ROA % is calculated as Net Income divided by its average Total Assets over a certain period of time. Check Point Software Technologies's annualizedNet Income for the quarter that ended in Mar. 2026 was $766 Mil.
Check Point Software Technologies's average Total Assets over the quarter that ended in Mar. 2026 was $7,709 Mil. Therefore, Check Point Software Technologies's annualized ROA % for the quarter that ended in Mar. 2026 was 9.94%.
CHKP'
s ROA % Range Over the Past 10 Years
Min: 13.71 Med: 14.57 Max: 16.34
Current: 16.34
During the past 13 years, Check Point Software Technologies's highest ROA % was 16.34%. The lowest was 13.71%. And the median was 14.57%.
CHKP's ROA % is ranked better than 92.89% of 2883
companies
in the Software industry
Industry Median: 1.68
vs CHKP: 16.34
Check Point Software Technologies (NAS:CHKP) ROA % Explanation
ROA % measures the rate of return on the total assets (shareholder equity plus liabilities). It measures a firm's efficiency at generating profits from shareholders' equity plus its liabilities. ROA % shows how well a company uses what it has to generate earnings. ROA %s can vary drastically across industries. Therefore, ROA % should not be used to compare companies in different industries. For retailers, a ROA % of higher than 5% is expected. For example, Wal-Mart (WMT) has a ROA % of about 8% as of 2012. For banks, ROA % is close to their interest spread. A banks ROA % is typically well under 2%.
Similar to ROE, ROA % is affected by profit margins and asset turnover. This can be seen from the Du Pont Formula:
Note:
The Net Income data used here is four times the quarterly (Mar. 2026) net income data. The Revenue data used here is four times the quarterly (Mar. 2026) revenue data.
* 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.
Be Aware
Like ROE, ROA % is calculated with only 12 months data. Fluctuations in the company's earnings or business cycles can affect the ratio drastically. It is important to look at the ratio from a long term perspective. ROA % can be affected by events such as stock buyback or issuance, and by goodwill, a company's tax rate and its interest payment. ROA % may not reflect the true earning power of the assets. A more accurate measurement is ROC % (ROC).
Many analysts argue the higher return the better. Buffett states that really high ROA % may indicate vulnerability in the durability of the competitive advantage.
E.g. Raising $43b to take on KO is impossible, but $1.7b to take on Moody's is. Although Moody's ROA % and underlying economics is far superior to Coca Cola, the durability is far weaker because of lower entry cost.
Check Point Software Technologies ROA % Related Terms
Check Point Software Technologies ROA % Historical Data
* 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.
For the Software - Infrastructure subindustry, Check Point Software Technologies's ROA %, along with its competitors' market caps and ROA % 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 ROA % vs Software Industry
* 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.
In the calculation of annual ROA %, the net income of the last fiscal year and the average total assets over the fiscal year are used. In calculating the quarterly data,
the Net Income data used here is four times the quarterly (Mar. 2026) net income data.
ROA % is displayed in the 30-year financial page.
Check Point Software Technologies (CHKP) has a ROA % of 9.94% as of Mar. 2026. Return on assets is the ratio of current-period net income to average two-period total assets. View historical data on Check Point Software Technologies and its competitors. This is 32% below median its historical median of 14.57. Over the past decade, Check Point Software Technologies' ROA % has ranged from 13.71 to 16.34. According to the industry distribution chart, Check Point Software Technologies ranks #205 out of 2883 companies in the Software industry, placing it in the top 7.1%.
Is Check Point Software Technologies' ROA % too high?
Check Point Software Technologies' current ROA % of 9.94% is 32% below median its 10-year median of 14.57. Over the past 10 years, this metric has ranged from a low of 13.71 to a high of 16.34. The Software industry median ROA % is 1.68. Check Point Software Technologies' value of 9.94% is 491.7% above this industry median. Based on the distribution chart, Check Point Software Technologies ranks #205 out of 2883 companies in the Software industry, which is in the top quartile — a strong position relative to peers. Overall, Check Point Software Technologies has a GF Score™ of 82/100 and is considered Significantly Undervalued, reflecting its overall financial health beyond just this single metric.
How does Check Point Software Technologies' ROA % compare to NTNX and TOST?
According to the Software industry distribution chart, Check Point Software Technologies ranks #205 out of 2883 companies for ROA %. This places Check Point Software Technologies in the top 7% of its industry — outperforming the majority of peers. The industry median ROA % is 1.68. Check Point Software Technologies' value of 9.94% is 491.7% above this benchmark. Historically, Check Point Software Technologies' own ROA % has ranged from 13.71 to 16.34 over the past decade. While the company's 10-year median is 14.57 vs. the industry median of 1.68, Check Point Software Technologies has consistently been above the industry average. See the competitive comparison table and distribution chart on this page for a detailed peer-by-peer breakdown.
What is a good ROA % for a Software company?
The median ROA % among Software companies is 1.68, based on 2,883 companies in the industry. Companies in the top quartile (top 25%) have a ROA % significantly above this median, while those in the bottom quartile fall well below. However, ROA % should not be evaluated in isolation — investors should consider it alongside profitability, growth, and financial strength metrics. Check Point Software Technologies's current ROA % of 9.94% is 491.7% above the industry median. Use the industry distribution chart on this page to see where any company falls relative to its peers.
What does a high ROA % mean?
A high ROA % can signal that a stock is expensive relative to its fundamentals. Return on assets is the ratio of current-period net income to average two-period total assets. View historical data on Check Point Software Technologies and its competitors. For the Software industry, the median ROA % is 1.68 — values significantly above this may indicate overvaluation, while values below may suggest a bargain or underlying issues. Check Point Software Technologies's current ROA % is 9.94%, which is 32% below median its own 10-year median of 14.57. However, context matters — high-growth companies often justify higher valuations. Always evaluate alongside other metrics like GF Score™ and GF Value™.
Is Check Point Software Technologies stock overvalued right now?
Based on GuruFocus' analysis, Check Point Software Technologies (CHKP) is currently considered Significantly Undervalued. The stock's GF Value™ is $204.49, compared to a current price of $124.68 — trading 39% below its estimated fair value. The current ROA % is 9.94%, which is 32% below median its 10-year median of 14.57 and 491.7% above the Software industry median of 1.68. Check Point Software Technologies' overall GF Score™ is 82/100 with 3 warning signs to review. Investors should evaluate multiple metrics — including profitability, growth, and financial strength — before making a decision.
How is ROA % calculated?
ROA % is calculated from a company's financial statements. For Check Point Software Technologies (CHKP), the current ROA % is 9.94% as of Mar. 2026. GuruFocus calculates this using data sourced from SEC filings and annual reports. See the calculation section and 30-year financial data on this page for the full breakdown.
Is Check Point Software Technologies (CHKP) Overvalued in 2026?
Based on GuruFocus' analysis, Check Point Software Technologies stock appears to be undervalued.
The current stock price of $124.68 is trading 39% below its estimated GF Value™ of $204.49.
GuruFocus considers Check Point Software Technologies to be Significantly Undervalued.
Key valuation signals for CHKP:
ROA %: 9.94% (32% below median its 10-year median of 14.57)
GF Value™: $204.49 vs. price of $124.68 (39% below fair value)
Industry Position: 491.7% above the Software median (#205 of 2883)
No single metric tells the full story. See the CHKP stock analysis page for a complete view including 30-year financials, guru trades, and insider activity.
Check Point Software Technologies Business Description
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.
82GF Score
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