Dear Valued Visitor,

We have noticed that you are using an ad blocker software.

Although advertisements on the web pages may degrade your experience, our business certainly depends on them and we can only keep providing you high-quality research based articles as long as we can display ads on our pages.

To view this article, you can disable your ad blocker and refresh this page or simply login.

We only allow registered users to use ad blockers. You can sign up for free by clicking here or you can login if you are already a member.

Stock Showdown: Palo Alto Networks Inc (PANW) Vs. Fortinet Inc (FTNT)

So, lastly, let’s take a look on what is in the pipeline and may work as drivers for the two companies. In May, Palo Alto Networks announced the acquisition of CirroSecure in order to incorporate applications for SaaS (Software as a Service) into its portfolio, a tool that Palo Alto Networks until now has been lacking. In May, it was also announced that Fortinet was about to buy Meru Networks (NASDAQ:MERU) in order to strengthen its strategic direction and abilities in securing Wi-Fi networks. Encouraging for both Fortinet and Palo Alto Networks is also that the market for security products is robust and growing, something we assessed in an article last week.

Overall, a total of 28 hedge funds, of the 730 we currently track, hold long positions in Fortinet as of the end of March, down by five  on the quarter. However, in Palo Alto Networks, the number of funds holding shares went up to 47 from 43. In Palo Alto Networks the largest shareholder, among the hedge funds we track, is Christopher Lord ‘s Criterion Capital with 1.02 million shares, while in Fortinet, a large shareholder is Citadel Investment Group, led by  Ken Griffin, with  3.21 million shares. The holdings by hedge funds increased by 20% from the last quarter of 2014 to the first of 2015, to $953,208 million in Palo Alto Networks, while in Fortinet the aggregated holding decreased by 12% to $349,401 million.

When putting the pieces together is seems like Palo Alto Networks wins this battle on points and hence is the preferred pick among the two IT-security companies. Someone who likes to take a double bet is Donald Chiboucis‘ Columbus Circle Investors that after increases by 672% and 39% keeps 786,387 shares of Palo Alto Networks and 3.17 million shares of Fortinet.

Disclosure: None

DOWNLOAD FREE REPORT: Warren Buffett's Best Stock Picks

Let Warren Buffett, George Soros, Steve Cohen, and Daniel Loeb WORK FOR YOU.

If you want to beat the low cost index funds by 19 percentage points per year, look no further than our monthly newsletter.In this free report you can find an in-depth analysis of the performance of Warren Buffett's entire historical stock picks. We uncovered Warren Buffett's Best Stock Picks and a way to for Buffett to improve his returns by more than 4 percentage points per year.

Bonus Biotech Stock Pick: You can also find a detailed bonus biotech stock pick that we expect to return more than 50% within 12 months.
Subscribe me to Insider Monkey's Free Daily Newsletter
This is a FREE report from Insider Monkey. Credit Card is NOT required.