Fortinet (FTNT) Stock Gains on Earnings Beat, Strong Guidance

Fortinet, Inc. (FTNT) just released its latest quarterly financial results, posting non-GAAP earnings of $0.33 per share and revenues of $399.0 million.

Currently, FTNT is a Zacks Rank #2 (Buy), but that could change based on today’s results. Shares of the company have gained about 3% over the past month, including a 0.3% gain during regular trading hours today.

The stock is currently up 3.4% to $58.00 per share in after-hours trading shortly after its earnings report was released.

Fortinet:

Beat earnings estimates. The company posted adjusted earnings of $0.33 per share, cruising past the Zacks Consensus Estimate of $0.24. Investors should note that this consensus projection has trended upward over the duration of the quarter.

Beat revenue estimates. The company saw revenue figures of $399.0 million, surpassing our consensus estimate of $390.8 million.

Total revenue climbed 17% year over year, while non-GAAP net income improved more than 94%. Product revenue was up 6% and Service revenue soared 25%. Total billings were $463.2 million, an increase of 15%.

“Our market leadership was once again demonstrated by strong first quarter revenue and billings growth,” said CEO Ken Xie. “As more organizations move towards consolidation, Fortinet’s Security Fabric architecture and broad end-to-end portfolio of security solutions provides the integration and automation required to protect enterprises at every point across their IT infrastructure.”

For the second quarter of 2018, Fortinet expects revenue in the range of $420 million to $430 million. Non-GAAP earnings per share are expected to be in the range of $0.34 to $0.36. Prior to the report, our Zacks Consensus Estimates were calling for revenue of $415.3 million and earnings of $0.33 per share.

Here’s a graph that looks at Fortinet’s recent earnings performance:

Fortinet, Inc. Price, Consensus and EPS Surprise

Fortinet, Inc. Price, Consensus and EPS Surprise | Fortinet, Inc. Quote

Fortinet, Inc., headquartered in Sunnyvale, California, is a provider of network security appliances and Unified Threat Management network security solutions to enterprises, service providers and government entities worldwide.

Check back later for our full analysis on FTNT’s earnings report!

Want more market analysis from this author? Make sure to follow @Ryan_McQueeney on Twitter!

Looking for Stocks with Skyrocketing Upside?

Zacks has just released a Special Report on the booming investment opportunities of legal marijuana.

Ignited by new referendums and legislation, this industry is expected to blast from an already robust $6.7 billion to $20.2 billion in 2021. Early investors stand to make a killing, but you have to be ready to act and know just where to look.

See the pot trades we're targeting>>

Want the latest recommendations from Zacks Investment Research? Today, you can download 7 Best Stocks for the Next 30 Days. Click to get this free report
 
Fortinet, Inc. (FTNT) : Free Stock Analysis Report
 
To read this article on Zacks.com click here.
 
Zacks Investment Research