Analysts on Wall Street project that Check Point Software (CHKP) will announce quarterly earnings of $2.36 per share in its forthcoming report, representing an increase of 8.8% year over year. Revenues are projected to reach $660.83 million, increasing 5.3% from the same quarter last year.
The current level reflects no revision in the consensus EPS estimate for the quarter over the past 30 days. This demonstrates how the analysts covering the stock have collectively reappraised their initial projections over this period.
Ahead of a company's earnings disclosure, it is crucial to give due consideration to changes in earnings estimates. These revisions serve as a noteworthy factor in predicting potential investor reactions to the stock. Numerous empirical studies consistently demonstrate a strong relationship between trends in earnings estimate revision and the short-term price performance of a stock.
While investors typically use consensus earnings and revenue estimates as indicators of quarterly business performance, exploring analysts' projections for specific key metrics can offer valuable insights.
With that in mind, let's delve into the average projections of some Check Point metrics that are commonly tracked and projected by analysts on Wall Street.
The consensus among analysts is that 'Revenues- Total revenues from products and security subscriptions' will reach $423.58 million. The estimate suggests a change of +8.7% year over year.
It is projected by analysts that the 'Revenues- Software updates and maintenance' will reach $237.06 million. The estimate points to a change of -0.2% from the year-ago quarter.
The consensus estimate for 'Revenues- Products and licenses' stands at $123.35 million. The estimate indicates a change of +4.5% from the prior-year quarter.
The average prediction of analysts places 'Revenues- Security Subscriptions' at $300.62 million. The estimate suggests a change of +10.6% year over year.
View all Key Company Metrics for Check Point here>>>
Shares of Check Point have experienced a change of -1.3% in the past month compared to the +3.6% move of the Zacks S&P 500 composite. With a Zacks Rank #3 (Hold), CHKP is expected to mirror the overall market performance in the near future. You can see the complete list of today's Zacks Rank #1 (Strong Buy) stocks here >>>> .
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Check Point Software Technologies Ltd. (CHKP): Free Stock Analysis ReportThis article originally published on Zacks Investment Research (zacks.com).
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