Fortinet price target lowered to $95 from $115 at Stifel

Stifel lowered the firm’s price target on Fortinet (FTNT) to $95 from $115 and keeps a Hold rating on the shares. Fortinet delivered a “solid” fiscal Q1 report, Q2 guidance brackets consensus, and FY25 top-line guidance was reaffirmed with operating margin modestly ticking higher. However, shares traded off over 12% in after-hours given stronger expectations coupled with “a mixed tone and some noisy commentary,” the analyst tells investors. The firm continues to assess signs of further firewall improvements, along with SASE/SecOps attach, as part of Fortinet’s upcoming refresh cycle. The analyst adds that it thinks some of Fortinet’s mixed tone and hesitancy can weigh on Palo Alto Networks (PANW) shares, adding that the firm has seen several initial softer Palo-related checks as it works through its April end-of-quarter checks.