WallStSmart

Fortinet Inc (FTNT)vsOuster, Inc. Common Stock (OUST)

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Smart Verdict

WallStSmart Research — data-driven comparison

Fortinet Inc generates 3746% more annual revenue ($7.88B vs $204.91M). FTNT leads profitability with a 29.0% profit margin vs -26.0%. FTNT earns a higher WallStSmart Score of 75/100 (B+).

FTNT

Strong Buy

75

out of 100

Grade: B+

Growth: 8.7Profit: 10.0Value: 6.7Quality: 6.5
Piotroski: 5/9Altman Z: 1.50

OUST

Avoid

28

out of 100

Grade: F

Growth: 8.0Profit: 2.0Value: 6.0Quality: 7.0
Piotroski: 5/9Altman Z: -1.51
IV

Intrinsic Value Comparison

Multi-model valuation · Graham Formula

FTNTUndervalued (+58.4%)

Margin of Safety

+58.4%

Fair Value

$285.80

Current Price

$118.84

$166.96 discount

UndervaluedFair: $285.80Overvalued
OUSTUndervalued (+24.4%)

Margin of Safety

+24.4%

Fair Value

$24.98

Current Price

$34.80

$9.82 discount

UndervaluedFair: $24.98Overvalued

Key Strengths & Concerns

Side-by-side fundamental analysis

Key Strengths

FTNT6 strengths · Avg: 9.2/10
Return on EquityProfitability
136.7%10/10

Every $100 of equity generates 137 in profit

Operating MarginProfitability
33.8%10/10

Strong operational efficiency at 33.8%

Market CapQuality
$99.98B9/10

Large-cap with strong market position

Profit MarginProfitability
29.0%9/10

Keeps 29 of every $100 in revenue as profit

Debt/EquityHealth
0.229/10

Conservative balance sheet, low leverage

Revenue GrowthGrowth
20.5%8/10

Revenue surging 20.5% year-over-year

OUST2 strengths · Avg: 10.0/10
Revenue GrowthGrowth
55.9%10/10

Revenue surging 55.9% year-over-year

Debt/EquityHealth
0.0410/10

Conservative balance sheet, low leverage

Areas to Watch

FTNT3 concerns · Avg: 2.7/10
Altman Z-ScoreHealth
1.504/10

Distress zone — elevated risk

P/E RatioValuation
44.5x2/10

Premium valuation, high expectations priced in

Price/BookValuation
38.8x2/10

Trading at 38.8x book value

OUST4 concerns · Avg: 2.5/10
EPS GrowthGrowth
0.0%4/10

0.0% earnings growth

Return on EquityProfitability
-20.3%2/10

ROE of -20.3% — below average capital efficiency

Free Cash FlowQuality
$-15.41M2/10

Negative free cash flow — burning cash

Altman Z-ScoreHealth
-1.512/10

Distress zone — elevated risk

Comparative Analysis Report

WallStSmart Research

Bull 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 : OUST

The strongest argument for OUST centers on Revenue Growth, Debt/Equity. Revenue growth of 55.9% 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 : OUST

The primary concerns for OUST are EPS Growth, Return on Equity, Free Cash Flow.

Key Dynamics to Monitor

FTNT profiles as a growth stock while OUST is a hypergrowth play — different risk/reward profiles.

OUST carries more volatility with a beta of 3.23 — expect wider price swings.

OUST is growing revenue faster at 55.9% — sustainability is the question.

FTNT generates stronger free cash flow (882M), providing more financial flexibility.

Bottom Line

FTNT scores higher overall (75/100 vs 28/100), backed by strong 29.0% margins and 20.5% revenue growth. OUST offers better value entry with a 24.4% margin of safety. Both earn "Strong Buy" and "Avoid" 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.

Ouster, Inc. Common Stock

TECHNOLOGY · ELECTRONIC COMPONENTS · USA

Ouster, Inc. designs and manufactures digital lidar sensors for the industrial automation, intelligent infrastructure, robotics and automotive markets. The company is headquartered in San Francisco, California.

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