(CHKP) Check Point Software - NASDAQ
Sector: Technology | Industry: Software - Infrastructure | Exchange: NASDAQ (USA) | Market Cap: 14.129m USD | Total Return: -44.1% in 12m
Avg Turnover: 206M
EPS Trend: 93.6%
Qual. Beats: 0
Rev. Trend: 99.8%
Qual. Beats: -2
Warnings
No concerns identified
Tailwinds
No distinct edge detected
Check Point Software Technologies Ltd. (CHKP) is a global provider of cybersecurity solutions, specializing in a multilevel architecture that protects cloud environments, networks, mobile devices, and IoT infrastructure. The company’s product suite includes AI-powered firewalls, threat intelligence platforms, and workspace security solutions for email and endpoint protection.
Operating within the Systems Software sub-industry, the company utilizes a subscription and service-based business model, which typically generates recurring revenue through managed detection, response, and technical support programs. The cybersecurity sector is currently characterized by a shift toward consolidated mesh architectures to simplify the management of disparate security tools across hybrid work environments.
Investors should evaluate the companys historical margin stability on ValueRay to better understand its competitive positioning. Founded in 1993 and headquartered in Israel, Check Point remains a foundational player in the network security market, offering extensive professional services and certification training to its global enterprise client base.
- Transition to subscription-based recurring revenue models stabilizes long-term cash flow
- AI-driven threat prevention adoption accelerates enterprise security platform consolidation
- Geopolitical instability in Israel poses potential operational and talent retention risks
- Expansion into cloud and mobile security offsets slowing legacy firewall hardware sales
- High interest rates impact corporate IT budgets and lengthen enterprise sales cycles
| Net Income: 1.06b TTM > 0 and > 6% of Revenue |
| FCF/TA: 0.17 > 0.02 and ΔFCF/TA -2.37 > 1.0 |
| NWC/Revenue: 56.07% < 20% (prev 6.60%; Δ 49.47% < -1%) |
| CFO/TA 0.18 > 3% & CFO 1.34b > Net Income 1.06b |
| Net Debt (-795.3m) to EBITDA (965.9m): -0.82 < 3 |
| Current Ratio: 1.85 > 1.5 & < 3 |
| Outstanding Shares: last quarter (106.1m) vs 12m ago -4.76% < -2% |
| Gross Margin: 86.38% > 18% (prev 87.23%; Δ -0.85% > 0.5%) |
| Asset Turnover: 41.85% > 50% (prev 46.85%; Δ -5.00% > 0%) |
| Interest Coverage Ratio: 438.9 > 6 (EBIT TTM 877.9m / Interest Expense TTM 2.00m) |
| A: 0.20 (Total Current Assets 3.36b - Total Current Liabilities 1.81b) / Total Assets 7.61b |
| B: 2.00 (Retained Earnings 15.3b / Total Assets 7.61b) |
| C: 0.13 (EBIT TTM 877.9m / Avg Total Assets 6.59b) |
| D: 0.59 (Book Value of Equity 2.81b / Total Liabilities 4.80b) |
| Altman-Z'' = 9.38 = AAA |
| DSRI: 0.97 (Receivables 410.1m/399.7m, Revenue 2.76b/2.60b) |
| GMI: 1.01 (GM 87.23% / 86.38%) |
| AQI: 0.82 (AQ_t 0.52 / AQ_t-1 0.63) |
| SGI: 1.06 (Revenue 2.76b / 2.60b) |
| TATA: -0.04 (NI 1.06b - CFO 1.34b) / TA 7.61b) |
| Beneish M = -3.11 (Cap -4..+1) = AA |
As of June 10, 2026, the stock is trading at USD 127.43 with a total of 1,196,708 shares traded.
Over the past week, the price has changed by -9.02%,
over one month by +10.41%,
over three months by -20.78% and
over the past year by -44.06%.
Check Point Software has received a consensus analysts rating of 3.76. Therefore, it is recommended to hold CHKP.
- StrongBuy: 13
- Buy: 3
- Hold: 22
- Sell: 0
- StrongSell: 0
| Analysts Target Price | 144.3 | 13.3% |
P/E Trailing = 13.9733
P/E Forward = 13.0208
P/S = 5.1267
P/B = 5.0245
P/EG = 1.3026
Revenue TTM = 2.76b USD
EBIT TTM = 877.9m USD
EBITDA TTM = 965.9m USD
Long Term Debt = 1.97b USD (from longTermDebt, last quarter)
Short Term Debt = unknown (none)
Debt = 1.97b USD (from shortLongTermDebtTotal, last quarter)
Net Debt = -795.3m USD (calculated: Debt 1.97b - CCE 2.77b)
Enterprise Value = 13.3b USD (14.1b + Debt 1.97b - CCE 2.77b)
Interest Coverage Ratio = 438.9 (Ebit TTM 877.9m / Interest Expense TTM 2.00m)
EV/FCF = 10.19x (Enterprise Value 13.3b / FCF TTM 1.31b)
FCF Yield = 9.81% (FCF TTM 1.31b / Enterprise Value 13.3b)
FCF Margin = 47.48% (FCF TTM 1.31b / Revenue TTM 2.76b)
Net Margin = 38.37% (Net Income TTM 1.06b / Revenue TTM 2.76b)
Gross Margin = 86.38% ((Revenue TTM 2.76b - Cost of Revenue TTM 375.4m) / Revenue TTM)
Gross Margin QoQ = 85.38% (prev 86.84%)
Tobins Q-Ratio = 1.75 (Enterprise Value 13.3b / Total Assets 7.61b)
Interest Expense / Debt = 0.10% (Interest Expense 2.00m / Debt 1.97b)
Taxrate = 15.18% (34.3m / 225.9m)
NOPAT = 744.6m (EBIT 877.9m * (1 - 15.18%))
Current Ratio = 1.85 (Total Current Assets 3.36b / Total Current Liabilities 1.81b)
Debt / Equity = 0.70 (Debt 1.97b / totalStockholderEquity, last quarter 2.81b)
Debt / EBITDA = -0.82 (Net Debt -795.3m / EBITDA 965.9m)
Debt / FCF = -0.61 (Net Debt -795.3m / FCF TTM 1.31b)
Total Stockholder Equity = 2.90b (last 4 quarters mean from totalStockholderEquity)
RoA = 16.06% (Net Income 1.06b / Total Assets 7.61b)
RoE = 36.43% (Net Income TTM 1.06b / Total Stockholder Equity 2.90b)
RoCE = 18.00% (EBIT 877.9m / Capital Employed (Equity 2.90b + L.T.Debt 1.97b))
RoIC = 13.15% (NOPAT 744.6m / Invested Capital 5.66b)
WACC = 6.83% (E(14.1b)/V(16.1b) * Re(7.77%) + D(1.97b)/V(16.1b) * Rd(0.10%) * (1-Tc(0.15)))
Discount Rate = 7.77% (= CAPM, Blume Beta Adj.)
Shares (quarterly) Correlation: -86.67 | Cagr: -2.73%
[DCF] Terminal Value 77.97% ; FCFF base≈1.22b ; Y1≈1.40b ; Y5≈2.06b
[DCF] Fair Price = 305.4 (EV 31.0b - Net Debt -795.3m = Equity 31.8b / Shares 104.0m; r=8.35% [WACC [floored]]; 5y FCF grow 15.0% → 2.50% )
EPS Correlation: 93.59 | EPS CAGR: 15.81% | SUE: 0.19 | # QB: 0
Revenue Correlation: 99.82 | Revenue CAGR: 5.93% | SUE: -1.77 | # QB: -2
EPS current Quarter (2026-06-30): EPS=2.45 | Chg30d=-3.66% | Revisions=-84% | Analysts=34
EPS next Quarter (2026-09-30): EPS=2.58 | Chg30d=-1.14% | Revisions=-41% | Analysts=34
EPS current Year (2026-12-31): EPS=10.43 | Chg30d=-0.07% | Revisions=-8% | GrowthEPS=-12.3% | GrowthRev=+3.2%
EPS next Year (2027-12-31): EPS=11.42 | Chg30d=-0.81% | Revisions=-26% | GrowthEPS=+9.5% | GrowthRev=+6.2%
[Analyst] Revisions Ratio: -84%