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Check Point Software Technologies (WBO:CHKP) Cyclically Adjusted PS Ratio : 9.55 (As of May. 24, 2024)


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What is Check Point Software Technologies Cyclically Adjusted PS Ratio?

As of today (2024-05-24), Check Point Software Technologies's current share price is €141.65. Check Point Software Technologies's Cyclically Adjusted Revenue per Share for the quarter that ended in Mar. 2024 was €14.84. Check Point Software Technologies's Cyclically Adjusted PS Ratio for today is 9.55.

The historical rank and industry rank for Check Point Software Technologies's Cyclically Adjusted PS Ratio or its related term are showing as below:

WBO:CHKP' s Cyclically Adjusted PS Ratio Range Over the Past 10 Years
Min: 8.19   Med: 12.87   Max: 16.71
Current: 9.61

During the past years, Check Point Software Technologies's highest Cyclically Adjusted PS Ratio was 16.71. The lowest was 8.19. And the median was 12.87.

WBO:CHKP's Cyclically Adjusted PS Ratio is ranked worse than
90.44% of 1444 companies
in the Software industry
Industry Median: 1.865 vs WBO:CHKP: 9.61

The Shiller PE Ratio was first used by professor Robert Shiller. He uses E10 for his Shiller PE Ratio calculation. E10 is the average of the inflation adjusted earnings per share of a company over the past 10 years. The similar calculation is applied by GuruFocus to calculate the Cyclically Adjusted PS Ratio. The Cyclically Adjusted Revenue per Share is the average of the inflation adjusted revenue per share of a company over the past 10 years.

Check Point Software Technologies's adjusted revenue per share data for the three months ended in Mar. 2024 was €4.782. Add all the adjusted revenue per share for the past 10 years together and divide 10 will get our Cyclically Adjusted Revenue per Share, which is €14.84 for the trailing ten years ended in Mar. 2024.

Shiller PE for Stocks: The True Measure of Stock Valuation


Check Point Software Technologies Cyclically Adjusted PS Ratio Historical Data

The historical data trend for Check Point Software Technologies's Cyclically Adjusted PS Ratio can be seen below:

* For Operating Data section: All numbers are indicated by the unit behind each term and all currency related amount are in USD.
* For other sections: All numbers are in millions except for per share data, ratio, and percentage. All currency related amount are indicated in the company's associated stock exchange currency.

* Premium members only.

Check Point Software Technologies Cyclically Adjusted PS Ratio Chart

Check Point Software Technologies Annual Data
Trend Dec14 Dec15 Dec16 Dec17 Dec18 Dec19 Dec20 Dec21 Dec22 Dec23
Cyclically Adjusted PS Ratio
Get a 7-Day Free Trial Premium Member Only Premium Member Only 11.86 12.86 9.72 9.14 9.92

Check Point Software Technologies Quarterly Data
Jun19 Sep19 Dec19 Mar20 Jun20 Sep20 Dec20 Mar21 Jun21 Sep21 Dec21 Mar22 Jun22 Sep22 Dec22 Mar23 Jun23 Sep23 Dec23 Mar24
Cyclically Adjusted PS Ratio Get a 7-Day Free Trial Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only 9.09 8.53 8.80 9.92 10.27

Competitive Comparison of Check Point Software Technologies's Cyclically Adjusted PS Ratio

For the Software - Infrastructure subindustry, Check Point Software Technologies's Cyclically Adjusted PS Ratio, along with its competitors' market caps and Cyclically Adjusted PS Ratio data, can be viewed below:

* Competitive companies are chosen from companies within the same industry, with headquarter located in same country, with closest market capitalization; x-axis shows the market cap, and y-axis shows the term value; the bigger the dot, the larger the market cap. Note that "N/A" values will not show up in the chart.


Check Point Software Technologies's Cyclically Adjusted PS Ratio Distribution in the Software Industry

For the Software industry and Technology sector, Check Point Software Technologies's Cyclically Adjusted PS Ratio distribution charts can be found below:

* The bar in red indicates where Check Point Software Technologies's Cyclically Adjusted PS Ratio falls into.



Check Point Software Technologies Cyclically Adjusted PS Ratio Calculation

Like the Shiller PE Ratio, the Cyclically Adjusted PS Ratio takes the Revenue per Share from the past 10 years, adjusts it for inflation, and then calculates the average. This average is then used for the P/S calculation. Because it considers this 10-year average, it's often referred to as the CAPS Ratio.

The Shiller PE Ratio was first used by professor Robert Shiller to measure the valuation of the overall market. The similar calculation is applied by GuruFocus to calculate the Cyclically Adjusted PS Ratio.

Check Point Software Technologies's Cyclically Adjusted PS Ratio for today is calculated as

Cyclically Adjusted PS Ratio=Share Price/ Cyclically Adjusted Revenue per Share
=141.65/14.84
=9.55

* For Operating Data section: All numbers are indicated by the unit behind each term and all currency related amount are in USD.
* For other sections: All numbers are in millions except for per share data, ratio, and percentage. All currency related amount are indicated in the company's associated stock exchange currency.

Check Point Software Technologies's Cyclically Adjusted Revenue per Share for the quarter that ended in Mar. 2024 is calculated as:

For example, Check Point Software Technologies's adjusted Revenue per Share data for the three months ended in Mar. 2024 was:

Adj_RevenuePerShare=Revenue per Share/CPI of Mar. 2024 (Change)*Current CPI (Mar. 2024)
=4.782/131.7762*131.7762
=4.782

Current CPI (Mar. 2024) = 131.7762.

Check Point Software Technologies Quarterly Data

Revenue per Share CPI Adj_RevenuePerShare
201406 1.380 100.560 1.808
201409 1.505 100.428 1.975
201412 1.804 99.070 2.400
201503 1.835 99.621 2.427
201506 1.903 100.684 2.491
201509 1.979 100.392 2.598
201512 2.337 99.792 3.086
201603 2.051 100.470 2.690
201606 2.152 101.688 2.789
201609 2.216 101.861 2.867
201612 2.722 101.863 3.521
201703 2.416 102.862 3.095
201706 2.434 103.349 3.103
201709 2.296 104.136 2.905
201712 2.606 104.011 3.302
201803 2.268 105.290 2.839
201806 2.508 106.317 3.109
201809 2.537 106.507 3.139
201812 2.939 105.998 3.654
201903 2.678 107.251 3.290
201906 2.810 108.070 3.426
201909 2.956 108.329 3.596
201912 3.304 108.420 4.016
202003 3.028 108.902 3.664
202006 3.148 108.767 3.814
202009 3.063 109.815 3.676
202012 3.393 109.897 4.069
202103 3.105 111.754 3.661
202106 3.239 114.631 3.723
202109 3.403 115.734 3.875
202112 3.979 117.630 4.458
202203 3.796 121.301 4.124
202206 4.231 125.017 4.460
202209 4.667 125.227 4.911
202212 5.004 125.222 5.266
202303 4.367 127.348 4.519
202306 4.558 128.729 4.666
202309 4.763 129.860 4.833
202312 5.255 129.419 5.351
202403 4.782 131.776 4.782

Add all the adjusted revenue per share together and divide 10 will get our Cyclically Adjusted Revenue per Share.

Please note that we use the CPI data of the country/region where the company is headquartered. If the CPI data for that country/region is not available, then we will use the CPI data of the United States as default.


Check Point Software Technologies  (WBO:CHKP) Cyclically Adjusted PS Ratio Explanation

Compared with the regular PS Ratio, which works poorly for cyclical businesses, the Cyclically Adjusted PS Ratio smoothed out the fluctuations of revenue during business cycles. Therefore it is more accurate in reflecting the valuation of the company.

If a company has consistent business performance, the Cyclically Adjusted PS Ratio should give similar results to regular PS Ratio.


Check Point Software Technologies Cyclically Adjusted PS Ratio Related Terms

Thank you for viewing the detailed overview of Check Point Software Technologies's Cyclically Adjusted PS Ratio provided by GuruFocus.com. Please click on the following links to see related term pages.


Check Point Software Technologies (WBO:CHKP) Business Description

Traded in Other Exchanges
Address
5 Shlomo Kaplan Street, Tel Aviv, ISR, 6789159
Check Point Software Technologies is a pure-play cybersecurity vendor. The company offers solutions for network, endpoint, cloud, and mobile security in addition to security management. Check Point, a software specialist, sells to enterprises, businesses, and consumers. Around 50% of revenue is generated in Europe, the Middle East, and Africa, 40% from the Americas, and 10% from the Asia-Pacific region. The firm, based in Tel Aviv, Israel, was founded in 1993 and has about 5,000 employees.