Stifel analyst Adam Borg lowered the firm’s price target on Fortinet (FTNT) to $85 from $95 and keeps a Hold rating on the shares. While Fortinet delivered a “fine” Q2 report and FY25 billings guidance went higher beyond the beat, the “big focus on the call” was management’s commentary that the FY26 end-of-support firewall refresh opportunity is now 40%-50% completed, the analyst tells investors. Downplaying the opportunity along with the follow-on FY27 EOS cohort, along with services softness and some churn commentary and questions around Fortinet’s sustainable growth rate weighed on shares, adds the analyst, who remains on the sidelines given mixed signals around Fortinet’s firewall refresh opportunity.
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Read More on FTNT:
- Fortinet’s Growth Prospects and Challenges: Analyst Maintains Hold Rating Amid Market Uncertainties
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