Fortinet (FTNT, $71.48): Robots' Profitable Pick with Over 2% Gain in the Past 2 Days.
Wednesday, the broad market index and Nasdaq Composite both reached their highest level since April 2022. The S&P 500 closed the session with a 0.08% gain, marking its fifth consecutive positive session and the longest streak of positive results since November 2021. The Nasdaq rose by 0.39%, while the Dow Jones Industrial Average fell by 0.68%. Most of our robots closed near breakeven positions yesterday, but there were some stocks that showed decent profits, such as Fortinet Inc, which has been showing steady growth, and we see potential for continued positive momentum for the robots.
Federal Reserve Chairman Jerome Powell stated at a press conference after the meeting that the Federal Open Market Committee is using the six weeks leading up to its next meeting to "take into account the cumulative tightening of monetary policy." He added that a decision on the July policy move has not yet been made.
"Today, the Fed shocked the markets—not with a rate hike (as they kept rates unchanged, as expected), but with expressing much more hawkishness than anticipated in their language and in their future economic forecasts," said Chris Zaccarelli, Chief Investment Officer at Independent Advisor Alliance. He added that the initial market shock was quickly overcome, and the major averages trimmed their previous losses by the end of Powell's press conference.
"While this policy decision signals that the Fed has shifted from an escalation phase of rate hikes to a calibration phase, there is no doubt that the Fed is fully prepared for further rate hikes in the future if necessary," said Marty Green, Managing Director at Polunsky Beitel Green.
Additional economic data released on Thursday morning will provide investors and policymakers with a better understanding of the strength of the labor market and consumer spending. Weekly jobless claims data and retail sales for May will be published tomorrow morning. Investors will also be watching the June survey of the Federal Reserve Bank of Philadelphia's manufacturing sector, as well as May data from the Fed on industrial production and capacity utilization.
Wall Street will be paying attention to several corporate earnings reports. Kroger, Jabil, and John Wiley are expected to announce earnings on Thursday morning, while Adobe will report after the market closes.
FTNT in downward trend: price may decline as a result of having broken its higher Bollinger Band on October 09, 2024
FTNT broke above its upper Bollinger Band on October 09, 2024. This could be a sign that the stock is set to drop as the stock moves back below the upper band and toward the middle band. You may want to consider selling the stock or exploring put options. The A.I.dvisor looked at 49 similar instances where the stock broke above the upper band. In of the 49 cases the stock fell afterwards. This puts the odds of success at .
Technical Analysis (Indicators)
Bearish Trend Analysis
The 10-day RSI Indicator for FTNT moved out of overbought territory on October 17, 2024. This could be a bearish sign for the stock. Traders may want to consider selling the stock or buying put options. Tickeron's A.I.dvisor looked at 46 similar instances where the indicator moved out of overbought territory. In of the 46 cases, the stock moved lower in the following days. This puts the odds of a move lower at .
The Stochastic Oscillator may be shifting from an upward trend to a downward trend. In of 65 cases where FTNT's Stochastic Oscillator exited the overbought zone, the price fell further within the following month. The odds of a continued downward trend are .
The Moving Average Convergence Divergence Histogram (MACD) for FTNT turned negative on October 23, 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 51 similar instances when the indicator turned negative. In of the 51 cases the stock turned lower in the days that followed. This puts the odds of success at .
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 .
Bullish Trend Analysis
The Momentum Indicator moved above the 0 level on September 26, 2024. You may want to consider a long position or call options on FTNT as a result. In of 93 past instances where the momentum indicator moved above 0, the stock continued to climb. The odds of a continued upward trend are .
Following a 3-day Advance, the price is estimated to grow further. Considering data from situations where FTNT advanced for three days, in of 357 cases, the price rose further within the following month. The odds of a continued upward trend are .
The Aroon Indicator entered an Uptrend today. In of 323 cases where FTNT Aroon's Indicator entered an Uptrend, the price rose further within the following month. The odds of a continued Uptrend are .
The Tickeron Price Growth Rating for this company is (best 1 - 100 worst), indicating outstanding 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 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 88, placing this stock better than average.
The Tickeron Seasonality Score of (best 1 - 100 worst) indicates that the company is fair valued 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 PE Growth Rating for this company is (best 1 - 100 worst), pointing to consistent 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 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 (30.698). P/E Ratio (46.445) is within average values for comparable stocks, (161.895). Projected Growth (PEG Ratio) (1.825) is also within normal values, averaging (2.738). Dividend Yield (0.000) settles around the average of (0.083) among similar stocks. P/S Ratio (10.070) is also within normal values, averaging (55.771).
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a provider of threat management and network security solutions
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