Fortinet (FTNT) Stock Drops Despite Market Gains: Important Facts to Note

The most recent trading session ended with Fortinet (FTNT) standing at $93.83, reflecting a -0.77% shift from the previouse trading day's closing. The stock's performance was behind the S&P 500's daily gain of 0.16%. Elsewhere, the Dow saw an upswing of 0.86%, while the tech-heavy Nasdaq depreciated by 0.38%.The network security company's stock has dropped by 3.46% in the past month, falling short of the Computer and Technology sector's loss of 1.29% and the S&P 500's loss of 2.2%.Analysts and investors alike will be keeping a close eye on the performance of Fortinet in its upcoming earnings disclosure. The company's earnings report is set to go public on February 6, 2025. The company is forecasted to report an EPS of $0.60, showcasing a 17.65% upward movement from the corresponding quarter of the prior year. At the same time, our most recent consensus estimate is projecting a revenue of $1.59 billion, reflecting a 12.59% rise from the equivalent quarter last year.It's also important for investors to be aware of any recent modifications to analyst estimates for Fortinet. These revisions help to show the ever-changing nature of near-term business trends. Hence, positive alterations in estimates signify analyst optimism regarding the company's business and profitability.Our research shows that these estimate changes are directly correlated with near-term stock prices. To exploit this, we've formed the Zacks Rank, a quantitative model that includes these estimate changes and presents a viable rating system.The Zacks Rank system ranges from #1 (Strong Buy) to #5 (Strong Sell). It has a remarkable, outside-audited track record of success, with #1 stocks delivering an average annual return of +25% since 1988. Over the past month, the Zacks Consensus EPS estimate has moved 1.07% higher. Fortinet is holding a Zacks Rank of #3 (Hold) right now.Valuation is also important, so investors should note that Fortinet has a Forward P/E ratio of 39.95 right now. Its industry sports an average Forward P/E of 28.07, so one might conclude that Fortinet is trading at a premium comparatively.One should further note that FTNT currently holds a PEG ratio of 2.15. The PEG ratio bears resemblance to the frequently used P/E ratio, but this parameter also includes the company's expected earnings growth trajectory. The average PEG ratio for the Internet - Software industry stood at 2.18 at the close of the market yesterday.The Internet - Software industry is part of the Computer and Technology sector. This industry currently has a Zacks Industry Rank of 29, which puts it in the top 12% of all 250+ industries.The Zacks Industry Rank assesses the vigor of our specific industry groups by computing the average Zacks Rank of the individual stocks incorporated in the groups. Our research shows that the top 50% rated industries outperform the bottom half by a factor of 2 to 1.Be sure to follow all of these stock-moving metrics, and many more, on Zacks.com.7 Best Stocks for the Next 30 DaysJust released: Experts distill 7 elite stocks from the current list of 220 Zacks Rank #1 Strong Buys. They deem these tickers "Most Likely for Early Price Pops."Since 1988, the full list has beaten the market more than 2X over with an average gain of +24.1% per year. So be sure to give these hand picked 7 your immediate attention. See them now >>Want the latest recommendations from Zacks Investment Research? Today, you can download 7 Best Stocks for the Next 30 Days. Click to get this free report Fortinet, Inc. (FTNT): Free Stock Analysis ReportTo read this article on Zacks.com click here.Zacks Investment ResearchWeiter zum vollständigen Artikel bei Zacks Weiter zum vollständigen Artikel bei Zacks