Roth Capital Partners has started coverage of Fortinet, Inc. (FTNT, Financial), assigning the company a Neutral rating along with a price target of $103. This evaluation reflects a balanced risk/reward outlook due to the current valuation of the stock.
Fortinet, known for its robust cybersecurity solutions, has projected a 10% growth in its product segment by the fiscal year 2025. Roth Capital sees potential for Fortinet to exceed this forecast. However, the firm's analysis indicates a potential slowdown in two key areas: Secure Access Service Edge and Security Operations (SecOps), which may impact the company's earlier projection of 12% growth, as detailed in its last strategic update in late 2024.
The assessment takes into account the interplay of growth prospects and challenges, suggesting that while there is some room for exceeding guidance in certain areas, the stock's valuation tempers the overall outlook. Investors are advised to consider these dynamics when evaluating Fortinet's future performance.
Wall Street Analysts Forecast
Based on the one-year price targets offered by 36 analysts, the average target price for Fortinet Inc (FTNT, Financial) is $113.53 with a high estimate of $135.00 and a low estimate of $83.00. The average target implies an upside of 20.30% from the current price of $94.37. More detailed estimate data can be found on the Fortinet Inc (FTNT) Forecast page.
Based on the consensus recommendation from 44 brokerage firms, Fortinet Inc's (FTNT, Financial) average brokerage recommendation is currently 2.6, indicating "Hold" status. The rating scale ranges from 1 to 5, where 1 signifies Strong Buy, and 5 denotes Sell.
Based on GuruFocus estimates, the estimated GF Value for Fortinet Inc (FTNT, Financial) in one year is $97.88, suggesting a upside of 3.72% from the current price of $94.37. GF Value is GuruFocus' estimate of the fair value that the stock should be traded at. It is calculated based on the historical multiples the stock has traded at previously, as well as past business growth and the future estimates of the business' performance. More detailed data can be found on the Fortinet Inc (FTNT) Summary page.
