Fortinet, Inc. $FTNT Stock: Sterling Capital Management LLC Increases Position

Sterling Capital Management LLC raised its position in Fortinet, Inc. (NASDAQ:FTNT) by 35.7% in the 3rd quarter, Holdings Channel reports. The fund owned 21,686 shares of the software maker’s stock after acquiring an additional 5,704 shares during the period. Sterling Capital Management LLC’s holdings in Fortinet were worth $3,877,000 as of its most recent filing with the SEC.

Several other hedge funds and other institutional investors have also made changes to their positions in the company. Transamerica Financial Advisors LLC purchased a new position in shares of Fortinet during the 2nd quarter worth approximately $492,000. Wealth Enhancement Trust Services Inc. lifted its holdings in shares of Fortinet by 83.8% in the 3rd quarter. Wealth Enhancement Trust Services Inc. now owns 22,326 shares of the software maker’s stock valued at $3,991,000 after buying an additional 10,180 shares during the period. QRG Capital Management Inc. lifted its holdings in Fortinet by 21.4% in the first quarter. QRG Capital Management Inc. now owns 75,491 shares of the software maker’s stock valued at $6,169,000 after acquiring an additional 13,294 shares during the period. Vista Investment Partners LLC boosted its holdings in Fortinet by 53.1% during the second quarter. Vista Investment Partners LLC now owns 49,058 shares of the software maker’s stock worth $7,537,000 after buying an additional 17,018 shares in the last quarter. Finally, Farther Finance Advisors LLC boosted its holdings in Fortinet by 35.5% during the third quarter. Farther Finance Advisors LLC now owns 32,402 shares of the software maker’s stock worth $5,792,000 after buying an additional 8,488 shares in the last quarter. Hedge funds and other institutional investors own 83.71% of the company’s stock.

Insider Buying and Selling at Fortinet

In other Fortinet news, VP Michael Xie sold 3,121 shares of the company’s stock in a transaction dated Monday, August 3rd. The shares were 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 $1,613,022,886.80. This represents a 0.03% decrease in their ownership of the stock. The sale was disclosed in a document filed with the Securities & Exchange Commission, which is accessible 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, COO John Whittle sold 53,865 shares of the company’s stock in a transaction dated Monday, September 14th. The shares were 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 in the company, valued at $16,045,529.28. This trade represents a 35.71% decrease in their position. The SEC filing for this sale provides additional information. The transaction was executed under a pre-arranged Rule 10b5-1 trading plan. In the last three months, insiders sold 221,303 shares of company stock worth $36,164,034. 17.60% of the stock is owned by corporate insiders.

Fortinet Trading Up 4.1%

Shares of FTNT stock opened at $179.99 on Friday. The stock has a market cap of $132.06 billion, a P/E ratio of 63.38, a P/E/G ratio of 3.36 and a beta of 1.03. The company has a quick ratio of 1.19, a current ratio of 1.28 and a debt-to-equity ratio of 0.32. Fortinet, Inc. has a fifty-two week low of $73.55 and a fifty-two week high of $197.13. The business has a fifty day simple moving average of $170.47 and a 200-day simple moving average of $146.08.

Fortinet (NASDAQ:FTNT) last released its quarterly earnings data on Wednesday, July 29th. The software maker reported $0.90 EPS for the quarter, topping the consensus estimate of $0.75 by $0.15. Fortinet had a net margin of 28.17% and a return on equity of 191.54%. The business had revenue of $2.05 billion for the quarter, compared to analyst estimates of $1.89 billion. During the same period in the previous year, the firm earned $0.64 EPS. The business’s revenue for the quarter was up 25.6% compared to the same quarter last year. Fortinet has set its FY 2026 guidance at 3.410-3.470 EPS and its Q3 2026 guidance at 0.830-0.870 EPS. On average, analysts forecast that Fortinet, Inc. will post 3.10 earnings per share for the current fiscal year.

More Fortinet News

Here are the key news stories impacting Fortinet this week:

• Positive Sentiment: Jefferies expects Fortinet’s third-quarter product revenue growth to reach roughly 50% year over year, well above the 31% consensus forecast. The broker cited favorable industry checks, price increases and accelerated firewall replacement activity. Fortinet growth outlook for 2027 becomes key test for investors, says Jefferies
• Positive Sentiment: Investors are looking for another strong quarterly result, with analysts expecting double-digit year-over-year EPS growth. Fortinet’s ability to sustain product growth into fiscal 2027 will be the central focus of the earnings outlook. What to Expect From Fortinet’s Next Quarterly Earnings Report
• Positive Sentiment: Recent bullish positioning, including a previously raised $200 price target, reflects expectations for continued cybersecurity spending and AI-related demand. Fortinet’s hardware-software combination was also highlighted as a potential long-term competitive advantage. Fortinet versus Cisco and Palo Alto Networks
• Neutral Sentiment: Jefferies maintained a “hold” rating, emphasizing that forward guidance for 2027 matters more than simply beating near-term estimates. Fortinet trades at a premium valuation, increasing the importance of durable growth and strong cash generation.
• Neutral Sentiment: Fortinet released coordinated security-hardening updates for multiple products, which may have improved sentiment amid broader cybersecurity concerns, although the updates are not a major direct earnings catalyst.
• Negative Sentiment: JPMorgan raised its price target from $118 to $140 but retained an “underweight” rating, implying substantial downside from recent trading levels. JPMorgan Fortinet rating
• Negative Sentiment: Arete Research reportedly downgraded Fortinet to “sell,” adding to concerns that the stock’s elevated valuation already discounts much of its expected growth.
• Negative Sentiment: Reported insider activity shows executives made no open-market purchases and sold shares during the past six months, a potentially cautionary signal, though such sales may reflect scheduled diversification.

Analyst Ratings Changes

Several research analysts have weighed in on the stock. Mizuho set a $160.00 target price on shares of Fortinet and gave the stock an “underperform” rating in a research report on Thursday, October 15th. William Blair reiterated a “market perform” rating on shares of Fortinet in a research report on Tuesday, July 21st. Yorkville Ives initiated coverage on shares of Fortinet in a research report on Tuesday, October 6th. They set an “outperform” rating and a $225.00 price target for the company. Arete Research lowered Fortinet from a “buy” rating to a “sell” rating and set a $117.00 price target on the stock. in a research note on Wednesday. Finally, Stifel Nicolaus set a $175.00 price target on Fortinet and gave the stock a “hold” rating in a report on Thursday, July 30th. One investment analyst has rated the stock with a Strong Buy rating, eleven have assigned a Buy rating, twenty-one have assigned a Hold rating and six have assigned a Sell rating to the company. According to data from MarketBeat.com, Fortinet presently has an average rating of “Hold” and an average price target of $162.36.

Fortinet 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.