Robert W. Baird analyst Shrenik Kothari maintained a Buy rating on Check Point (CHKP – Research Report) today and set a price target of $255.00.
Shrenik Kothari has given his Buy rating due to a combination of factors that highlight Check Point’s strong performance and potential for growth. The company reported a year-over-year revenue growth of approximately 6.5%, surpassing consensus estimates, with product revenue showing a significant increase of 13.8%. This growth is attributed to robust demand for their Quantum Force appliances and a healthy pipeline for their Infinity solutions, indicating strong market interest and potential for continued success.
Furthermore, Check Point’s financial health is underscored by a free cash flow of $413.7 million, which exceeded expectations. The company’s operating margin and earnings per share also aligned closely with projections, demonstrating financial stability. Despite a cautious outlook for the second quarter due to macroeconomic pressures, management remains optimistic about their resilience in security spending, which supports the Buy rating given by Kothari.
Kothari covers the Technology sector, focusing on stocks such as Check Point, CyberArk Software, and Tenable Holdings. According to TipRanks, Kothari has an average return of 22.3% and a 68.72% success rate on recommended stocks.
In another report released today, TD Cowen also maintained a Buy rating on the stock with a $285.00 price target.