Fortinet Gains From SASE & SecOps Momentum: More Upside Ahead?

Fortinet FTNT is capitalizing on surging demand for Unified SASE (Secure Access Service Edge) and SecOps (Security Operations), which are rapidly reshaping its growth trajectory. In the second quarter of 2025, Unified SASE billings climbed 21% year over year, while SecOps billings rose 31%, together making up about 35% of total billings. These segments are now core to the company’s strategy of boosting recurring revenues and deepening customer engagement.Enterprise adoption of zero-trust architectures and hybrid work environments is accelerating the need for integrated security solutions. Fortinet’s Security Fabric platform and FortiSASE offering deliver cost efficiency, superior performance and a unified approach to security — key differentiators driving large deals. Notably, transactions above $1 million surged over 50% in value, reflecting strong multi-product adoption.The company’s confidence in this growth is evident. Management raised its full-year billings outlook midpoint by $100 million, citing robust enterprise adoption and expanding demand for cloud-delivered services. Recent strategic moves, like the acquisition of Suridata.ai in May 2025, further strengthened its SaaS security capabilities, enhancing Fortinet’s competitive edge.Fortinet remains the only vendor to develop all core SASE capabilities — next-gen firewall, SD-WAN, ZTNA, secure web gateway, CASB and DLP — within a single operating system, FortiOS. This integration reduces cost and complexity while ensuring seamless hybrid security across on-prem and cloud environments.According to the Zacks model, 2025 revenues are projected to grow 12.8% year over year to $6.72 billion, with total billings expected to climb 13.9% to $7.44 billion, underscoring the strong momentum from SASE and SecOps as key long-term growth drivers.FTNT’s Key Rivals in the Security Solutions SpaceCisco Systems CSCO leverages its network dominance to deliver tightly integrated security through Secure Firewall, Umbrella and Talos threat intelligence. Unlike Fortinet’s cost-effective, performance-driven FortiGate focus, CSCO caters to large enterprises with advanced threat protection, scalability and deep network control. Its broad hardware-software portfolio, now strengthened by the Splunk acquisition, embeds security across IT ecosystems. For organizations requiring robust, enterprise-grade protection and unified operations, Cisco Systems holds a distinct competitive edge in security solutions.Check Point Software CHKP is a firewall pioneer recognized for its Infinity Platform, ThreatCloud AI and Quantum firewalls. Check Point emphasizes real-time threat prevention, centralized management and identity-based control, often outperforming Fortinet in malware and phishing benchmarks. With subscription growth and strategic acquisitions, Check Point strengthens its market position, leveraging decades of expertise to deliver mission-critical security solutions that support long-term market share expansion.FTNT’s Share Price Performance, Valuation & EstimatesYear to date, FTNT shares have declined 19%, underperforming the Zacks Security industry’s 8.6% gain and falling well behind the Zacks Computer and Technology sector’s 11.8% rise.FTNT’s YTD Price PerformanceImage Source: Zacks Investment ResearchFrom a valuation standpoint, Fortinet appears overvalued, trading at a Price/Book ratio of 28.45X, higher than the industry’s 20.4X. FTNT has a Value Score of D.FTNT’s ValuationImage Source: Zacks Investment ResearchThe consensus mark for 2025 earnings is pegged at $2.51 per share, reflecting upward revisions of 3 cents over both the 30- and 60-day periods. The estimate indicates 5.91% year-over-year growth.Image Source: Zacks Investment ResearchFortinet stock currently carries a Zacks Rank #3 (Hold). You can see the complete list of today’s Zacks #1 Rank (Strong Buy) stocks here.Radical New Technology Could Hand Investors Huge GainsQuantum Computing is the next technological revolution, and it could be even more advanced than AI.While some believed the technology was years away, it is already present and moving fast. Large hyperscalers, such as Microsoft, Google, Amazon, Oracle, and even Meta and Tesla, are scrambling to integrate quantum computing into their infrastructure.Senior Stock Strategist Kevin Cook reveals 7 carefully selected stocks poised to dominate the quantum computing landscape in his report, Beyond AI: The Quantum Leap in Computing Power.Kevin was among the early experts who recognized NVIDIA's enormous potential back in 2016. Now, he has keyed in on what could be "the next big thing" in quantum computing supremacy. Today, you have a rare chance to position your portfolio at the forefront of this opportunity.See Top Quantum Stocks 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 Cisco Systems, Inc. (CSCO): Free Stock Analysis Report Check Point Software Technologies Ltd. (CHKP): Free Stock Analysis Report Fortinet, Inc. (FTNT): Free Stock Analysis ReportThis article originally published on Zacks Investment Research (zacks.com).Zacks Investment ResearchWeiter zum vollständigen Artikel bei Zacks Weiter zum vollständigen Artikel bei Zacks