Fortinet, Inc. $FTNT Stock Sold by Convergence Financial LLC

Convergence Financial LLC lessened its position in shares of Fortinet, Inc. (NASDAQ:FTNT) by 51.0% during the third quarter, HoldingsChannel reports. The institutional investor owned 4,329 shares of the software maker’s stock after selling 4,497 shares during the quarter. Convergence Financial LLC’s holdings in Fortinet were worth $774,000 as of its most recent filing with the Securities & Exchange Commission.

Several other institutional investors also recently added to or reduced their stakes in the company. Burk Holdings LLC purchased a new stake in Fortinet in the second quarter valued at approximately $25,000. Dunhill Financial LLC acquired a new stake in shares of Fortinet in the second quarter valued at approximately $25,000. Cornerstone Financial Management LLC grew its position in shares of Fortinet by 102.5% during the second quarter. Cornerstone Financial Management LLC now owns 164 shares of the software maker’s stock worth $25,000 after acquiring an additional 83 shares during the last quarter. NFSG Corp purchased a new position in shares of Fortinet during the third quarter worth approximately $34,000. Finally, Timbuktu Capital Management LLC purchased a new position in shares of Fortinet during the second quarter worth approximately $31,000. Institutional investors and hedge funds own 83.71% of the company’s stock.

Fortinet Stock Performance

Shares of FTNT opened at $139.10 on Friday. The stock has a market capitalization of $102.06 billion, a P/E ratio of 45.16, a P/E/G ratio of 3.25 and a beta of 1.03. The company has a debt-to-equity ratio of 0.32, a quick ratio of 1.19 and a current ratio of 1.28. Fortinet, Inc. has a 1 year low of $73.55 and a 1 year high of $197.13. The company’s fifty day moving average is $171.64 and its two-hundred day moving average is $127.99.

Fortinet (NASDAQ:FTNT) last released its earnings results on Wednesday, October 28th. The software maker reported $0.91 EPS for the quarter, topping the consensus estimate of $0.86 by $0.05. The company had revenue of $2.08 billion during the quarter, compared to analysts’ expectations of $2.06 billion. Fortinet had a net margin of 28.96% and a return on equity of 182.65%. The business’s revenue was up 20.5% on a year-over-year basis. During the same quarter last year, the business earned $0.74 EPS. On average, sell-side analysts predict that Fortinet, Inc. will post 3.10 earnings per share for the current year.

Insider Buying and Selling

In other Fortinet news, VP Michael Xie sold 3,121 shares of Fortinet stock in a transaction that occurred on Monday, August 3rd. The stock was 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 of the company’s stock, valued at approximately $1,613,022,886.80. The trade was a 0.03% decrease in their position. The sale was disclosed in a document filed with the Securities & Exchange Commission, which can be accessed through the SEC website. 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, CEO Ken Xie sold 161,482 shares of the business’s stock in a transaction that occurred on Monday, August 3rd. The stock was sold at an average price of $162.66, for a total value of $26,266,662.12. Following the transaction, the chief executive officer owned 52,972,372 shares in the company, valued at $8,616,486,029.52. The trade was a 0.30% 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. The sale was made to cover tax withholding obligations related to the vesting of equity awards. Insiders sold 221,303 shares of company stock valued at $36,164,034 over the last ninety days. Corporate insiders own 17.60% of the company’s stock.

Wall Street Analyst Weigh In

Several analysts recently commented on the stock. UBS Group reiterated a “neutral” rating and issued a $200.00 price target on shares of Fortinet in a research report on Thursday, October 15th. Wells Fargo & Company raised their price objective on shares of Fortinet from $135.00 to $160.00 and gave the stock an “underweight” rating in a research report on Thursday, October 15th. Stifel Nicolaus dropped their price objective on shares of Fortinet from $175.00 to $140.00 and set a “hold” rating on the stock in a research note on Thursday. Piper Sandler set a $140.00 price objective on shares of Fortinet and gave the company a “neutral” rating in a research note on Thursday. Finally, Citigroup reduced their target price on shares of Fortinet from $185.00 to $140.00 and set a “neutral” rating for the company in a report on Thursday. One equities research analyst has rated the stock with a Strong Buy rating, ten have issued a Buy rating, twenty-four have assigned a Hold rating and six have assigned a Sell rating to the company. Based on data from MarketBeat.com, Fortinet currently has an average rating of “Hold” and an average price target of $149.61.

Fortinet News Roundup

Here are the key news stories impacting Fortinet this week:

• Positive Sentiment: Fortinet reported third-quarter revenue of $2.08 billion, up approximately 20% year over year, while adjusted EPS of $0.91 exceeded expectations. Billings increased 29% to $2.34 billion, and management raised its overall 2026 revenue outlook. Fortinet Reports Strong Third Quarter 2026 Financial Results
• Positive Sentiment: Product revenue grew 37% to $765 million, operating margins reached record levels, and the board authorized an additional $1.2 billion for share repurchases. Strong free cash flow and rising deferred revenue could support future services growth. Fortinet Raises Guidance Again
• Neutral Sentiment: Management attributed the services slowdown partly to customers deploying security hardware for AI and data-center projects before activating related recurring services. Investors will watch whether those deployments convert into service revenue in coming quarters.
• Negative Sentiment: Services revenue rose only 13% to $1.31 billion, significantly below product growth, and Fortinet lowered its services-revenue forecast. Analysts cited slowing product momentum and services headwinds, with multiple firms cutting price targets or downgrading the stock. Fortinet Stock Sinks
• Negative Sentiment: Fourth-quarter revenue guidance implies growth of roughly 15%, below the third quarter’s pace. Normalizing pricing benefits, higher inventory costs, and a valuation near 49 times earnings amplified the market’s reaction. The selloff also pressured other cybersecurity and software stocks amid broader concerns about AI disruption. Software Stocks Slide After Fortinet Results

About Fortinet

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.