CHKP
Check Point Software Technologies Ltd.
Software - Infrastructure
Market Cap$12.26B
5Y Perf.+7.3%
Compare Stocks
2 / 10Try these comparisons:
Stock Comparison
CHKP vs CSCO
Revenue, margins, valuation, and 5-year total return — side by side.
CSCO
Cisco Systems, Inc.
Communication Equipment
Market Cap$373.43B
5Y Perf.+91.3%
CHKP vs CSCO — Key Financials
Market cap, revenue, margins, and valuation side-by-side.
| Company Snapshot | CHKP | CSCO |
|---|---|---|
| Industry | Software - Infrastructure | Communication Equipment |
| Market Cap | $12.26B | $373.43B |
| Revenue (TTM) | $2.76B | $59.05B |
| Net Income (TTM) | $1.06B | $11.08B |
| Gross Margin | 85.0% | 64.4% |
| Operating Margin | 29.8% | 23.0% |
| Forward P/E | 11.3x | 22.1x |
| Total Debt | $1.97B | $29.64B |
| Cash & Equiv. | $1.80B | $9.47B |
CHKP vs CSCO — Long-Term Stock Performance
Price return indexed to 100 at period start. Dividends excluded.
CHKP
CSCO
| Stock | May 20 | May 26 | Return |
|---|---|---|---|
| Check Point Softwar… (CHKP) | 100 | 107.3 | +7.3% |
| Cisco Systems, Inc. (CSCO) | 100 | 191.3 | +91.3% |
Price return only. Dividends and distributions are not included.
Quick Verdict: CHKP vs CSCO
Each card shows where this stock fits in a portfolio — not just who wins on paper.
Bottom line: CHKP leads in 5 of 7 categories, making it the strongest pick for growth and revenue expansion and valuation and capital efficiency. Cisco Systems, Inc. is the stronger pick specifically for dividend income and shareholder returns and recent price momentum and sentiment. As sector peers, any of these can serve as alternatives in the same allocation.
CHKP
Check Point Software Technologies Ltd.
The Income Pick
CHKP carries the broadest edge in this set and is the clearest fit for income & stability and growth exposure.
- beta 0.36
- Rev growth 6.3%, EPS growth 29.0%, 3Y rev CAGR 5.4%
- Lower volatility, beta 0.36, Low D/E 68.4%, current ratio 2.05x
Best for: income & stability and growth exposure
CSCO
Cisco Systems, Inc.
The Long-Run Compounder
CSCO is the clearest fit if your priority is long-term compounding.
- 314.4% 10Y total return vs CHKP's 43.7%
- 1.7% yield; 15-year raise streak; the other pay no meaningful dividend
- +61.7% vs CHKP's -46.6%
Best for: long-term compounding
See the full category breakdown
| Category | Winner | Why |
|---|---|---|
| Growth | CHKP | 6.3% revenue growth vs CSCO's 5.3% |
| Value | CHKP | Lower P/E (11.3x vs 22.1x) |
| Quality / Margins | CHKP | 38.4% margin vs CSCO's 18.8% |
| Stability / Safety | CHKP | Beta 0.36 vs CSCO's 0.92 |
| Dividends | CSCO | 1.7% yield; 15-year raise streak; the other pay no meaningful dividend |
| Momentum (1Y) | CSCO | +61.7% vs CHKP's -46.6% |
| Efficiency (ROA) | CHKP | 15.8% ROA vs CSCO's 9.0%, ROIC 23.2% vs 13.0% |
CHKP vs CSCO — Revenue Breakdown by Segment
How each company's revenue is distributed across its business units
FY 2025
FY 2025
CHKP vs CSCO — Financial Metrics
Side-by-side numbers across 2 stocks — who leads on profitability, valuation, growth, and risk.
BEST OVERALLCHKPLAGGINGCSCO
CSCOCisco Systems, Inc.
1leads
CHKPCheck Point Software …
3leads
6 Total Categories
CATEGORYLEADERvs CSCOMETRICS WON
Income & Cash FlowRevenue, margins, and cash flow strength
CHKP4/6
Valuation MetricsMultiples, price ratios, and targets
CHKP6/6
Profitability & EfficiencyROE, ROIC, leverage, and quality scores
CHKP6/8
Total Returns1Y, 3Y, 5Y total returns with dividends
CSCO6/6
Risk & VolatilityBeta, volatility, and downside exposure
Tied
—
Analyst OutlookRatings, price targets, and dividends
—
—
Income & Cash Flow (Last 12 Months)
CHKP leads this category, winning 4 of 6 comparable metrics.
Income & Cash Flow (Last 12 Months)
CSCO is the larger business by revenue, generating $59.1B annually — 21.4x CHKP's $2.8B. CHKP is the more profitable business, keeping 38.4% of every revenue dollar as net income compared to CSCO's 18.8%. On growth, CSCO holds the edge at +9.7% YoY revenue growth, suggesting stronger near-term business momentum.
| Metric | CHKPCheck Point Softw… | CSCOCisco Systems, In… |
|---|---|---|
| RevenueTrailing 12 months | $2.8B | $59.1B |
| EBITDAEarnings before interest/tax | $909M | $16.1B |
| Net IncomeAfter-tax profit | $1.1B | $11.1B |
| Free Cash FlowCash after capex | $1.3B | $12.8B |
| Gross MarginGross profit ÷ Revenue | +85.0% | +64.4% |
| Operating MarginEBIT ÷ Revenue | +29.8% | +23.0% |
| Net MarginNet income ÷ Revenue | +38.4% | +18.8% |
| FCF MarginFCF ÷ Revenue | +47.5% | +21.8% |
| Rev. Growth (YoY)Latest quarter vs prior year | +4.8% | +9.7% |
| EPS Growth (YoY)Latest quarter vs prior year | +5.8% | +29.5% |
CHKP leads this category, winning 4 of 6 comparable metrics.
Valuation Metrics
CHKP leads this category, winning 6 of 6 comparable metrics.
Valuation Metrics
At 12.2x trailing earnings, CHKP trades at a 67% valuation discount to CSCO's 37.0x P/E. On an enterprise value basis, CHKP's 13.5x EV/EBITDA is more attractive than CSCO's 26.9x.
| Metric | CHKPCheck Point Softw… | CSCOCisco Systems, In… |
|---|---|---|
| Market CapShares × price | $12.3B | $373.4B |
| Enterprise ValueMkt cap + debt − cash | $12.4B | $393.6B |
| Trailing P/EPrice ÷ TTM EPS | 12.23x | 36.98x |
| Forward P/EPrice ÷ next-FY EPS est. | 11.27x | 22.05x |
| PEG RatioP/E ÷ EPS growth rate | 1.22x | — |
| EV / EBITDAEnterprise value multiple | 13.46x | 26.92x |
| Price / SalesMarket cap ÷ Revenue | 4.50x | 6.59x |
| Price / BookPrice ÷ Book value/share | 4.49x | 8.05x |
| Price / FCFMarket cap ÷ FCF | 10.15x | 28.10x |
CHKP leads this category, winning 6 of 6 comparable metrics.
Profitability & Efficiency
CHKP leads this category, winning 6 of 8 comparable metrics.
Profitability & Efficiency
CHKP delivers a 36.4% return on equity — every $100 of shareholder capital generates $36 in annual profit, vs $23 for CSCO. CSCO carries lower financial leverage with a 0.63x debt-to-equity ratio, signaling a more conservative balance sheet compared to CHKP's 0.68x. On the Piotroski fundamental quality scale (0–9), CSCO scores 8/9 vs CHKP's 6/9, reflecting strong financial health.
| Metric | CHKPCheck Point Softw… | CSCOCisco Systems, In… |
|---|---|---|
| ROE (TTM)Return on equity | +36.4% | +23.2% |
| ROA (TTM)Return on assets | +15.8% | +9.0% |
| ROICReturn on invested capital | +23.2% | +13.0% |
| ROCEReturn on capital employed | +17.2% | +13.7% |
| Piotroski ScoreFundamental quality 0–9 | 6 | 8 |
| Debt / EquityFinancial leverage | 0.68x | 0.63x |
| Net DebtTotal debt minus cash | $172M | $20.2B |
| Cash & Equiv.Liquid assets | $1.8B | $9.5B |
| Total DebtShort + long-term debt | $2.0B | $29.6B |
| Interest CoverageEBIT ÷ Interest expense | — | 9.64x |
CHKP leads this category, winning 6 of 8 comparable metrics.
Total Returns (Dividends Reinvested)
CSCO leads this category, winning 6 of 6 comparable metrics.
Total Returns (Dividends Reinvested)
A $10,000 investment in CSCO five years ago would be worth $19,978 today (with dividends reinvested), compared to $9,811 for CHKP. Over the past 12 months, CSCO leads with a +61.7% total return vs CHKP's -46.6%. The 3-year compound annual growth rate (CAGR) favors CSCO at 28.9% vs CHKP's -0.9% — a key indicator of consistent wealth creation.
| Metric | CHKPCheck Point Softw… | CSCOCisco Systems, In… |
|---|---|---|
| YTD ReturnYear-to-date | -35.0% | +25.1% |
| 1-Year ReturnPast 12 months | -46.6% | +61.7% |
| 3-Year ReturnCumulative with dividends | -2.7% | +114.3% |
| 5-Year ReturnCumulative with dividends | -1.9% | +99.8% |
| 10-Year ReturnCumulative with dividends | +43.7% | +314.4% |
| CAGR (3Y)Annualised 3-year return | -0.9% | +28.9% |
CSCO leads this category, winning 6 of 6 comparable metrics.
Risk & Volatility
Evenly matched — CHKP and CSCO each lead in 1 of 2 comparable metrics.
Risk & Volatility
CHKP is the less volatile stock with a 0.36 beta — it tends to amplify market swings less than CSCO's 0.92 beta. A beta below 1.0 means the stock typically moves less than the S&P 500. CSCO currently trades 99.6% from its 52-week high vs CHKP's 50.3% drawdown — a narrower gap to the peak suggests stronger recent price momentum.
| Metric | CHKPCheck Point Softw… | CSCOCisco Systems, In… |
|---|---|---|
| Beta (5Y)Sensitivity to S&P 500 | 0.36x | 0.92x |
| 52-Week HighHighest price in past year | $233.78 | $94.72 |
| 52-Week LowLowest price in past year | $112.23 | $58.58 |
| % of 52W HighCurrent price vs 52-week peak | +50.3% | +99.6% |
| RSI (14)Momentum oscillator 0–100 | 31.4 | 72.1 |
| Avg Volume (50D)Average daily shares traded | 1.3M | 19.0M |
Evenly matched — CHKP and CSCO each lead in 1 of 2 comparable metrics.
Analyst Outlook
Insufficient data to determine a leader in this category.
Analyst Outlook
Wall Street rates CHKP as "Hold" and CSCO as "Buy". Consensus price targets imply 30.9% upside for CHKP (target: $154) vs 2.3% for CSCO (target: $97). CSCO is the only dividend payer here at 1.71% yield — a key consideration for income-focused portfolios.
| Metric | CHKPCheck Point Softw… | CSCOCisco Systems, In… |
|---|---|---|
| Analyst RatingConsensus buy/hold/sell | Hold | Buy |
| Price TargetConsensus 12-month target | $153.94 | $96.50 |
| # AnalystsCovering analysts | 63 | 73 |
| Dividend YieldAnnual dividend ÷ price | — | +1.7% |
| Dividend StreakConsecutive years of raises | — | 15 |
| Dividend / ShareAnnual DPS | — | $1.61 |
| Buyback YieldShare repurchases ÷ mkt cap | +11.4% | +1.9% |
Insufficient data to determine a leader in this category.
Key Takeaway
CHKP leads in 3 of 6 categories (Income & Cash Flow, Valuation Metrics). CSCO leads in 1 (Total Returns). 1 tied.
Best OverallCheck Point Software Techno… (CHKP)Leads 3 of 6 categories
Loading custom metrics...
CHKP vs CSCO: Frequently Asked Questions
10 questions · data-driven answers · updated daily
01Is CHKP or CSCO a better buy right now?
For growth investors, Check Point Software Technologies Ltd.
(CHKP) is the stronger pick with 6. 3% revenue growth year-over-year, versus 5. 3% for Cisco Systems, Inc. (CSCO). Check Point Software Technologies Ltd. (CHKP) offers the better valuation at 12. 2x trailing P/E (11. 3x forward), making it the more compelling value choice. Analysts rate Cisco Systems, Inc. (CSCO) a "Buy" — based on 73 analyst ratings — the highest consensus in this comparison. The "better buy" depends entirely on your goals: growth investors should weight revenue trajectory, value investors should weight P/E and PEG, and income investors should weight dividend yield and streak.
02Which has the better valuation — CHKP or CSCO?
On trailing P/E, Check Point Software Technologies Ltd.
(CHKP) is the cheapest at 12. 2x versus Cisco Systems, Inc. at 37. 0x. On forward P/E, Check Point Software Technologies Ltd. is actually cheaper at 11. 3x.
03Which is the better long-term investment — CHKP or CSCO?
Over the past 5 years, Cisco Systems, Inc.
(CSCO) delivered a total return of +99. 8%, compared to -1. 9% for Check Point Software Technologies Ltd. (CHKP). Over 10 years, the gap is even starker: CSCO returned +299. 4% versus CHKP's +43. 7%. Past returns do not guarantee future results, and the stock with the higher historical return may already have its best growth priced in.
04Which is safer — CHKP or CSCO?
By beta (market sensitivity over 5 years), Check Point Software Technologies Ltd.
(CHKP) is the lower-risk stock at 0. 36β versus Cisco Systems, Inc. 's 0. 92β — meaning CSCO is approximately 157% more volatile than CHKP relative to the S&P 500. On balance sheet safety, Cisco Systems, Inc. (CSCO) carries a lower debt/equity ratio of 63% versus 68% for Check Point Software Technologies Ltd. — giving it more financial flexibility in a downturn.
05Which is growing faster — CHKP or CSCO?
By revenue growth (latest reported year), Check Point Software Technologies Ltd.
(CHKP) is pulling ahead at 6. 3% versus 5. 3% for Cisco Systems, Inc. (CSCO). On earnings-per-share growth, the picture is similar: Check Point Software Technologies Ltd. grew EPS 29. 0% year-over-year, compared to 0. 4% for Cisco Systems, Inc.. Over a 3-year CAGR, CHKP leads at 5. 4% annualised revenue growth. Higher growth typically commands a higher valuation multiple — check whether the premium P/E or P/S is justified by the growth rate using the PEG ratio.
06Which has better profit margins — CHKP or CSCO?
Check Point Software Technologies Ltd.
(CHKP) is the more profitable company, earning 38. 8% net margin versus 18. 0% for Cisco Systems, Inc. — meaning it keeps 38. 8% of every revenue dollar as bottom-line profit. Operating margin tells a similar story: CHKP leads at 30. 5% versus 20. 8% for CSCO. At the gross margin level — before operating expenses — CHKP leads at 85. 4%, reflecting greater pricing power or product mix advantage. Stronger margins indicate durable pricing power, lower cost of revenue, or higher mix of software/services. They are one of the clearest signs of business quality.
07Is CHKP or CSCO more undervalued right now?
On forward earnings alone, Check Point Software Technologies Ltd.
(CHKP) trades at 11. 3x forward P/E versus 22. 1x for Cisco Systems, Inc. — 10. 8x cheaper on a one-year earnings basis. Analyst consensus price targets imply the most upside for CHKP: 30. 9% to $153. 94.
08Which pays a better dividend — CHKP or CSCO?
In this comparison, CSCO (1.
7% yield) pays a dividend. CHKP does not pay a meaningful dividend and should not be held primarily for income.
09Is CHKP or CSCO better for a retirement portfolio?
For long-horizon retirement investors, Cisco Systems, Inc.
(CSCO) is the stronger choice — it scores higher on the combination of lower volatility, dividend reliability, and long-term compounding (low volatility (β 0. 92), 1. 7% yield, +299. 4% 10Y return). Both have compounded well over 10 years (CSCO: +299. 4%, CHKP: +43. 7%), confirming both are viable long-term holds — but the lower-volatility option typically results in less emotional selling during corrections. Retirement portfolios generally favour predictability over maximum returns. Consult a financial advisor before making allocation decisions.
10What are the main differences between CHKP and CSCO?
Both stocks operate in the Technology sector, making this a peer-level intra-sector comparison — the same macro tailwinds and headwinds will affect both.
In terms of investment character: CHKP is a mid-cap deep-value stock; CSCO is a large-cap quality compounder stock. CSCO pays a dividend while CHKP does not, making them suitable for different income and tax situations. These fundamental differences mean investors should not choose between them on a single metric — the "better stock" depends entirely on which of these characteristics aligns with your investment strategy.
Find Stocks Like These
Explore pre-built screens for each stock's profile, or build a custom screen to find stocks that outperform both.
Revenue Growth>
%
(CHKP: 4.8% · CSCO: 9.7%)Net Margin>
%
(CHKP: 38.4% · CSCO: 18.8%)P/E Ratio<
x
(CHKP: 12.2x · CSCO: 37.0x)You Might Also Compare
Based on how these companies actually compete and overlap — not just which sector they're filed under.