Fortinet (NASDAQ:FTNT) Updates FY 2026 Earnings Guidance

Fortinet (NASDAQ:FTNT) issued an update on its FY 2026 earnings guidance on Wednesday morning. The company provided EPS guidance of 3.410-3.470 for the period, compared to the consensus earnings per share 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 Stock Up 0.3%

Shares of NASDAQ:FTNT traded up $0.46 during trading on Thursday, hitting $153.68. 6,761,242 shares of the company were exchanged, compared to its average volume of 6,417,197. The company has a debt-to-equity ratio of 0.50, a current ratio of 1.15 and a quick ratio of 1.07. Fortinet has a 12-month low of $70.12 and a 12-month high of $170.35. The stock has a market capitalization of $112.59 billion, a P/E ratio of 59.56, a PEG ratio of 4.08 and a beta of 1.09. The firm’s 50 day moving average price is $149.45 and its 200-day moving average price is $108.19.

Fortinet (NASDAQ:FTNT) last posted its earnings results on Wednesday, July 29th. The software maker reported $0.90 EPS for the quarter, topping analysts’ consensus estimates of $0.75 by $0.15. The business had revenue of $2.05 billion for the quarter, compared to analysts’ expectations of $1.89 billion. Fortinet had a return on equity of 160.08% and a net margin of 27.49%.The business’s revenue was up 25.6% compared to the same quarter last year. During the same quarter in the previous year, the firm earned $0.64 earnings per share. 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, research analysts predict that Fortinet will post 2.8 earnings per share for the current fiscal year.

Wall Street Analyst Weigh In

A number of research analysts have weighed in on FTNT shares. Cantor Fitzgerald reissued an “overweight” rating and set a $185.00 price target (up from $165.00) on shares of Fortinet in a research note on Thursday. DZ Bank lowered shares of Fortinet from a “buy” rating to a “hold” rating and set a $125.00 price objective for the company. in a report on Tuesday, May 19th. Robert W. Baird set a $165.00 price target on Fortinet in a research report on Thursday. HC Wainwright restated a “buy” rating on shares of Fortinet in a research report on Thursday. Finally, UBS Group reaffirmed a “neutral” rating and issued a $180.00 target price on shares of Fortinet in a research report on Thursday. Two research analysts have rated the stock with a Strong Buy rating, ten have assigned a Buy rating, twenty-three have issued a Hold rating and four have assigned a Sell rating to the company. Based on data from MarketBeat, the stock presently has a consensus rating of “Hold” and a consensus price target of $148.94.

Insider Activity at Fortinet

In other Fortinet 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 transaction, the chief operating officer owned 94,724 shares of the company’s stock, valued at approximately $12,163,508.84. The trade was a 60.65% decrease in their ownership of the stock. The transaction was disclosed in a document filed with the Securities & Exchange Commission, which can be accessed through this hyperlink. Also, VP Michael Xie sold 3,907 shares of the firm’s stock in a transaction that occurred on Wednesday, June 3rd. The shares were sold at an average price of $146.44, for a total transaction of $572,141.08. Following the completion of the sale, the vice president directly owned 9,923,610 shares of the company’s stock, valued at approximately $1,453,213,448.40. This represents a 0.04% decrease in their position. 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. Insiders sold 318,387 shares of company stock valued at $43,403,063 in the last three months. 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: Quarterly results exceeded expectations. Fortinet reported adjusted EPS of $0.90 versus the $0.75 consensus estimate and revenue of approximately $2.05 billion versus expectations of $1.89 billion. Revenue grew 26% year over year, while GAAP net income rose to $606.3 million. Fortinet lifts annual revenue forecast on strong cybersecurity demand
• Positive Sentiment: Growth indicators were particularly strong. Product revenue jumped 52% to $773 million, billings increased 33% to $2.37 billion, and demand remained strong across AI infrastructure, SASE, firewall and operational-technology security offerings. Management highlighted expanding platform adoption and AI-security momentum. FTNT Q2 Earnings Call Highlights SASE Firewall Growth
• Positive Sentiment: Fortinet raised its outlook. Full-year 2026 revenue guidance was increased to roughly $8.02 billion-$8.18 billion, with EPS guidance of $3.41-$3.47, above the prior analyst consensus. Third-quarter revenue guidance of $2.01 billion-$2.10 billion and EPS guidance of $0.83-$0.87 also exceeded consensus estimates. Fortinet Reports Strong Second Quarter 2026 Financial Results
• Positive Sentiment: Analysts became more constructive. BTIG raised its price target to $203 from $186, Rosenblatt increased its target to $195 from $185, and BMO lifted its target to $185 from $170. BTIG and Rosenblatt maintained Buy ratings, reinforcing optimism about Fortinet’s growth trajectory.
• Neutral Sentiment: A broader rebound in technology stocks and Nasdaq futures provided a supportive market backdrop, although Fortinet’s gains were primarily driven by its earnings and guidance rather than general market conditions.
• Negative Sentiment: Valuation remains a risk. After a roughly 152% five-year run, FTNT trades at a premium valuation, requiring continued execution to justify further upside. Separately, reported insider activity showed substantial selling and no insider purchases over the past six months.

Institutional Inflows and Outflows

A number of hedge funds have recently added to or reduced their stakes in the business. Wexford Capital LP bought a new position in shares of Fortinet in the 3rd quarter valued at about $25,000. Palisade Asset Management LLC acquired a new position in shares of Fortinet in the 3rd quarter valued at approximately $28,000. Quarry LP bought a new position in Fortinet in the third quarter valued at approximately $33,000. Swiss RE Ltd. bought a new position in Fortinet in the fourth quarter valued at approximately $38,000. Finally, GW&K Investment Management LLC raised its position in Fortinet by 31.4% during the fourth quarter. GW&K Investment Management LLC now owns 515 shares of the software maker’s stock valued at $41,000 after purchasing an additional 123 shares in the last quarter. Institutional investors own 83.71% of the company’s stock.

About Fortinet

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.