In the latest trading session, Fortinet (FTNT - Free Report) closed at $76.52, marking a -1.92% move from the previous day. This move was narrower than the S&P 500's daily loss of 5.18%. Elsewhere, the Dow lost 6.3%, while the tech-heavy Nasdaq lost 4.7%.
Prior to today's trading, shares of the network security company had lost 34.68% over the past month. This has lagged the Computer and Technology sector's loss of 24.96% and the S&P 500's loss of 24.68% in that time.
Investors will be hoping for strength from FTNT as it approaches its next earnings release. On that day, FTNT is projected to report earnings of $0.51 per share, which would represent year-over-year growth of 10.87%. Meanwhile, our latest consensus estimate is calling for revenue of $561.05 million, up 18.72% from the prior-year quarter.
For the full year, our Zacks Consensus Estimates are projecting earnings of $2.71 per share and revenue of $2.54 billion, which would represent changes of +9.72% and +17.89%, respectively, from the prior year.
Investors should also note any recent changes to analyst estimates for FTNT. These revisions typically reflect the latest short-term business trends, which can change frequently. With this in mind, we can consider positive estimate revisions a sign of optimism about the company's business outlook.
Research indicates that these estimate revisions are directly correlated with near-term share price momentum. 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. Within the past 30 days, our consensus EPS projection remained stagnant. FTNT is currently a Zacks Rank #2 (Buy).
Looking at its valuation, FTNT is holding a Forward P/E ratio of 28.83. This valuation marks a no noticeable deviation compared to its industry's average Forward P/E of 28.83.
It is also worth noting that FTNT currently has a PEG ratio of 2.06. 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. Security stocks are, on average, holding a PEG ratio of 2.1 based on yesterday's closing prices.
The Security industry is part of the Computer and Technology sector. This group has a Zacks Industry Rank of 111, putting it in the top 44% of all 250+ industries.
The Zacks Industry Rank includes is listed in order from best to worst in terms of the average Zacks Rank of the individual companies within each of these sectors. Our research shows that the top 50% rated industries outperform the bottom half by a factor of 2 to 1.
Be sure to follow all of these stock-moving metrics, and many more, on Zacks.com.