Fortinet, Inc. $FTNT Stock: Summit Global Investments Grows Stake

Summit Global Investments lifted its holdings in Fortinet, Inc. (NASDAQ:FTNT) by 150.2% in the 3rd quarter, Holdings Channel reports. The firm owned 33,884 shares of the software maker’s stock after buying an additional 20,342 shares during the quarter. Summit Global Investments’ holdings in Fortinet were worth $6,057,000 as of its most recent SEC filing.

A number of other large investors have also recently bought and sold shares of the business. BlackRock Inc. acquired a new position in Fortinet during the second quarter worth $9,561,650,000. Bank of New York Mellon Corp acquired a new stake in shares of Fortinet in the second quarter worth about $1,432,842,000. Legal & General Group Plc acquired a new stake in shares of Fortinet in the second quarter worth about $979,062,000. First Trust Advisors LP boosted its stake in shares of Fortinet by 45.5% during the 1st quarter. First Trust Advisors LP now owns 11,506,173 shares of the software maker’s stock worth $940,284,000 after acquiring an additional 3,598,487 shares in the last quarter. Finally, Arrowstreet Capital Limited Partnership boosted its stake in shares of Fortinet by 87.4% during the 1st quarter. Arrowstreet Capital Limited Partnership now owns 9,651,024 shares of the software maker’s stock worth $788,682,000 after acquiring an additional 4,500,194 shares in the last quarter. 83.71% of the stock is currently owned by institutional investors.

Fortinet Stock Down 2.2%

Fortinet stock opened at $136.08 on Friday. The company has a debt-to-equity ratio of 0.22, a current ratio of 1.40 and a quick ratio of 1.19. Fortinet, Inc. has a fifty-two week low of $73.55 and a fifty-two week high of $197.13. The firm has a fifty day moving average price of $171.34 and a two-hundred day moving average price of $128.28. The firm has a market cap of $99.84 billion, a price-to-earnings ratio of 44.18, a P/E/G ratio of 2.53 and a beta of 1.03.

Fortinet (NASDAQ:FTNT) last posted its quarterly earnings data on Wednesday, October 28th. The software maker reported $0.91 EPS for the quarter, topping analysts’ consensus estimates of $0.86 by $0.05. Fortinet had a return on equity of 152.72% and a net margin of 28.96%. The business had revenue of $2.08 billion for the quarter, compared to analyst estimates of $2.06 billion. During the same period in the previous year, the company posted $0.74 earnings per share. The firm’s revenue for the quarter was up 20.5% on a year-over-year basis. As a group, analysts forecast that Fortinet, Inc. will post 3.19 earnings per share for the current year.

Insiders Place Their Bets

In other news, VP Michael Xie sold 3,121 shares of the firm’s stock in a transaction on Monday, August 3rd. The shares were sold at an average price of $162.63, for a total value of $507,568.23. Following the sale, the vice president owned 9,918,360 shares in the company, valued at approximately $1,613,022,886.80. This trade represents a 0.03% decrease in their ownership of the stock. The sale was disclosed in a legal filing with the SEC, which is accessible through this hyperlink. The transaction was executed under a pre-arranged Rule 10b5-1 trading plan. The sale was made to cover tax withholding obligations related to the vesting of equity awards. Also, COO John Whittle sold 53,865 shares of the firm’s stock in a transaction on Monday, September 14th. The stock was sold at an average price of $165.44, for a total transaction of $8,911,425.60. Following the completion of the sale, the chief operating officer owned 96,987 shares in the company, valued at approximately $16,045,529.28. The trade was a 35.71% decrease in their position. Additional details regarding this sale are available in the official SEC disclosure. The transaction was executed under a pre-arranged Rule 10b5-1 trading plan. Insiders have sold a total of 221,303 shares of company stock valued at $36,164,034 in the last three months. Company insiders own 17.60% of the company’s stock.

Fortinet News Roundup

Here are the key news stories impacting Fortinet this week:

• Positive Sentiment: Fortinet reported third-quarter revenue of approximately $2.08 billion, up 20.5% year over year, and adjusted EPS of $0.91, exceeding consensus estimates. Billings increased 29%, while operating margins reached a record. Fortinet Q3 Earnings and Revenues Beat Estimates
• Positive Sentiment: Management raised full-year 2026 guidance to $8.1 billion-$8.2 billion in revenue and $3.54-$3.58 in EPS. Fourth-quarter EPS guidance of $0.93-$0.95 also exceeds the consensus estimate of $0.86. Fortinet Raises Guidance
• Positive Sentiment: The board authorized an additional $1.2 billion in share repurchases, and quarterly free cash flow was approximately $865 million. Analysts at TD Cowen, Rosenblatt and Truist retained bullish ratings despite lowering their price targets. Fortinet Adds to Buyback Program
• Neutral Sentiment: Fortinet is technically oversold after a sharp multi-week decline, while rising earnings estimates could support a rebound. However, the technical signal does not resolve concerns about the company’s growth mix. Fortinet May See a Trend Reversal
• Negative Sentiment: Service revenue grew only 13%, versus 37% growth in product revenue. Investors are concerned that hardware sales tied to AI infrastructure are not converting into recurring services quickly enough, reducing near-term revenue visibility. The Real Reason Fortinet Dropped
• Negative Sentiment: Management lowered its services outlook, while fourth-quarter revenue guidance implies growth deceleration from the third quarter. Normalizing pricing benefits, higher inventory costs and longer component lead times added to investor concerns.
• Negative Sentiment: Wells Fargo cut its price target to $115 and assigned an underweight rating; Susquehanna lowered its target to $145 and rated the shares neutral. Other firms, including Bank of America, Citi, Barclays and Scotiabank, also reduced targets or ratings. Analysts Cut Fortinet Forecasts
• Negative Sentiment: The broader technology and cybersecurity sell-off is amplifying the reaction, despite a major cryptocurrency hack highlighting demand for digital security. Investors are also questioning whether Fortinet’s premium valuation remains justified as growth slows.

Analyst Upgrades and Downgrades

A number of research analysts have recently commented on FTNT shares. Truist Financial set a $175.00 price objective on Fortinet and gave the company a “buy” rating in a report on Thursday. Wall Street Zen upgraded Fortinet from a “hold” rating to a “buy” rating in a report on Saturday, October 10th. HSBC boosted their target price on Fortinet from $102.00 to $107.00 in a report on Friday, July 31st. Weiss Ratings raised Fortinet from a “buy (b-)” rating to a “buy (b)” rating in a research report on Thursday, October 8th. Finally, Susquehanna lowered their price target on Fortinet from $160.00 to $145.00 and set a “neutral” rating on the stock in a report on Friday. One equities research analyst has rated the stock with a Strong Buy rating, ten have issued a Buy rating, twenty-four have given a Hold rating and six have given a Sell rating to the company. Based on data from MarketBeat.com, the company has a consensus rating of “Hold” and an average target price of $147.94.

Fortinet Company Profile

Fortinet, Inc develops cybersecurity products and services designed to protect networks, endpoints, applications, cloud environments and operational technology systems. The company’s portfolio includes next-generation firewalls, secure networking products, endpoint security, web application security, email security, identity and access solutions, and security information and event management tools.

Its product offerings include FortiGate network security appliances and cloud-based firewalls, along with FortiSwitch, FortiAP and FortiExtender solutions for secure connectivity.