Check Point Software Technologies Expects 'Measured' Recovery Into 2027, Wedbush Says

10:55 AM EST, 11/03/2026 (MT Newswires) -- Check Point Software Technologies (CHKP) expects a "measured" recovery into 2027 after reporting Q3 results that largely met expectations, Wedbush said in a Tuesday note. Wedbush said Check Point's lower guidance reflects a difficult backdrop for its firewall business, higher memory prices, and more investment with changes to its go-to-market strategy. "While management highlighted this quarter as the trough in its growth, we wait on the sidelines to see this rebound materialize on its financials into FY27," the firm said. The company flagged multiple cost headwinds next year, including up to $50 million in incremental foreign exchange costs, a full year of sales hiring, and elevated artificial intelligence research and development investments, Wedbush said. The firm maintained a neutral rating on the stock, but increased its price target to $144 from $135. Price: 139.86, Change: -1.64, Percent Change: -1.16