Fortinet(US:FTNT) Zhi Tong Cai Jing·2025-11-07 09:19Core Insights - Fortinet (FTNT.US) reported strong Q3 earnings with adjusted EPS of $0.74, exceeding market expectations of $0.63, and revenue growth of 14% year-over-year to $1.72 billion, surpassing the anticipated $1.7 billion [1] - The company anticipates Q4 revenue between $1.83 billion and $1.89 billion, with a midpoint of $1.86 billion, slightly below the expected $1.88 billion, and adjusted EPS guidance of $0.73 to $0.75, above the forecast of $0.67 [1] - For the full year 2025, Fortinet adjusted its revenue guidance to a range of $6.72 billion to $6.78 billion, down from the previous range of $6.68 billion to $6.83 billion, while maintaining an adjusted gross margin forecast of 80.3% to 80.8% [1] Analyst Ratings - Needham maintains a "Hold" rating without a price target, citing slow service revenue growth attributed to the lagging impact of last year's product revenue decline [2] - Citigroup keeps a "Neutral" rating but lowers the target price from $85 to $83, noting the tenth consecutive quarter of slowing service revenue growth and a lack of signs of recovery [2] - Mizuho maintains an "Underperform" rating and reduces the target price from $75 to $72, expressing concerns over recent execution challenges and intense competition in the SASE and SecOps markets [2] - Oppenheimer retains a "Neutral" rating without a price target, highlighting concerns over growth stability and uncertainties regarding service and SASE revenue growth rates [2] - Wedbush remains the most optimistic with an "Outperform" rating, lowering the target price from $100 to $90, focusing on profit margins and strong execution despite increased investments [2]