Fortinet Set to Report Q2 Earnings: What's in Store for the Stock?

Fortinet FTNT is scheduled to report second-quarter 2026 results on July 29, after market close.

Fortinet expects second-quarter revenues in the range of $1.83-$1.93 billion. The Zacks Consensus Estimate for the same is pegged at $1.88 billion, suggesting year-over-year growth of 15.44%.

The company forecasts first-quarter non-GAAP earnings in the range of 72-76 cents per share. The consensus mark is pegged at 75 cents per share, suggesting bottom-line growth of 17.19% year over year.

Fortinet's earnings surpassed the Zacks Consensus Estimate in each of the trailing four quarters, the average surprise being 17.46%.

Fortinet, Inc. Price, Consensus and EPS Surprise

Fortinet, Inc. price-consensus-eps-surprise-chart | Fortinet, Inc. Quote

Factors to Consider

Fortinet's second-quarter performance is expected to have benefited from continued strength in Secure Networking, driven by healthy demand for FortiGate firewalls, particularly for AI infrastructure and operational technology (OT) environments. Enterprise customers' ongoing investments in network modernization and AI-ready security infrastructure are likely to have supported product revenues during the quarter.

FTNT expanded its FortiGate G series during the to-be-reported quarter, launching the FortiGate 3500G and 400G models built for AI-driven data center workloads and high-performance edge security. Order intake and upsell activity tied to this launch may have contributed to product revenue during the period, with higher-end SKUs potentially seeing stronger adoption. The company also deepened its integration with NVIDIA during the quarter, aimed at securing enterprise AI deployments at scale, which could have supported continued traction in AI-data-center-related security wins.

Unified SASE adoption is likely to have remained a key growth driver, with continued momentum in SD-WAN and FortiSASE as enterprises expand secure access deployments across hybrid environments. Demand for sovereign SASE offerings may have also contributed, given rising data sovereignty and regulatory requirements among service providers and large enterprises, particularly in Europe.

AI-driven security operations billings may have continued to expand as customers consolidated vendors to manage growing threat complexity. Large enterprise momentum is expected to remain a factor as well, with the number and value of seven-figure deals potentially continuing to grow given expanding AI data center and infrastructure-related security opportunities.

However, component cost trends, particularly around memory pricing, could weigh on gross margin, though ongoing price adjustments in line with cost changes may help limit the impact.

What Our Model Says

According to the Zacks model, the combination of a positive Earnings ESP and Zacks Rank #1 (Strong Buy), 2 (Buy), or 3 (Hold) increases the odds of an earnings beat. But that is not the case here.

Fortinet currently has an Earnings ESP of 0.00% and a Zacks Rank #1. You can uncover the best stocks to buy or sell before they are reported with our Earnings ESP Filter.

Stocks to Consider

Here are some stocks worth considering, as our model shows that these have the right combination of elements to beat on earnings this reporting cycle.

Amphenol APH has an Earnings ESP of +1.12% and a Zacks Rank #1 at present. You can see the complete list of today’s Zacks #1 Rank stocks here. 

Amphenol is set to report second-quarter 2026 results on July 29. The Zacks Consensus Estimate for Amphenol’s second-quarter 2026 earnings is pegged at $1.19 per share, unchanged over the past seven days, indicating a rise of 46.9% from the year-ago quarter’s reported figure.

ASE Technology ASX has an Earnings ESP of +21.21% and a Zacks Rank #2.

ASE Technology is slated to report second-quarter 2026 results on July 30. The Zacks Consensus Estimate for ASE Technology’s second-quarter 2026 earnings is pegged at 17 cents per share, unchanged over the past seven days, indicating a rise of 54.55% from the year-ago quarter’s reported figure.

Advanced Micro Devices AMD has an Earnings ESP of +1.56% and carries a Zacks Rank #2 at present.

Advanced Micro Devices is set to report second-quarter 2026 results on Aug. 4. The Zacks Consensus Estimate for Advanced Micro Devices’ second-quarter earnings is pegged at $1.61 per share, up by a penny over the past seven days, indicating a rise of 235.42% from the year-ago quarter’s reported figure.

Zacks' Research Chief Names "Stock Most Likely to Double"

Our team of experts has just released the 5 stocks with the greatest probability of gaining +100% or more in the coming months. Of those 5, Director of Research Sheraz Mian highlights the one stock set to climb highest.

This top pick is a little-known satellite-based communications firm. Space is projected to become a trillion dollar industry, and this company's customer base is growing fast. Analysts have forecasted a major revenue breakout in 2025. Of course, all our elite picks aren't winners but this one could far surpass earlier Zacks' Stocks Set to Double like Hims & Hers Health, which shot up +209%.

Want the latest recommendations from Zacks Investment Research? Today, you can download 7 Best Stocks for the Next 30 Days. Click to get this free report

This article originally published on Zacks Investment Research (zacks.com).

Zacks Investment Research