Fortinet Inc (FTNT)vsSemtech Corporation (SMTC)
FTNT
Fortinet Inc
$149.67
+0.41%
TECHNOLOGY · Cap: $109.52B
SMTC
Semtech Corporation
$169.35
+5.35%
TECHNOLOGY · Cap: $15.53B
Smart Verdict
WallStSmart Research — data-driven comparison
Fortinet Inc generates 552% more annual revenue ($7.11B vs $1.09B). FTNT leads profitability with a 27.5% profit margin vs -3.0%. FTNT appears more attractively valued with a PEG of 3.37. FTNT earns a higher WallStSmart Score of 67/100 (B-).
FTNT
Strong Buy67
out of 100
Grade: B-
SMTC
Hold37
out of 100
Grade: F
Intrinsic Value Comparison
Multi-model valuation · Graham Formula
Margin of Safety
+44.5%
Fair Value
$265.15
Current Price
$149.67
$115.48 discount
Intrinsic value data unavailable for SMTC.
Key Strengths & Concerns
Side-by-side fundamental analysis
Key Strengths
Every $100 of equity generates 197 in profit
Strong operational efficiency at 31.3%
Large-cap with strong market position
Keeps 28 of every $100 in revenue as profit
Revenue surging 20.1% year-over-year
Earnings expanding 28.6% YoY
15.9% revenue growth
Earnings expanding 22.7% YoY
Areas to Watch
Distress zone — elevated risk
Expensive relative to growth rate
Premium valuation, high expectations priced in
Trading at 110.9x book value
Expensive relative to growth rate
Trading at 27.5x book value
ROE of -5.8% — below average capital efficiency
Distress zone — elevated risk
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 27.5% and operating margin at 31.3%. Revenue growth of 20.1% demonstrates continued momentum.
Bull Case : SMTC
The strongest argument for SMTC centers on Revenue Growth, EPS Growth. Revenue growth of 15.9% demonstrates continued momentum.
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.
Bear Case : SMTC
The primary concerns for SMTC are PEG Ratio, Price/Book, Return on Equity.
Key Dynamics to Monitor
SMTC carries more volatility with a beta of 2.32 — 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.
Monitor SOFTWARE - INFRASTRUCTURE industry trends, competitive dynamics, and regulatory changes.
Bottom Line
FTNT scores higher overall (67/100 vs 37/100), backed by strong 27.5% margins and 20.1% 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.
Semtech Corporation
TECHNOLOGY · SEMICONDUCTORS · USA
Semtech Corporation designs, develops, manufactures, and markets mixed-signal and analog semiconductor products and advanced algorithms. The company is headquartered in Camarillo, California.
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