Look At Analyst Expectations For A Better Read On Check Point Software Technologies Ltd. (NASDAQ: CHKP)


    Massachusetts Financial Services. recently announced the acquisition of new stake in Check Point Software Technologies Ltd. (NASDAQ:CHKP). The institutional investor has increased its shareholding in the Technology company by 2.92% to 9.56 million shares with purchase of 0.27 million shares. This fresh investment now brings its stake to 6.57% valued currently at $1.05 billion. In addition, Nordea Investment Management AB (. raised its holdings by 91931.0 to 4.8 million shares. And Flossbach von Storch AG has lifted its position by 113.05% or 2.52 million shares – to 4.76 million shares.

    With over 1.55 million Check Point Software Technologies Ltd. (CHKP) shares trading Thursday and a closing price of $118.73 on the day, the dollar volume was approximately $184.01 million. The shares have shown a positive weekly performance of 10.02% and its price on 07/09/20 gained nearly 2.41%. Currently, there are 144.20M common shares owned by the public and among those 114.40M shares have been available to trade.

    An analysis of what Wall Street brokers have to say about the expected price targets for this stock gives us this picture: 30 analysts who have offered their price forecasts for CHKP have a consensus price objective of $110.31. The analysts have set the share’s price value over the next 12 months at a high of $126.00 and a low of $85.00 should the stock experience a downside. Incidentally, analysts’ outlook for the Check Point Software Technologies Ltd. stock is 2.90 for the next 12 months. The average price target is -7.94% below its last price level and a downside to the estimated low will see the stock lose -39.68% over that period. But an upside of 5.77% will see the stock hit the forecast high price target while mean target price for the stock is $110.00.

    Insiders at the company have nil transactions over the past 12 months, according to data filed with the U.S. Securities and Exchange Commission (SEC).

    The top 3 mutual fund holders in Check Point Software Technologies Ltd. are Alecta Pension, Flossbach von Storch SICAV – Mult, and Franklin Mutual Ser. Fds. – Globa. Alecta Pension owns 5.37 million shares of the company’s stock, all valued at over $588.95 million. The company bought an additional 0.31 million shares recently to bring their total holdings to about 3.69% of the shares outstanding. Flossbach von Storch SICAV – Mult bought 1.67 million shares to see its total holdings expand to 2.57 million shares valued at over $281.78 million and representing 1.77% of the shares outstanding. Franklin Mutual Ser. Fds. – Globa has total holdings to over 2.43 million shares at a value of $266.85 million. Franklin Mutual Ser. Fds. – Globa now owns shares totaling to 1.67% of the shares outstanding.

    Shares of Check Point Software Technologies Ltd. (NASDAQ: CHKP) opened at $116.32, up $0.38 from a prior closing price of $115.94. However, the script later closed the day at $118.73, up 2.41%. The company’s stock has a 5-day price change of 10.02% and 10.92% over the past three months. CHKP shares are trading 7.00% year to date (YTD), with the 12-month market performance down to -0.84% lower. It has a 12-month low price of $80.06 and touched a high of $120.99 over the same period. Currently, 1.55 million shares have been traded, compared to an average intraday trading volume of 1.01 million shares. The stock is trading above its simple moving averages at the SMA20, SMA50, and SMA200, as the current price level is off by 9.70%, 10.57%, and 9.35% respectively.

    Institutional ownership of Check Point Software Technologies Ltd. (NASDAQ: CHKP) shares accounts for 76.30% of the company’s 144.20M shares outstanding. Mutual fund holders own 35.38%, while other institutional holders and individual stakeholders account for 39.32% and — respectively.

    It has a market capitalization of $16.87B and a beta (3y monthly) value of 0.62. The stock’s trailing 12-month PE ratio is 21.50, while the earnings-per-share (ttm) stands at $5.52. The company has a PEG of 2.62 and a Quick Ratio of 1.50 with the debt-to-equity ratio at 0.01. Price movements for the stock have been influenced by the stock’s volatility, which stands at 3.08% over the week and 2.58% over the month.

    Analysts forecast that Check Point Software Technologies Ltd. (CHKP) will achieve an EPS of $1.43 for the current quarter, $1.48 for the next quarter and $6.72 for 2021. The lowest estimate earnings-per-share for the quarter is $1.36 while analysts give the company a high EPS estimate of $1.5. Comparatively, EPS for the current quarter was $1.38 a year ago. Earnings per share for the fiscal year are expected to increase by 5.40%, and 5.66% over the next financial year. EPS should shrink at an annualized rate of 8.21% over the next five years, compared to 9.60% over the past 5-year period.

    If you are looking to buy this stock, then you may note that the average analyst recommendation by 30 brokerage firm advisors rate Check Point Software Technologies Ltd. (CHKP) as a “Moderate Buy” at a consensus score of 2.90. Specifically, 5 Wall Street analysts polled rate the stock as a buy, while 20 of the 30 advise that investors “hold,” and 3 rated it as a “Sell.”

    Looking at the support for the CHKP, a number of firms have released research notes about the stock. Evercore ISI stated their In-line rating for the stock in a research note on May 04, 2020, with the firm’s price target at $116. BTIG Research coverage for the Check Point Software Technologies Ltd. (CHKP) stock in a research note released on March 27, 2020 offered a Buy rating with a price target of $117. SunTrust was of a view on March 17, 2020 that the stock is Buy, while Goldman gave the stock Sell rating on March 05, 2020, issuing a price target of $118- $100. William Blair on their part issued Mkt Perform rating on February 04, 2020.


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