Check Point Software Technologies Ltd (CHKP)vsFortinet Inc (FTNT)
CHKP
Check Point Software Technologies Ltd
$131.64
+0.87%
TECHNOLOGY · Cap: $13.99B
FTNT
Fortinet Inc
$170.18
+9.04%
TECHNOLOGY · Cap: $114.51B
Smart Verdict
WallStSmart Research — data-driven comparison
Fortinet Inc generates 172% more annual revenue ($7.53B vs $2.76B). CHKP leads profitability with a 37.9% profit margin vs 28.2%. CHKP appears more attractively valued with a PEG of 1.22. FTNT earns a higher WallStSmart Score of 73/100 (B).
CHKP
Buy62
out of 100
Grade: C+
FTNT
Strong Buy73
out of 100
Grade: B
Intrinsic Value Comparison
Multi-model valuation · Graham Formula
Margin of Safety
-49.8%
Fair Value
$117.82
Current Price
$131.64
$13.82 premium
Margin of Safety
+43.5%
Fair Value
$276.16
Current Price
$170.18
$105.98 discount
Key Strengths & Concerns
Side-by-side fundamental analysis
Key Strengths
Every $100 of equity generates 38 in profit
Keeps 38 of every $100 in revenue as profit
Safe zone — low bankruptcy risk
Attractively priced relative to earnings
Strong operational efficiency at 27.5%
Every $100 of equity generates 137 in profit
Strong operational efficiency at 33.6%
Large-cap with strong market position
Keeps 28 of every $100 in revenue as profit
Revenue surging 25.6% year-over-year
Earnings expanding 43.9% YoY
Areas to Watch
1.3% revenue growth
1.6% earnings growth
Weak financial health signals
Expensive relative to growth rate
Distress zone — elevated risk
Premium valuation, high expectations priced in
Trading at 80.7x book value
Comparative Analysis Report
WallStSmart ResearchBull Case : CHKP
The strongest argument for CHKP centers on Return on Equity, Profit Margin, Altman Z-Score. Profitability is solid with margins at 37.9% and operating margin at 27.5%. PEG of 1.22 suggests the stock is reasonably priced for its growth.
Bull Case : FTNT
The strongest argument for FTNT centers on Return on Equity, Operating Margin, Market Cap. Profitability is solid with margins at 28.2% and operating margin at 33.6%. Revenue growth of 25.6% demonstrates continued momentum.
Bear Case : CHKP
The primary concerns for CHKP are Revenue Growth, EPS Growth, Piotroski F-Score.
Bear Case : FTNT
The primary concerns for FTNT are PEG Ratio, Altman Z-Score, P/E Ratio. A P/E of 56.1x leaves little room for execution misses.
Key Dynamics to Monitor
CHKP profiles as a value stock while FTNT is a growth play — different risk/reward profiles.
FTNT carries more volatility with a beta of 1.06 — expect wider price swings.
FTNT is growing revenue faster at 25.6% — sustainability is the question.
FTNT generates stronger free cash flow (966M), providing more financial flexibility.
Bottom Line
FTNT scores higher overall (73/100 vs 62/100), backed by strong 28.2% margins and 25.6% revenue growth. Both earn "Strong Buy" and "Buy" ratings respectively — the choice depends on your investment horizon and risk tolerance.
This analysis is generated from publicly available financial data. Not financial advice.
Check Point Software Technologies Ltd
TECHNOLOGY · SOFTWARE - INFRASTRUCTURE · USA
Check Point Software Technologies Ltd. develops, markets and supports a range of IT security products and services globally. The company is headquartered in Tel Aviv, Israel.
Fortinet Inc
TECHNOLOGY · SOFTWARE - INFRASTRUCTURE · USA
Fortinet (Nasdaq: FTNT) is an American multinational corporation headquartered in Sunnyvale, California. It develops and sells cybersecurity solutions, including but not limited to physical products such as firewalls, plus software and services such as anti-virus protection, intrusion prevention systems and endpoint security components.
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