Check Point, the Technology sector company, was revisited by a Wall Street analyst yesterday. Analyst Tal Liani from Bank of America Securities reiterated a Buy rating on the stock and has a $260.00 price target.
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Tal Liani has given his Buy rating due to a combination of factors including Check Point’s strong product revenue growth and promising new product offerings. The company’s product revenue increased by 11.7%, surpassing market expectations, driven by a firewall refresh cycle and improved execution. Additionally, newer products such as email, ERM, and SASE have shown impressive growth, exceeding 40% year-over-year, which highlights their strong cross-selling potential.
Despite the overall growth being somewhat underwhelming at 6% year-over-year, Liani remains optimistic about Check Point’s strategic initiatives. The company is making significant investments in growth areas such as AI security and cultural changes aimed at enhancing delivery and execution. Although these initiatives are expected to take time to yield substantial results, Liani believes that Check Point’s diverse installed base and restructuring efforts will eventually lead to improved growth rates. He maintains a slightly higher revenue growth estimate for 2025 compared to management’s guidance, anticipating gradual margin improvements in the following year.
According to TipRanks, Liani is a 5-star analyst with an average return of 9.7% and a 57.58% success rate. Liani covers the Technology sector, focusing on stocks such as Fortinet, Qualcomm, and Zscaler.
In another report released today, Jefferies also maintained a Buy rating on the stock with a $230.00 price target.