Fortinet Among Wedbush Top Cyber Picks Amid Billings Growth, Strong Product Pipeline
01:20 PM EST, 02/05/2021 (MT Newswires) -- Fortinet (FTNT) is one of Wedbush's favorite cyber security plays, with analysts saying strong billings growth and a healthy product pipeline bodes well for the company's share price, according to a research note.
The company has especially been successful on technical firewall sales and has a slew of new products in the mid- and high-end markets that "should serve as another positive catalyst heading into the rest of 2021 and beyond," Wedbush analysts Daniel Ives and Strecker Backe said in the note clients Friday.
More customers need to "deploy these [security] solutions in an accelerated pace" and the FortiGate product suite is in the "sweet spot from entry level to high-end deployments," the analysts said while noting Fortinet's market-beating Q4 sales and earnings will be digested "positively" by investors.
In Q4, billings at $960.9 million reflected an acceleration of 20% year-over-year, outpacing the $914 million consensus and also coming in at the top end of the management's guidance range of $890 million to $920 million. The group expects March billings to be between $765 million and $780 million, compared with the $761.5 million market consensus.
Fortinet is rated outperform at Wedbush and its price target has been lifted to $185 from $180.
Price: 157.90, Change: +0.91, Percent Change: +0.58