(FTNT) Fortinet - NASDAQ
Sector: Technology | Industry: Software - Infrastructure | Exchange: NASDAQ (USA) | Market Cap: 109.655m USD | Total Return: 36.7% in 12m
Avg Turnover: 793M
EPS Trend: 98.8%
Qual. Beats: 16
Rev. Trend: 99.6%
Qual. Beats: 3
Warnings
No concerns identified
Tailwinds
Supp Ema20, Rs Leader, Idiosyncratic Leader, Pead, Confidence
Fortinet, Inc. (FTNT) specializes in integrated cybersecurity and networking solutions, utilizing its proprietary FortiOS operating system and custom ASIC-based security processing units. This hardware-software integration allows for higher performance and energy efficiency compared to general-purpose processors used by many competitors. The company’s Security Fabric architecture covers network security, cloud security, endpoint protection, and operational technology (OT).
The business operates within the cybersecurity sector, which is increasingly shifting toward a platform-based model where customers consolidate multiple security tools into a single vendor ecosystem. Fortinet generates revenue through a combination of physical product sales and recurring subscription services, including threat intelligence from its FortiGuard Labs and technical support through FortiCare.
Investors may find it useful to examine ValueRay for deeper insights into these industry trends. The company’s portfolio includes high-growth segments such as Secure Access Service Edge (SASE) and AI-driven security operations, targeting the convergence of networking and security for global enterprises and government infrastructure.
- Proprietary ASIC technology provides competitive performance advantages and higher gross margins
- Shift toward Unified SASE and SecOps offsets slowing hardware firewall demand
- High exposure to enterprise IT spending cycles impacts short-term billings growth
- Service revenue expansion from AI-driven security subscriptions stabilizes long-term cash flow
- Global regulatory compliance demands drive increased adoption of OT security solutions
| Net Income: 1.95b TTM > 0 and > 6% of Revenue |
| FCF/TA: 0.25 > 0.02 and ΔFCF/TA 4.78 > 1.0 |
| NWC/Revenue: 9.97% < 20% (prev 27.92%; Δ -17.94% < -1%) |
| CFO/TA 0.28 > 3% & CFO 2.80b > Net Income 1.95b |
| Net Debt (-2.80b) to EBITDA (2.61b): -1.07 < 3 |
| Current Ratio: 1.15 > 1.5 & < 3 |
| Outstanding Shares: last quarter (742.8m) vs 12m ago -4.38% < -2% |
| Gross Margin: 80.67% > 18% (prev 81.34%; Δ -0.67% > 0.5%) |
| Asset Turnover: 70.08% > 50% (prev 59.02%; Δ 11.06% > 0%) |
| Interest Coverage Ratio: 121.5 > 6 (EBIT TTM 2.36b / Interest Expense TTM 19.4m) |
| A: 0.07 (Total Current Assets 5.33b - Total Current Liabilities 4.62b) / Total Assets 9.88b |
| B: -0.08 (Retained Earnings -782.0m / Total Assets 9.88b) |
| C: 0.23 (EBIT TTM 2.36b / Avg Total Assets 10.1b) |
| D: 0.11 (Book Value of Equity 989.7m / Total Liabilities 8.89b) |
| Altman-Z'' = 1.89 = BBB |
| DSRI: 1.09 (Receivables 1.49b/1.17b, Revenue 7.11b/6.14b) |
| GMI: 1.01 (GM 81.34% / 80.67%) |
| AQI: 1.18 (AQ_t 0.29 / AQ_t-1 0.25) |
| SGI: 1.16 (Revenue 7.11b / 6.14b) |
| TATA: -0.09 (NI 1.95b - CFO 2.80b) / TA 9.88b) |
| Beneish M = -2.73 (Cap -4..+1) = A |
As of June 11, 2026, the stock is trading at USD 138.88 with a total of 6,136,546 shares traded.
Over the past week, the price has changed by -5.19%,
over one month by +20.30%,
over three months by +64.94% and
over the past year by +36.65%.
Fortinet has received a consensus analysts rating of 3.47. Therefore, it is recommended to hold FTNT.
- StrongBuy: 9
- Buy: 7
- Hold: 27
- Sell: 0
- StrongSell: 2
| Analysts Target Price | 107.9 | -22.3% |
P/E Trailing = 58.2374
P/E Forward = 49.7512
P/S = 15.3403
P/B = 108.9238
P/EG = 3.3196
Revenue TTM = 7.11b USD
EBIT TTM = 2.36b USD
EBITDA TTM = 2.61b USD
Long Term Debt = 496.8m USD (from longTermDebt, last quarter)
Short Term Debt = 499.7m USD (from shortTermDebt, last fiscal year)
Debt = 496.8m USD (from shortLongTermDebtTotal, last quarter)
Net Debt = -2.80b USD (calculated: Debt 496.8m - CCE 3.29b)
Enterprise Value = 107b USD (110b + Debt 496.8m - CCE 3.29b)
Interest Coverage Ratio = 121.5 (Ebit TTM 2.36b / Interest Expense TTM 19.4m)
EV/FCF = 43.87x (Enterprise Value 107b / FCF TTM 2.44b)
FCF Yield = 2.28% (FCF TTM 2.44b / Enterprise Value 107b)
FCF Margin = 34.26% (FCF TTM 2.44b / Revenue TTM 7.11b)
Net Margin = 27.49% (Net Income TTM 1.95b / Revenue TTM 7.11b)
Gross Margin = 80.67% ((Revenue TTM 7.11b - Cost of Revenue TTM 1.37b) / Revenue TTM)
Gross Margin QoQ = 80.29% (prev 79.57%)
Tobins Q-Ratio = 10.81 (Enterprise Value 107b / Total Assets 9.88b)
Interest Expense / Debt = 3.90% (Interest Expense 19.4m / Debt 496.8m)
Taxrate = 19.20% (464.6m / 2.42b)
NOPAT = 1.90b (EBIT 2.36b * (1 - 19.20%))
Current Ratio = 1.15 (Total Current Assets 5.33b / Total Current Liabilities 4.62b)
Debt / Equity = 0.50 (Debt 496.8m / totalStockholderEquity, last quarter 989.7m)
Debt / EBITDA = -1.07 (Net Debt -2.80b / EBITDA 2.61b)
Debt / FCF = -1.15 (Net Debt -2.80b / FCF TTM 2.44b)
Total Stockholder Equity = 1.26b (last 4 quarters mean from totalStockholderEquity)
RoA = 19.27% (Net Income 1.95b / Total Assets 9.88b)
RoE = 155.7% (Net Income TTM 1.95b / Total Stockholder Equity 1.26b)
RoCE = 134.5% (EBIT 2.36b / Capital Employed (Equity 1.26b + L.T.Debt 496.8m))
RoIC = 35.23% (NOPAT 1.90b / Invested Capital 5.40b)
WACC = 7.80% (E(110b)/V(110b) * Re(7.82%) + D(496.8m)/V(110b) * Rd(3.90%) * (1-Tc(0.19)))
Discount Rate = 7.82% (= CAPM, Blume Beta Adj.)
Shares (quarterly) Correlation: -28.89 | Cagr: -1.72%
[DCF] Terminal Value 77.97% ; FCFF base≈2.29b ; Y1≈2.62b ; Y5≈3.86b
[DCF] Fair Price = 83.11 (EV 58.1b - Net Debt -2.80b = Equity 60.9b / Shares 732.6m; r=8.35% [WACC [floored]]; 5y FCF grow 15.0% → 2.50% )
EPS Correlation: 98.78 | EPS CAGR: 30.93% | SUE: 4.0 | # QB: 16
Revenue Correlation: 99.64 | Revenue CAGR: 13.41% | SUE: 4.0 | # QB: 3
EPS current Quarter (2026-06-30): EPS=0.74 | Chg30d=+7.10% | Revisions=+90% | Analysts=38
EPS next Quarter (2026-09-30): EPS=0.76 | Chg30d=-1.67% | Revisions=-58% | Analysts=38
EPS current Year (2026-12-31): EPS=3.16 | Chg30d=+6.08% | Revisions=+91% | GrowthEPS=+14.4% | GrowthRev=+14.9%
EPS next Year (2027-12-31): EPS=3.43 | Chg30d=+3.57% | Revisions=+91% | GrowthEPS=+8.5% | GrowthRev=+10.5%
[Analyst] Revisions Ratio: +91%