Cybersecurity firm Check Point gains after Wells Fargo upgrades to 'overweight'

Check Point Software Technologies

14/03/2025 11:47

** Shares of cybersecurity solutions provider Check Point Software Technologies CHKP.O rise 2.4% to $220 premarket

** Wells Fargo upgrades CHKP to "overweight" from "equal weight" and raises PT to $280 from $200, implying a ~30% upside to stock's last close

** CHKP's new CEO Nadav Zafrir is seen as a "game-changer", who can leverage his experience to further penetrate the Fortune 500 enterprise market and expand the company's product portfolio via M&A - brokerage

** Company has two key product cycles — SASE and email security — which can drive billings growth to 6%, says Wells Fargo

** Company's free cash flow growth expected to accelerate to "13%-14% range", approaching levels of competitors Fortinet FTNT.O (13%-15%) and Palo Alto Networks PANW.O (14%-15%), which "trade at a significant premium" - brokerage

** CHKP shares rose about 22.3% in 2024

 (Reporting by Kamal Choudhury in Bengaluru)

 ((Kamal.Choudhury@thomsonreuters.com))