Fortinet's Stock Dives Amidst Concerns Over Cybersecurity Spending and Weak Outlook
Shares of cybersecurity firm Fortinet (FTNT) plunged after its third-quarter results revealed disappointing growth in the network firewall market. The company's 2024 outlook for FTNT stock fell short of expectations, reflecting a slowdown in demand for on-premise firewall appliances. Fortinet plans to refocus on Secure Access Service Edge (SASE) products, which support remote workers and branch offices. Other players in the network firewall market, such as Palo Alto Networks (PANW), are also facing challenges as the industry shifts towards cloud-based cybersecurity services.