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REDWOOD CITY, Calif. - In a move to enhance its cybersecurity offerings, Check Point Software Technologies Ltd. (NASDAQ:CHKP) has announced the acquisition of Veriti Cybersecurity, a company specializing in automated threat exposure and mitigation. This strategic purchase is expected to close by the end of Q2 2025, subject to customary closing conditions. The acquisition comes as Check Point maintains a strong financial position, with InvestingPro data showing the company holds more cash than debt and boasts an impressive 88.26% gross profit margin.
Veriti Cybersecurity, established in 2021, has been recognized for its Preemptive Exposure Management (PEM) platform, which proactively identifies and mitigates risks across various security tools. By integrating with over 70 vendors, Veriti’s platform offers automated patching and collaborative threat intelligence, aimed at reducing the time to patch vulnerabilities from weeks to mere minutes.
The acquisition is set to enhance Check Point’s hybrid mesh security vision by incorporating Veriti’s PEM capabilities into the Check Point null Platform. This will allow for seamless, multi-vendor remediation and real-time threat intelligence enforcement across the entire security stack.
Nadav Zafrir, CEO of Check Point Software Technologies, emphasized the importance of preemptive security in the current AI-driven threat landscape, noting that Veriti’s technology aligns with Check Point’s prevention-first strategy.
Veriti’s co-founder and CEO, Adi Ikan, expressed that their mission to help organizations not only identify but also safely remediate risks at scale will be accelerated through the integration with Check Point.
The announcement underscores Check Point’s commitment to providing comprehensive risk lifecycle coverage, including the management of both internal and external exposures across an organization’s attack surface.
Investors and industry watchers are keenly observing how this acquisition will strengthen Check Point’s position in the cybersecurity market, as the company continues to expand its capabilities to address the evolving challenges posed by sophisticated cyber threats. The market has responded positively to Check Point’s strategy, with the stock delivering a 47.56% return over the past year. According to InvestingPro analysis, 14 analysts have recently revised their earnings expectations upward, though current trading multiples suggest the stock may be overvalued relative to its Fair Value. For deeper insights into Check Point’s valuation and growth prospects, investors can access the comprehensive Pro Research Report, available exclusively on InvestingPro, which covers this and 1,400+ other top US stocks.
This report is based on a press release statement from Check Point Software Technologies Ltd.
In other recent news, Check Point Software Technologies reported a strong performance for the first quarter of fiscal year 2025, with a 14% year-over-year increase in product revenue and an 11% rise in Remaining Performance Obligations. The company maintained its full-year guidance despite geopolitical uncertainties and potential tariff impacts, which it noted have not yet affected its business. Check Point achieved the "In Process" status for the Federal Risk and Authorization Management Program (FedRAMP) Moderate baseline, marking progress towards providing services to U.S. federal agencies. Analyst firms have varied in their assessments: Stifel maintained a Hold rating with a $220 target, citing strong financial metrics but noting some investor concerns. Cantor Fitzgerald also held a Neutral stance with a $220 target, highlighting mixed results in certain revenue areas. Truist Securities reiterated a Buy rating with a $250 target, expressing confidence in Check Point’s strategic focus on Secure Access Service Edge (SASE) and AI technologies. Meanwhile, Stephens adjusted its price target to $229 from $255 while maintaining an Equal Weight rating, suggesting cautious optimism amidst economic uncertainties.
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