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Fortinet (Fortinet) Cyclically Adjusted PB Ratio : 66.68 (As of May. 25, 2024)


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What is Fortinet Cyclically Adjusted PB Ratio?

As of today (2024-05-25), Fortinet's current share price is $61.35. Fortinet's Cyclically Adjusted Book per Share for the quarter that ended in Mar. 2024 was $0.92. Fortinet's Cyclically Adjusted PB Ratio for today is 66.68.

The historical rank and industry rank for Fortinet's Cyclically Adjusted PB Ratio or its related term are showing as below:

FTNT' s Cyclically Adjusted PB Ratio Range Over the Past 10 Years
Min: 12.7   Med: 34.04   Max: 79.72
Current: 66.13

During the past years, Fortinet's highest Cyclically Adjusted PB Ratio was 79.72. The lowest was 12.70. And the median was 34.04.

FTNT's Cyclically Adjusted PB Ratio is ranked worse than
99.19% of 1355 companies
in the Software industry
Industry Median: 2.61 vs FTNT: 66.13

The Shiller PE Ratio was first used by professor Robert Shiller. He uses E10 for his Shiller PE Ratio calculation. E10 is the average of the inflation adjusted earnings per share of a company over the past 10 years. The similar calculation is applied by GuruFocus to calculate the Cyclically Adjusted PB Ratio. The Cyclically Adjusted Book per Share is the average of the inflation adjusted book value per share of a company over the past 10 years.

Fortinet's adjusted book value per share data for the three months ended in Mar. 2024 was $-0.180. Add all the adjusted book value per share for the past 10 years together and divide the count will get our Cyclically Adjusted Book per Share, which is $0.92 for the trailing ten years ended in Mar. 2024.

Shiller PE for Stocks: The True Measure of Stock Valuation


Fortinet Cyclically Adjusted PB Ratio Historical Data

The historical data trend for Fortinet's Cyclically Adjusted PB Ratio can be seen below:

* For Operating Data section: All numbers are indicated by the unit behind each term and all currency related amount are in USD.
* For other sections: All numbers are in millions except for per share data, ratio, and percentage. All currency related amount are indicated in the company's associated stock exchange currency.

* Premium members only.

Fortinet Cyclically Adjusted PB Ratio Chart

Fortinet Annual Data
Trend Dec14 Dec15 Dec16 Dec17 Dec18 Dec19 Dec20 Dec21 Dec22 Dec23
Cyclically Adjusted PB Ratio
Get a 7-Day Free Trial Premium Member Only Premium Member Only 25.48 33.03 69.31 49.11 62.70

Fortinet Quarterly Data
Jun19 Sep19 Dec19 Mar20 Jun20 Sep20 Dec20 Mar21 Jun21 Sep21 Dec21 Mar22 Jun22 Sep22 Dec22 Mar23 Jun23 Sep23 Dec23 Mar24
Cyclically Adjusted PB Ratio Get a 7-Day Free Trial Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only 67.07 76.43 60.13 62.70 74.15

Competitive Comparison of Fortinet's Cyclically Adjusted PB Ratio

For the Software - Infrastructure subindustry, Fortinet's Cyclically Adjusted PB Ratio, along with its competitors' market caps and Cyclically Adjusted PB Ratio data, can be viewed below:

* Competitive companies are chosen from companies within the same industry, with headquarter located in same country, with closest market capitalization; x-axis shows the market cap, and y-axis shows the term value; the bigger the dot, the larger the market cap. Note that "N/A" values will not show up in the chart.


Fortinet's Cyclically Adjusted PB Ratio Distribution in the Software Industry

For the Software industry and Technology sector, Fortinet's Cyclically Adjusted PB Ratio distribution charts can be found below:

* The bar in red indicates where Fortinet's Cyclically Adjusted PB Ratio falls into.



Fortinet Cyclically Adjusted PB Ratio Calculation

Like the Shiller PE Ratio, the Cyclically Adjusted PB Ratio takes the Book Value per Share from the past 10 years, adjusts it for inflation, and then calculates the average. This average is then used for the P/B calculation. Because it considers this 10-year average, it's often referred to as the CAPB Ratio.

The Shiller PE Ratio was first used by professor Robert Shiller to measure the valuation of the overall market. The similar calculation is applied by GuruFocus to calculate the Cyclically Adjusted PB Ratio.

Fortinet's Cyclically Adjusted PB Ratio for today is calculated as

Cyclically Adjusted PB Ratio=Share Price/ Cyclically Adjusted Book per Share
=61.35/0.92
=66.68

* For Operating Data section: All numbers are indicated by the unit behind each term and all currency related amount are in USD.
* For other sections: All numbers are in millions except for per share data, ratio, and percentage. All currency related amount are indicated in the company's associated stock exchange currency.

Fortinet's Cyclically Adjusted Book per Share for the quarter that ended in Mar. 2024 is calculated as:

For example, Fortinet's adjusted Book Value per Share data for the three months ended in Mar. 2024 was:

Adj_Book=Book Value per Share/CPI of Mar. 2024 (Change)*Current CPI (Mar. 2024)
=-0.18/131.7762*131.7762
=-0.180

Current CPI (Mar. 2024) = 131.7762.

Fortinet Quarterly Data

Book Value per Share CPI Adj_Book
201406 0.764 100.560 1.001
201409 0.787 100.428 1.033
201412 0.812 99.070 1.080
201503 0.851 99.621 1.126
201506 0.881 100.684 1.153
201509 0.923 100.392 1.212
201512 0.881 99.792 1.163
201603 0.865 100.470 1.135
201606 0.933 101.688 1.209
201609 0.949 101.861 1.228
201612 0.968 101.863 1.252
201703 1.024 102.862 1.312
201706 1.049 103.349 1.338
201709 1.033 104.136 1.307
201712 0.702 104.011 0.889
201803 0.826 105.290 1.034
201806 0.923 106.317 1.144
201809 1.047 106.507 1.295
201812 1.190 105.998 1.479
201903 1.240 107.251 1.524
201906 1.313 108.070 1.601
201909 1.402 108.329 1.705
201912 1.564 108.420 1.901
202003 0.660 108.902 0.799
202006 0.672 108.767 0.814
202009 0.879 109.815 1.055
202012 1.054 109.897 1.264
202103 1.201 111.754 1.416
202106 1.286 114.631 1.478
202109 1.369 115.734 1.559
202112 0.965 117.630 1.081
202203 0.272 121.301 0.295
202206 -0.498 125.017 -0.525
202209 -0.814 125.227 -0.857
202212 -0.360 125.222 -0.379
202303 0.015 127.348 0.016
202306 0.409 128.729 0.419
202309 0.095 129.860 0.096
202312 -0.609 129.419 -0.620
202403 -0.180 131.776 -0.180

Add all the adjusted book value per share together and divide the count will get our Cyclically Adjusted Book per Share.

Please note that we use the CPI data of the country/region where the company is headquartered. If the CPI data for that country/region is not available, then we will use the CPI data of the United States as default.


Fortinet  (NAS:FTNT) Cyclically Adjusted PB Ratio Explanation

Compared with the regular PB Ratio, which works poorly for cyclical businesses, the Cyclically Adjusted PB Ratio smoothed out the fluctuations of book value during business cycles. Therefore it is more accurate in reflecting the valuation of the company.

If a company has consistent business performance, the Cyclically Adjusted PB Ratio should give similar results to regular PB Ratio.


Fortinet Cyclically Adjusted PB Ratio Related Terms

Thank you for viewing the detailed overview of Fortinet's Cyclically Adjusted PB Ratio provided by GuruFocus.com. Please click on the following links to see related term pages.


Fortinet (Fortinet) Business Description

Industry
Traded in Other Exchanges
Address
899 Kifer Road, Sunnyvale, CA, USA, 94086
Fortinet is a platform-based cybersecurity vendor with product offerings covering network security, cloud security, zero-trust access, and security operations. The firm derives a majority of its revenue through sales of its subscriptions and support-based business. The California-based firm has more than 700,000 customers across the world.
Executives
Ken Xie director, officer: President & CEO 4655 GREAT AMERICA PARKWAY - SUITE 300, SANTA CLARA CA 95054
Patrice Perche officer: Chief Revenue Off./EVP Supp. C/O FORTINET, INC., 899 KIFER ROAD, SUNNYVALE CA 94086
Michael Xie director, officer: VP, Engineering & CTO 1090 KIFER ROAD, SUNNYVALE CA 94086
William H. Neukom director C/O FORTINET, INC., 1090 KIFER ROAD, SUNNYVALE CA 94086
Keith Jensen officer: Chief Accounting Officer C/O FORTINET, INC., 899 KIFER ROAD, SUNNYVALE CA 94068
John Whittle officer: VP & General Counsel 1090 KIFER ROAD, SUNNYVALE CA 94086
James G. Stavridis director C/O NEUBERGER BERMAN MANAGEMENT LLC, 605 THIRD AVENUE, NEW YORK NY 10158-0180
Christopher B Paisley director 14870 THREE OAKS COURT, SARATOGA CA 95070
Jean X. Hu director 2485 AUGUSTINE DRIVE, SANTA CLARA CA 95054
Kelly Ducourty director C/O FORTINET, INC., 899 KIFER ROAD, SUNNYVALE CA 94086
Cohen Peter Dale Jr. director C/O FORTINET, INC., 899 KIFER ROAD, SUNNYVALE CA 94086
Ming Hsieh director 4399 SANTA ANITA AVE., EL MONTE CA 91731
Judith Sim director C/O FORTINET, INC., 899 KIFER ROAD, SUNNYVALE CA 94086
Del Matto Andrew H officer: Chief Financial Officer 350 ELLIS STREET, MOUNTAIN VIEW CA 94043
Gary Locke director C/O FORTINET, INC., 899 KIFER ROAD, SUNNYVALE CA 94086