Fortinet Stock Analysis (NASDAQ:FTNT)
Fortinet Analysis Video
View Fortinet stock analysis video. This is our FTNT analyst opinion covering the buy and sell arguments for FTNT stock.
Fortinet Inc Stock Rating (2.8/5)
Our Fortinet stock opinion is based on fundamentals of the company. This Fortinet stock analysis is based on latest Q4 earnings for 2016. The stock price analysis takes into account a company's valuation metrics.
Should you buy FTNT stock?
- Fortinet sales grew by 22.4% year on year in 2016 Q4.
- Revenue growth has been tremendous with a compounded annual growth of 24.1% over the last 5 years.
- The company has an operating cash flow which is 4 times the net income. We see this as a positive signal.
- The company has a healthy free cash flow margin of 23.2%.
Should you sell FTNT stock?
- Trading at a PE ratio of 165.4, FTNT stock is overvalued in comparison to industry average multiple of 25.8.
- The company is trading at a price to sales multiple of 4.9, which is higher in comparison to the Computer-Integrated Systems industry average of 2.6, making FTNT stock expensive.