Fortinet vs Datadog
Global cybersecurity company providing integrated network security hardware vs Cloud monitoring platform for infrastructure and applications. Which is the better buy for your portfolio in November 2026? Plain-English answer below.
Fortinet sells integrated network security hardware and software to enterprises that value control and consolidation, while Datadog built a cloud-native observability platform that developers and ops teams can't seem to stop expanding usage of. Both are chasing the same corporate IT budget, and both post impressive revenue retention metrics that make their growth stories credible. The Fortinet vs Datadog comparison digs into how each company's go-to-market model, margin structure, and competitive positioning play out in the current spending environment.
Fortinet sells integrated network security hardware and software to enterprises that value control and consolidation, while Datadog built a cloud-native observability platform that developers and ops ...
Why It’s Moving
Fortinet Expands AI Security Reach with Equinix Partnership Amid Raised Guidance
- New product availability: FortiAIGate is now accessible on the Equinix Distributed AI Hub, offering organizations a validated reference architecture to secure and govern distributed AI models and agents.
- Strong financial momentum: Third-quarter billings grew 29% year over year to $2.34 billion, with deals valued over $1 million increasing by 51%, supporting the company's decision to raise its 2026 outlook.
- Sector headwinds persist: Despite positive fundamentals, FTNT fell 3% alongside broader cybersecurity peers like CrowdStrike and Palo Alto Networks as investors navigated rising component costs and service revenue delays.
Datadog Shares Slide Despite Earnings Beat as Largest Customer Usage Concerns Weigh on Outlook
- Q3 revenues climbed 35.2% year-over-year to $1.197 billion, beating high-end guidance, while adjusted EPS rose 47.3% to $0.81, significantly outperforming consensus estimates of $0.64.
- Infrastructure Monitoring annual recurring revenue surpassed $2 billion, highlighting expanding platform usage, yet management noted that lower-priced renewals and discounts for AI customers are tempering near-term growth momentum.
- The stock's sharp decline reflects market anxiety over Q4 guidance assuming a minimum commitment from Datadog's largest customer, signaling potential volatility despite the company swinging to a GAAP operating profit.
Fortinet Expands AI Security Reach with Equinix Partnership Amid Raised Guidance
- New product availability: FortiAIGate is now accessible on the Equinix Distributed AI Hub, offering organizations a validated reference architecture to secure and govern distributed AI models and agents.
- Strong financial momentum: Third-quarter billings grew 29% year over year to $2.34 billion, with deals valued over $1 million increasing by 51%, supporting the company's decision to raise its 2026 outlook.
- Sector headwinds persist: Despite positive fundamentals, FTNT fell 3% alongside broader cybersecurity peers like CrowdStrike and Palo Alto Networks as investors navigated rising component costs and service revenue delays.
Datadog Shares Slide Despite Earnings Beat as Largest Customer Usage Concerns Weigh on Outlook
- Q3 revenues climbed 35.2% year-over-year to $1.197 billion, beating high-end guidance, while adjusted EPS rose 47.3% to $0.81, significantly outperforming consensus estimates of $0.64.
- Infrastructure Monitoring annual recurring revenue surpassed $2 billion, highlighting expanding platform usage, yet management noted that lower-priced renewals and discounts for AI customers are tempering near-term growth momentum.
- The stock's sharp decline reflects market anxiety over Q4 guidance assuming a minimum commitment from Datadog's largest customer, signaling potential volatility despite the company swinging to a GAAP operating profit.
Investment Analysis
Fortinet
FTNT
Pros
- Fortinet has a strong market capitalisation of approximately $61 billion and reported annual revenue of $6.55 billion, reflecting solid business scale.
- The company specializes in converged networking and cybersecurity solutions, positioning it well in a critical and growing market segment.
- Fortinet maintains a relatively moderate stock volatility of about 6.49%, indicating lower share price fluctuation compared to peers like Datadog.
Considerations
- The stock currently has an analyst consensus of 'Hold' with limited upside potential, reflecting moderate market expectations.
- Its price-to-earnings ratio around 32.8 suggests the stock might be fairly valued or slightly expensive relative to earnings.
- Fortinet’s stock has seen a significant drawdown historically, with past declines over 50%, indicating potential downside risk during adverse market conditions.
Datadog
DDOG
Pros
- Datadog operates as a leading provider of observability and security for cloud-based applications, a rapidly expanding technology area.
- Despite higher volatility than Fortinet, Datadog's recent year-to-date performance has been strong, showing robust investor interest and growth potential.
- The company benefits from industry trends towards cloud migration and increasing IT infrastructure complexity, supporting long-term growth.
Considerations
- Datadog’s stock exhibits significantly higher volatility, about 11.87%, creating greater investment risk from price swings.
- The company has experienced large historical drawdowns exceeding 65%, highlighting possible vulnerability to market corrections or sector shifts.
- Its stock price is negatively impacted by recent market sentiment and technical indicators, suggesting some current weakness or uncertainty.
Fortinet (FTNT) Next Earnings Date
Fortinet has not yet announced a confirmed date for its next earnings release. Based on the company's historical reporting pattern, which typically follows a quarterly cycle of approximately three months after the previous report, the next announcement is expected in early February 2027. This upcoming report will cover the fourth quarter and full-year results for fiscal year 2026. Investors should monitor official channels for the precise scheduling of this event.
Datadog (DDOG) Next Earnings Date
Datadog has a confirmed upcoming earnings report scheduled for November 4, 2026, before the market opens. This release will cover the company's financial results for the third quarter of fiscal year 2026. Investors should monitor this date for critical updates on operational performance and forward guidance.
Fortinet (FTNT) Next Earnings Date
Fortinet has not yet announced a confirmed date for its next earnings release. Based on the company's historical reporting pattern, which typically follows a quarterly cycle of approximately three months after the previous report, the next announcement is expected in early February 2027. This upcoming report will cover the fourth quarter and full-year results for fiscal year 2026. Investors should monitor official channels for the precise scheduling of this event.
Datadog (DDOG) Next Earnings Date
Datadog has a confirmed upcoming earnings report scheduled for November 4, 2026, before the market opens. This release will cover the company's financial results for the third quarter of fiscal year 2026. Investors should monitor this date for critical updates on operational performance and forward guidance.
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