Earnings Growth and Stock Performance - Fortinet's stock has surged nearly 70% since August 2024, driven by strong quarterly results [1] - The company's Q3 2024 revenue reached $1.51 billion, a 13% YoY increase, surpassing analysts' expectations of $1.48 billion [4] - Non-GAAP earnings per share jumped 54% YoY to $0.63, significantly higher than the guidance of $0.51 [4] - Full-year revenue guidance was raised to $5.89 billion, with non-GAAP earnings expected to reach $2.24 per share, a 37% YoY increase [11] Margin Expansion and Revenue Mix - Non-GAAP operating margin increased from 27.8% to 36.1% YoY, driven by higher services revenue [5] - Services revenue grew 19% YoY to $1.03 billion, while product revenue grew only 1.7% to $474 million [6] - Services business now accounts for 68% of total revenue, up from 65% in the same quarter last year [7] - Services gross margin is 88.5%, compared to 68.4% for the product segment [6] Growth Drivers: SecOps and SASE - Fortinet's AI-focused SecOps offerings grew 32% in billings, accounting for 10.5% of total billings [8] - Demand for AI-driven SecOps is projected to reach $163 billion by 2028, growing at a 13% annual rate [9] - Unified SASE bookings increased 14% YoY, with revenue up 27% [10] - Demand for unified SASE is forecast to grow at a 16% annual rate, reaching $46 billion by 2028 [9] Future Revenue Pipeline - Remaining performance obligations (RPO) increased 15% YoY to $6.1 billion, indicating a stronger future revenue pipeline [10] - Consensus estimates project a 20% annual earnings growth for the next five years, potentially reaching $5.57 per share by 2029 [13] - If the stock trades at 30 times earnings in five years, it could reach $167, representing a 72% increase from current levels [13]

ATLANTA, Nov. 15, 2024 (GLOBE NEWSWIRE) -- John Whittle, Chief Operating Officer at Fortinet "With our new space in Atlanta set to become one of our global Innovation Hubs, we'll be able to better serve our growing customer base in this region as we build on the partnerships created across industries in Georgia over the past 24 years. Through our global Innovation Hubs, Fortinet is committed to enhancing our infrastructure and innovation to continue to deliver unmatched experiences and solutions to customer ...

Momentum investing revolves around the idea of following a stock's recent trend in either direction. In the 'long' context, investors will be essentially be "buying high, but hoping to sell even higher." With this methodology, taking advantage of trends in a stock's price is key; once a stock establishes a course, it is more than likely to continue moving that way. The goal is that once a stock heads down a fixed path, it will lead to timely and profitable trades.Even though momentum is a popular stock char ...

Fortinet (NASDAQ: FTNT ) reported 3Q24 earnings, and the stock dipped 5% in early post-market trading on Thursday as the company cut its full-year billings guidance to $6.43 billion- $6.53 billion, below the prior range of $6.4 billion- $6.6 billion. The market disgusted the bad news quickly, and theI’m a retired Wall Street PM specializing in TMT; my educational background is a bachelor's in Finance and Economics, and an MBA from Columbia, after which I directly began my career on Wall Street. Since kickst ...

Investors seek growth stocks to capitalize on above-average growth in financials that help these securities grab the market's attention and produce exceptional returns. But finding a growth stock that can live up to its true potential can be a tough task. By their very nature, these stocks carry above-average risk and volatility. Moreover, if a company's growth story is over or nearing its end, betting on it could lead to significant loss. However, the task of finding cutting-edge growth stocks is made easy ...

Fortinet's (FTNT) impressive third-quarter 2024 results have sparked renewed investor interest, with the stock surging 18.5% post-earnings. The cybersecurity giant demonstrated remarkable financial discipline, achieving record gross margin and operating margin, with the latter increasing 830 basis points to more than 36%. Total revenue growth of 13% marks a significant milestone as the company returns to positive billings and product revenue growth.Fortinet reported third-quarter 2024 non-GAAP earnings per ...

Here are three stocks with buy rank and strong momentum characteristics for investors to consider today, November 13:Toast, Inc. (TOST) : This cloud-based digital technology platform provider has a Zacks Rank #1 and witnessed the Zacks Consensus Estimate for its current year earnings increasing 20% over the last 60 days.Toast's shares gained 59.1% over the last three months compared with the S&P 500’s advanced of 9.7%. The company possesses a Momentum Score of A.Fortinet, Inc. (FTNT) : This cybersecurity an ...

Core Insights - Zacks Premium provides tools for investors to enhance their stock market engagement and confidence, including daily updates, research reports, and stock screens [1][2]. Zacks Style Scores - Zacks Style Scores are indicators that rate stocks based on value, growth, and momentum methodologies, helping investors identify stocks likely to outperform the market in the next 30 days [2][3]. - Stocks are rated from A to F, with A indicating the highest potential for outperformance [3]. Value Score - The Value Score identifies attractive and discounted stocks using ratios like P/E, PEG, Price/Sales, and Price/Cash Flow [3][4]. Growth Score - The Growth Score focuses on a company's financial health and future outlook, analyzing projected and historical earnings, sales, and cash flow [4]. Momentum Score - The Momentum Score helps investors capitalize on price trends by analyzing short-term price changes and earnings estimate revisions [4]. VGM Score - The VGM Score combines all three Style Scores, providing a comprehensive indicator for selecting stocks with strong value, growth, and momentum [5]. Zacks Rank - The Zacks Rank is a proprietary model that uses earnings estimate revisions to assist in building a successful portfolio, with 1 (Strong Buy) stocks averaging a +25.41% annual return since 1988 [6][7]. Stock Selection Strategy - Investors are encouraged to select stocks with a Zacks Rank of 1 or 2 and Style Scores of A or B to maximize potential success [8][9]. Company Spotlight: Fortinet (FTNT) - Fortinet, headquartered in Sunnyvale, CA, is a provider of network security solutions and holds a Zacks Rank of 2 (Buy) with a VGM Score of B [10]. - Fortinet is projected to achieve year-over-year earnings growth of 31.9% for the current fiscal year, with upward revisions in earnings estimates from analysts [11].

Have you been paying attention to shares of Fortinet (FTNT) ? Shares have been on the move with the stock up 17.3% over the past month. The stock hit a new 52-week high of $97.35 in the previous session. Fortinet has gained 66% since the start of the year compared to the 30.4% move for the Zacks Computer and Technology sector and the 31.1% return for the Zacks Internet - Software industry.What's Driving the Outperformance?The stock has a great record of positive earnings surprises, as it hasn't missed our e ...

Did you analyze how Fortinet (FTNT) fared in its international operations for the quarter ending September 2024? Given the widespread global presence of this network security company, scrutinizing the trends in international revenues becomes imperative to assess its financial strength and future growth possibilities. The global economy today is deeply interlinked, making a company's engagement with international markets a critical factor in determining its financial success and growth path. It has become es ...