|Bid||113.31 x 800|
|Ask||120.10 x 800|
|Day's Range||112.60 - 117.53|
|52 Week Range||95.37 - 132.76|
|Beta (3Y Monthly)||0.63|
|PE Ratio (TTM)||22.04|
|Earnings Date||Jul 23, 2019 - Jul 29, 2019|
|Forward Dividend & Yield||N/A (N/A)|
|1y Target Est||122.77|
Check Point (CHKP) reported earnings 30 days ago. What's next for the stock? We take a look at earnings estimates for some clues.
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Cisco Systems (NASDAQ:CSCO) has pulled back in recent weeks from its post-dot-com boom highs. Cisco stock fell back after rising by almost 43% in less than four months. Since hitting that high, CSCO stock has declined to the $52 a share level.Source: Shutterstock Now flirting with correction territory, many wonder if CSCO will fall further as it reports earnings on Wednesday after the market close. If so, with its double-digit profit growth and the future in 5G, I see CSCO stock as a buy on any pullback. Earnings and Sales Beats Could Boost Cisco StockFor its third quarter, Wall Street expects Cisco to report earnings of 77 cents per share. If this holds, that would represent a 16.7% increase from year-ago levels of 66 cents per share. Analysts also forecast revenues of $12.9 billion. This would stand as a 3.5% increase from the same quarter last year when the company brought in $12.46 billion.InvestorPlace - Stock Market News, Stock Advice & Trading Tips * 10 Great Stocks to Buy on Dips Cisco stock has developed a reputation for frequently beating earnings over the last 20-plus years. I do not expect anything different this quarter. The company has worked to restore its reputation for something it has seen little of since the 1990s tech boom -- stock price increases. Since the beginning of 2016, CSCO stock has more than doubled in value. Last month, it reached its highest level since the fall of 2000 before pulling back. Wi-Fi 6, 5G Will Drive CSCO StockMoreover, as my InvestorPlace colleague Bret Kenwell points out, the San Jose-based networking giant leads the way in the emerging Wi-Fi 6. The Wi-Fi 6 networking stack will offer 400% greater capacity and better performance in high-density areas. Though it lacks the publicity surrounding 5G, where Cisco has pursued a "cloud-to-client" approach, it could become just as significant in many respects. Furthermore, the company's moves into software and network security have also improved the fortunes of Cisco stock.Detractors point out that this is not the 1990s, and companies such as Check Point Software (NASDAQ:CHKP), Arista Networks (NASDAQ:ANET), and Palo Alto Networks (NASDAQ:PANW) present genuine competitive threats. Still, while vendors certainly have other choices, Cisco brings a measure of stability and income not found in newer names. Favorable Financial Metrics RemainCase in point, CSCO stock trades at a price-to-earnings (PE) ratio that compares well to its younger peers. This valuation stands at around 19.5 times earnings, and it falls to a PE of 15.4 on a forward basis. Moreover, analysts predict the company will deliver profit growth rates of 18.1% this fiscal year and 10.1% in fiscal 2020.The 19.5x PE comes in at the high end of ranges seen in recent years. If the re-emergence of Microsoft (NASDAQ:MSFT) serves as an example, Cisco stock could benefit from multiple expansion. Even if that does not occur, the profit growth rates alone make double-digit returns in CSCO stock likely.Investors should also remember one additional benefit to Cisco stock that did not exist in the 1990s -- the dividend. Since the company began paying a dividend in 2011, it has increased its payout every year. The most recent increase went into effect in April. Now at an annual payout of $1.40 per share, the yield stands at around 2.5%. * 7 Dangerous Dividend Stocks to Stay Far Away From The eight-year streak is a long enough time that the equity's price will depend heavily on annual payout hikes. I even speculated that Cisco stock would achieve dividend aristocrat status (meaning 25-plus years of annual payout hikes) in 17 years. Time will tell if that occurs. Still, for investors wanting a growth and income play in the networking sector, I see CSCO stock as one of the top choices in the coming years. Final Thoughts on Cisco StockCisco stock has become a buy on any pullback, and pull back it has. The stock has corrected following a 40%-plus move higher from its December lows. Now, predictions for the upcoming earnings report strongly indicate that its double-digit growth will continue.If its track record serves as an indication, Cisco stock should beat earnings by at least a penny per share. Bolstered by a move into security and software, as well as its position in both 5G and WiFi 6, Cisco's double-digit profit growth should continue for years to come. It could benefit further if CSCO stock sees Microsoft-like multiple expansion. Moreover, the eight-year track record of payout hikes adds a growing income stream to add to the returns.Perhaps Cisco stock rose too far and too fast over the last few months. Admittedly, it makes buying into earnings a riskier prospect despite a recent pullback. However, even with this potential hiccup, the likely rewards in CSCO stock outweigh the possible risks.As of this writing, Will Healy did not hold a position in any of the aforementioned stocks. You can follow Will on Twitter at @HealyWriting. More From InvestorPlace * 2 Toxic Pot Stocks You Should Avoid * 7 Cloud Stocks to Buy on Overcast Days * 6 Stable Stocks Worth Buying for Protection * 5 Active Vanguard Funds That You Have to Own Compare Brokers The post Thanks to 5G and Wi-Fi 6, Cisco Stock Remains A Buy Going Into Earnings appeared first on InvestorPlace.
Tech Stocks: Checking In after Some Recent Falls(Continued from Prior Part)Stock returnsCheck Point (CHKP) stock was another company that we had identified as an overvalued stock in April. Check Point stock has since declined by 10.5% to close
SAN CARLOS, Calif., May 09, 2019 -- Check Point® Software Technologies Ltd. (NASDAQ: CHKP), a leading provider of cyber security solutions globally, today announced two major.
How Have Cybersecurity Stocks Been Performing Recently?(Continued from Prior Part)Stock returnsCheck Point (CHKP) is one of the top players in the cybersecurity space. The growing number of cyber attacks have provided an opportunity for Check Point
Check Point Software Technologies Ltd NASDAQ/NGS:CHKPView full report here! Summary * ETFs holding this stock have seen outflows over the last one-month * Bearish sentiment is low Bearish sentimentShort interest | PositiveShort interest is low for CHKP with fewer than 5% of shares on loan. The last change in the short interest score occurred more than 1 month ago and implies that there has been little change in sentiment among investors who seek to profit from falling equity prices. Money flowETF/Index ownership | NegativeETF activity is negative. Over the last one-month, outflows of investor capital in ETFs holding CHKP totaled $6.53 billion. Additionally, the rate of outflows appears to be accelerating. Economic sentimentPMI by IHS Markit | NeutralAccording to the latest IHS Markit Purchasing Managers' Index (PMI) data, output in the Technology sector is rising. The rate of growth is weak relative to the trend shown over the past year, however. Credit worthinessCredit default swapCDS data is not available for this security.Please send all inquiries related to the report to firstname.lastname@example.org.Charts and report PDFs will only be available for 30 days after publishing.This document has been produced for information purposes only and is not to be relied upon or as construed as investment advice. To the fullest extent permitted by law, IHS Markit disclaims any responsibility or liability, whether in contract, tort (including, without limitation, negligence), equity or otherwise, for any loss or damage arising from any reliance on or the use of this material in any way. Please view the full legal disclaimer and methodology information on pages 2-3 of the full report.
Citi Research analyst Walter Pritchard downgraded shares of cybersecurity company Fortinet Inc. to sell from neutral on Friday after the company beat earnings expectations with its first-quarter report a day earlier. Pritchard worries if the company is pursuing the wrong strategy given industry trends. "Fortinet is doubling down on integrating security with network, and network products have helped drive incremental product growth over the last 18 months," he wrote. This strategy is more in line with Cisco Systems Inc.'s strengths, he said, but even Cisco's success with it has been "underwhelming," in his view. "We contrast strategy with peers Palo Alto Networks and, more recently Check Point Software Technologies , focused on maintaining relevance as customers look to secure cloud, where Fortinet lags," he wrote. Pritchard also saw "weak product trends" in the first quarter and said that this is the area of the business where problems would normally show up first. He cut his target price to $78 from $84 in conjunction with the downgrade. Fortinet shares are down 6.5% in Friday trading, though several other analysts raised their price targets. The stock has gained 21% so far this year, as the S&P 500 has risen 17%.
What Can We Expect from Symantec’s Q4 Results?(Continued from Prior Part)Demand for cybersecurity products and solutionsThe rise in the number of global cybersecurity threats has invariably driven up demand for cybersecurity solutions. The
Why Did Proofpoint Stock Fall 7.5% in After-Hours Trading?(Continued from Prior Part)Is PFPT overvalued?Proofpoint (PFPT) stock fell 7.5% in after-hours trading on April 25, 2019, despite the company’s beating Wall Street earnings and revenue
These Two Tech Stocks Lost Over 5% on April 26(Continued from Prior Part)Proofpoint sales rose 25% YoY in Q1 2019Cybersecurity (HACK) company Proofpoint (PFPT) fell over 5% on April 26 to close trading at $124.55. The stock is currently trading 65%
Will Fortinet Beat Earnings Estimates in Q1 2019?(Continued from Prior Part)Forward PE ratio Fortinet (FTNT) is expected to grow sales by double-digit rates over the next few years. The company’s bottom line is also expected to expand driven by
Will Fortinet Beat Earnings Estimates in Q1 2019?(Continued from Prior Part)Growth in Global Security servicesThe growing need for cybersecurity has resulted in significant expenditure among enterprises. According to market research firm IDC, the
Will Fortinet Beat Earnings Estimates in Q1 2019?(Continued from Prior Part)Fortinet’s increase in profit marginsFortinet (FTNT) has managed to improve profitability over the years with sales growth. The company’s sales have risen 3x from $615
Will Fortinet Beat Earnings Estimates in Q1 2019?(Continued from Prior Part)Portfolio of products In 2018, Fortinet’s (FTNT) sales were driven by enterprise product refresh cycles. Now the company expects robust revenue growth to continue over the
Will Fortinet Beat Earnings Estimates in Q1 2019?Revenue estimated at $471.8 million Cybersecurity (HACK) company Fortinet (FTNT) is scheduled to announce its first-quarter results on May 2. Analysts expect the company to post revenues of $471.8
Check Point (CHKP) reports solid Q1 earnings driven by solid growth in security subscriptions and strong adoption of Infinity architecture.
Will FireEye Beat Wall Street Estimates for Q1 2019?(Continued from Prior Part)Stock returns FireEye (FEYE) shares have burnt significant investor wealth. The stock has been listed since September 2013. FireEye’s share price rose from $36 in
Will Proofpoint Continue to Beat Earnings Estimates in Q1?(Continued from Prior Part)Strong sales and earnings have resulted in impressive returns In the last five years, Proofpoint (PFPT) stock has risen ~320%. In comparison, its sales and earnings
Will FireEye Beat Wall Street Estimates for Q1 2019?(Continued from Prior Part)Expanding profit margins FireEye (FEYE) is not yet GAAP-profitable. Though the company has managed to improve its net margin from -104% in 2014 to -29.3% in 2018, it’s
Will FireEye Beat Wall Street Estimates for Q1 2019?(Continued from Prior Part)FireEye’s sales are expected to rise 6.7% in 2019The cybersecurity market continues to grow at a robust pace. Global security appliance revenue rose 16.7%
Will Proofpoint Continue to Beat Earnings Estimates in Q1?(Continued from Prior Part)Stock returnsProofpoint (PFPT) stock has generated impressive returns over the last few years. The stock rose 15% in 2016 and 22% in 2017. Last year, PFPT fell