Fortinet (NASDAQ:FTNT) Issues FY 2026 Earnings Guidance

Fortinet (NASDAQ:FTNT) updated its FY 2026 earnings guidance on Wednesday. The company provided earnings per share (EPS) guidance of 3.410-3.470 for the period, compared to the consensus estimate of 3.080. The company issued revenue guidance of $8.0 billion-$8.2 billion, compared to the consensus revenue estimate of $7.8 billion. Fortinet also updated its Q3 2026 guidance to 0.830-0.870 EPS.

Fortinet Price Performance

Shares of Fortinet stock traded up $3.24 during trading on Wednesday, reaching $153.22. The company’s stock had a trading volume of 12,317,816 shares, compared to its average volume of 6,415,523. The business has a 50 day moving average price of $148.98 and a 200-day moving average price of $107.66. Fortinet has a 12-month low of $70.12 and a 12-month high of $170.35. The company has a market capitalization of $112.26 billion, a P/E ratio of 59.16, a price-to-earnings-growth ratio of 4.14 and a beta of 1.09. The company has a quick ratio of 1.07, a current ratio of 1.15 and a debt-to-equity ratio of 0.50.

Fortinet (NASDAQ:FTNT) last released its quarterly earnings data on Wednesday, May 6th. The software maker reported $0.82 earnings per share (EPS) for the quarter, topping the consensus estimate of $0.62 by $0.20. Fortinet had a return on equity of 160.08% and a net margin of 27.49%.The firm had revenue of $1.85 billion during the quarter, compared to analysts’ expectations of $1.73 billion. During the same quarter in the prior year, the business posted $0.58 earnings per share. Fortinet’s revenue was up 20.1% compared to the same quarter last year. Fortinet has set its Q2 2026 guidance at 0.720-0.760 EPS and its FY 2026 guidance at 3.100-3.160 EPS. As a group, sell-side analysts anticipate that Fortinet will post 2.8 EPS for the current year.

Analysts Set New Price Targets

FTNT has been the subject of a number of research analyst reports. DZ Bank downgraded shares of Fortinet from a “buy” rating to a “hold” rating and set a $125.00 price target for the company. in a report on Tuesday, May 19th. Stephens set a $115.00 price objective on shares of Fortinet and gave the stock an “equal weight” rating in a report on Thursday, May 7th. Citigroup restated a “neutral” rating and set a $165.00 target price (up from $115.00) on shares of Fortinet in a research report on Wednesday, July 22nd. TD Cowen reaffirmed a “buy” rating and issued a $215.00 target price (up from $160.00) on shares of Fortinet in a report on Monday, July 13th. Finally, Cantor Fitzgerald reiterated a “neutral” rating and set a $165.00 price target (up from $110.00) on shares of Fortinet in a research report on Thursday, July 23rd. Two analysts have rated the stock with a Strong Buy rating, seven have given a Buy rating, twenty-four have given a Hold rating and four have given a Sell rating to the company. Based on data from MarketBeat.com, the company has a consensus rating of “Hold” and a consensus price target of $123.61.

Insiders Place Their Bets

In other news, COO John Whittle sold 146,015 shares of the business’s stock in a transaction on Thursday, May 21st. The stock was sold at an average price of $128.41, for a total value of $18,749,786.15. Following the completion of the transaction, the chief operating officer directly owned 94,724 shares of the company’s stock, valued at $12,163,508.84. The trade was a 60.65% decrease in their ownership of the stock. The transaction was disclosed in a legal filing with the SEC, which is available through the SEC website. Also, VP Michael Xie sold 3,907 shares of the company’s stock in a transaction on Wednesday, June 3rd. The shares were sold at an average price of $146.44, for a total value of $572,141.08. Following the completion of the sale, the vice president owned 9,923,610 shares in the company, valued at $1,453,213,448.40. This represents a 0.04% decrease in their ownership of the stock. 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. Over the last 90 days, insiders sold 318,387 shares of company stock valued at $43,403,063. Corporate insiders own 17.60% of the company’s stock.

More Fortinet News

Here are the key news stories impacting Fortinet this week:

• Positive Sentiment: Q2 results beat expectations. Revenue rose 26% year over year to approximately $2.05 billion, above the $1.89 billion consensus estimate. Reported EPS also surpassed forecasts, with one release citing $0.90 and the company’s GAAP release reporting diluted EPS of $0.82 versus $0.57 a year earlier. Fortinet Reports Strong Second Quarter 2026 Financial Results
• Positive Sentiment: Growth was broad and commercially strong. Product revenue increased 52% to $773 million, billings climbed 33% to $2.37 billion, and GAAP operating margin reached 34%. Operating cash flow was $1.04 billion and free cash flow was $966 million.
• Positive Sentiment: Fortinet raised its outlook above analyst estimates. Q3 EPS guidance of $0.83–$0.87 and revenue guidance of $2.01–$2.10 billion both exceed consensus estimates of $0.75 and $1.9 billion, respectively. Full-year EPS guidance was raised to $3.41–$3.47, versus the $3.08 consensus, while revenue guidance increased to $8.02–$8.18 billion, above the $7.8 billion estimate.
• Positive Sentiment: Product momentum may support future growth. Fortinet expanded its FortiGate G Series with the 1200G and FortiSASE Outpost, targeting convergence between firewall and cloud-delivered SASE security. Fortinet Expands FortiGate G Series
• Neutral Sentiment: Analyst sentiment remains divided: Bank of America maintained a Buy rating, while Wells Fargo reaffirmed its Sell rating. This suggests valuation and the durability of recurring growth remain investor concerns.
• Negative Sentiment: Insider activity is a potential overhang. Company insiders reported 32 open-market sales and no purchases over the past six months, including substantial sales by CEO Ken Xie and CTO Michael Xie.

Institutional Investors Weigh In On Fortinet

Hedge funds have recently modified their holdings of the company. GW&K Investment Management LLC raised its position in shares of Fortinet by 31.4% in the fourth quarter. GW&K Investment Management LLC now owns 515 shares of the software maker’s stock valued at $41,000 after buying an additional 123 shares during the last quarter. Fiduciary Trust Co grew its stake in Fortinet by 1.2% in the 3rd quarter. Fiduciary Trust Co now owns 10,823 shares of the software maker’s stock worth $910,000 after acquiring an additional 130 shares during the period. Optimist Retirement Group LLC grew its stake in Fortinet by 2.9% in the 3rd quarter. Optimist Retirement Group LLC now owns 4,888 shares of the software maker’s stock worth $411,000 after acquiring an additional 140 shares during the period. L2 Asset Management LLC raised its holdings in Fortinet by 5.1% in the 3rd quarter. L2 Asset Management LLC now owns 2,992 shares of the software maker’s stock valued at $252,000 after acquiring an additional 145 shares during the last quarter. Finally, Dorsey & Whitney Trust CO LLC raised its holdings in Fortinet by 2.6% in the 4th quarter. Dorsey & Whitney Trust CO LLC now owns 7,269 shares of the software maker’s stock valued at $577,000 after acquiring an additional 184 shares during the last quarter. 83.71% of the stock is owned by institutional investors and hedge funds.

Fortinet Company Profile

Fortinet, Inc (NASDAQ: FTNT) is a multinational cybersecurity company that develops and delivers integrated security solutions for enterprise, service provider and government customers worldwide. Founded in 2000 and headquartered in Sunnyvale, California, the company was co‑founded by Ken Xie and Michael Xie. Ken Xie serves as chairman and chief executive officer, and the company operates through a global sales, channel and services organization to support customers across the Americas, EMEA and Asia‑Pacific.

Fortinet’s product portfolio centers on network security appliances and software, with its FortiGate next‑generation firewalls and the FortiOS operating system forming a core platform.