WallStSmart

F5 Networks Inc (FFIV)vsFortinet Inc (FTNT)

VS

Smart Verdict

WallStSmart Research — data-driven comparison

Fortinet Inc generates 120% more annual revenue ($7.11B vs $3.22B). FTNT leads profitability with a 27.5% profit margin vs 22.0%. FFIV appears more attractively valued with a PEG of 1.71. FTNT earns a higher WallStSmart Score of 67/100 (B-).

FFIV

Buy

63

out of 100

Grade: C+

Growth: 4.7Profit: 8.0Value: 3.3Quality: 7.5
Piotroski: 5/9Altman Z: 2.65

FTNT

Strong Buy

67

out of 100

Grade: B-

Growth: 8.0Profit: 9.5Value: 4.7Quality: 5.5
Piotroski: 5/9Altman Z: 1.50
IV

Intrinsic Value Comparison

Multi-model valuation · Graham Formula

FFIVSignificantly Overvalued (-23.4%)

Margin of Safety

-23.4%

Fair Value

$229.00

Current Price

$393.35

$164.35 premium

UndervaluedFair: $229.00Overvalued
FTNTUndervalued (+45.4%)

Margin of Safety

+45.4%

Fair Value

$265.15

Current Price

$149.67

$115.48 discount

UndervaluedFair: $265.15Overvalued

Key Strengths & Concerns

Side-by-side fundamental analysis

Key Strengths

FFIV3 strengths · Avg: 9.0/10
Debt/EquityHealth
0.0710/10

Conservative balance sheet, low leverage

Profit MarginProfitability
22.0%9/10

Keeps 22 of every $100 in revenue as profit

Operating MarginProfitability
22.0%8/10

Strong operational efficiency at 22.0%

FTNT6 strengths · Avg: 9.0/10
Return on EquityProfitability
197.5%10/10

Every $100 of equity generates 197 in profit

Operating MarginProfitability
31.3%10/10

Strong operational efficiency at 31.3%

Market CapQuality
$109.06B9/10

Large-cap with strong market position

Profit MarginProfitability
27.5%9/10

Keeps 28 of every $100 in revenue as profit

Revenue GrowthGrowth
20.1%8/10

Revenue surging 20.1% year-over-year

EPS GrowthGrowth
28.6%8/10

Earnings expanding 28.6% YoY

Areas to Watch

FFIV3 concerns · Avg: 4.0/10
PEG RatioValuation
1.714/10

Expensive relative to growth rate

P/E RatioValuation
32.5x4/10

Premium valuation, high expectations priced in

EPS GrowthGrowth
4.0%4/10

4.0% earnings growth

FTNT4 concerns · Avg: 2.5/10
Altman Z-ScoreHealth
1.504/10

Distress zone — elevated risk

PEG RatioValuation
3.322/10

Expensive relative to growth rate

P/E RatioValuation
57.7x2/10

Premium valuation, high expectations priced in

Price/BookValuation
110.9x2/10

Trading at 110.9x book value

Comparative Analysis Report

WallStSmart Research

Bull Case : FFIV

The strongest argument for FFIV centers on Debt/Equity, Profit Margin, Operating Margin. Profitability is solid with margins at 22.0% and operating margin at 22.0%. Revenue growth of 11.0% demonstrates continued momentum.

Bull Case : FTNT

The strongest argument for FTNT centers on Return on Equity, Operating Margin, Market Cap. Profitability is solid with margins at 27.5% and operating margin at 31.3%. Revenue growth of 20.1% demonstrates continued momentum.

Bear Case : FFIV

The primary concerns for FFIV are PEG Ratio, P/E Ratio, EPS Growth.

Bear Case : FTNT

The primary concerns for FTNT are Altman Z-Score, PEG Ratio, P/E Ratio. A P/E of 57.7x leaves little room for execution misses.

Key Dynamics to Monitor

FFIV profiles as a mature stock while FTNT is a growth play — different risk/reward profiles.

FFIV carries more volatility with a beta of 1.05 — expect wider price swings.

FTNT is growing revenue faster at 20.1% — sustainability is the question.

FTNT generates stronger free cash flow (1.0B), providing more financial flexibility.

Bottom Line

FTNT scores higher overall (67/100 vs 63/100), backed by strong 27.5% margins and 20.1% revenue growth. Both earn "Strong Buy" and "Buy" ratings respectively — the choice depends on your investment horizon and risk tolerance.

This analysis is generated from publicly available financial data. Not financial advice.

F5 Networks Inc

TECHNOLOGY · SOFTWARE - INFRASTRUCTURE · USA

F5, Inc. is an American company that specializes in application delivery networking (ADN), application availability & performance, multi-cloud management, application security, network security, access & authorization and online fraud prevention. F5 is headquartered in Seattle, Washington, with additional development, manufacturing, and administrative offices worldwide.

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Fortinet Inc

TECHNOLOGY · SOFTWARE - INFRASTRUCTURE · USA

Fortinet (Nasdaq: FTNT) is an American multinational corporation headquartered in Sunnyvale, California. It develops and sells cybersecurity solutions, including but not limited to physical products such as firewalls, plus software and services such as anti-virus protection, intrusion prevention systems and endpoint security components.

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