 0.4%.
Heading into today, shares of the network security company had gained 14.45% over the past month, outpacing the Computer and Technology sector's gain of 0.37% and the S&P 500's loss of 1.29%.
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 $0.86, marking a 16.22% rise compared to the same quarter of the previous year. Simultaneously, our latest consensus estimate expects the revenue to be $2.06 billion, showing a 19.44% escalation compared to the year-ago quarter.
In terms of the entire fiscal year, the Zacks Consensus Estimates predict earnings of $3.42 per share and a revenue of $8.12 billion, indicating changes of +23.91% and +19.37%, respectively, from the former year.
It's also important for investors to be aware of any recent modifications to analyst estimates for Fortinet. These revisions typically reflect the latest short-term business trends, which can change frequently. As a result, upbeat changes in estimates indicate analysts' favorable outlook on the business health and profitability.
Based on our research, we believe these estimate revisions are directly related to near-term stock moves. 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 0.8% higher. Right now, Fortinet possesses a Zacks Rank of #1 (Strong Buy).
Valuation is also important, so investors should note that Fortinet has a Forward P/E ratio of 50.39 right now. This expresses no noticeable deviation compared to the average Forward P/E of 50.39 of its industry.
It's also important to note that FTNT currently trades at a PEG ratio of 2.91. Comparable to the widely accepted P/E ratio, the PEG ratio also accounts for the company's projected earnings growth. As the market closed yesterday, the Security industry was having an average PEG ratio of 2.98.
The Security industry is part of the Computer and Technology sector. This industry currently has a Zacks Industry Rank of 47, which puts it in the top 20% 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.
Keep in mind to rely on Zacks.com to watch all these stock-impacting metrics, and more, in the succeeding trading sessions.