Price to Book Value (P/BV)
since 2009
Calculation
Fortinet Inc., P/BV, long-term trends, calculation
| P/BV | = | Share price1, 2, 3 | ÷ | Book value per share1 (BVPS) | BVPS1 | = | Total Fortinet, Inc. stockholders’ equity (deficit)1 (in thousands) |
÷ | No. shares of common stock outstanding2 | ||
|---|---|---|---|---|---|---|---|---|---|---|---|
| Feb 24, 2023 | — | = | 58.86 | ÷ | -0.36 | -0.36 | = | -281,600 | ÷ | 784,066,289 | |
| Feb 25, 2022 | 66.85 | = | 64.99 | ÷ | 0.97 | 0.97 | = | 781,700 | ÷ | 804,077,230 | |
| Feb 19, 2021 | 32.78 | = | 34.39 | ÷ | 1.05 | 1.05 | = | 856,000 | ÷ | 815,954,595 | |
| Feb 26, 2020 | 13.87 | = | 21.25 | ÷ | 1.53 | 1.53 | = | 1,321,900 | ÷ | 862,573,610 | |
| Feb 27, 2019 | 14.85 | = | 17.58 | ÷ | 1.18 | 1.18 | = | 1,010,200 | ÷ | 853,168,355 | |
| Feb 26, 2018 | 14.34 | = | 10.06 | ÷ | 0.70 | 0.70 | = | 589,377 | ÷ | 840,120,815 | |
| Mar 1, 2017 | 7.81 | = | 7.46 | ÷ | 0.96 | 0.96 | = | 837,681 | ÷ | 876,600,115 | |
| Feb 26, 2016 | 6.38 | = | 5.62 | ÷ | 0.88 | 0.88 | = | 755,377 | ÷ | 858,018,055 | |
| Mar 2, 2015 | 8.52 | = | 6.82 | ÷ | 0.80 | 0.80 | = | 675,966 | ÷ | 844,327,300 | |
| Mar 3, 2014 | 6.32 | = | 4.55 | ÷ | 0.72 | 0.72 | = | 585,760 | ÷ | 814,266,565 | |
| Feb 27, 2013 | 7.84 | = | 4.96 | ÷ | 0.63 | 0.63 | = | 510,934 | ÷ | 808,039,760 | |
| Feb 28, 2012 | 11.96 | = | 5.48 | ÷ | 0.46 | 0.46 | = | 358,354 | ÷ | 781,815,035 | |
| Feb 25, 2011 | 13.43 | = | 4.15 | ÷ | 0.31 | 0.31 | = | 232,454 | ÷ | 752,314,930 | |
| Mar 5, 2010 | 8.08 | = | 1.71 | ÷ | 0.21 | 0.21 | = | 142,452 | ÷ | 672,880,220 |
Based on: 10-K (reporting date: 2022-12-31), 10-K (reporting date: 2021-12-31), 10-K (reporting date: 2020-12-31), 10-K (reporting date: 2019-12-31), 10-K (reporting date: 2018-12-31), 10-K (reporting date: 2017-12-31), 10-K (reporting date: 2016-12-31), 10-K (reporting date: 2015-12-31), 10-K (reporting date: 2014-12-31), 10-K (reporting date: 2013-12-31), 10-K (reporting date: 2012-12-31), 10-K (reporting date: 2011-12-31), 10-K (reporting date: 2010-12-31), 10-K (reporting date: 2009-12-31).
1 US$
2 Data adjusted for splits and stock dividends.
3 Closing price as at the filing date of Fortinet Inc. Annual Report.
This analysis covers the trends in share price, book value per share (BVPS), and price-to-book value ratio (P/BV) over a fourteen-year period.
- Share Price
- The share price exhibited a general upward trend from 2010 to 2023, starting at $1.71 and reaching a peak of $64.99 in 2022, before experiencing a decline to $58.86 in 2023. This indicates substantial growth in market valuation over the period, with notable acceleration from 2018 onward. The increase reflects strong investor confidence or market dynamics favoring the company.
- Book Value per Share (BVPS)
- BVPS increased steadily from $0.21 in 2010 to a high of $1.53 in 2020, demonstrating consistent growth in the company's net asset value per share. However, from 2020, BVPS declined sharply, falling to $1.05 in 2021, $0.97 in 2022, and turning negative at -$0.36 in 2023. This deterioration suggests a weakening in the company’s underlying net assets or the presence of significant charges affecting equity in recent years.
- Price-to-Book Value Ratio (P/BV)
- The P/BV ratio showed significant volatility and an overall increasing trend, starting at 8.08 in 2010. It experienced fluctuations, dipping to a low of 6.32 in 2014, then rising again. Notably, the ratio surged sharply from 13.87 in 2020 to 32.78 in 2021 and further to 66.85 in 2022, with the 2023 value missing. This sharp increase is largely attributable to the declining BVPS coupled with a rising share price, resulting in a high valuation relative to book value. Such elevated P/BV levels could indicate market optimism that is somewhat disconnected from the company's reported net assets or could reflect intangible assets or growth expectations.
Comparison to Competitors
Fortinet Inc., P/BV, long-term trends, comparison to competitors
| Fortinet Inc. | Accenture PLC | Adobe Inc. | Cadence Design Systems Inc. | CrowdStrike Holdings Inc. | Datadog Inc. | Fair Isaac Corp. | International Business Machines Corp. | Intuit Inc. | Microsoft Corp. | Oracle Corp. | Palantir Technologies Inc. | Palo Alto Networks Inc. | Salesforce Inc. | ServiceNow Inc. | Synopsys Inc. | Workday Inc. | |
|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|
| Feb 24, 2023 | — | 7.13 | 11.22 | 18.46 | 42.67 | 17.39 | — | 5.34 | 7.20 | 12.38 | — | 6.94 | 252.00 | 3.37 | 18.36 | 9.24 | 12.68 |
| Feb 25, 2022 | 66.85 | 11.06 | 15.94 | 13.68 | 48.91 | 48.66 | — | 5.90 | 15.71 | 15.16 | 41.57 | 10.48 | 71.88 | 4.73 | 30.36 | 10.50 | 18.38 |
| Feb 19, 2021 | 32.78 | 8.51 | 16.53 | 14.90 | 14.78 | 31.25 | 40.58 | 5.24 | 17.71 | 13.11 | 14.01 | 28.60 | 20.61 | 4.48 | 40.91 | 7.57 | 15.54 |
| Feb 26, 2020 | 13.87 | 8.15 | 16.03 | 9.51 | — | 16.83 | 33.14 | 6.04 | 20.00 | 10.30 | 8.59 | — | 12.91 | 7.66 | 31.48 | 5.16 | 21.26 |
| Feb 27, 2019 | 14.85 | 9.44 | 12.76 | 12.50 | — | — | 21.55 | 7.40 | 24.12 | 10.02 | 3.84 | — | 22.92 | 9.93 | 39.04 | 3.68 | 18.62 |
| Feb 26, 2018 | 14.34 | 10.08 | 11.50 | 11.49 | — | — | 10.81 | 8.20 | 26.72 | 7.69 | 3.90 | — | 17.37 | 7.78 | 48.15 | 3.99 | 14.93 |
| Mar 1, 2017 | 7.81 | 9.83 | 7.37 | 11.10 | — | — | 7.84 | 9.30 | 24.96 | 6.08 | 3.49 | — | 16.91 | 9.45 | 37.74 | 2.81 | 12.36 |
| Feb 26, 2016 | 6.38 | 11.33 | 6.35 | 4.61 | — | — | 6.20 | 8.92 | 10.00 | 4.66 | 3.66 | — | 32.11 | 10.57 | 15.42 | 2.20 | 13.98 |
| Mar 2, 2015 | 8.52 | 8.96 | 5.26 | 4.06 | — | — | 5.00 | 13.73 | 7.79 | 3.96 | 3.82 | — | 16.81 | 12.79 | 26.77 | 2.12 | 14.17 |
| Mar 3, 2014 | 6.32 | 10.06 | 4.49 | 3.74 | — | — | 3.70 | 8.37 | 5.28 | 3.36 | 3.13 | — | 12.19 | 11.74 | 24.36 | 2.19 | 17.51 |
| Feb 27, 2013 | 7.84 | 11.05 | 2.84 | 4.38 | — | — | 3.03 | 11.77 | 6.46 | 3.68 | 3.11 | — | 19.49 | 12.73 | 19.87 | 1.93 | — |
| Feb 28, 2012 | 11.96 | 10.33 | 2.66 | 7.87 | — | — | 2.64 | 11.39 | 5.46 | 4.07 | 4.12 | — | — | 12.71 | — | 1.84 | — |
| Feb 25, 2011 | 13.43 | 11.06 | 3.29 | 9.33 | — | — | 1.98 | 8.57 | 5.05 | 4.84 | 3.52 | — | — | 9.19 | — | 1.93 | — |
| Mar 5, 2010 | 8.08 | 9.61 | 3.68 | 14.21 | — | — | 1.56 | 7.26 | 3.50 | 5.36 | 4.29 | — | — | 5.65 | — | 1.71 | — |
Based on: 10-K (reporting date: 2022-12-31), 10-K (reporting date: 2021-12-31), 10-K (reporting date: 2020-12-31), 10-K (reporting date: 2019-12-31), 10-K (reporting date: 2018-12-31), 10-K (reporting date: 2017-12-31), 10-K (reporting date: 2016-12-31), 10-K (reporting date: 2015-12-31), 10-K (reporting date: 2014-12-31), 10-K (reporting date: 2013-12-31), 10-K (reporting date: 2012-12-31), 10-K (reporting date: 2011-12-31), 10-K (reporting date: 2010-12-31), 10-K (reporting date: 2009-12-31).
Comparison to Sector (Software & Services)
Fortinet Inc., P/BV, long-term trends, comparison to sector (software & services)
| Fortinet Inc. | Software & Services | |
|---|---|---|
| Feb 24, 2023 | — | 10.76 |
| Feb 25, 2022 | 66.85 | 13.72 |
| Feb 19, 2021 | 32.78 | 11.72 |
| Feb 26, 2020 | 13.87 | 10.09 |
| Feb 27, 2019 | 14.85 | 8.77 |
| Feb 26, 2018 | 14.34 | 7.22 |
| Mar 1, 2017 | 7.81 | 6.29 |
| Feb 26, 2016 | 6.38 | 5.39 |
| Mar 2, 2015 | 8.52 | 5.16 |
| Mar 3, 2014 | 6.32 | 4.46 |
| Feb 27, 2013 | 7.84 | 4.88 |
| Feb 28, 2012 | 11.96 | 5.39 |
| Feb 25, 2011 | 13.43 | 5.31 |
| Mar 5, 2010 | 8.08 | 5.44 |
Based on: 10-K (reporting date: 2022-12-31), 10-K (reporting date: 2021-12-31), 10-K (reporting date: 2020-12-31), 10-K (reporting date: 2019-12-31), 10-K (reporting date: 2018-12-31), 10-K (reporting date: 2017-12-31), 10-K (reporting date: 2016-12-31), 10-K (reporting date: 2015-12-31), 10-K (reporting date: 2014-12-31), 10-K (reporting date: 2013-12-31), 10-K (reporting date: 2012-12-31), 10-K (reporting date: 2011-12-31), 10-K (reporting date: 2010-12-31), 10-K (reporting date: 2009-12-31).
Comparison to Industry (Information Technology)
Fortinet Inc., P/BV, long-term trends, comparison to industry (information technology)
| Fortinet Inc. | Information Technology | |
|---|---|---|
| Feb 24, 2023 | — | 10.50 |
| Feb 25, 2022 | 66.85 | 12.59 |
| Feb 19, 2021 | 32.78 | 11.14 |
| Feb 26, 2020 | 13.87 | 8.53 |
| Feb 27, 2019 | 14.85 | 7.05 |
| Feb 26, 2018 | 14.34 | 5.49 |
| Mar 1, 2017 | 7.81 | 4.55 |
| Feb 26, 2016 | 6.38 | 4.33 |
| Mar 2, 2015 | 8.52 | 4.38 |
| Mar 3, 2014 | 6.32 | 3.52 |
| Feb 27, 2013 | 7.84 | 3.77 |
| Feb 28, 2012 | 11.96 | 4.01 |
| Feb 25, 2011 | 13.43 | 4.18 |
| Mar 5, 2010 | 8.08 | 4.34 |
Based on: 10-K (reporting date: 2022-12-31), 10-K (reporting date: 2021-12-31), 10-K (reporting date: 2020-12-31), 10-K (reporting date: 2019-12-31), 10-K (reporting date: 2018-12-31), 10-K (reporting date: 2017-12-31), 10-K (reporting date: 2016-12-31), 10-K (reporting date: 2015-12-31), 10-K (reporting date: 2014-12-31), 10-K (reporting date: 2013-12-31), 10-K (reporting date: 2012-12-31), 10-K (reporting date: 2011-12-31), 10-K (reporting date: 2010-12-31), 10-K (reporting date: 2009-12-31).