FTNT investors incur serious losses
17 Dec, 201813 min read
Share with friends 
FORTINET INC has destroyed investor wealth today. It delivered -6.41% to close at 68.24. During the last week it delivered -8.33% and saw a maximum drawdown of -9.24% before bouncing back.
FTNT is currently in a bearish trend. The current bearish signal has generated a profit of +18.47% for investors in the last three months.
FTNT has been outperforming the SP500 index in recent time. It showed significant outperformance (compared to the SP500 index) from 22 Dec, 2016 to 28 Sep, 2018. Over the last 2 years 11 months and 10 days, FTNT outperformed the SP500 index on 54% days.
During the last three months FTNT was mostly loss making and delivered on average -0.36% per day. It's best return during this period (of +4.32%) was on Monday, 10 Dec, 2018. While it's worst loss in the same period (of -13.3%) was on Friday, 2 Nov, 2018. The longest stort-term trends during this period were 6 profitable and losing days. The bullish trend (which returned +7.75%) started on 24 Sep, 2018 and went on till 1 Oct, 2018 while the bearish trend (which returned -16.84%) started on 4 Oct, 2018 and went on till 11 Oct, 2018.
The last 12 months saw FTNT's investors making profits in 8 months and incurring losses in 4 months. During the last year, FTNT and SP500 index had the same number of profitable months. FTNT significantly outperformed SP500 index in Aug 2018, when it returned +33.14% compared to +4.75% returned by SP500 index during it's best month in the last one year - Jan 2018. FTNT and SP500 index, both had periods of 6 consecutive profitable months.
If I finance a bank and I know if the bank will get in trouble, I will be hit and I will lose money, I will put a price on that.
-- Jeroen Dijsselbloem
FTNT is currently seeing overall fall in volatility. In comparison, the SP500 index is seeing increase in volatility. During the last three months, there was a significant surge in FTNT's volatility from 3 Oct, 2018 to 2 Nov, 2018. While there was a significant surge in the SP500 index's volatility from 25 Sep, 2018 to 29 Oct, 2018.
SP500 index has more chance of extreme outcomes than FTNT. Therefore, SP500 must receive a lower allocation than FTNT in your portfolio.
On a general note (since you are interested in FTNT), three instruments that deserve special mention are I, PRQR and NIHD. They have all outperformed the market and must be closely watched for investment opportunities.
... we have a small favour to ask. Help us bring the power of algorithmic trading strategies to individual investors.
All content in this article was automatically generated by algorithms. This ensures that there are no human biases in the analysis provided. This approach to investing is not new and has been around for more than three decades. Yet, it has been available to only the most affluent or elite investors leaving individual investors to trade on emotions (such as fear and greed), intuition and poor analysis from third-parties. We want to change this.
We want to empower investors with all the tools and analysis required by them to make a rational investment decision.
If you found Spotalpha useful, consider making a contribution. For as little as $5 you can support our efforts and it takes less than a minute. Thank you. Contribute