Fortinet (NASDAQ:FTNT) Announces Quarterly Earnings Results, Beats Expectations By $0.11 EPS

by · The Markets Daily

Fortinet (NASDAQ:FTNT – Get Free Report) released its quarterly earnings results on Wednesday. The software maker reported $0.74 earnings per share (EPS) for the quarter, beating analysts’ consensus estimates of $0.63 by $0.11, FiscalAI reports. Fortinet had a net margin of 30.60% and a return on equity of 111.46%. The company had revenue of $1.72 billion for the quarter, compared to the consensus estimate of $1.70 billion. During the same quarter in the prior year, the firm earned $0.63 earnings per share. Fortinet’s revenue was up 14.4% on a year-over-year basis. Fortinet updated its FY 2025 guidance to 2.660-2.700 EPS and its Q4 2025 guidance to 0.730-0.750 EPS.

Fortinet Stock Up 1.6%

Shares of FTNT stock traded up $1.25 during mid-day trading on Friday, hitting $81.79. The stock had a trading volume of 7,147,823 shares, compared to its average volume of 5,602,864. Fortinet has a 12-month low of $70.12 and a 12-month high of $114.82. The company has a debt-to-equity ratio of 0.24, a current ratio of 1.33 and a quick ratio of 1.24. The firm’s 50-day moving average is $83.10 and its two-hundred day moving average is $93.19. The firm has a market capitalization of $62.67 billion, a P/E ratio of 32.59, a price-to-earnings-growth ratio of 3.17 and a beta of 1.08.

Insider Transactions at Fortinet

In other news, VP Michael Xie sold 3,546 shares of the company’s stock in a transaction that occurred on Monday, November 3rd. The shares were sold at an average price of $86.53, for a total value of $306,835.38. Following the completion of the sale, the vice president owned 10,492,018 shares of the company’s stock, valued at approximately $907,874,317.54. This represents a 0.03% decrease in their position. The sale was disclosed in a document filed with the Securities & Exchange Commission, which is accessible through this link. Also, CEO Ken Xie sold 158,485 shares of the company’s stock in a transaction on Monday, November 3rd. The stock was sold at an average price of $86.51, for a total value of $13,710,537.35. Following the sale, the chief executive officer owned 51,391,879 shares of the company’s stock, valued at $4,445,911,452.29. This trade represents a 0.31% decrease in their ownership of the stock. The SEC filing for this sale provides additional information. Company insiders own 17.20% of the company’s stock.

Institutional Trading of Fortinet

Large investors have recently added to or reduced their stakes in the company. CANADA LIFE ASSURANCE Co increased its holdings in Fortinet by 4.8% in the 2nd quarter. CANADA LIFE ASSURANCE Co now owns 815,534 shares of the software maker’s stock worth $86,310,000 after buying an additional 37,268 shares during the period. MUFG Securities EMEA plc acquired a new position in Fortinet during the second quarter valued at $198,000. Florida Financial Advisors LLC boosted its holdings in Fortinet by 58.1% in the second quarter. Florida Financial Advisors LLC now owns 9,851 shares of the software maker’s stock valued at $1,041,000 after purchasing an additional 3,620 shares during the last quarter. State of Tennessee Department of Treasury grew its position in Fortinet by 0.4% during the 2nd quarter. State of Tennessee Department of Treasury now owns 223,762 shares of the software maker’s stock worth $23,656,000 after purchasing an additional 895 shares during the period. Finally, Sender Co & Partners Inc. purchased a new position in shares of Fortinet during the 2nd quarter valued at about $458,000. Hedge funds and other institutional investors own 83.71% of the company’s stock.

Wall Street Analysts Forecast Growth

FTNT has been the topic of several analyst reports. DZ Bank raised Fortinet from a “hold” rating to a “buy” rating and set a $85.00 price objective on the stock in a research note on Friday, August 8th. Truist Financial cut their target price on Fortinet from $125.00 to $95.00 and set a “buy” rating on the stock in a research report on Thursday, August 7th. Weiss Ratings restated a “hold (c+)” rating on shares of Fortinet in a research report on Wednesday, October 8th. Wells Fargo & Company reduced their target price on shares of Fortinet from $110.00 to $85.00 and set an “equal weight” rating on the stock in a research note on Thursday, August 7th. Finally, Mizuho dropped their price target on shares of Fortinet from $75.00 to $72.00 and set an “underperform” rating for the company in a research note on Thursday. Two research analysts have rated the stock with a Strong Buy rating, seven have assigned a Buy rating, twenty-six have given a Hold rating and two have issued a Sell rating to the company’s stock. According to MarketBeat, the stock currently has an average rating of “Hold” and an average price target of $92.57.

View Our Latest Report on Fortinet

About Fortinet

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Fortinet, Inc provides cybersecurity and convergence of networking and security solutions worldwide. It offers secure networking solutions focus on the convergence of networking and security; network firewall solutions that consist of FortiGate data centers, hyperscale, and distributed firewalls, as well as encrypted applications; wireless LAN solutions; and secure connectivity solutions, including FortiSwitch secure ethernet switches, FortiAP wireless local area network access points, FortiExtender 5G connectivity gateways, and other products.

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