Verdict: Side-by-side breakdown using the Bull Rankings model. VRNS scored 32.3, FTNT scored 62.3 — FTNT leads.
Compare another set
VRNS
Varonis Systems, Inc.
Software - Infrastructure · Quality-Growth
32.3
$50.12 · $5.8B
fundamentals as of
Score gap
30.0
FTNT leads
FTNT
Fortinet, Inc.
Software - Infrastructure · Quality-Growth
62.3
$194.75 · $142.9B
fundamentals as of
At a glance · who leads each dimension, on the model's own rules
Fastest growthFTNT+18.8%
Strongest balance sheetFTNT0.36
Highest qualityFTNT91 / 100
Side by side · every name on one set of axes
The model, pillar by pillar (0–100 each)
VRNS
stronger →← stronger
FTNT
29
Qualityreturns · margins · balance sheet
91
85
Growthrevenue & earnings expansion
90
14
Valuevaluation vs sector peers
29
FTNT is stronger on 3 of 3 pillars.
Fundamentals, head-to-head
VRNS
FTNT
$122mC
FCF
$3.2bB
+15.6%B+
Rev
+18.8%B+
1.19C
D/E
0.36B
8.4xC+
P/S
—
7.38D
PEG
2.08C
—
P/E
68.8xC
Winner per row is the stronger grade; where grades tie, the better figure breaks it. A true tie or a missing value shows no highlight.
Valuation · DCF cross-check
VRNS
FTNT
99% above
Price vs fair valuelower is cheaper
124% above
~28%/yr
Growth the price impliesyr-1 FCF growth, fading to 4% · lower = less priced in
~33%/yr
-57%
1-yr DCF upside
-63%
-50%
5-yr DCF upside
-55%
-36%
10-yr DCF upside
-41%
These two disagree on this pair: the Value pillar ranks cheapness against sector peers, while price-vs-fair-value is an absolute read. A name can be the better value in its sector and still the dearer one on cash flows.
The DCF is a cross-check on intrinsic value, separate from the quality-growth score above.
Model signals
VRNS
Why this score
Diluting shareholders
FTNT
Why this score
Buying back stock
Durable high returns
The companies
VRNSVaronis Systems, Inc.
Software - Infrastructure · $50.12 · beta 0.77
Why now
Software - Infrastructure · market cap $5.8b. Down 22% from 52-week high of $63.90 — deep drawdown territory. Revenue growing +16%, comfortably above the S&P median. 22 sell-side analysts publish a mean 1-yr target of $51.32 (implying +2% upside).
Moat
Software economics — recurring revenue, embedded customer workflows, and high gross margin all compound the moat once a base account is won. Switching costs are the lever.
Risk
Currently unprofitable (margin -20.5%) — path to GAAP profitability is the core thesis risk. ROE -32% is below the long-run sustainable threshold of ~10% — capital efficiency would need to improve for the equity base to compound at the market rate. Software — competitive moat is durable until it isn't; watch net revenue retention, gross margin trends, and any new market entrant with a fundamentally lower price point.
FTNTFortinet, Inc.
Software - Infrastructure · $194.75 · beta 1.04
Why now
Software - Infrastructure · market cap $142.9b. Trading near 52-week high of $194.95 — momentum setup, limited technical margin of safety. Revenue growing +19%, comfortably above the S&P median. 36 sell-side analysts rate this a Hold with a mean 1-yr target of $164.32 (implying -16% upside).
Moat
Net margin 28% sits well above the S&P median (~11%) — suggests structural pricing advantage or cost discipline competitors can't quickly close. FCF converts 151% of net income, helped by cash released from working capital ($532m) that doesn't repeat every year. $142.9b market cap gives the company enough scale to absorb fixed costs that subscale competitors can't, without yet being so large that growth has to come from acquisition.
Risk
Trailing P/E 68.8x prices in sustained high growth — any quarter that disappoints triggers sharp re-rating. Trading within 0% of the 52-week high — limited technical margin of safety; a momentum reversal would test conviction. P/S 19.0x embeds aggressive forward growth — disappointing top-line guidance would compress the multiple hard.
Verdict — model-derived comparison
Generating verdict… typically 5–10 seconds
Not investment advice. The Bull Rankings publishes a quantitative ranking model and accompanying analysis for general informational purposes only. Nothing on this page is a recommendation to buy, sell, or hold any security; nothing is personalized to your circumstances, risk tolerance, or tax situation. Investing carries the risk of loss — invest at your own risk and consider consulting a licensed financial professional before acting on anything you read here. See terms and methodology for full disclosures.
Where VRNS and FTNT diverge
On the headline score the gap is 30.0 points in favor of FTNT. The widest single difference is Quality, where FTNT leads by 62.4 points.
QualityVRNS 29.0 · FTNT 91.4FTNT +62.4
ValueVRNS 13.8 · FTNT 29.4FTNT +15.6
GrowthVRNS 84.5 · FTNT 89.7FTNT +5.2
Pillars run 0–100. Value is judged against each company's own sector, so a Value score is a statement about a company relative to its own industry rather than to the other name here. A wide Value gap usually means the market already prices the difference in quality or growth — which is the trade-off this comparison comes down to.
Common questions
Is FTNT or VRNS the better stock?
FTNT scores higher: FTNT 62.3, VRNS 32.3 out of 100 on the Bull Rankings quality-growth score, which blends business quality, growth and valuation into one number. A higher score means a stronger business at a more reasonable price — it is not a price target or a recommendation.
Where do FTNT and VRNS differ most?
The widest gap is quality, where FTNT leads by 62 points on the 0–100 pillar scale. FTNT leads all three pillars, so the gap is broad rather than a single-measure difference.
How are FTNT and VRNS scored?
Each carries the same 0–100 quality-growth score used everywhere on the site, built from three pillars — quality (profitability and returns on capital), growth (revenue and earnings), and value (what you pay for them) — combined as a geometric mean, so a weak pillar cannot be papered over by a strong one.
How current is this comparison?
The whole universe is re-scored every trading day after the US market close, so the scores and fundamentals here reflect the latest published edition.