CHECK POINT SOFTWARE TECH (CHKP) Stock Fundamental Analysis

USA • Nasdaq • NASDAQ:CHKP • IL0010824113

181.27 USD
+0.36 (+0.2%)
At close: Feb 9, 2026
181.27 USD
0 (0%)
After Hours: 2/9/2026, 8:00:01 PM
Fundamental Rating

7

CHKP gets a fundamental rating of 7 out of 10. The analysis compared the fundamentals against 277 industry peers in the Software industry. CHKP scores excellent points on both the profitability and health parts. This is a solid base for a good stock. CHKP has a correct valuation and a medium growth rate. These ratings would make CHKP suitable for quality investing!


Dividend Valuation Growth Profitability Health

8

1. Profitability

1.1 Basic Checks

  • CHKP had positive earnings in the past year.
  • CHKP had a positive operating cash flow in the past year.
  • CHKP had positive earnings in each of the past 5 years.
  • CHKP had a positive operating cash flow in each of the past 5 years.
CHKP Yearly Net Income VS EBIT VS OCF VS FCFCHKP Yearly Net Income VS EBIT VS OCF VS FCFYearly Net Income VS EBIT VS OCF VS FCF 2016 2017 2018 2019 2020 2021 2022 2023 2024 200M 400M 600M 800M 1B

1.2 Ratios

  • With an excellent Return On Assets value of 17.72%, CHKP belongs to the best of the industry, outperforming 93.14% of the companies in the same industry.
  • With an excellent Return On Equity value of 32.79%, CHKP belongs to the best of the industry, outperforming 92.78% of the companies in the same industry.
  • With an excellent Return On Invested Capital value of 18.51%, CHKP belongs to the best of the industry, outperforming 93.86% of the companies in the same industry.
  • CHKP had an Average Return On Invested Capital over the past 3 years of 20.07%. This is significantly above the industry average of 10.91%.
Industry RankSector Rank
ROA 17.72%
ROE 32.79%
ROIC 18.51%
ROA(3y)14.46%
ROA(5y)14.34%
ROE(3y)29.1%
ROE(5y)27.36%
ROIC(3y)20.07%
ROIC(5y)19.43%
CHKP Yearly ROA, ROE, ROICCHKP Yearly ROA, ROE, ROICYearly ROA, ROE, ROIC 2016 2017 2018 2019 2020 2021 2022 2023 2024 10 20 30

1.3 Margins

  • CHKP has a better Profit Margin (37.62%) than 92.06% of its industry peers.
  • In the last couple of years the Profit Margin of CHKP has declined.
  • CHKP has a better Operating Margin (31.76%) than 93.50% of its industry peers.
  • CHKP's Operating Margin has declined in the last couple of years.
  • The Gross Margin of CHKP (86.81%) is better than 93.14% of its industry peers.
  • CHKP's Gross Margin has been stable in the last couple of years.
Industry RankSector Rank
OM 31.76%
PM (TTM) 37.62%
GM 86.81%
OM growth 3Y-6.58%
OM growth 5Y-5.03%
PM growth 3Y-4.32%
PM growth 5Y-4.45%
GM growth 3Y-0.2%
GM growth 5Y-0.37%
CHKP Yearly Profit, Operating, Gross MarginsCHKP Yearly Profit, Operating, Gross MarginsYearly Profit, Operating, Gross Margins 2016 2017 2018 2019 2020 2021 2022 2023 2024 20 40 60 80

9

2. Health

2.1 Basic Checks

  • CHKP has a Return on Invested Capital (ROIC), which is well above the Cost of Capital (WACC), which means it is creating value.
  • CHKP has less shares outstanding than it did 1 year ago.
  • CHKP has less shares outstanding than it did 5 years ago.
  • There is no outstanding debt for CHKP. This means it has a Debt/Equity and Debt/FCF ratio of 0 and it is amongst the best of the sector and industry.
CHKP Yearly Shares OutstandingCHKP Yearly Shares OutstandingYearly Shares Outstanding 2016 2017 2018 2019 2020 2021 2022 2023 2024 50M 100M 150M
CHKP Yearly Total Debt VS Total AssetsCHKP Yearly Total Debt VS Total AssetsYearly Total Debt VS Total Assets 2016 2017 2018 2019 2020 2021 2022 2023 2024 1B 2B 3B 4B 5B

2.2 Solvency

  • CHKP has an Altman-Z score of 9.12. This indicates that CHKP is financially healthy and has little risk of bankruptcy at the moment.
  • CHKP's Altman-Z score of 9.12 is amongst the best of the industry. CHKP outperforms 91.34% of its industry peers.
  • CHKP has no outstanding debt. Therefor its Debt/Equity and Debt/FCF ratios are 0 and belong to the best of the industry.
Industry RankSector Rank
Debt/Equity 0
Debt/FCF 0
Altman-Z 9.12
ROIC/WACC1.9
WACC9.75%
CHKP Yearly LT Debt VS Equity VS FCFCHKP Yearly LT Debt VS Equity VS FCFYearly LT Debt VS Equity VS FCF 2016 2017 2018 2019 2020 2021 2022 2023 2024 1B 2B 3B

2.3 Liquidity

  • A Current Ratio of 1.19 indicates that CHKP should not have too much problems paying its short term obligations.
  • CHKP has a worse Current ratio (1.19) than 66.06% of its industry peers.
  • A Quick Ratio of 1.19 indicates that CHKP should not have too much problems paying its short term obligations.
  • CHKP's Quick ratio of 1.19 is on the low side compared to the rest of the industry. CHKP is outperformed by 65.34% of its industry peers.
  • CHKP does not score too well on the current and quick ratio evaluation. However, as it has excellent solvency and profitability, these ratios do not necessarly indicate liquidity issues and need to be evaluated against the specifics of the business.
Industry RankSector Rank
Current Ratio 1.19
Quick Ratio 1.19
CHKP Yearly Current Assets VS Current LiabilitesCHKP Yearly Current Assets VS Current LiabilitesYearly Current Assets VS Current Liabilites 2016 2017 2018 2019 2020 2021 2022 2023 2024 500M 1B 1.5B 2B

6

3. Growth

3.1 Past

  • The Earnings Per Share has grown by an impressive 24.25% over the past year.
  • Measured over the past years, CHKP shows a quite strong growth in Earnings Per Share. The EPS has been growing by 8.26% on average per year.
  • CHKP shows a small growth in Revenue. In the last year, the Revenue has grown by 6.31%.
  • Measured over the past years, CHKP shows a small growth in Revenue. The Revenue has been growing by 5.16% on average per year.
EPS 1Y (TTM)24.25%
EPS 3Y9.12%
EPS 5Y8.26%
EPS Q2Q%75.11%
Revenue 1Y (TTM)6.31%
Revenue growth 3Y5.78%
Revenue growth 5Y5.16%
Sales Q2Q%6.68%

3.2 Future

  • Based on estimates for the next years, CHKP will show a quite strong growth in Earnings Per Share. The EPS will grow by 11.82% on average per year.
  • CHKP is expected to show a small growth in Revenue. In the coming years, the Revenue will grow by 6.81% yearly.
EPS Next Y25.58%
EPS Next 2Y7.96%
EPS Next 3Y9.01%
EPS Next 5Y11.82%
Revenue Next Year6.51%
Revenue Next 2Y6.31%
Revenue Next 3Y6.14%
Revenue Next 5Y6.81%

3.3 Evolution

  • When comparing the EPS growth rate of the last years to the growth rate of the upcoming years, we see that the growth is accelerating.
  • The Revenue growth rate is accelerating: in the next years the growth will be better than in the last years.
CHKP Yearly Revenue VS EstimatesCHKP Yearly Revenue VS EstimatesYearly Revenue VS Estimates 2015 2017 2019 2021 2023 2025 2027 2029 2031 2033 1B 2B 3B 4B
CHKP Yearly EPS VS EstimatesCHKP Yearly EPS VS EstimatesYearly EPS VS Estimates 2015 2017 2019 2021 2023 2025 2027 2029 2031 2033 5 10 15 20

6

4. Valuation

4.1 Price/Earnings Ratio

  • The Price/Earnings ratio is 16.16, which indicates a correct valuation of CHKP.
  • 78.34% of the companies in the same industry are more expensive than CHKP, based on the Price/Earnings ratio.
  • CHKP's Price/Earnings ratio indicates a valuation a bit cheaper than the S&P500 average which is at 28.06.
  • The Price/Forward Earnings ratio is 16.98, which indicates a correct valuation of CHKP.
  • 73.65% of the companies in the same industry are more expensive than CHKP, based on the Price/Forward Earnings ratio.
  • CHKP is valuated rather cheaply when we compare the Price/Forward Earnings ratio to 27.86, which is the current average of the S&P500 Index.
Industry RankSector Rank
PE 16.16
Fwd PE 16.98
CHKP Price Earnings VS Forward Price EarningsCHKP Price Earnings VS Forward Price Earnings ChartPrice Earnings - Forward Price Earnings PE FPE 10 20 30 40

4.2 Price Multiples

  • Compared to the rest of the industry, the Enterprise Value to EBITDA ratio of CHKP indicates a somewhat cheap valuation: CHKP is cheaper than 75.45% of the companies listed in the same industry.
  • Based on the Price/Free Cash Flow ratio, CHKP is valued a bit cheaper than the industry average as 77.98% of the companies are valued more expensively.
Industry RankSector Rank
P/FCF 17.38
EV/EBITDA 17.98
CHKP Per share dataCHKP EPS, Sales, OCF, FCF, BookValue per sharePer Share Data Per Share 5 10 15 20 25

4.3 Compensation for Growth

  • CHKP's low PEG Ratio(NY), which compensates the Price/Earnings for growth, indicates a rather cheap valuation of the company.
  • CHKP has an outstanding profitability rating, which may justify a higher PE ratio.
PEG (NY)0.63
PEG (5Y)1.96
EPS Next 2Y7.96%
EPS Next 3Y9.01%

0

5. Dividend

5.1 Amount

  • No dividends for CHKP!.
Industry RankSector Rank
Dividend Yield 0%

CHECK POINT SOFTWARE TECH

NASDAQ:CHKP (2/9/2026, 8:00:01 PM)

After market: 181.27 0 (0%)

181.27

+0.36 (+0.2%)

Chartmill FA Rating
GICS IndustryGroupSoftware & Services
GICS IndustrySoftware
Earnings (Last)10-28
Earnings (Next)02-12
Inst Owners72.59%
Inst Owner Change-4.01%
Ins Owners23.17%
Ins Owner ChangeN/A
Market Cap19.46B
Revenue(TTM)2.68B
Net Income(TTM)1.01B
Analysts72.73
Price Target225.73 (24.53%)
Short Float %7.53%
Short Ratio5.97
Dividend
Industry RankSector Rank
Dividend Yield 0%
Yearly DividendN/A
Dividend Growth(5Y)N/A
DPN/A
Div Incr Years0
Div Non Decr Years0
Ex-DateN/A
Surprises & Revisions
EPS beat(2)1
Avg EPS beat(2)27.94%
Min EPS beat(2)-1.7%
Max EPS beat(2)57.59%
EPS beat(4)1
Avg EPS beat(4)13.68%
Min EPS beat(4)-1.7%
Max EPS beat(4)57.59%
EPS beat(8)2
Avg EPS beat(8)6.61%
EPS beat(12)6
Avg EPS beat(12)5.04%
EPS beat(16)9
Avg EPS beat(16)4.25%
Revenue beat(2)0
Avg Revenue beat(2)-1.38%
Min Revenue beat(2)-1.44%
Max Revenue beat(2)-1.33%
Revenue beat(4)0
Avg Revenue beat(4)-1.43%
Min Revenue beat(4)-1.71%
Max Revenue beat(4)-1.24%
Revenue beat(8)0
Avg Revenue beat(8)-1.49%
Revenue beat(12)0
Avg Revenue beat(12)-1.59%
Revenue beat(16)1
Avg Revenue beat(16)-1.24%
PT rev (1m)-2.7%
PT rev (3m)-0.54%
EPS NQ rev (1m)0.04%
EPS NQ rev (3m)-4.04%
EPS NY rev (1m)0%
EPS NY rev (3m)13.8%
Revenue NQ rev (1m)0.01%
Revenue NQ rev (3m)0.76%
Revenue NY rev (1m)0%
Revenue NY rev (3m)0.29%
Valuation
Industry RankSector Rank
PE 16.16
Fwd PE 16.98
P/S 7.25
P/FCF 17.38
P/OCF 16.98
P/B 6.32
P/tB 16.92
EV/EBITDA 17.98
EPS(TTM)11.22
EY6.19%
EPS(NY)10.68
Fwd EY5.89%
FCF(TTM)10.43
FCFY5.76%
OCF(TTM)10.67
OCFY5.89%
SpS25
BVpS28.69
TBVpS10.71
PEG (NY)0.63
PEG (5Y)1.96
Graham Number85.1
Profitability
Industry RankSector Rank
ROA 17.72%
ROE 32.79%
ROCE 21.38%
ROIC 18.51%
ROICexc 29.31%
ROICexgc 125.46%
OM 31.76%
PM (TTM) 37.62%
GM 86.81%
FCFM 41.72%
ROA(3y)14.46%
ROA(5y)14.34%
ROE(3y)29.1%
ROE(5y)27.36%
ROIC(3y)20.07%
ROIC(5y)19.43%
ROICexc(3y)33.25%
ROICexc(5y)32.25%
ROICexgc(3y)125.28%
ROICexgc(5y)97.86%
ROCE(3y)23.18%
ROCE(5y)22.45%
ROICexgc growth 3Y30.18%
ROICexgc growth 5Y26.49%
ROICexc growth 3Y-0.42%
ROICexc growth 5Y2.59%
OM growth 3Y-6.58%
OM growth 5Y-5.03%
PM growth 3Y-4.32%
PM growth 5Y-4.45%
GM growth 3Y-0.2%
GM growth 5Y-0.37%
F-Score8
Asset Turnover0.47
Health
Industry RankSector Rank
Debt/Equity 0
Debt/FCF 0
Debt/EBITDA 0
Cap/Depr 25.75%
Cap/Sales 0.96%
Interest Coverage 250
Cash Conversion 120.22%
Profit Quality 110.89%
Current Ratio 1.19
Quick Ratio 1.19
Altman-Z 9.12
F-Score8
WACC9.75%
ROIC/WACC1.9
Cap/Depr(3y)43.08%
Cap/Depr(5y)50.45%
Cap/Sales(3y)0.89%
Cap/Sales(5y)0.87%
Profit Quality(3y)125.99%
Profit Quality(5y)131.69%
High Growth Momentum
Growth
EPS 1Y (TTM)24.25%
EPS 3Y9.12%
EPS 5Y8.26%
EPS Q2Q%75.11%
EPS Next Y25.58%
EPS Next 2Y7.96%
EPS Next 3Y9.01%
EPS Next 5Y11.82%
Revenue 1Y (TTM)6.31%
Revenue growth 3Y5.78%
Revenue growth 5Y5.16%
Sales Q2Q%6.68%
Revenue Next Year6.51%
Revenue Next 2Y6.31%
Revenue Next 3Y6.14%
Revenue Next 5Y6.81%
EBIT growth 1Y-2.4%
EBIT growth 3Y-1.17%
EBIT growth 5Y-0.13%
EBIT Next Year3.49%
EBIT Next 3Y5.29%
EBIT Next 5Y5.39%
FCF growth 1Y-5.59%
FCF growth 3Y-4.7%
FCF growth 5Y-0.95%
OCF growth 1Y-5.04%
OCF growth 3Y-4.38%
OCF growth 5Y-0.96%

CHECK POINT SOFTWARE TECH / CHKP FAQ

What is the fundamental rating for CHKP stock?

ChartMill assigns a fundamental rating of 7 / 10 to CHKP.


Can you provide the valuation status for CHECK POINT SOFTWARE TECH?

ChartMill assigns a valuation rating of 6 / 10 to CHECK POINT SOFTWARE TECH (CHKP). This can be considered as Fairly Valued.


What is the profitability of CHKP stock?

CHECK POINT SOFTWARE TECH (CHKP) has a profitability rating of 8 / 10.


What is the valuation of CHECK POINT SOFTWARE TECH based on its PE and PB ratios?

The Price/Earnings (PE) ratio for CHECK POINT SOFTWARE TECH (CHKP) is 16.16 and the Price/Book (PB) ratio is 6.32.


Can you provide the expected EPS growth for CHKP stock?

The Earnings per Share (EPS) of CHECK POINT SOFTWARE TECH (CHKP) is expected to grow by 25.58% in the next year.