Citi Comments on Fortinet Inc

Citi has published a research report on Fortinet (NASDAQ: FTNT) commenting on the company's growth trend.

In the report, Citi wrote, "Soft Trends Beneath - Total billings of $110M was slightly below the guidance mid-point for the first time since going public in 2009. Product revenue / billings grew 32% (excluding China rev rec change) and decelerated slightly, but annuity billings were well below this. Large deal activity did not continue the momentum from Q1 and deals over $500K were down materially Y/Y after growing nicely over the last year or more. Management blamed European / Middle East macro weakness and sub-par execution in this geography. Service providers remained strong and newer verticals, such as financials and healthcare, continue to show promise. U.S. federal performance was also noted as strong."

Citi rated Fortinet Inc. a high risk HOLD with a price target of $24.00. Fortinet Inc. closed Tuesday at $26.78.