Joe Terranova Fortinet Inc FTNT-Q COMMENT Nov 03, 2023

Hold for now, but he wouldn't hold it going into earnings, estimated to be August 2. Management is tremendous, but very conservative, and they lowball numbers and then stock rolls over.

If you ever get a chance to buy CRWD, that's a good one in the space.

Trades at 30x forward PE and 33% free cash flow margins. Super fundamentals, and yet shares are ignored. This outage could help Fortinet shares.

Chart's moving sideways. Support ~$50, resistance ~$75-80. He likes this kind of stock for a trade. Based on past history, decent chance it will make it to the top of the range. No dividend.

Cybersecurity stocks are back today. Don't trade, but invest in cyber. He's very bullish cybersecurity. Of the big three, though, Fortinet has the best balance sheet in the sector.

Company has been doing better. Would prefer a company called Palo Alto. Valuation very high, even though tech is strong. Better options for investors in the markets. 

Took profit on the spike of a few weeks ago. Likes the space in general and its long-term potential. Can't get away from the growing frequency and sophistication of cyberattacks around the world.

He still owns it, one of the best performers over the summer. Conservative in reporting, taken to the woodshed for that, but has come back very well. 

He took profits and switched to CRWD on its weakness. Really likes the space; attacks are only going to get more plentiful and more challenging. It's more expensive for companies to suffer attacks than to pay a company for cybersecurity. Looks decent technically, wants to see profits. If it corrects nicely, he'd look at it again.

Cybersecurity demand remains entrenched. This has the strongest balance sheet compared to PANW and CRWD.

Looks cheaper than others due to the very conservative nature of management, they always sandbag the earnings. His 12-month price target is $117. International. Hardware and software licenses, which make it a little bit different. Really, really likes it. No dividend.