WallStSmart

Fortinet Inc (FTNT)vsSkywater Technology Inc (SKYT)

VS

Smart Verdict

WallStSmart Research — data-driven comparison

Fortinet Inc generates 1213% more annual revenue ($7.11B vs $541.53M). FTNT leads profitability with a 27.5% profit margin vs 21.0%. SKYT trades at a lower P/E of 14.9x. FTNT earns a higher WallStSmart Score of 67/100 (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

SKYT

Buy

60

out of 100

Grade: C

Growth: 10.0Profit: 5.5Value: 5.0Quality: 3.0
Piotroski: 3/9Altman Z: 0.57
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
SKYTSignificantly Overvalued (-24.6%)

Margin of Safety

-24.6%

Fair Value

$22.81

Current Price

$37.95

$15.14 premium

UndervaluedFair: $22.81Overvalued

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

SKYT5 strengths · Avg: 9.4/10
Return on EquityProfitability
63.2%10/10

Every $100 of equity generates 63 in profit

Revenue GrowthGrowth
162.1%10/10

Revenue surging 162.1% year-over-year

EPS GrowthGrowth
9733.0%10/10

Earnings expanding 9733.0% YoY

Profit MarginProfitability
21.0%9/10

Keeps 21 of every $100 in revenue as profit

P/E RatioValuation
14.9x8/10

Attractively priced relative to earnings

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

SKYT4 concerns · Avg: 3.3/10
Price/BookValuation
10.3x4/10

Trading at 10.3x book value

Market CapQuality
$1.72B3/10

Smaller company, higher risk/reward

Debt/EquityHealth
1.323/10

Elevated debt levels

Piotroski F-ScoreQuality
3/93/10

Weak financial health signals

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 : SKYT

The strongest argument for SKYT centers on Return on Equity, Revenue Growth, EPS Growth. Profitability is solid with margins at 21.0% and operating margin at -3.3%. Revenue growth of 162.1% 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 : SKYT

The primary concerns for SKYT are Price/Book, Market Cap, Debt/Equity.

Key Dynamics to Monitor

SKYT carries more volatility with a beta of 3.32 — expect wider price swings.

SKYT is growing revenue faster at 162.1% — 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

FTNT scores higher overall (67/100 vs 60/100), backed by strong 27.5% margins and 20.1% revenue growth. Both earn "Strong Buy" and "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.

Skywater Technology Inc

TECHNOLOGY · SEMICONDUCTORS · USA

SkyWater Technology, Inc. manufactures integrated circuits. The company is headquartered in Bloomington, Minnesota.

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