Fortinet Inc (FTNT)vsStoneCo Ltd (STNE)
FTNT
Fortinet Inc
$118.84
-3.00%
TECHNOLOGY · Cap: $99.98B
STNE
StoneCo Ltd
$7.49
-2.60%
TECHNOLOGY · Cap: $1.79B
Smart Verdict
WallStSmart Research — data-driven comparison
StoneCo Ltd generates 72% more annual revenue ($13.59B vs $7.88B). FTNT leads profitability with a 29.0% profit margin vs 24.7%. STNE trades at a lower P/E of 3.0x. FTNT earns a higher WallStSmart Score of 75/100 (B+).
FTNT
Strong Buy75
out of 100
Grade: B+
STNE
Strong Buy66
out of 100
Grade: B-
Intrinsic Value Comparison
Multi-model valuation · Graham Formula
Margin of Safety
+52.5%
Fair Value
$286.50
Current Price
$118.84
$167.66 discount
Margin of Safety
+79.2%
Fair Value
$85.05
Current Price
$7.49
$77.56 discount
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
Attractively priced relative to earnings
Reasonable price relative to book value
Strong operational efficiency at 39.6%
Every $100 of equity generates 28 in profit
Keeps 25 of every $100 in revenue as profit
Generating 1.7B in free cash flow
Areas to Watch
Distress zone — elevated risk
Premium valuation, high expectations priced in
Trading at 38.8x book value
1.6% revenue growth
Smaller company, higher risk/reward
Elevated debt levels
Earnings declined 16.6%
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 : STNE
The strongest argument for STNE centers on P/E Ratio, Price/Book, Operating Margin. Profitability is solid with margins at 24.7% and operating margin at 39.6%.
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 : STNE
The primary concerns for STNE are Revenue Growth, Market Cap, Debt/Equity. Debt-to-equity of 1.81 is elevated, increasing financial risk.
Key Dynamics to Monitor
FTNT profiles as a growth stock while STNE is a value play — different risk/reward profiles.
STNE carries more volatility with a beta of 1.54 — expect wider price swings.
FTNT is growing revenue faster at 20.5% — sustainability is the question.
STNE generates stronger free cash flow (1.7B), providing more financial flexibility.
Bottom Line
FTNT scores higher overall (75/100 vs 66/100), backed by strong 29.0% margins and 20.5% revenue growth. STNE offers better value entry with a 79.2% margin of safety. Both earn "Strong Buy" and "Strong 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.
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.
StoneCo Ltd
TECHNOLOGY · SOFTWARE - INFRASTRUCTURE · USA
StoneCo Ltd. provides fintech solutions to merchants and integrated partners to conduct e-commerce through store, online and mobile channels in Brazil.
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