- Check Point Software achieved an adjusted EPS of $2.04, which surpassed the estimated $2.01 and represented an increase compared to the previous year’s $1.80.
- The company’s EPS was $1.60, exhibiting a rise from last year’s $1.52.
- Revenue amounted to $598.8 million, rising by 5.8% year-on-year and exceeding the forecast of $595 million.
- Product and License revenue fell by 7.1% to $100.3 million, which was lower than the predicted $101.4 million.
- Security subscriptions revenue grew by 15% year-on-year to reach $263.4 million, outstripping the estimated $260.2 million.
- A shift in deferred revenues, trade payables and other accrued liabilities stood at -$140.6 million, much higher than the projected -$85.3 million.
- The cost of products and security subscriptions came to $36.4 million, down by 5.5% year-on-year and less than the estimated $38.5 million.
- The cost of products and licenses was $19.9 million, a significant 24% drop from the previous year and lower than the predicted $21.8 million.
- Security subscriptions cost rose by 34% year-on-year to $16.5 million.
- The cost of software updates and maintenance amounted to $28.7 million, a 7.1% increase from last year which slightly exceeded the projected $28.1 million.
- R&D expenses rose by 8.4% year-on-year to $99.2 million, slightly surpassing the forecasted $99 million.
- Software updates and maintenance revenue reached $235.1 million, above the estimated $234 million.
- The company’s current ratings stand at 12 buys, 24 holds, and 1 sell.
Check Point Software Tech on Smartkarma
Analyst coverage of Check Point Software Technologies on Smartkarma is gaining attention, with Baptista Research publishing an insightful report on the company. Titled “Check Point Software Technologies: Initiation of Coverage – Unleashing the Power of AI to Combat Cyber Threats,” the report highlights the company’s strong performance in the fourth quarter of 2023. With operating income reaching $309 million, a 7% increase year-over-year, and a stable non-GAAP operating margin of 47%, Check Point Software is demonstrating resilience in the cybersecurity sector.
Baptista Research‘s bullish sentiment towards Check Point Software reflects optimism regarding the future of internet safety and the company’s innovative use of AI to combat cyber threats. This report provides a detailed analysis of the major drivers propelling Check Point Software’s growth trajectory, shedding light on the company’s strategic positioning in the cybersecurity landscape. With insightful research like this, Smartkarma continues to serve as a valuable platform for independent analysts to share their expertise and provide valuable insights for investors.
A look at Check Point Software Tech Smart Scores
| Factor | Score | Magnitude |
|---|---|---|
| Value | 2 | |
| Dividend | 1 | |
| Growth | 3 | |
| Resilience | 4 | |
| Momentum | 4 | |
| OVERALL SMART SCORE | 2.8 |
Smart Score is a compound score for the Company indicating its overall outlook. It is derived by taking an equally weighted average of underlying Factor scores computed by Smartkarma
Check Point Software Technologies Ltd. has a promising long-term outlook based on the Smartkarma Smart Scores assessment. The company scores 2 for Value, indicating a fair valuation, while receiving a lower score of 1 for Dividend. Notably, Check Point Software Tech excels in Growth with a score of 3, showing potential for expansion. The company also demonstrates strong Resilience and Momentum, scoring 4 in both categories. Overall, these scores suggest a positive trajectory for Check Point Software Tech in the future.
Check Point Software Technologies Ltd. specializes in the development, marketing, and support of IT security software and hardware products and services. The company offers a diverse range of solutions, including network and gateway security, data and endpoint security, and management solutions. With a focus on providing customers with comprehensive security offerings, Check Point Software Tech aims to address the evolving cybersecurity needs of businesses and individuals.
Disclaimer: This article by Smartkarma is general in nature and based on historical data and analyst forecasts only using an unbiased methodology and our articles are not intended to be financial advice. It does not constitute a recommendation to buy or sell any stock, and does not take account of your objectives, or your financial situation. Note that our articles may not factor in the latest price-sensitive company announcements or qualitative material.
While all reasonable care has been taken in the preparation, Smartkarma makes no assurance about the accuracy of any generated data or content. All content is indicative only and should be independently checked for accuracy and confirmed before use. Smartkarma accepts no responsibility for any loss or damage caused as a result of any inaccuracy or error within the Lab online tools or generated data.
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