Check Point Software Technologies (NASDAQ:CHKP) Posts Quarterly Earnings Results, Beats Expectations By $0.10 EPS

Posted by Stanley Muller on Jul 31st, 2026

Check Point Software Technologies (NASDAQ:CHKP – Get Free Report) issued its quarterly earnings results on Thursday. The technology company reported $2.55 earnings per share (EPS) for the quarter, topping analysts’ consensus estimates of $2.45 by $0.10, FiscalAI reports. The business had revenue of $673.60 million for the quarter, compared to the consensus estimate of $675.45 million. Check Point Software Technologies had a return on equity of 38.79% and a net margin of 38.37%.The firm’s quarterly revenue was up 1.3% compared to the same quarter last year. During the same quarter in the prior year, the business posted $2.37 earnings per share. Check Point Software Technologies updated its Q3 2026 guidance to 2.430-2.530 EPS and its FY 2026 guidance to 10.050-10.850 EPS.

Here are the key takeaways from Check Point Software Technologies’ conference call:

Q2 revenue rose 1% to $674 million, in line with expectations, while non-GAAP EPS increased 8% year over year to $2.55. Deferred revenue and remaining performance obligations each grew 7%, indicating continued strength in contracted business.
Product revenue declined 14% amid lower firewall-appliance demand and disruption from the go-to-market reorganization. Management expects a similar trend in Q3, making the second half significantly back-end loaded.
Subscription revenue grew 12%, with email security, CTEM, and AI security collectively generating more than 40% year-over-year ARR growth. Management expects firewall product revenue to return to growth in Q4 and maintained its full-year 2026 guidance.
Check Point launched an AI Network Firewall as part of its AI Defense Plane, aimed at securing prompts, agent actions, and model interactions across networks, cloud, and SASE. Executives view accelerating AI adoption and increasingly sophisticated attacks as a long-term demand opportunity.
The company plans to hire approximately 300 additional go-to-market employees globally, but said the investment is not expected to materially benefit results until Q1–Q2 2027. Check Point ended the quarter with $4.2 billion in cash and marketable securities and expanded its share-repurchase authorization by $2 billion.

Check Point Software Technologies Trading Down 8.2%

Shares of NASDAQ CHKP opened at $128.23 on Friday. The company has a debt-to-equity ratio of 0.70, a quick ratio of 1.85 and a current ratio of 1.85. Check Point Software Technologies has a 52-week low of $112.23 and a 52-week high of $210.66. The stock has a market cap of $13.09 billion, a P/E ratio of 13.17, a price-to-earnings-growth ratio of 4.13 and a beta of 0.49. The firm has a 50 day moving average price of $131.24 and a two-hundred day moving average price of $145.36.

Analysts Set New Price Targets

CHKP has been the topic of several analyst reports. The Goldman Sachs Group set a $168.00 target price on Check Point Software Technologies in a report on Friday, May 1st. Piper Sandler cut shares of Check Point Software Technologies from an “overweight” rating to a “neutral” rating and set a $120.00 price objective for the company. in a research report on Thursday, April 30th. Barclays reduced their price objective on shares of Check Point Software Technologies from $145.00 to $140.00 and set an “equal weight” rating on the stock in a research note on Friday. Compass Point set a $135.00 target price on shares of Check Point Software Technologies in a research report on Monday. Finally, Guggenheim raised Check Point Software Technologies from a “neutral” rating to a “buy” rating and set a $188.00 target price on the stock in a report on Wednesday, July 1st. Nine research analysts have rated the stock with a Buy rating, seventeen have issued a Hold rating and one has given a Sell rating to the company. Based on data from MarketBeat.com, the stock presently has an average rating of “Hold” and an average target price of $151.63.

View Our Latest Stock Analysis on Check Point Software Technologies

More Check Point Software Technologies News

Here are the key news stories impacting Check Point Software Technologies this week:

Positive Sentiment: Second-quarter non-GAAP earnings were $2.55 per share, exceeding the $2.45 analyst consensus and rising from $2.37 a year earlier. Revenue increased 1.3% year over year to $673.6 million, while profitability remained strong, with a 38.37% net margin and 38.79% return on equity. Check Point Software Reports 2026 Second Quarter Financial Results
Positive Sentiment: Check Point introduced an AI Network Firewall designed to provide visibility and control over employee, application and autonomous-agent use of artificial intelligence. The product could strengthen the company’s positioning in the growing AI-security market and support future demand. Check Point Revolutionizes the Firewall Market
Neutral Sentiment: Full-year 2026 guidance calls for EPS of $10.05 to $10.85, slightly above the $10.03 consensus at the midpoint. Revenue guidance of $2.8 billion to $2.9 billion is broadly in line with expectations, offering some support but not a major upside surprise.
Negative Sentiment: Quarterly revenue of $673.6 million fell short of the $675.45 million estimate, indicating limited top-line momentum even as earnings exceeded expectations. Check Point Software Technologies Q2 Non-GAAP Earnings, Revenue Rise; Shares Fall Pre-Bell
Negative Sentiment: Third-quarter revenue guidance of $655 million to $685 million has a midpoint of $670 million, below the $696.5 million consensus. Although the EPS range of $2.43 to $2.53 brackets the $2.49 estimate, the softer revenue outlook is likely the main reason investors are selling the stock.

Insider Transactions at Check Point Software Technologies

In other Check Point Software Technologies news, Director Yoav Chelouche sold 25,000 shares of Check Point Software Technologies stock in a transaction dated Tuesday, June 2nd. The stock was sold at an average price of $140.28, for a total transaction of $3,507,000.00. Following the transaction, the director directly owned 4,008 shares of the company’s stock, valued at approximately $562,242.24. The trade was a 86.18% decrease in their position. The sale was disclosed in a filing with the Securities & Exchange Commission, which can be accessed through this link. The transaction was executed under a pre-arranged Rule 10b5-1 trading plan. 29.00% of the stock is currently owned by corporate insiders.

Hedge Funds Weigh In On Check Point Software Technologies

A number of hedge funds have recently made changes to their positions in the stock. Measured Wealth Private Client Group LLC acquired a new position in shares of Check Point Software Technologies in the 3rd quarter worth approximately $27,000. Ossiam grew its holdings in Check Point Software Technologies by 139.1% during the 3rd quarter. Ossiam now owns 165 shares of the technology company’s stock worth $34,000 after acquiring an additional 96 shares during the period. Sunbelt Securities Inc. acquired a new position in shares of Check Point Software Technologies in the 3rd quarter valued at about $38,000. Horizon Investments LLC grew its stake in Check Point Software Technologies by 28.9% during the third quarter. Horizon Investments LLC now owns 241 shares of the technology company’s stock worth $50,000 after purchasing an additional 54 shares during the period. Finally, GW&K Investment Management LLC increased its holdings in Check Point Software Technologies by 67.9% in the fourth quarter. GW&K Investment Management LLC now owns 282 shares of the technology company’s stock worth $52,000 after purchasing an additional 114 shares in the last quarter. 98.51% of the stock is currently owned by institutional investors.

Check Point Software Technologies Company Profile

(Get Free Report)

Check Point Software Technologies Ltd. is an Israeli-founded cybersecurity company that develops, markets and supports a broad portfolio of network, cloud and endpoint security products. Founded in 1993, the company was an early pioneer of stateful inspection firewall technology and later developed a modular “software blade” approach that allowed customers to combine protection capabilities. Check Point’s product set spans physical and virtual security appliances, software and cloud-native services designed to prevent cyberattacks, protect data and simplify security management for enterprises and service providers.

Key product families include Quantum Security Gateways (on-premises and hybrid appliances), CloudGuard (cloud security posture and workload protection), Harmony (endpoint, remote access and unified endpoint security), and SandBlast (advanced threat prevention and sandboxing).