Fortinet stock on track for worst day in nearly 7 years

Fortinet Inc. shares were on track for their worst day in nearly seven years Thursday after the cybersecurity company reported a slight beat on earnings and an unimpressive outlook. Fortinet shares dropped as much as 17% to an intraday low of $52, putting them on track for their worst one-day performance since Oct. 23, 2015, when they dropped 19%. Late Wednesday, the company topped Wall Street expectations but its outlook didn’t.. “We concede results weren’t squeaky clean, but the AH stock reaction appears overdone in our view,” said Citi Research analyst Fatima Boolani in a note. Boolani has a buy rating on the stock and a $78 price target. “Bears will likely pick on the skinnier product & billings beat (tougher comps vs. 1Q), weaker services performance/guide (temporary), muted bookings upside, and an admittedly unsatisfactory update on the Russia business exit treatment (accounting wise),” Boolani said.

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