Fortinet (NASDAQ:FTNT) Downgraded to Neutral Rating by Daiwa Capital Markets

Fortinet (NASDAQ:FTNT) was downgraded by research analysts at Daiwa Capital Markets from an “outperform” rating to a “neutral” rating in a report released on Wednesday, Marketbeat.com reports. They currently have a $86.00 target price on the software maker’s stock. Daiwa Capital Markets’ price target suggests a potential upside of 2.80% from the company’s current price.

Several other research analysts have also recently commented on the stock. DZ Bank upgraded shares of Fortinet from a “hold” rating to a “buy” rating and set a $85.00 target price for the company in a report on Friday, August 8th. JPMorgan Chase & Co. cut their target price on shares of Fortinet from $87.00 to $85.00 and set a “neutral” rating for the company in a research note on Thursday, November 6th. Mizuho dropped their target price on Fortinet from $75.00 to $72.00 and set an “underperform” rating for the company in a report on Thursday, November 6th. Evercore ISI lowered their price objective on Fortinet from $105.00 to $78.00 and set an “in-line” rating on the stock in a research note on Friday, August 8th. Finally, Barclays reduced their price target on shares of Fortinet from $90.00 to $88.00 and set an “equal weight” rating on the stock in a research report on Thursday, November 6th. One equities research analyst has rated the stock with a Strong Buy rating, six have issued a Buy rating, twenty-eight have given a Hold rating and two have assigned a Sell rating to the company. According to data from MarketBeat.com, the company has an average rating of “Hold” and a consensus target price of $91.62.

Fortinet Stock Performance

Shares of FTNT stock opened at $83.66 on Wednesday. The company has a debt-to-equity ratio of 0.24, a quick ratio of 1.24 and a current ratio of 1.33. Fortinet has a 52 week low of $70.12 and a 52 week high of $114.82. The company’s 50 day moving average price is $83.36 and its two-hundred day moving average price is $92.82. The company has a market capitalization of $64.11 billion, a P/E ratio of 33.33, a price-to-earnings-growth ratio of 3.17 and a beta of 1.08.

Fortinet (NASDAQ:FTNT) last issued its quarterly earnings data on Wednesday, November 5th. The software maker reported $0.74 EPS for the quarter, topping analysts’ consensus estimates of $0.63 by $0.11. The business had revenue of $1.72 billion for the quarter, compared to analyst estimates of $1.70 billion. Fortinet had a net margin of 30.60% and a return on equity of 111.46%. The firm’s quarterly revenue was up 14.4% on a year-over-year basis. During the same period last year, the business posted $0.63 earnings per share. Fortinet has set its FY 2025 guidance at 2.660-2.700 EPS. Q4 2025 guidance at 0.730-0.750 EPS. On average, analysts expect that Fortinet will post 2.09 earnings per share for the current fiscal year.

Insider Transactions at Fortinet

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

Institutional Investors Weigh In On Fortinet

A number of institutional investors and hedge funds have recently made changes to their positions in the business. Dover Advisors LLC grew its holdings in Fortinet by 1.0% during the second quarter. Dover Advisors LLC now owns 9,451 shares of the software maker’s stock worth $999,000 after buying an additional 94 shares in the last quarter. Balboa Wealth Partners raised its holdings in shares of Fortinet by 4.3% in the 2nd quarter. Balboa Wealth Partners now owns 2,330 shares of the software maker’s stock worth $246,000 after purchasing an additional 96 shares during the period. Hemington Wealth Management lifted its position in shares of Fortinet by 13.2% during the 2nd quarter. Hemington Wealth Management now owns 851 shares of the software maker’s stock valued at $89,000 after buying an additional 99 shares during the last quarter. Peloton Wealth Strategists boosted its position in Fortinet by 2.4% during the first quarter. Peloton Wealth Strategists now owns 4,330 shares of the software maker’s stock worth $417,000 after purchasing an additional 100 shares during the period. Finally, Trust Co. of Vermont raised its holdings in Fortinet by 3.6% during the 2nd quarter. Trust Co. of Vermont now owns 2,852 shares of the software maker’s stock valued at $302,000 after acquiring an additional 100 shares during the period. Institutional investors and hedge funds own 83.71% of the company’s stock.

Fortinet Company Profile

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.