In This Article:
The most recent trading session ended with Fortinet (FTNT) standing at $93.83, reflecting a -0.77% shift from the previouse trading day's closing. The stock's performance was behind the S&P 500's daily gain of 0.16%. Elsewhere, the Dow saw an upswing of 0.86%, while the tech-heavy Nasdaq depreciated by 0.38%.
The network security company's stock has dropped by 3.46% in the past month, falling short of the Computer and Technology sector's loss of 1.29% and the S&P 500's loss of 2.2%.
Analysts and investors alike will be keeping a close eye on the performance of Fortinet in its upcoming earnings disclosure. The company's earnings report is set to go public on February 6, 2025. The company is forecasted to report an EPS of $0.60, showcasing a 17.65% upward movement from the corresponding quarter of the prior year. At the same time, our most recent consensus estimate is projecting a revenue of $1.59 billion, reflecting a 12.59% rise from the equivalent quarter last year.
It's also important for investors to be aware of any recent modifications to analyst estimates for Fortinet. These revisions help to show the ever-changing nature of near-term business trends. Hence, positive alterations in estimates signify analyst optimism regarding the company's business and profitability.
Our research shows that these estimate changes are directly correlated with near-term stock prices. To exploit this, we've formed the Zacks Rank, a quantitative model that includes these estimate changes and presents a viable rating system.
The Zacks Rank system ranges from #1 (Strong Buy) to #5 (Strong Sell). It has a remarkable, outside-audited track record of success, with #1 stocks delivering an average annual return of +25% since 1988. Over the past month, the Zacks Consensus EPS estimate has moved 1.07% higher. Fortinet is holding a Zacks Rank of #3 (Hold) right now.
Valuation is also important, so investors should note that Fortinet has a Forward P/E ratio of 39.95 right now. Its industry sports an average Forward P/E of 28.07, so one might conclude that Fortinet is trading at a premium comparatively.
One should further note that FTNT currently holds a PEG ratio of 2.15. The PEG ratio bears resemblance to the frequently used P/E ratio, but this parameter also includes the company's expected earnings growth trajectory. The average PEG ratio for the Internet - Software industry stood at 2.18 at the close of the market yesterday.
The Internet - Software industry is part of the Computer and Technology sector. This industry currently has a Zacks Industry Rank of 29, which puts it in the top 12% of all 250+ industries.