Fortinet, Inc.
Fortinet, Inc. provides cybersecurity solutions, generating revenue through product and service billings while managing third-party manufacturing dependencies and geopolitical supply chain risks.
Business. Fortinet, Inc. provides cybersecurity solutions, generating revenue through product and service billings while managing third-party manufacturing dependencies and geopolitical supply chain risks.
Analyst recommendations
46 analysts · consensus HoldAt a glance
What drives this business
The watch-list the newsroom runs for this company — derived from its sector path, sharpened layer by layer. Not investment advice.
News & coverage
0Sector rotation
Developing storylines
Analysis
AI analysisOpportunity
Upcoming catalysts
Scheduled public events. Informational only — not investment advice.
- Company
- EarningsQ2 2026 earnings (expected)2026-07-28 · estimated
- Macro
- Rate decisionReserve Bank of Australia rate decision (press conf.)2026-07-08 · AU
- Rate decisionBank of Canada rate decision (press conf.)2026-07-15 · CA
- Rate decisionEuropean Central Bank rate decision (press conf.)2026-07-16 · EU
- Rate decisionBank of Japan rate decision (press conf.)2026-07-16 · JP
- Rate decisionFederal Reserve rate decision (press conf.)2026-07-29 · US
- Rate decisionBank of England rate decision (press conf.)2026-08-06 · GB
- Macro & political
- ElectionSE Swedish Election2026-09-14 · SE
- ElectionUS U.S. Midterms2026-11-03 · US
- ElectionFR French Legislative2027-06-01 · FR
- Congressional trades
- CongressLisa McClain — Fortinet, Inc. - Common Stock2025-10-31 · Republican · MI · Sale · $1,001 - $15,000
- CongressLisa McClain — Fortinet, Inc. - Common Stock2025-10-30 · Republican · MI · Sale · $1,001 - $15,000
- CongressLisa McClain — Fortinet, Inc. - Common Stock2025-10-30 · Republican · MI · Purchase · $1,001 - $15,000
- CongressByron Donalds — Fortinet, Inc. - Common Stock2025-10-09 · Republican · FL · Purchase · $1,001 - $15,000
- CongressByron Donalds — Fortinet, Inc. - Common Stock2025-09-04 · Republican · FL · Sale · $1,001 - $15,000
- CongressLisa McClain — Fortinet, Inc. - Common Stock2025-08-13 · Republican · MI · Purchase · $1,001 - $15,000
Pre-earnings brief
Fortinet, Inc. (FTNT) experienced a major shift in institutional ownership as investor ID 587 significantly increased its stake in the company. As of March 31, 2026, this investor raised its holdings from 3,378 shares, valued at approximately $0.28 million, to 432,703 shares, representing a value of roughly $35.36 million. This adjustment increased the investor’s weight in the portfolio from 0.00016% to 0.0204%, marking a substantial accumulation of equity during the reported period. This change was detected on June 20, 2026, and stands out as the primary material development for the ticker, given that this is the first analysis for Fortinet with no prior basis for delta computation. The magnitude of the share increase—adding over 429,000 shares—highlights a decisive move by the investor to establish a meaningful position in the cybersecurity firm. The significance of this ownership change is contextualized by Fortinet’s current market structure, which includes 16 analysts covering the stock and membership in two major indices. With 35 top holders currently identified, the entry or expansion by investor ID 587 adds to the depth of institutional interest surrounding the company. While no other cross-source signals or material changes were recorded in this initial assessment, the substantial buy-in by a single investor suggests growing confidence in Fortinet’s prospects. This development warrants attention as it alters the composition of the shareholder base, potentially influencing future trading dynamics and analyst sentiment for the stock.
Signals & dispatch
Composite-score breakdown
Synthesis
Fortinet, Inc. provides cybersecurity solutions, generating revenue through product and service billings while managing third-party manufacturing dependencies and geopolitical supply chain risks.
Fortinet maintains a capital structure characterized by significant leverage relative to equity, with a debt-to-equity ratio of 0.5 and a current ratio of 1.15, which sits close to the minimum comfort range for liquidity. The company holds $2.22 billion in cash and equivalents against $496.8 million in long-term debt, providing a net cash position that supports its operations despite the elevated valuation multiples. The price-to-earnings ratio stands at 201.51 and the price-to-book ratio at 166.91, indicating that the market is pricing in substantial future growth expectations that exceed current earnings power. The enterprise value to EBITDA multiple of 170.99 further underscores the premium valuation, while the return on equity of 54.01% reflects efficient use of shareholder capital despite the high leverage.
Profitability metrics demonstrate strong operational efficiency, with gross profit reaching $1.49 billion on $1.85 billion in revenue, yielding a gross margin of approximately 80.3%. Operating income of $580 million and net income of $534.5 million indicate tight control over operating expenses, resulting in a net margin of roughly 28.9%. The return on assets of 5.41% is modest relative to the high return on equity, driven by the leveraged balance sheet. Free cash flow of $1.01 billion exceeds net income, highlighting strong cash conversion capabilities and disciplined capital expenditure of $70.6 million. These profitability figures suggest a mature business model with high recurring revenue characteristics, although the lack of cohort median data prevents direct comparative analysis against industry peers.
Fortinet, Inc. (FTNT) experienced a major shift in institutional ownership as investor ID 587 significantly increased its stake in the company. As of March 31, 2026, this investor raised its holdings from 3,378 shares, valued at approximately $0.28 million, to 432,703 shares, representing a value of roughly $35.36 million. This adjustment increased the investor’s weight in the portfolio from 0.00016% to 0.0204%, marking a substantial accumulation of equity during the reported period. This change was detected on June 20, 2026, and stands out as the primary material development for the ticker, given that this is the first analysis for Fortinet with no prior basis for delta computation. The magnitude of the share increase—adding over 429,000 shares—highlights a decisive move by the investor to establish a meaningful position in the cybersecurity firm. The significance of this ownership change is contextualized by Fortinet’s current market structure, which includes 16 analysts covering the stock and membership in two major indices. With 35 top holders currently identified, the entry or expansion by investor ID 587 adds to the depth of institutional interest surrounding the company. While no other cross-source signals or material changes were recorded in this initial assessment, the substantial buy-in by a single investor suggests growing confidence in Fortinet’s prospects. This development warrants attention as it alters the composition of the shareholder base, potentially influencing future trading dynamics and analyst sentiment for the stock.
- Fortinet trades at a premium valuation with a P/E of 201.51 and EV/EBITDA of 170.99, reflecting high growth expectations that may be vulnerable to demand slowdowns.
- Strong profitability is evident with an 80.3% gross margin and 28.9% net margin, supported by efficient cash conversion and $1.01 billion in free cash flow.
- Liquidity risk is medium due to a current ratio of 1.15, which is close to the minimum comfort range, despite a net cash position of $1.72 billion.
- Supply chain and geopolitical risks are significant, with dependence on third-party manufacturers and exposure to trade tensions in Asia and the Middle East.
- Analyst sentiment is neutral with a mean price target of $113.72, below the current market price, suggesting limited upside potential in the near term.
- Dilution risk is low, with stable share counts and no immediate signs of aggressive equity issuance, supporting earnings per share stability.
Bull / Bear case
Generated · model-assistedFortinet achieved a 23.3% net income CAGR from FY2023 to FY2025, demonstrating strong earnings growth momentum.
The company's 31.4% operating margin ranks as best-in-class compared to the 6.5% cohort median.
With a net debt-to-EBITDA of -0.67, Fortinet maintains a low leverage band and strong liquidity.
The company faces a medium liquidity risk flag, suggesting potential challenges in meeting short-term obligations.
Analysts maintain a 'hold' recommendation, indicating limited near-term upside potential for the stock.
In focus — financials by report
Revenue $1.85B; Operating income $580.0M.
- ▍Revenue $1.85B
- ▍Operating income $580.0M
- ▍Net margin 28.9%
Revenue $4.89B; Operating income $1.46B.
- ▍Revenue $4.89B
- ▍Operating income $1.46B
- ▍Net margin 27.5%
Revenue $3.17B; Operating income $911.8M.
- ▍Revenue $3.17B
- ▍Operating income $911.8M
- ▍Net margin 27.6%
Revenue $6.80B; Operating income $2.08B.
- ▍Revenue $6.80B
- ▍Operating income $2.08B
- ▍Net margin 27.3%
Revenue $5.96B; Operating income $1.80B.
- ▍Revenue $5.96B
- ▍Operating income $1.80B
- ▍Net margin 29.3%
Revenue $5.96B; Operating income $1.80B.
- ▍Revenue $5.96B
- ▍Operating income $1.80B
- ▍Net margin 29.3%
Revenue $5.30B; Operating income $1.24B.
- ▍Revenue $5.30B
- ▍Operating income $1.24B
- ▍Net margin 21.6%
Revenue $5.30B; Operating income $1.24B.
- ▍Revenue $5.30B
- ▍Operating income $1.24B
- ▍Net margin 21.6%
Valuation FY
Revenue by segment
Business relationships
Supply chain
Peer comparison
Market position
Stress test
Predictor forecast
| Metric | Our forecast | Guidance | Consensus |
|---|---|---|---|
| EPS | —no estimate | —no estimate | 3,16 |
| Revenue | —no estimate | —no estimate | 7,8B USD |
| Operating income | —no estimate | —no estimate | 2,7B USD |
Options
Short squeeze
Earnings-call key lines
Consensus distribution
sell-side coverageEstimate revisions
consensus EPS · 26-week trendSell-side observations
Themes
ESG
Risk factors
- Current ratio is close to the minimum comfort range.
Benchmarks vs cohort
Corporate actions / M&A
FX exposure
Comparable transactions
Derivatives & instruments
Derivative transactions
- Director · Restricted Stock Units → Common StockDisposed 650exercise · 2026-06-11
- Director · Restricted Stock Units → Common StockDisposed 650exercise · 2026-06-11
- Director · Restricted Stock Units → Common StockDisposed 650exercise · 2026-06-11
- Director · Restricted Stock Units → Common StockDisposed 650exercise · 2026-06-11
- Director · Restricted Stock Units → Common StockDisposed 650exercise · 2026-06-11
- Director · Restricted Stock Units → Common StockDisposed 650exercise · 2026-06-11
- Director, PRESIDENT & CEO · Nonqualified Stock Option (right to buy) → Common StockDisposed 155 000 @ $22,90exercise · 2026-06-02
- CHIEF OPERATING OFFICER · Stock Option (right to buy) → Common StockDisposed 89 000 @ $34,39exercise · 2026-05-21
- CHIEF OPERATING OFFICER · Stock Option (right to buy) → Common StockDisposed 57 015 @ $22,90exercise · 2026-05-21
- CHIEF OPERATING OFFICER · Restricted Stock Units → Common StockDisposed 1 608exercise · 2026-05-01
- CHIEF OPERATING OFFICER · Restricted Stock Units → Common StockDisposed 1 827exercise · 2026-05-01
- CHIEF OPERATING OFFICER · Restricted Stock Units → Common StockDisposed 1 137exercise · 2026-05-01
- Director, VP, ENGINEERING & CTO · Restricted Stock Units → Common StockDisposed 2 763exercise · 2026-05-01
- Director, VP, ENGINEERING & CTO · Restricted Stock Units → Common StockDisposed 2 242exercise · 2026-05-01
- Director, VP, ENGINEERING & CTO · Restricted Stock Units → Common StockDisposed 1 300exercise · 2026-05-01
- Director, PRESIDENT & CEO · Restricted Stock Units → Common StockDisposed 6 260exercise · 2026-05-01
- Director, PRESIDENT & CEO · Restricted Stock Units → Common StockDisposed 4 557exercise · 2026-05-01
- Director, PRESIDENT & CEO · Restricted Stock Units → Common StockDisposed 2 275exercise · 2026-05-01
- Chief Financial Officer · Performance Stock Units → Common StockDisposed 2 366exercise · 2026-05-01
- Chief Financial Officer · Restricted Stock Units → Common StockDisposed 685exercise · 2026-05-01
- Chief Financial Officer · Restricted Stock Units → Common StockDisposed 650exercise · 2026-05-01
- Chief Financial Officer · Restricted Stock Units → Common StockDisposed 1 202exercise · 2026-05-01
- Chief Financial Officer · Performance Stock Units → Common StockAcquired 2 366grant · 2026-04-17
- Director · Restricted Stock Units → Common StockDisposed 649exercise · 2026-03-31
Actions
Ask Handelsavisen
- Market data
- Regulatory filings
- Issuer disclosures
- Public news
- Earnings transcripts
- Consensus estimates
- ESG data
- Reference data
- Capex To Revenuecapital_expenditure / revenue
- Ev To Revenueenterprise_value / revenue
- Market Capmarket_price * shares_outstanding_diluted
- Debt To Equity(short_term_debt + long_term_debt) / total_equity
- Return On Equitynet_income / total_equity
- Return On Assetsnet_income / total_assets
- Fortinet, Inc. company facts · 2026-06-25
- Fortinet, Inc. 10-Q 2026-05-08 · 2026-06-25
- Fortinet, Inc. 10-K 2026-02-25 · 2026-06-25
- Fortinet, Inc. 10-Q 2025-11-07 · 2026-06-25
- Fortinet, Inc. 10-Q 2025-08-08 · 2026-06-25
- ha_refusal_refire fired on FTNT · 2026-06-25
- Fortinet Inc Market data — analyst estimates · 2026-06-25
- Fortinet Inc Market data — ESG · 2026-06-25
Ownership & reference
Top holders
- Investment Managers · as of 2026-03-310,67 %$940M
- Investment Managers · as of 2026-03-310,43 %$789M
- Investment Managers · as of 2026-03-310,29 %$628M
- Institutional Investor · as of 2026-03-310,20 %$1 090M
- Funds · as of 2026-03-310,13 %$818M
- Investment Managers · as of 2026-03-310,10 %$734M
- Investment Managers · as of 2026-03-310,09 %$1 426M
- Investment Managers · as of 2026-03-310,09 %$138M
- Investment Managers · as of 2025-12-310,08 %$5 856M
- Investment Managers · as of 2026-03-310,08 %$2 364M
- Investment Managers · as of 2024-06-300,08 %$3 329M
- Investment Managers · as of 2026-03-310,07 %$358M
- Investment Managers · as of 2026-03-310,07 %$508M
- Investment Managers · as of 2026-03-310,06 %$383M
- Investment Managers · as of 2026-03-310,04 %$248M
- Investment Managers · as of 2026-03-310,04 %$723M
- Investment Managers · as of 2024-12-310,04 %$149M
- Institutional Investor · as of 2026-03-310,04 %$159M
- Investment Managers · as of 2026-03-310,04 %$66M
- Institutional Investor · as of 2026-03-310,02 %$52M
- Investment Managers · as of 2026-03-310,02 %$67M
- Institutional Investor · as of 2022-09-300,02 %$0M
- Investment Managers · as of 2026-03-310,02 %$35M
- Investment Managers · as of 2026-03-310,02 %$131M
- Institutional Investor · as of 2026-03-310,01 %$277M
- Investment Managers · as of 2026-03-310,01 %$26M
- Investment Managers · as of 2026-03-310,01 %$0M
- Investment Managers · as of 2026-03-310,01 %$49M
- Investment Managers · as of 2026-03-310,01 %$42M
- Brokerage Firms · as of 2026-03-310,01 %$55M
- Brokerage Firms · as of 2026-03-310,01 %$29M
- Institutional Investor · as of 2026-03-310,00 %$6M
- Investment Managers · as of 2026-03-310,00 %$5M
- Investment Managers · as of 2026-03-310,00 %$0M
- Investment Managers · as of 2026-03-310,00 %$0M
Leadership
- Kenneth Qing XieChairman of the Board, Chief Executive Officer
Insider activity
- Director · Common StockOther 650 · 2026-06-11
- Director · Common StockOther 650 · 2026-06-11
- Director · Common StockOther 650 · 2026-06-11
- Director · Common StockOther 650 · 2026-06-11
- Director · Common StockOther 650 · 2026-06-11
- Director · Common StockOther 650 · 2026-06-11
- Director, VP, ENGINEERING & CTO · Common StockOther 500 · 2026-06-04
- Director, VP, ENGINEERING & CTO · Common StockOther 2 500 · 2026-06-04
- Director, VP, ENGINEERING & CTO · Common StockOther 2 250 · 2026-06-04
- Director, VP, ENGINEERING & CTO · Common StockSold 464 @ $144,46$67K · 2026-06-03
- Director, VP, ENGINEERING & CTO · Common StockSold 410 @ $145,72$60K · 2026-06-03
- Director, VP, ENGINEERING & CTO · Common StockSold 2 337 @ $146,55$342K · 2026-06-03
- Director, VP, ENGINEERING & CTO · Common StockSold 564 @ $147,71$83K · 2026-06-03
- Director, VP, ENGINEERING & CTO · Common StockSold 132 @ $148,30$20K · 2026-06-03
- Director, PRESIDENT & CEO · Common StockSold 37 540 @ $146,36$5,5M · 2026-06-02
- Director, PRESIDENT & CEO · Common StockSold 13 790 @ $147,37$2,0M · 2026-06-02
- Director, PRESIDENT & CEO · Common StockOther 155 000 @ $22,90$3,5M · 2026-06-02
- Director, PRESIDENT & CEO · Common StockSold 8 627 @ $148,94$1,3M · 2026-06-02
- Director, PRESIDENT & CEO · Common StockSold 18 492 @ $148,24$2,7M · 2026-06-02
- Director, PRESIDENT & CEO · Common StockSold 9 641 @ $142,37$1,4M · 2026-06-02
- Director, PRESIDENT & CEO · Common StockSold 19 867 @ $143,43$2,8M · 2026-06-02
- Director, PRESIDENT & CEO · Common StockSold 39 854 @ $144,29$5,8M · 2026-06-02
- Director, PRESIDENT & CEO · Common StockSold 12 821 @ $145,04$1,9M · 2026-06-02
- CHIEF OPERATING OFFICER · Common StockSold 54 979 @ $128,74$7,1M · 2026-05-21
- CHIEF OPERATING OFFICER · Common StockOther 89 000 @ $34,39$3,1M · 2026-05-21
Short positioning
Geographic breakdown
Intel & risk
4 tracked-field change(s) detected vs prior analysis; max severity: medium.
- Dilution risk— → lowlow
- Liquidity risk— → mediumlow
- Activity— → Unclassifiedmedium
- Economic sector— → Unclassifiedmedium
- Narrative— → —medium
- Conclusion— → —medium
Evidence & claims
From filings & derived data- Cost of revenue (YoY) (2025-12-31 vs 2024-12-31): 14.8%Derived (calculated)
- Total liabilities (YoY) (2025-12-31 vs 2024-12-31): 10.7%Derived (calculated)
- Total assets (YoY) (2025-12-31 vs 2024-12-31): 6.4%Derived (calculated)
- Shareholders' equity (YoY) (2025-12-31 vs 2024-12-31): -17.2%Derived (calculated)
- Revenue (YoY) (2025-12-31 vs 2024-12-31): 14.2%Derived (calculated)
- R&D expense (YoY) (2025-12-31 vs 2024-12-31): 13.8%Derived (calculated)
- Operating income (YoY) (2025-12-31 vs 2024-12-31): 15.6%Derived (calculated)
- Operating cash flow (YoY) (2025-12-31 vs 2024-12-31): 14.7%Derived (calculated)
- Net income (YoY) (2025-12-31 vs 2024-12-31): 6.2%Derived (calculated)
- Long-term debt (YoY) (2025-12-31 vs 2024-12-31): -50.1%Derived (calculated)
- Gross profit (YoY) (2025-12-31 vs 2024-12-31): 14.0%Derived (calculated)
- EPS (diluted) (YoY) (2025-12-31 vs 2024-12-31): 7.1%Derived (calculated)
- Debt-to-equity (FY 2025-12-31): 7.40xDerived (calculated)
- Net margin (FY 2025-12-31): 27.3%Derived (calculated)
- Return on assets (FY 2025-12-31): 17.8%Derived (calculated)
- Return on equity (FY 2025-12-31): 149.8%Derived (calculated)
- EPS (basic) (YoY) (2025-12-31 vs 2024-12-31): 7.5%Derived (calculated)
- Current ratio (FY 2025-12-31): 1.17xDerived (calculated)
- Cash & equivalents (YoY) (2025-12-31 vs 2024-12-31): -13.2%Derived (calculated)
- Gross margin (FY 2025-12-31): 80.5%Derived (calculated)
- Current assets (annual): USD 5.9BSEC XBRL filing
- Current liabilities (annual): USD 5.03BSEC XBRL filing
- Revenue (annual): USD 6.8BSEC XBRL filing
- Operating income (annual): USD 2.08BSEC XBRL filing