Fortinet (NASDAQ:FTNT) Issues FY 2026 Earnings Guidance

Fortinet (NASDAQ:FTNT) issued an update on its FY 2026 earnings guidance on Friday. The company provided earnings per share (EPS) guidance of 3.540-3.580 for the period, compared to the consensus EPS estimate of 3.380. The company issued revenue guidance of $8.1 billion-$8.2 billion, compared to the consensus revenue estimate of $8.1 billion. Fortinet also updated its Q4 2026 guidance to 0.930-0.950 EPS.

Fortinet Trading Down 2.2%

Shares of NASDAQ:FTNT opened at $136.08 on Friday. Fortinet has a 52 week low of $73.55 and a 52 week high of $197.13. The company’s 50 day moving average is $171.34 and its two-hundred day moving average is $128.28. The company has a current ratio of 1.40, a quick ratio of 1.19 and a debt-to-equity ratio of 0.22. The company has a market cap of $99.84 billion, a PE ratio of 44.18, a P/E/G ratio of 2.59 and a beta of 1.03.

Fortinet (NASDAQ:FTNT) last announced its quarterly earnings data on Wednesday, October 28th. The software maker reported $0.91 earnings per share for the quarter, beating analysts’ consensus estimates of $0.86 by $0.05. The business had revenue of $2.08 billion for the quarter, compared to analyst estimates of $2.06 billion. Fortinet had a net margin of 28.96% and a return on equity of 152.72%. The company’s revenue was up 20.5% on a year-over-year basis. During the same period last year, the business earned $0.74 EPS. Equities analysts predict that Fortinet will post 3.11 earnings per share for the current fiscal year.

Analyst Ratings Changes

A number of analysts have issued reports on FTNT shares. Robert W. Baird set a $165.00 price target on Fortinet and gave the stock a “neutral” rating in a report on Thursday, July 30th. HSBC increased their price objective on Fortinet from $102.00 to $107.00 in a report on Friday, July 31st. BMO Capital Markets raised their target price on Fortinet from $170.00 to $185.00 and gave the stock a “market perform” rating in a research report on Thursday, July 30th. Royal Bank Of Canada set a $165.00 target price on Fortinet and gave the stock a “sector perform” rating in a research note on Thursday. Finally, Deutsche Bank Aktiengesellschaft reaffirmed a “hold” rating and issued a $130.00 price target on shares of Fortinet 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, the company presently has an average rating of “Hold” and a consensus price target of $147.94.

Insider Buying and Selling

In other Fortinet news, COO John Whittle sold 53,865 shares of the stock in a transaction that occurred 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 directly owned 96,987 shares of the company’s stock, valued at approximately $16,045,529.28. This trade represents a 35.71% decrease in their position. The transaction was disclosed in a legal filing 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. Also, VP Michael Xie sold 3,121 shares of Fortinet stock in a transaction on Monday, August 3rd. The shares were sold at an average price of $162.63, for a total transaction of $507,568.23. Following the completion of the transaction, 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 disclosure for this sale is available in the SEC filing. 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 have sold 221,303 shares of company stock worth $36,164,034 in the last quarter. 17.60% of the stock is owned by insiders.

Trending Headlines about Fortinet

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.

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.