Core Insights - Four software stocks have shown significant growth ranking improvements, nearing the top 10th percentile, indicating robust earnings and revenue expansion [1][2] Group 1: Company Performance - DoubleVerify Holdings Inc. (DV) increased by 0.52 percentile points to a growth ranking of 90.22, but has declined by 28.35% year-to-date and 23.08% over the past year, showing a weaker price trend [8] - Fortinet Inc. (FTNT) also rose by 0.52 percentile points to a growth ranking of 90.30, with a year-to-date decline of 16.12% but a 3.71% increase over the year, maintaining a poor value ranking [8] - MongoDB Inc. (MDB) exhibited a remarkable improvement of 40.21 percentile points, moving from 51.25 to 91.46, with a year-to-date increase of 36.89% and a 12.87% rise over the year, reflecting strong business expansion [8] - Versus Systems Inc. (VS) progressed by 0.52 percentile points to a growth ranking of 90.39, with a year-over-year increase of 31.37% but a year-to-date decline of 12.23%, showing a weaker price trend [8] Group 2: Growth Metrics - The Benzinga Edge Stock Rankings growth metric assesses combined historical earnings and revenue expansion, focusing on long-term trends and recent performance relative to peers, with weekly updates for consistent measurement [7]

Core Insights - Fortinet (FTNT) is experiencing significant growth among large enterprise customers, with deals exceeding $1 million increasing over 50% year-over-year, driven by innovation and rising demand for integrated cybersecurity solutions [1][10] - The company's revenue profile is being reshaped by larger, multi-product contracts, with total billings rising 15% year-over-year in Q2 2025, and projected growth of 14% in 2025 and 11% in 2026 [2][4] Revenue and Growth - The preference for bundled solutions integrating firewalls, SD-WAN, SASE, and managed services is a major catalyst for growth, with Fortinet's Unified SASE and Security Operations businesses now accounting for approximately 35% of total billings [3][10] - Management has raised the full-year billings midpoint by $100 million, projecting revenues for 2025 to be between $6.67 billion and $6.82 billion, indicating a 13.3% growth at the midpoint [4][5] Competitive Landscape - Palo Alto Networks (PANW) competes with Fortinet in large enterprise deals, leveraging its AI-driven platforms and strong integration capabilities [6] - CrowdStrike Holdings (CRWD) also poses a challenge with its AI-native Falcon platform, enhancing its position through strategic partnerships and integrated deployments with Fortinet [7] Valuation and Performance - Year-to-date, Fortinet shares have declined by 15.2%, underperforming the Zacks Security industry's gain of 12.5% and the Computer and Technology sector's rise of 16% [8] - Fortinet's current Price/Book ratio stands at 29.85X, which is higher than the industry's 21.12X, indicating a potentially overvalued position [11] Earnings Estimates - The consensus estimate for 2025 earnings is $2.51 per share, reflecting a year-over-year growth of 5.91% [14]

On this news, Fortinet's stock price fell $21.28 per share, or 22.03%, to close at $75.30 per share on August 7, 2025. If you are a Fortinet investor and would like to learn more about our investigation, please CLICK HERE to fill out our online form or contact Kessler Topaz Meltzer & Check, LLP: Jonathan Naji, Esq. (484) 270- 1453 or E-mail at [email protected]. You can also click on the following link or paste it in your browser: https://www.ktmc.com/fortinet-inc-investigation?utm_source=PR_Newswire&mktm ...

Core Insights - The tech landscape is rapidly changing, with cybersecurity and tech stocks being closely monitored for investment opportunities [1] - Expert opinions, including those from Jim Cramer and Morgan Stanley analyst Meta Marshall, are influencing investment decisions in the cybersecurity sector [2] Cybersecurity Sector - Jim Cramer identified Fortinet, Inc. (FTNT) as the weakest in cybersecurity, recommending Palo Alto Networks, Inc. (PANW) and CrowdStrike Holdings, Inc. (CRWD) instead [1] - Morgan Stanley downgraded Fortinet from Equal-Weight to Underweight, lowering the price target from $78 to $67 [2] Technology Companies - Cramer advised against investing in Super Micro Computer, Inc. (SMCI) due to ongoing accounting issues, recommending Dell Technologies Inc. (DELL) instead [2] - Nokia (NOK) announced a partnership with Super Micro Computer to provide AI-optimized data center networking solutions for various sectors [3] Oil and Energy Sector - Cramer expressed a negative outlook on Obsidian Energy Ltd. (OBE) due to declining oil prices [3] - Obsidian Energy revised its year-end 2025 net debt guidance to $213 million and completed a share buyback [4] Earnings Reports - Marvell Technology, Inc. (MRVL) reported quarterly earnings of $0.67 per share, beating estimates, but its revenue of $2.006 billion fell short of expectations [4] Stock Performance - Fortinet shares rose 1.9% to $80.36, Super Micro Computer shares fell 0.9% to $40.04, Obsidian Energy shares closed at $5.84, and Marvell Technology shares gained 4.2% to $66.00 [6]

Core Viewpoint - Pomerantz LLP is investigating potential securities fraud or unlawful business practices involving Fortinet, Inc. following disappointing financial results and subsequent stock price decline [1][2]. Financial Performance - On August 6, 2025, Fortinet reported second quarter 2025 financial results that were deemed disappointing, leading to confusion among investors regarding the company's revenue growth [2]. - The company indicated that 40% to 50% of its accelerated firewall refresh, estimated at a $450 million opportunity, was completed, yet this did not translate into expected product revenue growth [2]. Stock Market Reaction - Following the announcement of the disappointing financial results, Fortinet's stock price dropped by $21.28 per share, or 22.03%, closing at $75.30 per share on August 7, 2025 [2].

Core Viewpoint - Pomerantz LLP is investigating potential securities fraud or unlawful business practices involving Fortinet, Inc. and its officers or directors following disappointing financial results and a significant stock price drop [1][3]. Financial Performance - On August 6, 2025, Fortinet reported disappointing second quarter 2025 financial results, leading to confusion among investors regarding the company's performance [3]. - The company indicated that 40% to 50% of its accelerated firewall refresh, estimated at a $450 million opportunity, was completed, yet product revenue growth and billings did not meet expectations [3]. - Following the announcement, Fortinet's stock price fell by $21.28 per share, or 22.03%, closing at $75.30 per share on August 7, 2025 [3]. Legal Investigation - Pomerantz LLP is actively investigating claims on behalf of Fortinet investors, suggesting potential securities fraud or other unlawful practices by the company and its leadership [1].

Core Insights - Fortinet (FTNT) is experiencing significant growth driven by the rising demand for Unified SASE and SecOps, with Unified SASE billings increasing by 21% year over year and SecOps billings rising by 31% in Q2 2025, together accounting for approximately 35% of total billings [1][10] - The company has raised its full-year billings outlook midpoint by $100 million, reflecting strong enterprise adoption and demand for cloud-delivered services [3][10] - Fortinet's unique position as the only vendor to develop all core SASE capabilities within a single operating system, FortiOS, enhances its competitive edge by reducing cost and complexity [4] Financial Performance - Projected revenues for 2025 are expected to grow by 12.8% year over year to $6.72 billion, with total billings anticipated to increase by 13.9% to $7.44 billion, highlighting the momentum from SASE and SecOps as long-term growth drivers [5] - The consensus estimate for 2025 earnings is $2.51 per share, indicating a year-over-year growth of 5.91% [14] Competitive Landscape - Cisco Systems (CSCO) leverages its network dominance to provide integrated security solutions, focusing on large enterprises with advanced threat protection and scalability, contrasting with Fortinet's cost-effective approach [6] - Check Point Software (CHKP) is recognized for its Infinity Platform and emphasizes real-time threat prevention, often outperforming Fortinet in malware and phishing benchmarks, thus strengthening its market position [7] Market Performance - Year to date, FTNT shares have declined by 19%, underperforming the Zacks Security industry's gain of 8.6% and the Zacks Computer and Technology sector's rise of 11.8% [8][11]

Core Insights - The cybersecurity landscape is rapidly evolving, with Fortinet (FTNT) and Cisco Systems (CSCO) as key competitors in the network security market, which is projected to grow from $24.95 billion in 2025 to $42.93 billion by 2030, at a CAGR of 11.47% [1][8] Fortinet (FTNT) Overview - Fortinet's investment thesis is based on its strong execution and focused strategy in the high-growth security market, reporting Q2 revenues of $1.63 billion, a 14% year-over-year increase, and billings of $1.78 billion, up 15% [3][4] - The company boasts industry-leading non-GAAP operating margins of 33% in Q2, reflecting operational efficiency, and has raised its full-year 2025 billings guidance to $7.325-$7.475 billion [4] - Fortinet's competitive edge comes from its FortiAI innovations, with over 500 AI patents, and its recognition in multiple Gartner Magic Quadrants, indicating its leadership in various security segments [5] - The company is successfully transitioning to recurring revenue models, with Unified SASE ARR growing 22% and Security Operations ARR expanding 35% year-over-year [5] - Fortinet's proprietary ASIC-driven architecture and recent product launches position it well to capitalize on the convergence of networking and security [6] Cisco Systems (CSCO) Overview - Cisco reported fiscal Q4 revenues of $14.67 billion, a 7.6% increase year-over-year, with product orders growing 7% across all regions [7][10] - The integration of Splunk enhances Cisco's observability capabilities but complicates its security innovation efforts, leading to operational challenges [10][11] - Cisco's fiscal Q1 2026 revenue guidance of $14.65-$14.85 billion suggests modest growth, with management acknowledging headwinds from tariffs and challenges in converting AI investments into revenue [10] - Despite introducing innovations, Cisco struggles to maintain relevance in pure security, with security revenue growth coming from a smaller base and including Splunk contributions [11] Valuation and Performance Comparison - Fortinet trades at a forward P/S ratio of 8.09X, significantly higher than Cisco's 4.49X, justified by Fortinet's superior growth profile and execution consistency [12][15] - Fortinet's revenues are projected to grow 13.29% to $6.75 billion in 2025, while Cisco's fiscal 2026 revenue growth is estimated at 5.19% to $59.59 billion [15] - Year-to-date, Fortinet shares have declined 20%, while Cisco's shares have gained 14.6%, indicating differing market perceptions of their respective strategies [15] Conclusion - Fortinet is positioned as a superior investment opportunity due to its focused security strategy, consistent double-digit revenue growth, and leadership in critical technologies [19] - Cisco's execution challenges and legacy portfolio complexity limit its near-term growth potential, making Fortinet's premium valuation justified [19]

Core Insights - Fortinet, Inc. is under investigation for potential violations of federal securities laws following its second quarter 2025 financial results [1][2] - The company reported that it was "approximately 40% to 50% of the way through the 2026 firewall upgrade cycle" and provided weaker-than-expected revenue guidance for Q3 2025, projecting revenue between $1.67 billion and $1.73 billion [2] - Following this announcement, Fortinet's stock price dropped by $21.28, or 22%, closing at $75.30 per share on August 7, 2025, resulting in losses for investors [3] Investigation Details - The Law Offices of Frank R. Cruz are investigating Fortinet on behalf of investors who may have lost money due to the company's recent disclosures [1][2] - Investors are encouraged to inquire about potentially pursuing claims to recover their losses [2][4]

Core Viewpoint - Fortinet, Inc. is under investigation for potential violations of federal securities laws following the release of its second quarter 2025 financial results, which included weaker-than-expected revenue guidance and updates on its firewall upgrade cycle [1][2]. Financial Performance - On August 6, 2025, Fortinet reported that it was "approximately 40% to 50% of the way through the 2026 firewall upgrade cycle" at the end of the second quarter [2]. - The company projected third quarter revenue between $1.67 billion and $1.73 billion, which was below market expectations [2]. Stock Market Reaction - Following the announcement of the financial results and guidance, Fortinet's stock price dropped by $21.28, or 22%, closing at $75.30 per share on August 7, 2025 [3].