These are top 10 stocks traded on the Robinhood UK platform in July
Investing.com - Stifel has reduced its price target on Checkpoint Software (NASDAQ:CHKP) to $200 from $220 while maintaining a Hold rating following the company’s second-quarter 2025 financial results. According to InvestingPro data, analyst targets for the stock range from $173 to $285, with the current stock price at $186.33.
The cybersecurity firm delivered what Stifel characterized as a "mixed/noisy" quarter, with some metrics exceeding expectations while others fell short. Revenue and product revenue outperformed, but RPO, billings, subscription revenue, maintenance revenue, and margins decelerated or missed targets. Despite the mixed results, InvestingPro data shows the company maintains impressive gross profit margins of 88.26% and a strong financial health score.
Stifel noted that the quarter was more back-end loaded due to macroeconomic and execution challenges, resulting in slipped deals and increased discounting. The research firm pointed out that all major delayed deals have already closed in July, with the third quarter off to a strong start.
Checkpoint’s management provided third-quarter guidance that aligns with consensus estimates and reaffirmed its full-year 2025 outlook. The company continues to benefit from an ongoing product refresh cycle expected to last through the next twelve months.
While Stifel expressed encouragement about steps taken by Checkpoint’s CEO to reinvigorate growth and noted early traction in emerging areas like email, SASE, and ERM, the firm believes sustainable double-digit growth will take time and may require margins to drop below 40%.
In other recent news, Check Point Software Technologies Ltd. reported its second-quarter earnings, revealing a 6% increase in revenue, surpassing expectations. This growth was attributed to strong performance in its emerging technologies portfolio and Quantum Force appliances. However, the company’s billings growth for the same period was 3%-4% year-over-year, reaching $642 million, which fell short of the anticipated $649 million. Mizuho (NYSE:MFG), maintaining a Neutral rating, adjusted its price target for Check Point Software from $240.00 to $215.00 due to this miss in billings. The shortfall was attributed to several large deals that were delayed to the third quarter, although these deals have since been finalized. These developments highlight the mixed performance of Check Point Software in the recent quarter, with strong revenue growth but challenges in meeting billing expectations.
This article was generated with the support of AI and reviewed by an editor. For more information see our T&C.