Fortinet Inc (FTNT)vsCloudflare Inc (NET)
FTNT
Fortinet Inc
$136.08
-2.17%
TECHNOLOGY · Cap: $99.98B
NET
Cloudflare Inc
$280.70
-9.54%
TECHNOLOGY · Cap: $105.51B
Smart Verdict
WallStSmart Research — data-driven comparison
Fortinet Inc generates 214% more annual revenue ($7.88B vs $2.51B). FTNT leads profitability with a 29.0% profit margin vs -8.2%. FTNT appears more attractively valued with a PEG of 1.50. FTNT earns a higher WallStSmart Score of 75/100 (B+).
FTNT
Strong Buy75
out of 100
Grade: B+
NET
Hold35
out of 100
Grade: F
Intrinsic Value Comparison
Multi-model valuation · Graham Formula
Margin of Safety
+52.5%
Fair Value
$286.50
Current Price
$136.08
$150.42 discount
Margin of Safety
-66.9%
Fair Value
$184.12
Current Price
$280.70
$96.58 premium
Key Strengths & Concerns
Side-by-side fundamental analysis
Key Strengths
Every $100 of equity generates 137 in profit
Strong operational efficiency at 33.8%
Large-cap with strong market position
Keeps 29 of every $100 in revenue as profit
Revenue surging 20.5% year-over-year
Earnings expanding 38.7% YoY
Revenue surging 35.9% year-over-year
Large-cap with strong market position
Areas to Watch
Distress zone — elevated risk
Premium valuation, high expectations priced in
Trading at 44.5x book value
Expensive relative to growth rate
0.0% earnings growth
Weak financial health signals
Trading at 61.7x book value
Comparative Analysis Report
WallStSmart ResearchBull Case : FTNT
The strongest argument for FTNT centers on Return on Equity, Operating Margin, Market Cap. Profitability is solid with margins at 29.0% and operating margin at 33.8%. Revenue growth of 20.5% demonstrates continued momentum.
Bull Case : NET
The strongest argument for NET centers on Revenue Growth, Market Cap. Revenue growth of 35.9% demonstrates continued momentum.
Bear Case : FTNT
The primary concerns for FTNT are Altman Z-Score, P/E Ratio, Price/Book. A P/E of 44.5x leaves little room for execution misses.
Bear Case : NET
The primary concerns for NET are PEG Ratio, EPS Growth, Piotroski F-Score. Debt-to-equity of 2.18 is elevated, increasing financial risk.
Key Dynamics to Monitor
FTNT profiles as a growth stock while NET is a hypergrowth play — different risk/reward profiles.
NET carries more volatility with a beta of 1.65 — expect wider price swings.
NET is growing revenue faster at 35.9% — sustainability is the question.
FTNT generates stronger free cash flow (966M), providing more financial flexibility.
Bottom Line
FTNT scores higher overall (75/100 vs 35/100), backed by strong 29.0% margins and 20.5% revenue growth. Both earn "Strong Buy" and "Hold" ratings respectively — the choice depends on your investment horizon and risk tolerance.
This analysis is generated from publicly available financial data. Not financial advice.
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.
Cloudflare Inc
TECHNOLOGY · SOFTWARE - INFRASTRUCTURE · USA
CloudFlare, Inc. operates a cloud platform that offers a range of network services to companies around the world. The company is headquartered in San Francisco, California.
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