Fortinet Forecasts 13% FY2026 Billings Growth After EPS, Revenue Beat
Fortinet reported Q4 adjusted EPS of $0.81 versus a $0.74 forecast and revenue of $1.91 billion against $1.86 billion estimates, though service revenue growth lagged projections. Management now forecasts 13% billings growth for fiscal 2026, surpassing the 11% consensus forecast and citing accelerating momentum in the Secure Access Service Edge market.
1. Q4 Financial Results
Fortinet posted Q4 adjusted EPS of $0.81, surpassing the $0.74 consensus, while revenue reached $1.91 billion against $1.86 billion estimates, though service revenue growth trailed projections.
2. FY2026 Billings Growth Outlook
Management forecast 13% year-over-year billings growth for fiscal 2026, exceeding the 11% consensus outlook, driven by continued subscription renewals and customer expansions.
3. SASE Market Position
The company highlighted accelerating adoption in the Secure Access Service Edge market, leveraging its integrated cybersecurity platform and AI-driven solutions to gain market share.
4. Analyst Rating and Target
BMO Capital Markets increased its target to $95 from $90 and maintained a Market Perform rating, citing upside potential to topline forecasts and a robust product pipeline.