Analyst Shaul Eyal from TD Cowen maintained a Buy rating on Fortinet and keeping the price target at $135.00.
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Shaul Eyal has given his Buy rating due to a combination of factors that suggest Fortinet is poised for strong performance. The company’s second-quarter results are expected to surpass the highest estimates for revenue and billings, driven by ongoing demand in key areas such as firewall refresh cycles, Secure Access Service Edge (SASE) adoption, and security operations. Additionally, the positive implications of generative AI and a stable macroeconomic environment contribute to a favorable outlook.
Furthermore, Eyal highlights that Fortinet’s performance is expected to be robust across various regions, with significant contributions from EMEA, the Americas, and APAC. The depreciation of the USD against the Euro is anticipated to support healthy performance in the EU. The company’s product revenue and billing estimates have been revised upwards, reflecting confidence in continued growth. Overall, the mission-critical nature of security spending and the inelastic demand trends bolster the Buy rating for Fortinet.