WallStSmart

Fortinet Inc (FTNT)vsSonos Inc (SONO)

VS

Smart Verdict

WallStSmart Research — data-driven comparison

Fortinet Inc generates 373% more annual revenue ($6.80B vs $1.44B). FTNT leads profitability with a 27.3% profit margin vs -1.2%. FTNT earns a higher WallStSmart Score of 59/100 (C).

FTNT

Buy

59

out of 100

Grade: C

Growth: 5.3Profit: 9.5Value: 6.0Quality: 5.3
Piotroski: 4/9Altman Z: 1.80

SONO

Hold

42

out of 100

Grade: D

Growth: 4.7Profit: 4.0Value: 6.7Quality: 5.0
IV

Intrinsic Value Comparison

Multi-model valuation · Graham Formula

FTNTUndervalued (+66.4%)

Margin of Safety

+66.4%

Fair Value

$261.06

Current Price

$86.11

$174.95 discount

UndervaluedFair: $261.06Overvalued
SONOUndervalued (+42.1%)

Margin of Safety

+42.1%

Fair Value

$28.49

Current Price

$14.67

$13.82 discount

UndervaluedFair: $28.49Overvalued

Key Strengths & Concerns

Side-by-side fundamental analysis

Key Strengths

FTNT4 strengths · Avg: 9.5/10
Return on EquityProfitability
135.7%10/10

Every $100 of equity generates 136 in profit

Operating MarginProfitability
32.8%10/10

Strong operational efficiency at 32.8%

Market CapQuality
$63.71B9/10

Large-cap with strong market position

Profit MarginProfitability
27.3%9/10

Keeps 27 of every $100 in revenue as profit

SONO1 strengths · Avg: 10.0/10
EPS GrowthGrowth
87.5%10/10

Earnings expanding 87.5% YoY

Areas to Watch

FTNT4 concerns · Avg: 3.5/10
PEG RatioValuation
2.084/10

Expensive relative to growth rate

P/E RatioValuation
35.6x4/10

Premium valuation, high expectations priced in

Altman Z-ScoreHealth
1.804/10

Grey zone — moderate risk

Price/BookValuation
51.6x2/10

Trading at 51.6x book value

SONO4 concerns · Avg: 2.0/10
Market CapQuality
$1.77B3/10

Smaller company, higher risk/reward

Return on EquityProfitability
-3.9%2/10

ROE of -3.9% — below average capital efficiency

Revenue GrowthGrowth
-0.9%2/10

Revenue declined 0.9%

Profit MarginProfitability
-1.2%1/10

Currently unprofitable

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 27.3% and operating margin at 32.8%. Revenue growth of 14.8% demonstrates continued momentum.

Bull Case : SONO

The strongest argument for SONO centers on EPS Growth.

Bear Case : FTNT

The primary concerns for FTNT are PEG Ratio, P/E Ratio, Altman Z-Score.

Bear Case : SONO

The primary concerns for SONO are Market Cap, Return on Equity, Revenue Growth.

Key Dynamics to Monitor

FTNT profiles as a mature stock while SONO is a turnaround play — different risk/reward profiles.

SONO carries more volatility with a beta of 2.00 — expect wider price swings.

FTNT is growing revenue faster at 14.8% — sustainability is the question.

FTNT generates stronger free cash flow (577M), providing more financial flexibility.

Bottom Line

FTNT scores higher overall (59/100 vs 42/100), backed by strong 27.3% margins and 14.8% revenue growth. SONO offers better value entry with a 42.1% margin of safety. Both earn "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.

Sonos Inc

TECHNOLOGY · CONSUMER ELECTRONICS · USA

Sonos, Inc. designs, develops, manufactures, and sells multi-room audio products in the Americas, Europe, the Middle East, Africa, and Asia Pacific. The company is headquartered in Santa Barbara, California.

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