Check Point Software Technologies Ltd. saw its stock drop by 3.49%, hitting a 20-day low, as the broader market faced significant declines with the Nasdaq-100 down 2.12% and the S&P 500 down 2.02%.
The decline in Check Point's stock comes amid a recent upgrade by Stephens & Co. analyst Todd Weller, who raised the rating from Equal-Weight to Overweight and increased the price target from $225 to $240. However, the company is facing challenges due to a ban imposed by Chinese authorities on cybersecurity software from U.S. and Israeli firms, including Check Point, which raises concerns about its operations in China.
This situation highlights the dual pressures on Check Point: while the upgrade reflects confidence in its competitive position, the geopolitical tensions and regulatory challenges could hinder its growth prospects in key markets.
Wall Street analysts forecast CHKP stock price to rise over the next 12 months. According to Wall Street analysts, the average 1-year price target for CHKP is 227.67 USD with a low forecast of 195.00 USD and a high forecast of 285.00 USD. However, analyst price targets are subjective and often lag stock prices, so investors should focus on the objective reasons behind analyst rating changes, which better reflect the company's fundamentals.
26 Analyst Rating
Wall Street analysts forecast CHKP stock price to rise over the next 12 months. According to Wall Street analysts, the average 1-year price target for CHKP is 227.67 USD with a low forecast of 195.00 USD and a high forecast of 285.00 USD. However, analyst price targets are subjective and often lag stock prices, so investors should focus on the objective reasons behind analyst rating changes, which better reflect the company's fundamentals.
10 Buy
16 Hold
0 Sell
Moderate Buy
Current: 180.240
Low
195.00
Averages
227.67
High
285.00
Current: 180.240
Low
195.00
Averages
227.67
High
285.00
Morgan Stanley
Equal Weight
downgrade
$212 -> $197
2026-01-28
New
Reason
Morgan Stanley
Price Target
$212 -> $197
AI Analysis
2026-01-28
New
downgrade
Equal Weight
Reason
Morgan Stanley lowered the firm's price target on Check Point to $197 from $212 and keeps an Equal Weight rating on the shares. While Q4 results could actually be better than expected, the firm would view that largely as pre-buying ahead of price increases as memory costs continue to increase, challenging a firewall refresh moving throughout the year, the analyst tells investors in a preview for the cybersecurity group.
Scotiabank
Patrick Colville
Sector Perform
downgrade
$210 -> $195
2026-01-21
Reason
Scotiabank
Patrick Colville
Price Target
$210 -> $195
2026-01-21
downgrade
Sector Perform
Reason
Scotiabank analyst Patrick Colville lowered the firm's price target on Check Point to $195 from $210 and keeps a Sector Perform rating on the shares. The firm notes that while the company has many defensive features it likes, Check Point lacks a "slam-dunk" AI story, the analyst tells investors.
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Truist
Buy
downgrade
$250 -> $225
2026-01-20
Reason
Truist
Price Target
$250 -> $225
2026-01-20
downgrade
Buy
Reason
Truist lowered the firm's price target on Check Point to $225 from $250 and keeps a Buy rating on the shares as part of a broader research note previewing Q4 for Cybersecurity names. Companies in the firm's coverage should report a strong calendar Q4 and take a conservative posture for guidance, so that model setups could drive a continued beat-and-raise cadence for 2026, the analyst tells investors in a research note. Conversations with IT budget holders and software sellers indicate demand and the macro environment remains unchanged, with continued momentum in Security & AI initiatives, the firm added. Truist notes however that software equities have entered 2026 under pronounced pressure as investors rotate toward AI hardware, also pointing to concerns about AI-driven competitive disruption, slow monetization of AI features, higher-for-longer interest rates, and acute geopolitical shocks converge across the sector driving the IGV - iShares Expanded Tech-Software Sector ETF - down about 7% just in the first couple of weeks of trading.
RBC Capital
Matthew Hedberg
Sector Perform
downgrade
$215 -> $195
2026-01-05
Reason
RBC Capital
Matthew Hedberg
Price Target
$215 -> $195
2026-01-05
downgrade
Sector Perform
Reason
RBC Capital analyst Matthew Hedberg lowered the firm's price target on Check Point to $195 from $215 and keeps a Sector Perform rating on the shares. 2026 is likely to be a year when AI tailwinds become more evident for companies well positioned for enterprise AI adoption, while less prepared peers may remain pressured by the "AI is the death of software" narrative, the analyst tells investors in a research note. Enterprise spending appears to be stabilizing and improving in select areas, with GenAI driving innovation even as management teams remain conservative in early 2026 guidance, the firm says.
About CHKP
Check Point Software Technologies Ltd is an Israel-based company primarily engaged in the cybersecurity industry. The Company focuses on providing AI-powered, cloud-delivered security solutions to protect corporate enterprises and governments worldwide. Their key product is the Check Point Infinity Architecture, which is a comprehensive cybersecurity platform. The Platform aims to defend against fifth-generation cyber-attacks across various networks, endpoints, cloud environments, workloads, Internet of Things (IoT), and mobile devices. Apart of that, the Company offers a range of products and services designed to secure IT infrastructure. It integrates advanced threat prevention technologies, including firewall, intrusion prevention system (IPS), antivirus, anti-bot, and sandboxing capabilities.
About the author
Emily J. Thompson
Emily J. Thompson, a Chartered Financial Analyst (CFA) with 12 years in investment research, graduated with honors from the Wharton School. Specializing in industrial and technology stocks, she provides in-depth analysis for Intellectia’s earnings and market brief reports.
