Fortinet Inc (FTNT)vsSTMicroelectronics NV ADR (STM)
FTNT
Fortinet Inc
$149.67
+0.85%
TECHNOLOGY · Cap: $109.06B
STM
STMicroelectronics NV ADR
$70.72
-1.05%
TECHNOLOGY · Cap: $70.67B
Smart Verdict
WallStSmart Research — data-driven comparison
STMicroelectronics NV ADR generates 74% more annual revenue ($12.38B vs $7.11B). FTNT leads profitability with a 27.5% profit margin vs 1.2%. STM appears more attractively valued with a PEG of 0.71. FTNT earns a higher WallStSmart Score of 67/100 (B-).
FTNT
Strong Buy67
out of 100
Grade: B-
STM
Hold40
out of 100
Grade: D
Intrinsic Value Comparison
Multi-model valuation · Graham Formula
Margin of Safety
+45.4%
Fair Value
$265.15
Current Price
$149.67
$115.48 discount
Intrinsic value data unavailable for STM.
Key Strengths & Concerns
Side-by-side fundamental analysis
Key Strengths
Every $100 of equity generates 197 in profit
Strong operational efficiency at 31.3%
Large-cap with strong market position
Keeps 28 of every $100 in revenue as profit
Revenue surging 20.1% year-over-year
Earnings expanding 28.6% YoY
Large-cap with strong market position
Conservative balance sheet, low leverage
Growing faster than its price suggests
Revenue surging 23.0% year-over-year
Areas to Watch
Distress zone — elevated risk
Expensive relative to growth rate
Premium valuation, high expectations priced in
Trading at 110.9x book value
ROE of 0.8% — below average capital efficiency
1.2% margin — thin
Operating margin of 3.6%
Premium valuation, high expectations priced in
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 27.5% and operating margin at 31.3%. Revenue growth of 20.1% demonstrates continued momentum.
Bull Case : STM
The strongest argument for STM centers on Market Cap, Debt/Equity, PEG Ratio. Revenue growth of 23.0% demonstrates continued momentum. PEG of 0.71 suggests the stock is reasonably priced for its growth.
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 : STM
The primary concerns for STM are Return on Equity, Profit Margin, Operating Margin. A P/E of 496.9x leaves little room for execution misses. Thin 1.2% margins leave little buffer for downturns.
Key Dynamics to Monitor
STM carries more volatility with a beta of 1.51 — expect wider price swings.
STM is growing revenue faster at 23.0% — 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
FTNT scores higher overall (67/100 vs 40/100), backed by strong 27.5% margins and 20.1% revenue growth. Both earn "Strong Buy" and "Hold" 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.
STMicroelectronics NV ADR
TECHNOLOGY · SEMICONDUCTORS · USA
STMicroelectronics NV designs, develops, manufactures and markets semiconductor products in Europe, the Middle East, Africa, the Americas and Asia Pacific. The company is headquartered in Geneva, Switzerland.
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