Fortinet (FTNT) Outperforms Broader Market: What You Need to Know

Fortinet (FTNT) ended the recent trading session at $81.74, demonstrating a +1.87% change from the preceding day's closing price. The stock outpaced the S&P 500's daily gain of 0.64%. At the same time, the Dow added 0.47%, and the tech-heavy Nasdaq gained 0.52%. Heading into today, shares of the network security company had gained 1.76% over the past month, lagging the Computer and Technology sector's gain of 1.98% and the S&P 500's gain of 3%.Investors will be eagerly watching for the performance of Fortinet in its upcoming earnings disclosure. The company is forecasted to report an EPS of $0.74, showcasing no movement from the corresponding quarter of the prior 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. In terms of the entire fiscal year, the Zacks Consensus Estimates predict earnings of $2.69 per share and a revenue of $6.75 billion, indicating changes of +13.5% and +13.37%, respectively, from the former year. Investors might also notice recent changes to analyst estimates for Fortinet. Such recent modifications usually signify the changing landscape of near-term business trends. As such, positive estimate revisions reflect analyst optimism about the business and profitability. Empirical research indicates that these revisions in estimates have a direct correlation with impending 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, running from #1 (Strong Buy) to #5 (Strong Sell), holds an admirable track record of superior performance, independently audited, with #1 stocks contributing an average annual return of +25% since 1988. Over the past month, the Zacks Consensus EPS estimate has moved 1.43% higher. Fortinet currently has a Zacks Rank of #3 (Hold). In the context of valuation, Fortinet is at present trading with a Forward P/E ratio of 29.82. This denotes a discount relative to the industry average Forward P/E of 55.01. Meanwhile, FTNT's PEG ratio is currently 2.65. 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. The Security was holding an average PEG ratio of 2.65 at yesterday's closing price. The Security industry is part of the Computer and Technology sector. This industry, currently bearing a Zacks Industry Rank of 57, finds itself in the top 24% 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. Be sure to use Zacks.com to monitor all these stock-influencing metrics, and more, throughout the forthcoming trading sessions. 5 Stocks Set to DoubleEach was handpicked by a Zacks expert as the favorite stock to gain +100% or more in the months ahead. They includeStock #1: A Disruptive Force with Notable Growth and ResilienceStock #2: Bullish Signs Signaling to Buy the DipStock #3: One of the Most Compelling Investments in the MarketStock #4: Leader In a Red-Hot Industry Poised for GrowthStock #5: Modern Omni-Channel Platform Coiled to SpringMost of the stocks in this report are flying under Wall Street radar, which provides a great opportunity to get in on the ground floor. While not all picks can be winners, previous recommendations have soared +171%, +209% and +232%.Download Atomic Opportunity: Nuclear Energy's Comeback free today.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