Wall Street analysts forecast that Fortinet (FTNT) will report quarterly earnings of $0.74 per share in its upcoming release, pointing to no change from the year-ago quarter. It is anticipated that revenues will amount to $1.86 billion, exhibiting an increase of 11.9% compared to the year-ago quarter.
The current level reflects an upward revision of 0.8% in the consensus EPS estimate for the quarter over the past 30 days. This demonstrates how the analysts covering the stock have collectively reappraised their initial projections over this period.
Ahead of a company's earnings disclosure, it is crucial to give due consideration to changes in earnings estimates. These revisions serve as a noteworthy factor in predicting potential investor reactions to the stock. Numerous empirical studies consistently demonstrate a strong relationship between trends in earnings estimate revision and the short-term price performance of a stock.
While investors typically use consensus earnings and revenue estimates as indicators of quarterly business performance, exploring analysts' projections for specific key metrics can offer valuable insights.
In light of this perspective, let's dive into the average estimates of certain Fortinet metrics that are commonly tracked and forecasted by Wall Street analysts.
According to the collective judgment of analysts, 'Revenue- Services' should come in at $1.22 billion. The estimate indicates a change of +12.1% from the prior-year quarter.
Analysts predict that the 'Revenue- Product' will reach $638.84 million. The estimate indicates a change of +11.3% from the prior-year quarter.
The consensus estimate for 'Revenue- Services- Security subscription' stands at $689.70 million. The estimate indicates a change of +10.3% from the prior-year quarter.
The consensus among analysts is that 'Revenue- Services- Technical support and other' will reach $525.70 million. The estimate points to a change of +14.1% from the year-ago quarter.
The combined assessment of analysts suggests that 'Revenue- Europe Middle East and Africa' will likely reach $761.61 million. The estimate indicates a year-over-year change of +10%.
It is projected by analysts that the 'Geographic revenues- Americas' will reach $740.08 million. The estimate indicates a year-over-year change of +11.1%.
The collective assessment of analysts points to an estimated 'Revenue- Asia Pacific and Japan' of $353.88 million. The estimate points to a change of +17.2% from the year-ago quarter.
Analysts forecast 'Total billings (Non-GAAP)' to reach $2.24 billion. The estimate is in contrast to the year-ago figure of $2.00 billion.
Analysts expect 'Total deferred revenue' to come in at $7.03 billion. Compared to the present estimate, the company reported $6.36 billion in the same quarter last year.
Based on the collective assessment of analysts, 'Gross profit- Product Non-GAAP' should arrive at $413.23 million. Compared to the current estimate, the company reported $397.50 million in the same quarter of the previous year.
The average prediction of analysts places 'Gross profit- Service Non-GAAP' at $1.06 billion. The estimate is in contrast to the year-ago figure of $962.50 million.
Analysts' assessment points toward 'Gross profit- Product' reaching $403.14 million. Compared to the present estimate, the company reported $396.00 million in the same quarter last year.
View all Key Company Metrics for Fortinet here>>>
Fortinet shares have witnessed a change of +4.3% in the past month, in contrast to the Zacks S&P 500 composite's +0.7% move. With a Zacks Rank #3 (Hold), FTNT is expected closely follow the overall market performance in the near term. You can see the complete list of today's Zacks Rank #1 (Strong Buy) stocks here >>>> .
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 ReportThis article originally published on Zacks Investment Research (zacks.com).
Zacks Investment Research
