Fortinet, Inc.FTNT
NasdaqGS•Technology•Software - Infrastructure
Fortinet, Inc. provides cybersecurity and convergence of networking and security solutions worldwide. The company offers FortiOS, a unified operating system designed to address cybersecurity threats; FortiASIC application-specific integrated circuit (ASIC)-based security processing units; FortiCloud, a private cloud software as a service platform; FortiAI, which provides a dual-layered defense across the Fortinet Security Fabric; FortiEndpoint, which converges secure connectivity, endpoint protection, and capabilities into a single agent; and OT Security, which protect the engineered systems that underpin infrastructure and supply chains. It also provides secure networking solutions that focus on the convergence of networking and security; network firewall solutions comprising FortiGate data centers, hyperscale, and distributed firewalls; wireless local area network solutions; and secure connectivity solutions. In addition, the company offers the Fortinet Unified Secure Access Service Edge solutions that include firewall, software-defined wide-area network, secure web gateway, cloud access services broker, data loss prevention, and zero trust network access; and web application firewalls, cloud network security with virtualized firewalls, cloud-native firewalls, cloud-native application protection, and code security. Further, it provides AI-driven security operation solutions, which include a suite of cybersecurity solutions, as well as FortiEDR, FortiXDR, FortiNDR, FortiSandbox, FortiDeceptor, FortiDLP, and FortiRecon. Additionally, the company offers FortiGuard Labs, a cybersecurity threat intelligence and research organization; FortiGuard and Other Security Services, a suite of AI-powered security capabilities that consists of FortiGuard application, content, device, NOC/SOC, and web security services; and FortiCare technical support services. Fortinet, Inc. was incorporated in 2000 and is headquartered in Sunnyvale, California.
Fortinet, Inc. (FTNT) reported trailing twelve months revenue of $7.11B as of March 2026, a 15.7% increase year-over-year. Quarterly revenue reached $1.85B, reflecting continued top-line momentum.
Fortinet, Inc. generated $1.95B in TTM net income, with quarterly EBITDA of $619.80M. The operating margin expanded from 29.5% to 31.4%, suggesting improving cost efficiency and pricing discipline.
The spread between operating margin (31.4%) and net margin (28.9%) indicates tight cost control with minimal non-operating drag. Net margin has improved from 28.1% a year ago, signaling stronger bottom-line efficiency.
FTNT trades at a P/E of 55.6x (a premium multiple) and a P/S of 15.3x. The price-to-book ratio of 109.7x indicates a significant premium over book value.
The company generated $1.01B in free cash flow over the trailing twelve months, a 26.3% increase year-over-year, indicating cash generation ability. The balance sheet shows $9.88B in total assets with $496.80M in long-term debt against $989.70M in stockholders equity for a debt-to-equity ratio of 0.5. Data based on the most recent quarterly reports.
Competitive analysis based on 21 quarters of fundamental data
Operating margins are stable at ~31.2%, suggesting durable pricing power and cost discipline.
Consistently high ROE averaging 191.6% suggests a durable competitive advantage and efficient capital allocation.
Free cash flow is consistently positive and growing — a hallmark of a capital-light business that can self-fund growth.
TTM revenue has grown consistently (7 of 7 quarters up), with ~28.4% growth over the period. Strong demand durability.
Data-driven red flags and warnings across 21 quarters
Margins are stable or improving at ~31.0% — no sign of cost or pricing stress.
FCF covers net income by 1.2x on average — earnings are well-supported by cash generation.
Debt-to-equity has risen 98.6% recently — increasing financial risk even if the current ratio is manageable.
Revenue is stable or growing over recent quarters — demand appears durable.
Free cash flow is consistently positive — the business self-funds without external capital reliance.
Shares decreased 3.3% — net buybacks are reducing shares outstanding and boosting per-share value.