Needham analyst Matt Dezort has maintained their neutral stance on CHKP stock, giving a Hold rating yesterday.
Matt Dezort has given his Hold rating due to a combination of factors that emerged during the CPX25 event in Las Vegas. Despite the optimistic atmosphere surrounding Check Point’s new leadership and go-to-market strategy changes, there are concerns about the company’s ability to capitalize on firewall refresh opportunities and achieve significant short-term gains.
While Check Point is confident in achieving double-digit growth with its current product offerings, the anticipated downward pressure on margins due to new investments raises caution. Additionally, although there are strategic changes aimed at addressing growth challenges in the American market and enhancing market share in areas like SASE, Email, and ERM, some U.S. partners expressed ongoing frustration with the go-to-market approach. However, there is a general positive sentiment towards the company’s technology and the strategic direction under the new CEO.
According to TipRanks, Dezort is a 3-star analyst with an average return of 9.5% and a 47.06% success rate. Dezort covers the Technology sector, focusing on stocks such as CyberArk Software, Check Point, and Varonis Systems.
In another report released yesterday, Barclays also maintained a Hold rating on the stock with a $230.00 price target.