Fortinet Inc (FTNT)vsPaychex Inc (PAYX)
FTNT
Fortinet Inc
$139.10
-20.09%
TECHNOLOGY · Cap: $124.09B
PAYX
Paychex Inc
$108.21
-0.96%
TECHNOLOGY · Cap: $39.74B
Smart Verdict
WallStSmart Research — data-driven comparison
Fortinet Inc generates 14% more annual revenue ($7.53B vs $6.60B). FTNT leads profitability with a 28.2% profit margin vs 27.4%. PAYX appears more attractively valued with a PEG of 1.85. FTNT earns a higher WallStSmart Score of 73/100 (B).
FTNT
Strong Buy73
out of 100
Grade: B
PAYX
Strong Buy68
out of 100
Grade: B-
Intrinsic Value Comparison
Multi-model valuation · Graham Formula
Margin of Safety
+34.3%
Fair Value
$274.02
Current Price
$139.10
$134.92 discount
Margin of Safety
+10.9%
Fair Value
$106.40
Current Price
$108.21
$1.81 discount
Key Strengths & Concerns
Side-by-side fundamental analysis
Key Strengths
Every $100 of equity generates 137 in profit
Strong operational efficiency at 33.6%
Large-cap with strong market position
Keeps 28 of every $100 in revenue as profit
Revenue surging 25.6% year-over-year
Earnings expanding 43.9% YoY
Every $100 of equity generates 49 in profit
Strong operational efficiency at 38.5%
Keeps 27 of every $100 in revenue as profit
Areas to Watch
Expensive relative to growth rate
Distress zone — elevated risk
Premium valuation, high expectations priced in
Trading at 65.9x book value
Expensive relative to growth rate
Trading at 10.4x book value
Elevated debt levels
Distress zone — elevated risk
Comparative Analysis Report
WallStSmart ResearchBull Case : FTNT
The strongest argument for FTNT centers on Return on Equity, Operating Margin, Market Cap. Profitability is solid with margins at 28.2% and operating margin at 33.6%. Revenue growth of 25.6% demonstrates continued momentum.
Bull Case : PAYX
The strongest argument for PAYX centers on Return on Equity, Operating Margin, Profit Margin. Profitability is solid with margins at 27.4% and operating margin at 38.5%.
Bear Case : FTNT
The primary concerns for FTNT are PEG Ratio, Altman Z-Score, P/E Ratio. A P/E of 59.8x leaves little room for execution misses.
Bear Case : PAYX
The primary concerns for PAYX are PEG Ratio, Price/Book, Debt/Equity.
Key Dynamics to Monitor
FTNT profiles as a growth stock while PAYX is a mature play — different risk/reward profiles.
FTNT carries more volatility with a beta of 1.04 — expect wider price swings.
FTNT is growing revenue faster at 25.6% — sustainability is the question.
FTNT generates stronger free cash flow (966M), providing more financial flexibility.
Bottom Line
FTNT scores higher overall (73/100 vs 68/100), backed by strong 28.2% margins and 25.6% revenue growth. 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.
Paychex Inc
TECHNOLOGY · SOFTWARE - APPLICATION · USA
Paychex, Inc. is an American provider of human resource, payroll, and benefits outsourcing services for small- to medium-sized businesses.
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