Fortinet's shares down 27% due to weaker-than-expected results and slowing sales, but 7.2% revenue growth and EPS exceed expectations.
Fortinet's shares are down 27% from their 52-week high due to weaker-than-expected results and slowing sales. However, investors shouldn't dismiss the cybersecurity leader, as its first-quarter earnings report showed total revenue growth of 7.2% and EPS of $0.43 exceeding Wall Street expectations. A 6.4% decline in billings, the first since the company's 2009 IPO, is concerning but context reveals a supply chain shortage of networking equipment. Despite recent volatility, Fortinet's positive outlook suggests shares could rebound.
June 09, 2024
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