CHECK POINT SOFTWARE TECH (CHKP) Fundamental Analysis & Valuation

NASDAQ:CHKP • IL0010824113

Current stock price

153.95 USD
+1.12 (+0.73%)
At close:
153.95 USD
0 (0%)
After Hours:

This CHKP fundamental analysis includes valuation metrics, fair value assessment, financial health analysis, profitability trends, growth metrics and dividend sustainability analysis.

9

1. CHKP Profitability Analysis

1.1 Basic Checks

  • In the past year CHKP was profitable.
  • CHKP had a positive operating cash flow in the past year.
  • Each year in the past 5 years CHKP has been profitable.
  • Each year in the past 5 years CHKP had a positive operating cash flow.
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 2025 200M 400M 600M 800M 1B

1.2 Ratios

  • With an excellent Return On Assets value of 13.54%, CHKP belongs to the best of the industry, outperforming 91.34% of the companies in the same industry.
  • CHKP has a better Return On Equity (36.67%) than 93.14% of its industry peers.
  • The Return On Invested Capital of CHKP (12.32%) is better than 89.17% of its industry peers.
  • CHKP had an Average Return On Invested Capital over the past 3 years of 17.67%. This is significantly above the industry average of 10.87%.
  • The last Return On Invested Capital (12.32%) for CHKP is well below the 3 year average (17.67%), which needs to be investigated, but indicates that CHKP had better years and this may not be a problem.
Industry RankSector Rank
ROA 13.54%
ROE 36.67%
ROIC 12.32%
ROA(3y)14.33%
ROA(5y)14.15%
ROE(3y)32.26%
ROE(5y)29.8%
ROIC(3y)17.67%
ROIC(5y)18.33%
CHKP Yearly ROA, ROE, ROICCHKP Yearly ROA, ROE, ROICYearly ROA, ROE, ROIC 2016 2017 2018 2019 2020 2021 2022 2023 2024 2025 10 20 30

1.3 Margins

  • CHKP's Profit Margin of 38.78% is amongst the best of the industry. CHKP outperforms 94.22% of its industry peers.
  • CHKP's Profit Margin has been stable in the last couple of years.
  • CHKP's Operating Margin of 30.49% is amongst the best of the industry. CHKP outperforms 94.22% of its industry peers.
  • In the last couple of years the Operating Margin of CHKP has declined.
  • CHKP's Gross Margin of 86.72% is amongst the best of the industry. CHKP outperforms 93.50% of its industry peers.
  • In the last couple of years the Gross Margin of CHKP has remained more or less at the same level.
Industry RankSector Rank
OM 30.49%
PM (TTM) 38.78%
GM 86.72%
OM growth 3Y-7.03%
OM growth 5Y-6.98%
PM growth 3Y4.27%
PM growth 5Y-1.11%
GM growth 3Y-0.08%
GM growth 5Y-0.52%
CHKP Yearly Profit, Operating, Gross MarginsCHKP Yearly Profit, Operating, Gross MarginsYearly Profit, Operating, Gross Margins 2016 2017 2018 2019 2020 2021 2022 2023 2024 2025 20 40 60 80

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ROAROEROICOperating and Profit MarginShow most profitable peers

7

2. CHKP Health Analysis

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 about the same amout of shares outstanding than it did 1 year ago.
  • Compared to 5 years ago, CHKP has less shares outstanding
  • CHKP has a worse debt/assets ratio than last year.
CHKP Yearly Shares OutstandingCHKP Yearly Shares OutstandingYearly Shares Outstanding 2016 2017 2018 2019 2020 2021 2022 2023 2024 2025 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 2025 2B 4B 6B

2.2 Solvency

  • CHKP has an Altman-Z score of 5.71. This indicates that CHKP is financially healthy and has little risk of bankruptcy at the moment.
  • CHKP's Altman-Z score of 5.71 is fine compared to the rest of the industry. CHKP outperforms 79.78% of its industry peers.
  • CHKP has a debt to FCF ratio of 1.59. This is a very positive value and a sign of high solvency as it would only need 1.59 years to pay back of all of its debts.
  • CHKP has a Debt to FCF ratio of 1.59. This is in the better half of the industry: CHKP outperforms 69.68% of its industry peers.
  • A Debt/Equity ratio of 0.68 indicates that CHKP is somewhat dependend on debt financing.
  • With a Debt to Equity ratio value of 0.68, CHKP is not doing good in the industry: 69.31% of the companies in the same industry are doing better.
  • Even though the debt/equity ratio score it not favorable for CHKP, it has very limited outstanding debt, so we won't put too much weight on the DE evaluation.
Industry RankSector Rank
Debt/Equity 0.68
Debt/FCF 1.59
Altman-Z 5.71
ROIC/WACC1.39
WACC8.88%
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 2025 1B 2B 3B

2.3 Liquidity

  • CHKP has a Current Ratio of 2.05. This indicates that CHKP is financially healthy and has no problem in meeting its short term obligations.
  • With a Current ratio value of 2.05, CHKP perfoms like the industry average, outperforming 58.84% of the companies in the same industry.
  • A Quick Ratio of 2.05 indicates that CHKP has no problem at all paying its short term obligations.
  • CHKP has a Quick ratio (2.05) which is in line with its industry peers.
Industry RankSector Rank
Current Ratio 2.05
Quick Ratio 2.05
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 2025 1B 2B 3B

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WACCDebt/EquityHow to determine the health of a companyAltman-Z scoreShow peers with great health

6

3. CHKP Growth Analysis

3.1 Past

  • The Earnings Per Share has grown by an impressive 30.13% over the past year.
  • The Earnings Per Share has been growing by 11.85% on average over the past years. This is quite good.
  • Looking at the last year, CHKP shows a small growth in Revenue. The Revenue has grown by 6.25% in the last year.
  • The Revenue has been growing slightly by 5.71% on average over the past years.
EPS 1Y (TTM)30.13%
EPS 3Y17.01%
EPS 5Y11.85%
EPS Q2Q%25.93%
Revenue 1Y (TTM)6.25%
Revenue growth 3Y5.37%
Revenue growth 5Y5.71%
Sales Q2Q%5.85%

3.2 Future

  • CHKP is expected to show quite a strong growth in Earnings Per Share. In the coming years, the EPS will grow by 15.55% yearly.
  • CHKP is expected to show a small growth in Revenue. In the coming years, the Revenue will grow by 7.62% yearly.
EPS Next Y-10.66%
EPS Next 2Y-0.73%
EPS Next 3Y4.89%
EPS Next 5Y15.55%
Revenue Next Year6.11%
Revenue Next 2Y6.07%
Revenue Next 3Y6.41%
Revenue Next 5Y7.62%

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 10 20 30 40

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Find the best growth stocksShow best growing peers

6

4. CHKP Valuation Analysis

4.1 Price/Earnings Ratio

  • The Price/Earnings ratio is 12.92, which indicates a correct valuation of CHKP.
  • Based on the Price/Earnings ratio, CHKP is valued cheaper than 84.48% of the companies in the same industry.
  • CHKP is valuated cheaply when we compare the Price/Earnings ratio to 25.96, which is the current average of the S&P500 Index.
  • The Price/Forward Earnings ratio is 14.46, which indicates a correct valuation of CHKP.
  • 77.26% of the companies in the same industry are more expensive than CHKP, based on the Price/Forward Earnings ratio.
  • CHKP's Price/Forward Earnings ratio indicates a valuation a bit cheaper than the S&P500 average which is at 24.04.
Industry RankSector Rank
PE 12.92
Fwd PE 14.46
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

  • CHKP's Enterprise Value to EBITDA ratio is a bit cheaper when compared to the industry. CHKP is cheaper than 79.78% of the companies in the same industry.
  • Based on the Price/Free Cash Flow ratio, CHKP is valued cheaper than 83.75% of the companies in the same industry.
Industry RankSector Rank
P/FCF 13.34
EV/EBITDA 15.31
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 has an outstanding profitability rating, which may justify a higher PE ratio.
PEG (NY)N/A
PEG (5Y)1.09
EPS Next 2Y-0.73%
EPS Next 3Y4.89%

More info and screens

Price/EarningsPrice/FCFFCF per shareEV/EBITDAPEG RATIOShow best valued peers

0

5. CHKP Dividend Analysis

5.1 Amount

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

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Find the best dividend stocksShow peers with best dividend

CHKP Fundamentals: All Metrics, Ratios and Statistics

CHECK POINT SOFTWARE TECH

NASDAQ:CHKP (3/17/2026, 5:08:57 PM)

After market: 153.95 0 (0%)

153.95

+1.12 (+0.73%)

Chartmill FA Rating
GICS IndustryGroupSoftware & Services
GICS IndustrySoftware
Earnings (Last)02-12
Earnings (Next)04-21
Inst Owners77.44%
Inst Owner Change4.72%
Ins Owners23.17%
Ins Owner ChangeN/A
Market Cap16.53B
Revenue(TTM)2.73B
Net Income(TTM)1.06B
Analysts73.64
Price Target208.29 (35.3%)
Short Float %5.95%
Short Ratio3.45
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)2
Avg EPS beat(2)39.07%
Min EPS beat(2)20.55%
Max EPS beat(2)57.59%
EPS beat(4)2
Avg EPS beat(4)18.89%
Min EPS beat(4)-1.7%
Max EPS beat(4)57.59%
EPS beat(8)2
Avg EPS beat(8)8.96%
EPS beat(12)6
Avg EPS beat(12)6.59%
EPS beat(16)9
Avg EPS beat(16)5.29%
Revenue beat(2)0
Avg Revenue beat(2)-1.73%
Min Revenue beat(2)-2.13%
Max Revenue beat(2)-1.33%
Revenue beat(4)0
Avg Revenue beat(4)-1.65%
Min Revenue beat(4)-2.13%
Max Revenue beat(4)-1.33%
Revenue beat(8)0
Avg Revenue beat(8)-1.55%
Revenue beat(12)0
Avg Revenue beat(12)-1.63%
Revenue beat(16)0
Avg Revenue beat(16)-1.42%
PT rev (1m)-7.73%
PT rev (3m)-10.08%
EPS NQ rev (1m)1.09%
EPS NQ rev (3m)0.84%
EPS NY rev (1m)-0.26%
EPS NY rev (3m)-0.89%
Revenue NQ rev (1m)-0.66%
Revenue NQ rev (3m)-0.62%
Revenue NY rev (1m)0%
Revenue NY rev (3m)0.1%
Valuation
Industry RankSector Rank
PE 12.92
Fwd PE 14.46
P/S 6.06
P/FCF 13.34
P/OCF 13.06
P/B 5.73
P/tB 21.64
EV/EBITDA 15.31
EPS(TTM)11.92
EY7.74%
EPS(NY)10.65
Fwd EY6.92%
FCF(TTM)11.54
FCFY7.5%
OCF(TTM)11.79
OCFY7.66%
SpS25.39
BVpS26.85
TBVpS7.11
PEG (NY)N/A
PEG (5Y)1.09
Graham Number84.86
Profitability
Industry RankSector Rank
ROA 13.54%
ROE 36.67%
ROCE 14.16%
ROIC 12.32%
ROICexc 25.33%
ROICexgc 98.2%
OM 30.49%
PM (TTM) 38.78%
GM 86.72%
FCFM 45.46%
ROA(3y)14.33%
ROA(5y)14.15%
ROE(3y)32.26%
ROE(5y)29.8%
ROIC(3y)17.67%
ROIC(5y)18.33%
ROICexc(3y)30.45%
ROICexc(5y)31.45%
ROICexgc(3y)131.72%
ROICexgc(5y)107.95%
ROCE(3y)20.31%
ROCE(5y)21.07%
ROICexgc growth 3Y6.73%
ROICexgc growth 5Y14.36%
ROICexc growth 3Y-9.55%
ROICexc growth 5Y-3.44%
OM growth 3Y-7.03%
OM growth 5Y-6.98%
PM growth 3Y4.27%
PM growth 5Y-1.11%
GM growth 3Y-0.08%
GM growth 5Y-0.52%
F-Score5
Asset Turnover0.35
Health
Industry RankSector Rank
Debt/Equity 0.68
Debt/FCF 1.59
Debt/EBITDA 2.13
Cap/Depr 28.63%
Cap/Sales 0.98%
Interest Coverage 250
Cash Conversion 136.96%
Profit Quality 117.22%
Current Ratio 2.05
Quick Ratio 2.05
Altman-Z 5.71
F-Score5
WACC8.88%
ROIC/WACC1.39
Cap/Depr(3y)32.27%
Cap/Depr(5y)41.93%
Cap/Sales(3y)0.9%
Cap/Sales(5y)0.87%
Profit Quality(3y)120.03%
Profit Quality(5y)128.17%
High Growth Momentum
Growth
EPS 1Y (TTM)30.13%
EPS 3Y17.01%
EPS 5Y11.85%
EPS Q2Q%25.93%
EPS Next Y-10.66%
EPS Next 2Y-0.73%
EPS Next 3Y4.89%
EPS Next 5Y15.55%
Revenue 1Y (TTM)6.25%
Revenue growth 3Y5.37%
Revenue growth 5Y5.71%
Sales Q2Q%5.85%
Revenue Next Year6.11%
Revenue Next 2Y6.07%
Revenue Next 3Y6.41%
Revenue Next 5Y7.62%
EBIT growth 1Y-5.13%
EBIT growth 3Y-2.05%
EBIT growth 5Y-1.67%
EBIT Next Year4.73%
EBIT Next 3Y2.53%
EBIT Next 5YN/A
FCF growth 1Y20.49%
FCF growth 3Y4.8%
FCF growth 5Y1.65%
OCF growth 1Y20.25%
OCF growth 3Y4.83%
OCF growth 5Y1.74%

CHECK POINT SOFTWARE TECH / CHKP Fundamental Analysis 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 9 / 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 12.92 and the Price/Book (PB) ratio is 5.73.


Can you provide the expected EPS growth for CHKP stock?

The Earnings per Share (EPS) of CHECK POINT SOFTWARE TECH (CHKP) is expected to decline by -10.66% in the next year.