Fortinet (FTNT) Declines More Than Market: Some Information for Investors

Fortinet (FTNT) closed at $100.84 in the latest trading session, marking a -1.98% move from the prior day. The stock's change was less than the S&P 500's daily loss of 0.03%. Meanwhile, the Dow experienced a drop of 0.11%, and the technology-dominated Nasdaq saw an increase of 0.13%. The stock of network security company has fallen by 1.82% in the past month, lagging the Computer and Technology sector's gain of 3.02% and the S&P 500's gain of 0.6%.Market participants will be closely following the financial results of Fortinet in its upcoming release. The company is forecasted to report an EPS of $0.59, showcasing a 3.51% upward movement from the corresponding quarter of the prior year. Alongside, our most recent consensus estimate is anticipating revenue of $1.62 billion, indicating a 12.94% upward movement from the same quarter last year. For the full year, the Zacks Consensus Estimates project earnings of $2.48 per share and a revenue of $6.75 billion, demonstrating changes of +4.64% and +13.36%, respectively, from the preceding year. Investors should also note any recent changes to analyst estimates for Fortinet. These recent revisions tend to reflect the evolving nature of short-term business trends. With this in mind, we can consider positive estimate revisions a sign of optimism about the business outlook. Our research demonstrates that these adjustments in estimates directly associate with imminent stock price performance. We developed the Zacks Rank to capitalize on this phenomenon. Our system takes these estimate changes into account and delivers a clear, actionable rating model. The Zacks Rank system, spanning from #1 (Strong Buy) to #5 (Strong Sell), boasts an impressive track record of outperformance, audited externally, with #1 ranked stocks yielding an average annual return of +25% since 1988. The Zacks Consensus EPS estimate has moved 0.34% higher within the past month. As of now, Fortinet holds a Zacks Rank of #3 (Hold). From a valuation perspective, Fortinet is currently exchanging hands at a Forward P/E ratio of 41.51. Its industry sports an average Forward P/E of 75.49, so one might conclude that Fortinet is trading at a discount comparatively. We can also see that FTNT currently has a PEG ratio of 3.09. The PEG ratio is akin to the commonly utilized P/E ratio, but this measure also incorporates the company's anticipated earnings growth rate. As of the close of trade yesterday, the Security industry held an average PEG ratio of 3.09. The Security industry is part of the Computer and Technology sector. This industry, currently bearing a Zacks Industry Rank of 26, finds itself in the top 11% echelons 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. Ensure to harness Zacks.com to stay updated with all these stock-shifting metrics, among others, in the next trading sessions. 5 Stocks Set to DoubleEach was handpicked by a Zacks expert as the #1 favorite stock to gain +100% or more in the coming year. While not all picks can be winners, previous recommendations have soared +112%, +171%, +209% and +232%.Most of the stocks in this report are flying under Wall Street radar, which provides a great opportunity to get in on the ground floor.Today, See These 5 Potential Home Runs >>Want the latest recommendations from Zacks Investment Research? Today, you can download 7 Best Stocks for the Next 30 Days. Click to get this free report Fortinet, Inc. (FTNT): Free Stock Analysis ReportThis article originally published on Zacks Investment Research (zacks.com).Zacks Investment ResearchWeiter zum vollständigen Artikel bei Zacks Weiter zum vollständigen Artikel bei Zacks