Zacks Research Issues Negative Outlook for Fortinet Earnings

Fortinet, Inc. (NASDAQ:FTNT - Free Report) - Analysts at Zacks Research lowered their Q3 2025 EPS estimates for shares of Fortinet in a research note issued on Tuesday, May 27th. Zacks Research analyst R. Department now expects that the software maker will earn $0.52 per share for the quarter, down from their prior estimate of $0.54. The consensus estimate for Fortinet's current full-year earnings is $2.09 per share. Zacks Research also issued estimates for Fortinet's Q4 2025 earnings at $0.60 EPS and Q1 2027 earnings at $0.57 EPS.

Fortinet (NASDAQ:FTNT - Get Free Report) last announced its earnings results on Wednesday, May 7th. The software maker reported $0.58 earnings per share (EPS) for the quarter, topping analysts' consensus estimates of $0.53 by $0.05. The business had revenue of $1.54 billion during the quarter, compared to analysts' expectations of $1.54 billion. Fortinet had a net margin of 29.30% and a return on equity of 256.53%. The firm's revenue for the quarter was up 13.8% on a year-over-year basis. During the same quarter last year, the company posted $0.43 EPS.

FTNT has been the subject of several other research reports. Wells Fargo & Company lowered their price target on shares of Fortinet from $105.00 to $95.00 and set an "equal weight" rating for the company in a research report on Thursday, May 8th. UBS Group lowered their price target on shares of Fortinet from $115.00 to $105.00 and set a "neutral" rating for the company in a research report on Thursday, May 8th. Stifel Nicolaus lowered their price target on shares of Fortinet from $115.00 to $95.00 and set a "hold" rating for the company in a research report on Thursday, May 8th. Stephens assumed coverage on shares of Fortinet in a research report on Tuesday, April 1st. They set an "equal weight" rating and a $108.00 price target for the company. Finally, Needham & Company LLC reiterated a "hold" rating on shares of Fortinet in a research report on Friday, February 7th. One research analyst has rated the stock with a sell rating, twenty have assigned a hold rating, twelve have issued a buy rating and two have assigned a strong buy rating to the company's stock. Based on data from MarketBeat.com, Fortinet has a consensus rating of "Hold" and an average target price of $104.80.

Fortinet Price Performance

FTNT traded down $0.02 during midday trading on Friday, hitting $102.02. The company had a trading volume of 17,092,383 shares, compared to its average volume of 4,974,057. The company has a debt-to-equity ratio of 0.67, a quick ratio of 1.39 and a current ratio of 1.47. The company has a market capitalization of $78.09 billion, a PE ratio of 45.14, a P/E/G ratio of 4.19 and a beta of 1.16. Fortinet has a twelve month low of $54.57 and a twelve month high of $114.82. The firm's 50-day simple moving average is $99.68 and its 200-day simple moving average is $99.48.

Insider Transactions at Fortinet

In related news, CEO Ken Xie sold 158,488 shares of the business's stock in a transaction on Friday, May 2nd. The shares were sold at an average price of $106.10, for a total transaction of $16,815,576.80. Following the transaction, the chief executive officer now directly owns 51,391,879 shares in the company, valued at approximately $5,452,678,361.90. The trade was a 0.31% decrease in their ownership of the stock. The sale was disclosed in a filing with the Securities & Exchange Commission, which is accessible through this hyperlink. Also, Director William H. Neukom bought 328 shares of the stock in a transaction that occurred on Thursday, March 6th. The shares were purchased at an average price of $106.33 per share, for a total transaction of $34,876.24. Following the completion of the acquisition, the director now owns 300,006 shares of the company's stock, valued at $31,899,637.98. The trade was a 0.11% increase in their position. The disclosure for this purchase can be found here. Insiders have sold a total of 697,818 shares of company stock valued at $69,539,128 over the last 90 days. 17.20% of the stock is owned by corporate insiders.

Hedge Funds Weigh In On Fortinet

Institutional investors have recently added to or reduced their stakes in the company. SJS Investment Consulting Inc. increased its holdings in Fortinet by 703.1% during the first quarter. SJS Investment Consulting Inc. now owns 257 shares of the software maker's stock worth $25,000 after buying an additional 225 shares during the last quarter. Saudi Central Bank acquired a new position in Fortinet during the first quarter worth $25,000. Edmond DE Rothschild Holding S.A. acquired a new position in shares of Fortinet in the fourth quarter valued at $27,000. Clearstead Trust LLC acquired a new position in shares of Fortinet in the first quarter valued at $28,000. Finally, Caitong International Asset Management Co. Ltd increased its holdings in shares of Fortinet by 2,184.6% in the first quarter. Caitong International Asset Management Co. Ltd now owns 297 shares of the software maker's stock valued at $29,000 after purchasing an additional 284 shares during the last quarter. 83.71% of the stock is currently owned by institutional investors and hedge funds.

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.