CHECK POINT SOFTWARE TECH (CHKP) Fundamental Analysis & Valuation

NASDAQ:CHKP • IL0010824113

154.04 USD
-3.28 (-2.08%)
At close: Mar 11, 2026
153.6 USD
-0.44 (-0.29%)
After Hours: 3/11/2026, 6:46:16 PM
Overview Stock Chart Technical Analysis Fundamental Analysis Forecast Earnings Financials Ownership News

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

Fundamental Rating

7

We assign a fundamental rating of 7 out of 10 to CHKP. CHKP was compared to 277 industry peers in the Software industry. CHKP gets an excellent profitability rating and is at the same time showing great financial health properties. CHKP has a correct valuation and a medium growth rate. With these ratings, CHKP could be worth investigating further for quality investing!.


Dividend Valuation Growth Profitability Health

9

1. CHKP Profitability Analysis

1.1 Basic Checks

  • CHKP had positive earnings in the past year.
  • In the past year CHKP had a positive cash flow from operations.
  • 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 90.97% of the companies in the same industry.
  • With an excellent Return On Equity value of 36.67%, CHKP belongs to the best of the industry, outperforming 93.14% of the companies in the same industry.
  • With an excellent Return On Invested Capital value of 12.32%, CHKP belongs to the best of the industry, outperforming 89.17% of the companies in the same industry.
  • The Average Return On Invested Capital over the past 3 years for CHKP is significantly above the industry average of 10.89%.
  • The 3 year average ROIC (17.67%) for CHKP is well above the current ROIC(12.32%). The reason for the recent decline needs to be investigated.
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

  • With an excellent Profit Margin value of 38.78%, CHKP belongs to the best of the industry, outperforming 93.86% of the companies in the same industry.
  • CHKP's Profit Margin has been stable in the last couple of years.
  • CHKP has a better Operating Margin (30.49%) than 94.22% of its industry peers.
  • CHKP's Operating Margin has declined in the last couple of years.
  • The Gross Margin of CHKP (86.72%) is better than 93.14% 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

More info and screens

ROAROEROICOperating and Profit MarginShow most profitable peers

7

2. CHKP Health Analysis

2.1 Basic Checks

  • With a Return on Invested Capital (ROIC) well above the Cost of Capital (WACC), CHKP is creating value.
  • Compared to 1 year ago, CHKP has about the same amount of shares outstanding.
  • The number of shares outstanding for CHKP has been reduced compared to 5 years ago.
  • Compared to 1 year ago, CHKP has a worse debt to assets ratio.
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 5.77. This indicates that CHKP is financially healthy and has little risk of bankruptcy at the moment.
  • CHKP has a Altman-Z score of 5.77. This is in the better half of the industry: CHKP outperforms 79.06% of its industry peers.
  • The Debt to FCF ratio of CHKP is 1.59, which is an excellent value as it means it would take CHKP, only 1.59 years of fcf income to pay off all of its debts.
  • CHKP has a better Debt to FCF ratio (1.59) than 69.68% of its industry peers.
  • CHKP has a Debt/Equity ratio of 0.68. This is a neutral value indicating CHKP is somewhat dependend on debt financing.
  • Looking at the Debt to Equity ratio, with a value of 0.68, CHKP is doing worse than 69.31% of the companies in the same industry.
  • 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 5.77
ROIC/WACC1.38
WACC8.92%
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

  • A Current Ratio of 2.05 indicates that CHKP has no problem at all paying its short term obligations.
  • CHKP has a Current ratio (2.05) which is in line with its industry peers.
  • A Quick Ratio of 2.05 indicates that CHKP has no problem at all paying its short term obligations.
  • Looking at the Quick ratio, with a value of 2.05, CHKP is in line with its industry, outperforming 59.21% of the companies in the same industry.
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

More info and screens

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

6

3. CHKP Growth Analysis

3.1 Past

  • CHKP shows a strong growth in Earnings Per Share. In the last year, the EPS has been growing by 30.13%, which is quite impressive.
  • CHKP shows quite a strong growth in Earnings Per Share. Measured over the last years, the EPS has been growing by 11.85% yearly.
  • Looking at the last year, CHKP shows a small growth in Revenue. The Revenue has grown by 6.25% in the last year.
  • CHKP shows a small growth in Revenue. Measured over the last years, the Revenue has been growing by 5.71% yearly.
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

  • The Earnings Per Share is expected to grow by 15.55% on average over the next years. This is quite good.
  • The Revenue is expected to grow by 7.62% on average over the next years.
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

  • The EPS growth rate is accelerating: in the next years the growth will be better than in the last years.
  • When comparing the Revenue growth rate of the last years to the growth rate of the upcoming years, we see that the growth is accelerating.
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

More info and screens

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 83.75% of the companies in the same industry.
  • Compared to an average S&P500 Price/Earnings ratio of 26.15, CHKP is valued rather cheaply.
  • With a Price/Forward Earnings ratio of 14.47, CHKP is valued correctly.
  • Compared to the rest of the industry, the Price/Forward Earnings ratio of CHKP indicates a somewhat cheap valuation: CHKP is cheaper than 77.26% of the companies listed in the same industry.
  • The average S&P500 Price/Forward Earnings ratio is at 24.27. CHKP is valued slightly cheaper when compared to this.
Industry RankSector Rank
PE 12.92
Fwd PE 14.47
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

  • Based on the Enterprise Value to EBITDA ratio, CHKP is valued a bit cheaper than 79.78% of the companies in the same industry.
  • Based on the Price/Free Cash Flow ratio, CHKP is valued cheaper than 83.39% of the companies in the same industry.
Industry RankSector Rank
P/FCF 13.35
EV/EBITDA 15.83
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

  • CHKP does not give a dividend.
Industry RankSector Rank
Dividend Yield 0%

More info and screens

Find the best dividend stocksShow peers with best dividend

CHKP Fundamentals: All Metrics, Ratios and Statistics

CHECK POINT SOFTWARE TECH

NASDAQ:CHKP (3/11/2026, 6:46:16 PM)

After market: 153.6 -0.44 (-0.29%)

154.04

-3.28 (-2.08%)

Chartmill FA Rating
GICS IndustryGroupSoftware & Services
GICS IndustrySoftware
Earnings (Last)02-12
Earnings (Next)04-21
Inst Owners77.44%
Inst Owner Change4.74%
Ins Owners23.17%
Ins Owner ChangeN/A
Market Cap16.54B
Revenue(TTM)2.73B
Net Income(TTM)1.06B
Analysts73.64
Price Target208.29 (35.22%)
Short Float %6.66%
Short Ratio4.15
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)1.08%
EPS NQ rev (3m)0.83%
EPS NY rev (1m)-0.26%
EPS NY rev (3m)-0.89%
Revenue NQ rev (1m)-0.68%
Revenue NQ rev (3m)-0.64%
Revenue NY rev (1m)0%
Revenue NY rev (3m)0.1%
Valuation
Industry RankSector Rank
PE 12.92
Fwd PE 14.47
P/S 6.07
P/FCF 13.35
P/OCF 13.07
P/B 5.74
P/tB 21.66
EV/EBITDA 15.83
EPS(TTM)11.92
EY7.74%
EPS(NY)10.65
Fwd EY6.91%
FCF(TTM)11.54
FCFY7.49%
OCF(TTM)11.79
OCFY7.65%
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 5.77
F-Score5
WACC8.92%
ROIC/WACC1.38
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 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 5.74.


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.