Kuznicki Law PLLC notifies investors that a class action has commenced in the United States District Court for the Northern District of California on behalf of shareholders of Fortinet Inc. who purchased shares between November 8, 2024 and August 6, 2025.
Fortinet and certain of its executives are charged with failing to disclose material information during the Class Period, violating federal securities laws.
On August 6, 2025, the Company disclosed it was already “approximately 40% to 50% of the way through the 2026 upgrade cycle at the end of the second quarter [of 2025].” Further, the Company disclosed that: (i) “it’s hard[] for us to predict” the total number of FortiGates requiring an upgrade; (ii) that customers had “excess [firewall] capacity from [purchasing firewalls in] prior years” and therefore did not need to upgrade; and (iii) that the refresh could not have had “much business impact” as it consisted of only a “small percentage” of the Company’s business because the products were “12 to 15 years old” and had been sold at a time when Fortinet’s business was 5-10 times smaller.
On this news, the price of Fortinet’s shares fell $21.28 per share, or more than 22%, from $96.58 per share on August 6, 2025, to $75.30 per share on August 7, 2025.
If you wish to choose counsel to represent you and the class, you must apply to be appointed lead plaintiff and be selected by the Court. The lead plaintiff will direct the litigation and participate in important decisions including whether to accept a settlement for the class in the action. The lead plaintiff will be selected from among applicants claiming the largest loss from investment in the respective securities during the class periods. Members of the class will be represented by the lead plaintiff and counsel chosen by the lead plaintiff. No class has yet been certified in the above action. Appointment as Lead Plaintiff is not required to partake in any recovery.
Shareholders have until November 21, 2025 to request that the court appoint them lead plaintiff.