Fortinet, Inc.

“Fortinet is a structurally advantaged cybersecurity compounder with ASIC-driven unit economics, best-in-class FCF margins (~37%), a $7.6B deferred revenue backlog, and a decade of reinvestment runway in a structurally underpenetrated TAM — but at 42x FCF and near its 52-week high, the stock prices in near-perfect execution with no margin of safety, making it a compelling watch rather than a compelling buy.”