Fortinet (NASDAQ:FTNT) Updates Q2 2024 Earnings Guidance

Fortinet (NASDAQ:FTNT) issued an update on its second quarter 2024 earnings guidance on Friday morning. The company provided earnings per share guidance of 0.390-0.410 for the period, compared to the consensus earnings per share estimate of 0.390. The company issued revenue guidance of $1.4 billion-$1.4 billion, compared to the consensus revenue estimate of $1.4 billion. Fortinet also updated its FY 2024 guidance to 1.730-1.790 EPS.

Fortinet Price Performance

FTNT traded down $0.07 during trading on Monday, reaching $58.81. The company’s stock had a trading volume of 14,471,403 shares, compared to its average volume of 5,978,481. The company has a quick ratio of 1.08, a current ratio of 1.20 and a debt-to-equity ratio of 13.38. The firm has a fifty day simple moving average of $67.53 and a two-hundred day simple moving average of $61.95. Fortinet has a 1 year low of $44.12 and a 1 year high of $81.24. The company has a market cap of $44.89 billion, a price-to-earnings ratio of 38.48, a PEG ratio of 2.60 and a beta of 1.08.

Fortinet (NASDAQ:FTNT) last released its earnings results on Thursday, May 2nd. The software maker reported $0.43 earnings per share for the quarter, topping analysts’ consensus estimates of $0.38 by $0.05. Fortinet had a net margin of 22.23% and a negative return on equity of 2,235.48%. The business had revenue of $1.35 billion for the quarter, compared to analyst estimates of $1.34 billion. During the same period last year, the company posted $0.29 EPS. The business’s revenue was up 7.2% on a year-over-year basis. As a group, analysts anticipate that Fortinet will post 1.4 EPS for the current year.

Analyst Ratings Changes

FTNT has been the topic of several analyst reports. Cantor Fitzgerald reduced their price target on shares of Fortinet from $65.00 to $55.00 and set a neutral rating on the stock in a research report on Friday. Daiwa Capital Markets raised shares of Fortinet from a neutral rating to an outperform rating and set a $75.00 price target on the stock in a research report on Tuesday, February 13th. Rosenblatt Securities reaffirmed a buy rating and set a $85.00 price target on shares of Fortinet in a research report on Friday. StockNews.com raised shares of Fortinet from a hold rating to a buy rating in a research report on Friday. Finally, Piper Sandler reduced their price target on shares of Fortinet from $75.00 to $70.00 and set a neutral rating on the stock in a research report on Friday. Two research analysts have rated the stock with a sell rating, twenty have given a hold rating and twelve have assigned a buy rating to the stock. Based on data from MarketBeat, the stock has a consensus rating of Hold and a consensus price target of $70.37.

Insider Activity

In related news, VP Michael Xie sold 24,710 shares of the company’s stock in a transaction that occurred on Thursday, May 2nd. The stock was sold at an average price of $64.48, for a total value of $1,593,300.80. Following the completion of the transaction, the vice president now directly owns 10,867,018 shares of the company’s stock, valued at $700,705,320.64. The sale was disclosed in a filing with the Securities & Exchange Commission, which is accessible through the SEC website. In other Fortinet news, CEO Ken Xie sold 23,992 shares of the company’s stock in a transaction on Tuesday, April 16th. The shares were sold at an average price of $64.75, for a total value of $1,553,482.00. Following the completion of the transaction, the chief executive officer now owns 48,660,648 shares in the company, valued at $3,150,776,958. The transaction was disclosed in a legal filing with the Securities & Exchange Commission, which is accessible through this hyperlink. Also, VP Michael Xie sold 24,710 shares of Fortinet stock in a transaction dated Thursday, May 2nd. The stock was sold at an average price of $64.48, for a total value of $1,593,300.80. Following the sale, the vice president now owns 10,867,018 shares in the company, valued at approximately $700,705,320.64. The disclosure for this sale can be found here. In the last 90 days, insiders have sold 118,480 shares of company stock worth $8,021,556. 17.54% of the stock is currently owned by insiders.

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.