Check Point's Slowing Growth Despite New Products Prompts Analyst Downgrade
Portfolio Pulse from Anusuya Lahiri
Check Point Software Technologies Ltd (NASDAQ:CHKP) was downgraded by B of A Securities from Buy to Neutral, with a price target reduction from $205 to $195. Despite new products, Check Point's growth remains modest, with Q3 revenue growth of 7% and a decline in operating margin. The analyst cites a low growth trajectory and challenges in achieving double-digit growth until 2025.
October 30, 2024 | 8:33 pm
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NEGATIVE IMPACT
Check Point Software Technologies Ltd was downgraded by B of A Securities from Buy to Neutral, with a price target cut from $205 to $195. Despite new products, growth remains modest, with Q3 revenue growth of 7% and a decline in operating margin.
The downgrade from Buy to Neutral and the reduction in price target indicate a negative short-term outlook. The modest growth and challenges in achieving higher growth rates contribute to this negative sentiment.
CONFIDENCE 90
IMPORTANCE 80
RELEVANCE 100