Benzinga | Oct 25, 2021 05:28PM EDT

KeyBanc Lifts Fortinet Price Target Price By 14%

* KeyBanc analyst Michael Turits raised the price target on Fortinet Inc (NASDAQ:FTNT) to $370 from $324, implying 11.5% upside, and reiterated an Overweight.

* The rating follows vigorous Q3 checks, the expectation for minimal supply chain disruption, and solid VAR survey results.

* The analyst notes that his Q3 VAR survey saw an increased percentage of respondents indicating they met or exceeded this quarter's plan.

* At the same time, however, there were increased reports of supply chain delays, and expectations for both 2021 and 2022 growth moderated.

* Digital transformation focus remains on cloud data management, advanced security, and application modernization, Turits adds.

* The analyst also points out that security VARs again indicated robust demand, if with a slightly lower percentage of meets/beats than last quarter and with increasing reports of supply chain constraints.

* Price Action: FTNT shares closed lower by 1.01% at $331.91 on Monday.