FortinetFRA:FO8 -1.33%91 ROA % is 21.23% as of Mar. 2026, which is 71% above its 10-year median of 12.44. GuruFocus rates FRA:FO8 with a GF Score™ of 91/100 and a GF Value™ of €85.42 (Significantly Overvalued). The stock has 5 warning signs investors should review. Among 2,885 Software companies, Fortinet ranks better than 95.01% on this metric.
ROA % is calculated as Net Income divided by its average Total Assets over a certain period of time. Fortinet's annualizedNet Income for the quarter that ended in Mar. 2026 was €1,849 Mil.
Fortinet's average Total Assets over the quarter that ended in Mar. 2026 was €8,711 Mil. Therefore, Fortinet's annualized ROA % for the quarter that ended in Mar. 2026 was 21.23%.
The historical rank and industry rank for Fortinet's ROA % or its related term are showing as below:
FRA:FO8'
s ROA % Range Over the Past 10 Years
Min: 1.43 Med: 12.44 Max: 20.51
Current: 19.28
During the past 13 years, Fortinet's highest ROA % was 20.51%. The lowest was 1.43%. And the median was 12.44%.
FRA:FO8's ROA % is ranked better than 95.01% of 2885
companies
in the Software industry
Industry Median: 1.68
vs FRA:FO8: 19.28
Fortinet (FRA:FO8) ROA % Explanation
ROA % measures the rate of return on the total assets (shareholder equity plus liabilities). It measures a firm's efficiency at generating profits from shareholders' equity plus its liabilities. ROA % shows how well a company uses what it has to generate earnings. ROA %s can vary drastically across industries. Therefore, ROA % should not be used to compare companies in different industries. For retailers, a ROA % of higher than 5% is expected. For example, Wal-Mart (WMT) has a ROA % of about 8% as of 2012. For banks, ROA % is close to their interest spread. A banks ROA % is typically well under 2%.
Similar to ROE, ROA % is affected by profit margins and asset turnover. This can be seen from the Du Pont Formula:
Note:
The Net Income data used here is four times the quarterly (Mar. 2026) net income data. The Revenue data used here is four times the quarterly (Mar. 2026) revenue data.
* 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.
Be Aware
Like ROE, ROA % is calculated with only 12 months data. Fluctuations in the company's earnings or business cycles can affect the ratio drastically. It is important to look at the ratio from a long term perspective. ROA % can be affected by events such as stock buyback or issuance, and by goodwill, a company's tax rate and its interest payment. ROA % may not reflect the true earning power of the assets. A more accurate measurement is ROC % (ROC).
Many analysts argue the higher return the better. Buffett states that really high ROA % may indicate vulnerability in the durability of the competitive advantage.
E.g. Raising $43b to take on KO is impossible, but $1.7b to take on Moody's is. Although Moody's ROA % and underlying economics is far superior to Coca Cola, the durability is far weaker because of lower entry cost.
Fortinet ROA % Related Terms
Fortinet ROA % Historical Data
* Premium members only.
The historical data trend for Fortinet's ROA % 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.
For the Software - Infrastructure subindustry, Fortinet's ROA %, along with its competitors' market caps and ROA % 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 ROA % vs Software Industry
For the Software industry and Technology sector, Fortinet's ROA % distribution charts can be found below:
* The bar in red indicates where Fortinet's ROA % falls into.
* 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.
In the calculation of annual ROA %, the net income of the last fiscal year and the average total assets over the fiscal year are used. In calculating the quarterly data,
the Net Income data used here is four times the quarterly (Mar. 2026) net income data.
ROA % is displayed in the 30-year financial page.
Fortinet (FRA:FO8) has a ROA % of 21.23% as of Mar. 2026. Return on assets is the ratio of current-period net income to average two-period total assets. View historical data on Fortinet and its competitors. This is 71% above median its historical median of 12.44. Over the past decade, Fortinet's ROA % has ranged from 1.43 to 20.51. According to the industry distribution chart, Fortinet ranks #144 out of 2885 companies in the Software industry, placing it in the top 5%.
Is Fortinet's ROA % too high?
Fortinet's current ROA % of 21.23% is 71% above median its 10-year median of 12.44. Over the past 10 years, this metric has ranged from a low of 1.43 to a high of 20.51. The Software industry median ROA % is 1.68. Fortinet's value of 21.23% is 1163.7% above this industry median. Based on the distribution chart, Fortinet ranks #144 out of 2885 companies in the Software industry, which is in the top quartile — a strong position relative to peers. Overall, Fortinet has a GF Score™ of 91/100 and is considered Significantly Overvalued, reflecting its overall financial health beyond just this single metric.
How does Fortinet's ROA % compare to SNPS and NET?
According to the Software industry distribution chart, Fortinet ranks #144 out of 2885 companies for ROA %. This places Fortinet in the top 5% of its industry — outperforming the majority of peers. The industry median ROA % is 1.68. Fortinet's value of 21.23% is 1163.7% above this benchmark. Historically, Fortinet's own ROA % has ranged from 1.43 to 20.51 over the past decade. While the company's 10-year median is 12.44 vs. the industry median of 1.68, Fortinet has consistently been above the industry average. See the competitive comparison table and distribution chart on this page for a detailed peer-by-peer breakdown.
What is a good ROA % for a Software company?
The median ROA % among Software companies is 1.68, based on 2,885 companies in the industry. Companies in the top quartile (top 25%) have a ROA % significantly above this median, while those in the bottom quartile fall well below. However, ROA % should not be evaluated in isolation — investors should consider it alongside profitability, growth, and financial strength metrics. Fortinet's current ROA % of 21.23% is 1163.7% above the industry median. Use the industry distribution chart on this page to see where any company falls relative to its peers.
What does a high ROA % mean?
A high ROA % can signal that a stock is expensive relative to its fundamentals. Return on assets is the ratio of current-period net income to average two-period total assets. View historical data on Fortinet and its competitors. For the Software industry, the median ROA % is 1.68 — values significantly above this may indicate overvaluation, while values below may suggest a bargain or underlying issues. Fortinet's current ROA % is 21.23%, which is 71% above median its own 10-year median of 12.44. However, context matters — high-growth companies often justify higher valuations. Always evaluate alongside other metrics like GF Score™ and GF Value™.
Is Fortinet stock overvalued right now?
Based on GuruFocus' analysis, Fortinet (FRA:FO8) is currently considered Significantly Overvalued. The stock's GF Value™ is €85.42, compared to a current price of €130.50 — trading 52.8% above its estimated fair value. The current ROA % is 21.23%, which is 71% above median its 10-year median of 12.44 and 1163.7% above the Software industry median of 1.68. Fortinet's overall GF Score™ is 91/100 with 5 warning signs to review. Investors should evaluate multiple metrics — including profitability, growth, and financial strength — before making a decision.
How is ROA % calculated?
ROA % is calculated from a company's financial statements. For Fortinet (FRA:FO8), the current ROA % is 21.23% as of Mar. 2026. GuruFocus calculates this using data sourced from SEC filings and annual reports. See the calculation section and 30-year financial data on this page for the full breakdown.
Is Fortinet (FRA:FO8) Overvalued in 2026?
Based on GuruFocus' analysis, Fortinet stock appears to be overvalued.
The current stock price of €130.50 is trading 52.8% above its estimated GF Value™ of €85.42.
GuruFocus considers Fortinet to be Significantly Overvalued.
Key valuation signals for FRA:FO8:
ROA %: 21.23% (71% above median its 10-year median of 12.44)
GF Value™: €85.42 vs. price of €130.50 (52.8% above fair value)
Industry Position: 1163.7% above the Software median (#144 of 2885)
No single metric tells the full story. See the FRA:FO8 stock analysis page for a complete view including 30-year financials, guru trades, and insider activity.
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 800,000 customers across the world.
91GF Score
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