Exploring NASDAQ:FTNT's high growth characteristics.

Our stock screener has detected a potential breakout setup on FORTINET INC (NASDAQ:FTNT). This breakout pattern is observed when a stock consolidates following a strong upward movement. It's important to note that this pattern is based on technical analysis, and the actual breakout outcome is uncertain. However, it might be worth keeping an eye on NASDAQ:FTNT.

What is the technical picture of NASDAQ:FTNT telling us.

ChartMill assigns a Technical Rating to every stock. This score ranges from 0 to 10 and is updated daily. The score is determined by evaluating multiple technical indicators and properties.

Overall FTNT gets a technical rating of 10 out of 10. This is due to a consistent performance in both the short and longer term time frames. Also compared to the overall market, FTNT is showing a nice and steady performance.

• The short term is neutral, but the long term trend is still positive. Not much to worry about for now.
• When comparing the yearly performance of all stocks, we notice that FTNT is one of the better performing stocks in the market, outperforming 92% of all stocks. We also observe that the gains produced by FTNT over the past year are nicely spread over this period.
• FTNT is part of the Software industry. There are 278 other stocks in this industry. FTNT outperforms 80% of them.
• FTNT is currently trading in the upper part of its 52 week range. The S&P500 Index is also trading in the upper part of its 52 week range, so FTNT is performing more or less in line with the market.
• In the last month FTNT has a been trading in the 92.33 - 100.40 range, which is quite wide. It is currently trading in the middle of this range, so some resistance may be found above.

For an up to date full technical analysis you can check the technical report of FTNT

Looking at the Setup

ChartMill incorporates a Setup Rating in its analysis, which measures the extent of consolidation in a stock over recent days and weeks. This rating, ranging from 0 to 10, is updated daily and takes into account multiple short-term technical indicators. The current setup rating for NASDAQ:FTNT is 7:

Besides having an excellent technical rating, FTNT also presents a decent setup pattern. Prices have been consolidating lately. There is a resistance zone just above the current price starting at 99.15. Right above this resistance zone may be a good entry point. There is a support zone below the current price at 94.84, a Stop Loss order could be placed below this zone.

What matters for high growth investors.

• The EPS of FORTINET INC has exhibited growth from one quarter to another (Q2Q), with a 53.66% increase. This underscores the company's ability to generate higher earnings and improve its financial standing.
• FORTINET INC has experienced 34.64% growth in EPS over a 3-year period, demonstrating its ability to generate sustained and positive earnings momentum.
• The average next Quarter EPS Estimate by analysts was adjusted by 24.45%, reflecting the evolving market expectations for the company's EPS growth.
• The quarterly earnings of FORTINET INC have shown a 53.66% increase compared to the previous quarter, as revealed in the recent financial report. This growth signifies positive momentum in the company's financials, pointing towards a promising upward trend
• accelerating EPS growth for FORTINET INC: the current Q2Q growth of 53.66% exceeds the previous year Q2Q growth of 24.24%.
• The operating margin of FORTINET INC has seen steady growth over the past year, signaling improved profitability. This trend indicates the company's effective cost management and its ability to generate higher returns.
• FORTINET INC has experienced notable growth in its free cash flow (FCF) over the past year, signaling improved cash generation and strong financial performance. This growth suggests the company's ability to generate excess cash for reinvestment or shareholder returns.
• FORTINET INC has a healthy Return on Equity(ROE) of 168.0%. This demonstrates the company's efficient utilization of capital and indicates its commitment to driving profitability.
• With a Debt-to-Equity ratio at 1.09, FORTINET INC showcases its prudent financial management. The company's balanced approach between debt and equity reflects its commitment to maintaining a stable capital structure.
• The ownership composition of FORTINET INC reflects a balanced investor ecosystem, with institutional shareholders owning 64.76%. This indicates a broader market participation and potential for increased trading liquidity.
• FORTINET INC has consistently exceeded EPS estimates in the last 4 quarters, demonstrating its ability to outperform market expectations. This trend highlights the company's strong financial performance and its potential for future growth.
• FORTINET INC has exhibited strong Relative Strength(RS) in recent periods, with a current 92.74 rating. This indicates the stock's ability to outperform the broader market and reflects its competitive position. FORTINET INC shows promising potential for continued price momentum.

Our High Growth Momentum Breakout screen will find you more ideas suited for high growth momentum breakouts.

Disclaimer

This article should in no way be interpreted as advice. The article is based on the observed metrics at the time of writing, but you should always make your own analysis and trade or invest at your own responsibility.