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What: Shares of Fortinet
So what: Fortinet is on a roll. Revenue improved 34% to $93.3 million while adjusted earnings more than doubled to $0.17 a share. Analysts had been calling for $86.9 million and $0.14, respectively.
Now what: But it's the cash flow statement where Fortinet's story really gets interesting. Cash from operations nearly doubled, to $40.2 million from $21.8 million in last year's Q1. Gross margin also improved 270 basis points to 74.9%.
Billings, meanwhile, rose 34% and deferred revenue rose 26%, reflective of pent-up demand for its appliances that combine hardware and software to protect wired and wireless networks. Analysts will have a hard time keeping up if these trends continue.
Interested in more info on Fortinet? Add it to your watchlist.
Tim didn't own shares in any of the companies mentioned in this article at the time of publication. Check out his portfolio holdings and Foolish writings, or connect with him on Twitter as @milehighfool. You can also get his insights delivered directly to your RSS reader. We Fools may not all hold the same opinions, but we all believe that considering a diverse range of insights makes us better investors. The Motley Fool is also on Twitter as @TheMotleyFool. Its disclosure policy is at least 10% better than other disclosure policies.