WallStSmart

Fortinet Inc (FTNT)vsTeradyne Inc (TER)

VS

Smart Verdict

WallStSmart Research — data-driven comparison

Fortinet Inc generates 69% more annual revenue ($7.53B vs $4.46B). FTNT leads profitability with a 28.2% profit margin vs 25.8%. TER appears more attractively valued with a PEG of 0.68. TER earns a higher WallStSmart Score of 79/100 (B+).

FTNT

Strong Buy

73

out of 100

Grade: B

Growth: 8.7Profit: 9.5Value: 5.3Quality: 6.0
Piotroski: 5/9Altman Z: 1.50

TER

Strong Buy

79

out of 100

Grade: B+

Growth: 8.0Profit: 10.0Value: 5.0Quality: 8.0
Piotroski: 4/9Altman Z: 2.98
IV

Intrinsic Value Comparison

Multi-model valuation · Graham Formula

FTNTUndervalued (+43.5%)

Margin of Safety

+43.5%

Fair Value

$276.16

Current Price

$170.18

$105.98 discount

UndervaluedFair: $276.16Overvalued

Intrinsic value data unavailable for TER.

Key Strengths & Concerns

Side-by-side fundamental analysis

Key Strengths

FTNT6 strengths · Avg: 9.0/10
Return on EquityProfitability
136.7%10/10

Every $100 of equity generates 137 in profit

Operating MarginProfitability
33.6%10/10

Strong operational efficiency at 33.6%

Market CapQuality
$114.51B9/10

Large-cap with strong market position

Profit MarginProfitability
28.2%9/10

Keeps 28 of every $100 in revenue as profit

Revenue GrowthGrowth
25.6%8/10

Revenue surging 25.6% year-over-year

EPS GrowthGrowth
43.9%8/10

Earnings expanding 43.9% YoY

TER6 strengths · Avg: 9.8/10
Return on EquityProfitability
33.5%10/10

Every $100 of equity generates 33 in profit

Operating MarginProfitability
33.2%10/10

Strong operational efficiency at 33.2%

Revenue GrowthGrowth
103.9%10/10

Revenue surging 103.9% year-over-year

EPS GrowthGrowth
385.8%10/10

Earnings expanding 385.8% YoY

Debt/EquityHealth
0.0310/10

Conservative balance sheet, low leverage

Market CapQuality
$59.37B9/10

Large-cap with strong market position

Areas to Watch

FTNT4 concerns · Avg: 3.0/10
PEG RatioValuation
1.744/10

Expensive relative to growth rate

Altman Z-ScoreHealth
1.504/10

Distress zone — elevated risk

P/E RatioValuation
56.1x2/10

Premium valuation, high expectations priced in

Price/BookValuation
80.7x2/10

Trading at 80.7x book value

TER2 concerns · Avg: 3.0/10
Price/BookValuation
18.9x4/10

Trading at 18.9x book value

P/E RatioValuation
50.8x2/10

Premium valuation, high expectations priced in

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 28.2% and operating margin at 33.6%. Revenue growth of 25.6% demonstrates continued momentum.

Bull Case : TER

The strongest argument for TER centers on Return on Equity, Operating Margin, Revenue Growth. Profitability is solid with margins at 25.8% and operating margin at 33.2%. Revenue growth of 103.9% demonstrates continued momentum.

Bear Case : FTNT

The primary concerns for FTNT are PEG Ratio, Altman Z-Score, P/E Ratio. A P/E of 56.1x leaves little room for execution misses.

Bear Case : TER

The primary concerns for TER are Price/Book, P/E Ratio. A P/E of 50.8x leaves little room for execution misses.

Key Dynamics to Monitor

TER carries more volatility with a beta of 1.78 — expect wider price swings.

TER is growing revenue faster at 103.9% — sustainability is the question.

FTNT generates stronger free cash flow (966M), providing more financial flexibility.

Monitor SOFTWARE - INFRASTRUCTURE industry trends, competitive dynamics, and regulatory changes.

Bottom Line

TER scores higher overall (79/100 vs 73/100), backed by strong 25.8% margins and 103.9% revenue growth. FTNT offers better value entry with a 43.5% 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.

Teradyne Inc

TECHNOLOGY · SEMICONDUCTOR EQUIPMENT & MATERIALS · USA

Teradyne, Inc. is an American automatic test equipment (ATE) designer and manufacturer based in North Reading, Massachusetts.

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