Fortinet Accused of Securities Fraud Over Firewall Forecasts
Two class action lawsuits accuse Fortinet of securities fraud for allegedly misleading investors about a firewall refresh cycle, claiming it would significantly boost revenue. The lawsuits allege that Fortinet executives knew the refresh involved older, less impactful products and that CEO Ken Xie and CTO Michael Xie engaged in suspicious insider stock sales before the company’s stock price dropped significantly.