Fortinet price prediction: Wells Fargo sees a 27% upside

Fortinet Inc (NASDAQ: FTNT) has more than doubled in the stock market this year, but Wells Fargo says the rally is not over by a long stretch.

On Tuesday, Wells Fargo’s Andrew Nowinski assumed coverage of the stock with an “overweight” rating and a price target of $380 that translates to another 27% upside from here.

Stephanie Link agrees with the bullish call

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The news comes only days after Hightower’s Stephanie Link added to her position in Fortinet Inc. Agreeing to the investment bank’s bullish cash this morning, she said on CNBC’s “Halftime Report”:

It’s down 7%, and I like cybersecurity in general. The total addressable market will be $354 billion by 2026, up from $167 billion this year. It’s expensive, but it’s a TAM story that I like, and I hope that I’m getting it on sale.

Shares of the $49 billion company are up about 4.0% today.

Other reasons why Link likes Fortinet

According to Link, Fortinet has “price-performance advantage” that makes it an attractive buy for investors interested in putting their money in cybersecurity names. She expects Fortinet to grow earnings by 20% and revenue by more than that.

Other reasons why Link likes Fortinet include a free cash flow growth of 20% that beats its competitors at about 15%.

Last month, Stifel also initiated coverage on Fortinet with a “buy” rating, and Cowen reiterated its “outperform” rating on the stock. The consensus price target on FTNT, however, stands at only $306.