Fortinet Inc. posted second-quarter 2022 non-GAAP earnings of 24 cents per share, which surpassed the Zacks Consensus Estimate of 22 cents. The figure is also higher than the year-ago quarter’s 19 cents per share.
Total revenues surged +28.6% from the year-ago quarter to $1.03 billion, in line with the Zacks Consensus estimate. Growth was bolstered by solid demand for FortiGate technology (which includes a security processing unit, an integrated Security Fabric platform and hybrid multi-cloud offerings).
While Fortinet’s Product revenues climbed +34.3% year over year to $400.7 million, Services revenues rose +25.2% to $629.4 million.
Billings rose +35.7% year-over-year to $1.30 billion, while bookings surged + 42.1% year over year to $1.38 billion.
Geographically, the company generated the highest revenue growth in the APAC region (+ 42.3% ) followed by the EMEA (+28% )and America ( 22.7%).
FTNT moved below its 50-day moving average on March 26, 2024 date and that indicates a change from an upward trend to a downward trend. In of 36 similar past instances, the stock price decreased further within the following month. The odds of a continued downward trend are .
The Momentum Indicator moved below the 0 level on March 14, 2024. You may want to consider selling the stock, shorting the stock, or exploring put options on FTNT as a result. In of 95 cases where the Momentum Indicator fell below 0, the stock fell further within the subsequent month. The odds of a continued downward trend are .
The Moving Average Convergence Divergence Histogram (MACD) for FTNT turned negative on March 12, 2024. This could be a sign that the stock is set to turn lower in the coming weeks. Traders may want to sell the stock or buy put options. Tickeron's A.I.dvisor looked at 48 similar instances when the indicator turned negative. In of the 48 cases the stock turned lower in the days that followed. This puts the odds of success at .
The 10-day moving average for FTNT crossed bearishly below the 50-day moving average on March 27, 2024. This indicates that the trend has shifted lower and could be considered a sell signal. In of 15 past instances when the 10-day crossed below the 50-day, the stock continued to move higher over the following month. The odds of a continued downward trend are .
Following a 3-day decline, the stock is projected to fall further. Considering past instances where FTNT declined for three days, the price rose further in of 62 cases within the following month. The odds of a continued downward trend are .
The Stochastic Oscillator shows that the ticker has stayed in the oversold zone for 8 days. The price of this ticker is presumed to bounce back soon, since the longer the ticker stays in the oversold zone, the more promptly an upward trend is expected.
The 50-day moving average for FTNT moved above the 200-day moving average on February 26, 2024. This could be a long-term bullish signal for the stock as the stock shifts to an upward trend.
Following a 3-day Advance, the price is estimated to grow further. Considering data from situations where FTNT advanced for three days, in of 364 cases, the price rose further within the following month. The odds of a continued upward trend are .
FTNT may jump back above the lower band and head toward the middle band. Traders may consider buying the stock or exploring call options.
The Tickeron SMR rating for this company is (best 1 - 100 worst), indicating very strong sales and a profitable business model. SMR (Sales, Margin, Return on Equity) rating is based on comparative analysis of weighted Sales, Income Margin and Return on Equity values compared against S&P 500 index constituents. The weighted SMR value is a proprietary formula developed by Tickeron and represents an overall profitability measure for a stock.
The Tickeron Profit vs. Risk Rating rating for this company is (best 1 - 100 worst), indicating low risk on high returns. The average Profit vs. Risk Rating rating for the industry is 89, placing this stock better than average.
The Tickeron Price Growth Rating for this company is (best 1 - 100 worst), indicating steady price growth. FTNT’s price grows at a higher rate over the last 12 months as compared to S&P 500 index constituents.
The Tickeron PE Growth Rating for this company is (best 1 - 100 worst), pointing to worse than average earnings growth. The PE Growth rating is based on a comparative analysis of stock PE ratio increase over the last 12 months compared against S&P 500 index constituents.
The Tickeron Seasonality Score of (best 1 - 100 worst) indicates that the company is significantly overvalued in the industry. The Tickeron Seasonality score describes the variance of predictable price changes around the same period every calendar year. These changes can be tied to a specific month, quarter, holiday or vacation period, as well as a meteorological or growing season.
The Tickeron Valuation Rating of (best 1 - 100 worst) indicates that the company is significantly overvalued in the industry. This rating compares market capitalization estimated by our proprietary formula with the current market capitalization. This rating is based on the following metrics, as compared to industry averages: FTNT's P/B Ratio (555.556) is slightly higher than the industry average of (28.767). P/E Ratio (46.068) is within average values for comparable stocks, (148.690). Projected Growth (PEG Ratio) (1.810) is also within normal values, averaging (2.798). Dividend Yield (0.000) settles around the average of (0.085) among similar stocks. P/S Ratio (9.990) is also within normal values, averaging (77.911).
The average fundamental analysis ratings, where 1 is best and 100 is worst, are as follows
a provider of threat management and network security solutions
Industry PackagedSoftware