From Nasdaq: 2024-06-11 10:15:00

Fortinet FTNT is a leading cybersecurity company with a suite of solutions to combat evolving threats. The cybersecurity market is projected to reach $308.8 billion by 2024, with Fortinet poised for growth above the market rate. Their Security Fabric offers end-to-end protection and advanced threat detection, setting them apart.

Fortinet’s Security Fabric integrates various products like FortiGate firewall, FortiWeb WAF, and FortiMail Email Security solutions. Their AI-driven technologies like FortiGuard Labs and FortiAI enhance threat detection and response capabilities. The company’s scalable solutions cater to enterprises, service providers, and government organizations globally, driving strong financial performance.

In Q1 2024, Fortinet reported revenues of $1.26 billion, showing 32.9% growth year over year. For fiscal 2024, they expect revenues between $5.745-$5.845 billion and an operating margin of 26.5-28%. The Zacks Consensus Estimate projects revenue growth of 9.2% year over year and earnings growth of 7.4% year over year.

Fortinet faces competition from companies like Palo Alto Networks, Check Point Software, and Cisco Systems. Despite a 2.7% year-to-date stock gain, Fortinet is trading at a premium with a forward 12-month P/S of 7.5X. Investors may consider waiting for a better entry point due to its current Zacks Rank of #3 (Hold). Strategic acquisitions and continuous innovation strengthen their position in the cybersecurity industry.



Read more at Nasdaq: Does Fortinet’s (FTNT) Cybersecurity Strength Make It a Buy?