In the latest trading session, Fortinet (FTNT) closed at $83.08, marking a -1.33% move from the previous day. This change lagged the S&P 500's 0.16% loss on the day. Meanwhile, the Dow experienced a rise of 0.44%, and the technology-dominated Nasdaq saw a decrease of 0.76%.
The stock of network security company has risen by 3.95% in the past month, leading the Computer and Technology sector's gain of 3.34% and the S&P 500's gain of 1.14%.
Investors will be eagerly watching for the performance of Fortinet in its upcoming earnings disclosure. The company's earnings report is set to be unveiled on November 5, 2025. The company is forecasted to report an EPS of $0.63, showcasing no movement from the corresponding quarter of the prior year. Meanwhile, the latest consensus estimate predicts the revenue to be $1.7 billion, indicating a 12.86% increase compared to the same quarter of the previous year.
For the annual period, the Zacks Consensus Estimates anticipate earnings of $2.52 per share and a revenue of $6.75 billion, signifying shifts of +6.33% and +13.29%, respectively, from the last year.
It is also important to note the recent changes to analyst estimates for Fortinet. These latest adjustments often mirror the shifting dynamics of short-term business patterns. With this in mind, we can consider positive estimate revisions a sign of optimism about the business outlook.
Our research shows that these estimate changes are directly correlated with near-term stock prices. To benefit from this, we have developed the Zacks Rank, a proprietary model which takes these estimate changes into account and provides an actionable rating system.
Ranging from #1 (Strong Buy) to #5 (Strong Sell), the Zacks Rank system has a proven, outside-audited track record of outperformance, with #1 stocks returning an average of +25% annually since 1988. Over the last 30 days, the Zacks Consensus EPS estimate has moved 0.27% higher. Fortinet currently has a Zacks Rank of #3 (Hold).
Valuation is also important, so investors should note that Fortinet has a Forward P/E ratio of 33.4 right now. This represents a discount compared to its industry average Forward P/E of 70.9.
It is also worth noting that FTNT currently has a PEG ratio of 2.78. The PEG ratio bears resemblance to the frequently used P/E ratio, but this parameter also includes the company's expected earnings growth trajectory. Security stocks are, on average, holding a PEG ratio of 2.82 based on yesterday's closing prices.
The Security industry is part of the Computer and Technology sector. Currently, this industry holds a Zacks Industry Rank of 211, positioning it in the bottom 15% of all 250+ industries.
The Zacks Industry Rank gauges the strength of our industry groups by measuring the average Zacks Rank of the individual stocks within the groups. Our research shows that the top 50% rated industries outperform the bottom half by a factor of 2 to 1.
Remember to apply Zacks.com to follow these and more stock-moving metrics during the upcoming trading sessions.
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Fortinet, Inc. (FTNT): Free Stock Analysis ReportThis article originally published on Zacks Investment Research (zacks.com).
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