Fortinet (FTNT) Rises As Market Takes a Dip: Key Facts
The most recent trading session ended with Fortinet (FTNT) standing at $57.85, reflecting a +0.12% shift from the previouse trading day's closing. The stock outperformed the S&P 500, which registered a daily loss of 0.8%. Elsewhere, the Dow saw a downswing of 0.76%, while the tech-heavy Nasdaq depreciated by 1.18%.
Shares of the network security company witnessed a gain of 10.02% over the previous month, beating the performance of the Computer and Technology sector with its gain of 2.11% and the S&P 500's gain of 3.4%.
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, 2024. The company's upcoming EPS is projected at $0.43, signifying a 2.27% drop compared to the same quarter of the previous year. Simultaneously, our latest consensus estimate expects the revenue to be $1.41 billion, showing a 9.67% escalation compared to the year-ago quarter.
Investors should also note any recent changes to analyst estimates for Fortinet. These revisions help to show the ever-changing nature of near-term business trends. As a result, we can interpret positive estimate revisions as a good sign for the company's business outlook.
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, which varies between #1 (Strong Buy) and #5 (Strong Sell), carries an impressive track record of exceeding expectations, confirmed by external audits, with stocks at #1 delivering an average annual return of +25% since 1988. The Zacks Consensus EPS estimate has moved 0.15% lower within the past month. As of now, Fortinet holds a Zacks Rank of #3 (Hold).
With respect to valuation, Fortinet is currently being traded at a Forward P/E ratio of 34.85. This indicates a premium in contrast to its industry's Forward P/E of 34.25.
It's also important to note that FTNT currently trades at a PEG ratio of 2.02. Comparable to the widely accepted P/E ratio, the PEG ratio also accounts for the company's projected earnings growth. The average PEG ratio for the Internet - Software industry stood at 1.65 at the close of the market yesterday.
The Internet - Software industry is part of the Computer and Technology sector. This group has a Zacks Industry Rank of 33, putting it in the top 14% of all 250+ industries.
The Zacks Industry Rank evaluates the power of our distinct industry groups by determining the average Zacks Rank of the individual stocks forming 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 follow all of these stock-moving metrics, and many more, on Zacks.com.
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 Report
