WallStSmart

Fortinet Inc (FTNT)vsGen Digital Inc. (GEN)

VS

Smart Verdict

WallStSmart Research — data-driven comparison

Fortinet Inc generates 42% more annual revenue ($7.11B vs $5.00B). FTNT leads profitability with a 27.5% profit margin vs 19.5%. GEN appears more attractively valued with a PEG of 1.40. GEN earns a higher WallStSmart Score of 78/100 (B+).

FTNT

Strong Buy

67

out of 100

Grade: B-

Growth: 8.0Profit: 9.5Value: 4.7Quality: 5.5
Piotroski: 5/9Altman Z: 1.50

GEN

Strong Buy

78

out of 100

Grade: B+

Growth: 8.7Profit: 9.0Value: 5.3Quality: 3.0
Piotroski: 4/9Altman Z: 0.80
IV

Intrinsic Value Comparison

Multi-model valuation · Graham Formula

FTNTUndervalued (+45.4%)

Margin of Safety

+45.4%

Fair Value

$265.15

Current Price

$149.67

$115.48 discount

UndervaluedFair: $265.15Overvalued
GENSignificantly Overvalued (-37.0%)

Margin of Safety

-37.0%

Fair Value

$18.01

Current Price

$26.28

$8.27 premium

UndervaluedFair: $18.01Overvalued

Key Strengths & Concerns

Side-by-side fundamental analysis

Key Strengths

FTNT6 strengths · Avg: 9.0/10
Return on EquityProfitability
197.5%10/10

Every $100 of equity generates 197 in profit

Operating MarginProfitability
31.3%10/10

Strong operational efficiency at 31.3%

Market CapQuality
$109.06B9/10

Large-cap with strong market position

Profit MarginProfitability
27.5%9/10

Keeps 28 of every $100 in revenue as profit

Revenue GrowthGrowth
20.1%8/10

Revenue surging 20.1% year-over-year

EPS GrowthGrowth
28.6%8/10

Earnings expanding 28.6% YoY

GEN5 strengths · Avg: 9.2/10
Return on EquityProfitability
37.3%10/10

Every $100 of equity generates 37 in profit

Operating MarginProfitability
63.4%10/10

Strong operational efficiency at 63.4%

EPS GrowthGrowth
265.2%10/10

Earnings expanding 265.2% YoY

P/E RatioValuation
15.5x8/10

Attractively priced relative to earnings

Revenue GrowthGrowth
27.0%8/10

Revenue surging 27.0% year-over-year

Areas to Watch

FTNT4 concerns · Avg: 2.5/10
Altman Z-ScoreHealth
1.504/10

Distress zone — elevated risk

PEG RatioValuation
3.322/10

Expensive relative to growth rate

P/E RatioValuation
57.7x2/10

Premium valuation, high expectations priced in

Price/BookValuation
110.9x2/10

Trading at 110.9x book value

GEN2 concerns · Avg: 1.5/10
Altman Z-ScoreHealth
0.802/10

Distress zone — elevated risk

Debt/EquityHealth
3.161/10

Elevated debt levels

Comparative Analysis Report

WallStSmart Research

Bull Case : FTNT

The strongest argument for FTNT centers on Return on Equity, Operating Margin, Market Cap. Profitability is solid with margins at 27.5% and operating margin at 31.3%. Revenue growth of 20.1% demonstrates continued momentum.

Bull Case : GEN

The strongest argument for GEN centers on Return on Equity, Operating Margin, EPS Growth. Profitability is solid with margins at 19.5% and operating margin at 63.4%. Revenue growth of 27.0% demonstrates continued momentum.

Bear Case : FTNT

The primary concerns for FTNT are Altman Z-Score, PEG Ratio, P/E Ratio. A P/E of 57.7x leaves little room for execution misses.

Bear Case : GEN

The primary concerns for GEN are Altman Z-Score, Debt/Equity. Debt-to-equity of 3.16 is elevated, increasing financial risk.

Key Dynamics to Monitor

GEN carries more volatility with a beta of 1.21 — expect wider price swings.

GEN is growing revenue faster at 27.0% — sustainability is the question.

FTNT generates stronger free cash flow (1.0B), providing more financial flexibility.

Monitor SOFTWARE - INFRASTRUCTURE industry trends, competitive dynamics, and regulatory changes.

Bottom Line

GEN scores higher overall (78/100 vs 67/100), backed by strong 19.5% margins and 27.0% revenue growth. FTNT offers better value entry with a 45.4% margin of safety. Both earn "Strong Buy" and "Strong Buy" ratings respectively — the choice depends on your investment horizon and risk tolerance.

This analysis is generated from publicly available financial data. Not financial advice.

Fortinet Inc

TECHNOLOGY · SOFTWARE - INFRASTRUCTURE · USA

Fortinet (Nasdaq: FTNT) is an American multinational corporation headquartered in Sunnyvale, California. It develops and sells cybersecurity solutions, including but not limited to physical products such as firewalls, plus software and services such as anti-virus protection, intrusion prevention systems and endpoint security components.

Gen Digital Inc.

TECHNOLOGY · SOFTWARE - INFRASTRUCTURE · USA

Gen Digital Inc. provides cybersecurity solutions for consumers in the United States, Canada, Latin America, Europe, the Middle East, Africa, Asia Pacific, and Japan. The company is headquartered in Tempe, Arizona.

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