Stock Analysis on Net
Stock Analysis on Net

Fortinet Inc. (NASDAQ:FTNT)

This company has been moved to the archive! The financial data has not been updated since May 8, 2023.

DuPont Analysis: Disaggregation of ROE, ROA, and Net Profit Margin
Quarterly Data

Microsoft Excel

Decomposing ROE involves expressing net income divided by shareholders’ equity as the product of component ratios.

Two-Component Disaggregation of ROE

Fortinet Inc., decomposition of ROE (quarterly data)

Microsoft Excel
ROE = ROA × Financial Leverage
Mar 31, 2023 8,478.95% = 14.15% × 599.32
Dec 31, 2022 — = 13.77% × —
Sep 30, 2022 — = 13.92% × —
Jun 30, 2022 — = 12.73% × —
Mar 31, 2022 293.06% = 11.29% × 25.96
Dec 31, 2021 77.63% = 10.25% × 7.57
Sep 30, 2021 49.59% = 9.29% × 5.34
Jun 30, 2021 49.02% = 9.26% × 5.29
Mar 31, 2021 50.07% = 9.30% × 5.39
Dec 31, 2020 57.07% = 12.08% × 4.72
Sep 30, 2020 64.08% = 12.74% × 5.03
Jun 30, 2020 76.01% = 12.41% × 6.12
Mar 31, 2020 69.42% = 11.61% × 5.98
Dec 31, 2019 24.70% = 8.40% × 2.94
Sep 30, 2019 32.81% = 11.11% × 2.95
Jun 30, 2019 33.22% = 11.06% × 3.00
Mar 31, 2019 33.02% = 10.90% × 3.03
Dec 31, 2018 32.88% = 10.79% × 3.05
Sep 30, 2018 — = — × 3.10
Jun 30, 2018 — = — × 3.30
Mar 31, 2018 — = — × 3.46

Based on: 10-Q (reporting date: 2023-03-31), 10-K (reporting date: 2022-12-31), 10-Q (reporting date: 2022-09-30), 10-Q (reporting date: 2022-06-30), 10-Q (reporting date: 2022-03-31), 10-K (reporting date: 2021-12-31), 10-Q (reporting date: 2021-09-30), 10-Q (reporting date: 2021-06-30), 10-Q (reporting date: 2021-03-31), 10-K (reporting date: 2020-12-31), 10-Q (reporting date: 2020-09-30), 10-Q (reporting date: 2020-06-30), 10-Q (reporting date: 2020-03-31), 10-K (reporting date: 2019-12-31), 10-Q (reporting date: 2019-09-30), 10-Q (reporting date: 2019-06-30), 10-Q (reporting date: 2019-03-31), 10-K (reporting date: 2018-12-31), 10-Q (reporting date: 2018-09-30), 10-Q (reporting date: 2018-06-30), 10-Q (reporting date: 2018-03-31).

Three-Component Disaggregation of ROE

Fortinet Inc., decomposition of ROE (quarterly data)

Microsoft Excel
ROE = Net Profit Margin × Asset Turnover × Financial Leverage
Mar 31, 2023 8,478.95% = 20.46% × 0.69 × 599.32
Dec 31, 2022 — = 19.41% × 0.71 × —
Sep 30, 2022 — = 18.12% × 0.77 × —
Jun 30, 2022 — = 17.66% × 0.72 × —
Mar 31, 2022 293.06% = 17.79% × 0.63 × 25.96
Dec 31, 2021 77.63% = 18.16% × 0.56 × 7.57
Sep 30, 2021 49.59% = 17.73% × 0.52 × 5.34
Jun 30, 2021 49.02% = 17.69% × 0.52 × 5.29
Mar 31, 2021 50.07% = 18.01% × 0.52 × 5.39
Dec 31, 2020 57.07% = 18.83% × 0.64 × 4.72
Sep 30, 2020 64.08% = 18.57% × 0.69 × 5.03
Jun 30, 2020 76.01% = 17.54% × 0.71 × 6.12
Mar 31, 2020 69.42% = 16.46% × 0.71 × 5.98
Dec 31, 2019 24.70% = 15.14% × 0.55 × 2.94
Sep 30, 2019 32.81% = 19.23% × 0.58 × 2.95
Jun 30, 2019 33.22% = 19.07% × 0.58 × 3.00
Mar 31, 2019 33.02% = 18.64% × 0.58 × 3.03
Dec 31, 2018 32.88% = 18.44% × 0.59 × 3.05
Sep 30, 2018 — = — × — × 3.10
Jun 30, 2018 — = — × — × 3.30
Mar 31, 2018 — = — × — × 3.46

Based on: 10-Q (reporting date: 2023-03-31), 10-K (reporting date: 2022-12-31), 10-Q (reporting date: 2022-09-30), 10-Q (reporting date: 2022-06-30), 10-Q (reporting date: 2022-03-31), 10-K (reporting date: 2021-12-31), 10-Q (reporting date: 2021-09-30), 10-Q (reporting date: 2021-06-30), 10-Q (reporting date: 2021-03-31), 10-K (reporting date: 2020-12-31), 10-Q (reporting date: 2020-09-30), 10-Q (reporting date: 2020-06-30), 10-Q (reporting date: 2020-03-31), 10-K (reporting date: 2019-12-31), 10-Q (reporting date: 2019-09-30), 10-Q (reporting date: 2019-06-30), 10-Q (reporting date: 2019-03-31), 10-K (reporting date: 2018-12-31), 10-Q (reporting date: 2018-09-30), 10-Q (reporting date: 2018-06-30), 10-Q (reporting date: 2018-03-31).

Five-Component Disaggregation of ROE

Fortinet Inc., decomposition of ROE (quarterly data)

Microsoft Excel
ROE = Tax Burden × Interest Burden × EBIT Margin × Asset Turnover × Financial Leverage
Mar 31, 2023 8,478.95% = 0.94 × 0.98 × 22.12% × 0.69 × 599.32
Dec 31, 2022 — = 0.97 × 0.98 × 20.51% × 0.71 × —
Sep 30, 2022 — = 0.97 × 0.98 × 19.18% × 0.77 × —
Jun 30, 2022 — = 1.02 × 0.97 × 17.84% × 0.72 × —
Mar 31, 2022 293.06% = 1.01 × 0.97 × 18.12% × 0.63 × 25.96
Dec 31, 2021 77.63% = 0.98 × 0.98 × 19.02% × 0.56 × 7.57
Sep 30, 2021 49.59% = 0.94 × 0.98 × 19.20% × 0.52 × 5.34
Jun 30, 2021 49.02% = 0.91 × 0.99 × 19.59% × 0.52 × 5.29
Mar 31, 2021 50.07% = 0.90 × 1.00 × 19.97% × 0.52 × 5.39
Dec 31, 2020 57.07% = 0.90 × 1.00 × 20.88% × 0.64 × 4.72
Sep 30, 2020 64.08% = 0.92 × 1.00 × 20.23% × 0.69 × 5.03
Jun 30, 2020 76.01% = 0.87 × 1.00 × 20.14% × 0.71 × 6.12
Mar 31, 2020 69.42% = 0.85 × 1.00 × 19.32% × 0.71 × 5.98
Dec 31, 2019 24.70% = 0.86 × 1.00 × 17.59% × 0.55 × 2.94
Sep 30, 2019 32.81% = 1.15 × 1.00 × 16.77% × 0.58 × 2.95
Jun 30, 2019 33.22% = 1.21 × 1.00 × 15.79% × 0.58 × 3.00
Mar 31, 2019 33.02% = 1.27 × 1.00 × 14.64% × 0.58 × 3.03
Dec 31, 2018 32.88% = 1.32 × 1.00 × 13.93% × 0.59 × 3.05
Sep 30, 2018 — = — × — × — × — × 3.10
Jun 30, 2018 — = — × — × — × — × 3.30
Mar 31, 2018 — = — × — × — × — × 3.46

Based on: 10-Q (reporting date: 2023-03-31), 10-K (reporting date: 2022-12-31), 10-Q (reporting date: 2022-09-30), 10-Q (reporting date: 2022-06-30), 10-Q (reporting date: 2022-03-31), 10-K (reporting date: 2021-12-31), 10-Q (reporting date: 2021-09-30), 10-Q (reporting date: 2021-06-30), 10-Q (reporting date: 2021-03-31), 10-K (reporting date: 2020-12-31), 10-Q (reporting date: 2020-09-30), 10-Q (reporting date: 2020-06-30), 10-Q (reporting date: 2020-03-31), 10-K (reporting date: 2019-12-31), 10-Q (reporting date: 2019-09-30), 10-Q (reporting date: 2019-06-30), 10-Q (reporting date: 2019-03-31), 10-K (reporting date: 2018-12-31), 10-Q (reporting date: 2018-09-30), 10-Q (reporting date: 2018-06-30), 10-Q (reporting date: 2018-03-31).

Two-Component Disaggregation of ROA

Fortinet Inc., decomposition of ROA (quarterly data)

Microsoft Excel
ROA = Net Profit Margin × Asset Turnover
Mar 31, 2023 14.15% = 20.46% × 0.69
Dec 31, 2022 13.77% = 19.41% × 0.71
Sep 30, 2022 13.92% = 18.12% × 0.77
Jun 30, 2022 12.73% = 17.66% × 0.72
Mar 31, 2022 11.29% = 17.79% × 0.63
Dec 31, 2021 10.25% = 18.16% × 0.56
Sep 30, 2021 9.29% = 17.73% × 0.52
Jun 30, 2021 9.26% = 17.69% × 0.52
Mar 31, 2021 9.30% = 18.01% × 0.52
Dec 31, 2020 12.08% = 18.83% × 0.64
Sep 30, 2020 12.74% = 18.57% × 0.69
Jun 30, 2020 12.41% = 17.54% × 0.71
Mar 31, 2020 11.61% = 16.46% × 0.71
Dec 31, 2019 8.40% = 15.14% × 0.55
Sep 30, 2019 11.11% = 19.23% × 0.58
Jun 30, 2019 11.06% = 19.07% × 0.58
Mar 31, 2019 10.90% = 18.64% × 0.58
Dec 31, 2018 10.79% = 18.44% × 0.59
Sep 30, 2018 — = — × —
Jun 30, 2018 — = — × —
Mar 31, 2018 — = — × —

Based on: 10-Q (reporting date: 2023-03-31), 10-K (reporting date: 2022-12-31), 10-Q (reporting date: 2022-09-30), 10-Q (reporting date: 2022-06-30), 10-Q (reporting date: 2022-03-31), 10-K (reporting date: 2021-12-31), 10-Q (reporting date: 2021-09-30), 10-Q (reporting date: 2021-06-30), 10-Q (reporting date: 2021-03-31), 10-K (reporting date: 2020-12-31), 10-Q (reporting date: 2020-09-30), 10-Q (reporting date: 2020-06-30), 10-Q (reporting date: 2020-03-31), 10-K (reporting date: 2019-12-31), 10-Q (reporting date: 2019-09-30), 10-Q (reporting date: 2019-06-30), 10-Q (reporting date: 2019-03-31), 10-K (reporting date: 2018-12-31), 10-Q (reporting date: 2018-09-30), 10-Q (reporting date: 2018-06-30), 10-Q (reporting date: 2018-03-31).

The primary reason for the increase in return on assets ratio (ROA) over Q1 2023 is the increase in profitability measured by net profit margin ratio.

Four-Component Disaggregation of ROA

Fortinet Inc., decomposition of ROA (quarterly data)

Microsoft Excel
ROA = Tax Burden × Interest Burden × EBIT Margin × Asset Turnover
Mar 31, 2023 14.15% = 0.94 × 0.98 × 22.12% × 0.69
Dec 31, 2022 13.77% = 0.97 × 0.98 × 20.51% × 0.71
Sep 30, 2022 13.92% = 0.97 × 0.98 × 19.18% × 0.77
Jun 30, 2022 12.73% = 1.02 × 0.97 × 17.84% × 0.72
Mar 31, 2022 11.29% = 1.01 × 0.97 × 18.12% × 0.63
Dec 31, 2021 10.25% = 0.98 × 0.98 × 19.02% × 0.56
Sep 30, 2021 9.29% = 0.94 × 0.98 × 19.20% × 0.52
Jun 30, 2021 9.26% = 0.91 × 0.99 × 19.59% × 0.52
Mar 31, 2021 9.30% = 0.90 × 1.00 × 19.97% × 0.52
Dec 31, 2020 12.08% = 0.90 × 1.00 × 20.88% × 0.64
Sep 30, 2020 12.74% = 0.92 × 1.00 × 20.23% × 0.69
Jun 30, 2020 12.41% = 0.87 × 1.00 × 20.14% × 0.71
Mar 31, 2020 11.61% = 0.85 × 1.00 × 19.32% × 0.71
Dec 31, 2019 8.40% = 0.86 × 1.00 × 17.59% × 0.55
Sep 30, 2019 11.11% = 1.15 × 1.00 × 16.77% × 0.58
Jun 30, 2019 11.06% = 1.21 × 1.00 × 15.79% × 0.58
Mar 31, 2019 10.90% = 1.27 × 1.00 × 14.64% × 0.58
Dec 31, 2018 10.79% = 1.32 × 1.00 × 13.93% × 0.59
Sep 30, 2018 — = — × — × — × —
Jun 30, 2018 — = — × — × — × —
Mar 31, 2018 — = — × — × — × —

Based on: 10-Q (reporting date: 2023-03-31), 10-K (reporting date: 2022-12-31), 10-Q (reporting date: 2022-09-30), 10-Q (reporting date: 2022-06-30), 10-Q (reporting date: 2022-03-31), 10-K (reporting date: 2021-12-31), 10-Q (reporting date: 2021-09-30), 10-Q (reporting date: 2021-06-30), 10-Q (reporting date: 2021-03-31), 10-K (reporting date: 2020-12-31), 10-Q (reporting date: 2020-09-30), 10-Q (reporting date: 2020-06-30), 10-Q (reporting date: 2020-03-31), 10-K (reporting date: 2019-12-31), 10-Q (reporting date: 2019-09-30), 10-Q (reporting date: 2019-06-30), 10-Q (reporting date: 2019-03-31), 10-K (reporting date: 2018-12-31), 10-Q (reporting date: 2018-09-30), 10-Q (reporting date: 2018-06-30), 10-Q (reporting date: 2018-03-31).

The primary reason for the increase in return on assets ratio (ROA) over Q1 2023 is the increase in operating profitability measured by EBIT margin ratio.

Disaggregation of Net Profit Margin

Fortinet Inc., decomposition of net profit margin ratio (quarterly data)

Microsoft Excel
Net Profit Margin = Tax Burden × Interest Burden × EBIT Margin
Mar 31, 2023 20.46% = 0.94 × 0.98 × 22.12%
Dec 31, 2022 19.41% = 0.97 × 0.98 × 20.51%
Sep 30, 2022 18.12% = 0.97 × 0.98 × 19.18%
Jun 30, 2022 17.66% = 1.02 × 0.97 × 17.84%
Mar 31, 2022 17.79% = 1.01 × 0.97 × 18.12%
Dec 31, 2021 18.16% = 0.98 × 0.98 × 19.02%
Sep 30, 2021 17.73% = 0.94 × 0.98 × 19.20%
Jun 30, 2021 17.69% = 0.91 × 0.99 × 19.59%
Mar 31, 2021 18.01% = 0.90 × 1.00 × 19.97%
Dec 31, 2020 18.83% = 0.90 × 1.00 × 20.88%
Sep 30, 2020 18.57% = 0.92 × 1.00 × 20.23%
Jun 30, 2020 17.54% = 0.87 × 1.00 × 20.14%
Mar 31, 2020 16.46% = 0.85 × 1.00 × 19.32%
Dec 31, 2019 15.14% = 0.86 × 1.00 × 17.59%
Sep 30, 2019 19.23% = 1.15 × 1.00 × 16.77%
Jun 30, 2019 19.07% = 1.21 × 1.00 × 15.79%
Mar 31, 2019 18.64% = 1.27 × 1.00 × 14.64%
Dec 31, 2018 18.44% = 1.32 × 1.00 × 13.93%
Sep 30, 2018 — = — × — × —
Jun 30, 2018 — = — × — × —
Mar 31, 2018 — = — × — × —

Based on: 10-Q (reporting date: 2023-03-31), 10-K (reporting date: 2022-12-31), 10-Q (reporting date: 2022-09-30), 10-Q (reporting date: 2022-06-30), 10-Q (reporting date: 2022-03-31), 10-K (reporting date: 2021-12-31), 10-Q (reporting date: 2021-09-30), 10-Q (reporting date: 2021-06-30), 10-Q (reporting date: 2021-03-31), 10-K (reporting date: 2020-12-31), 10-Q (reporting date: 2020-09-30), 10-Q (reporting date: 2020-06-30), 10-Q (reporting date: 2020-03-31), 10-K (reporting date: 2019-12-31), 10-Q (reporting date: 2019-09-30), 10-Q (reporting date: 2019-06-30), 10-Q (reporting date: 2019-03-31), 10-K (reporting date: 2018-12-31), 10-Q (reporting date: 2018-09-30), 10-Q (reporting date: 2018-06-30), 10-Q (reporting date: 2018-03-31).

The primary reason for the increase in net profit margin ratio over Q1 2023 is the increase in operating profitability measured by EBIT margin ratio.