Check Point Software Technologies Ltd. (CHKP) vs Nutanix (NTNX)

Check Point Software Technologies Ltd. and Nutanix are both Software Infrastructure companies. Nutanix is the larger, with a market value of $18.5B against $13.9B — 1.3× the size. Nutanix trades at the lower P/E: 12.2× against 13.3×. Nutanix grew revenue faster over the last twelve months: 12.4% against 4.64%. Nutanix has the higher net margin (52.8% vs 37.9%) and the lower return on invested capital (0.00% vs 20.6%). Across the 22 metrics below, Check Point Software Technologies Ltd. leads on 12 and Nutanix on 10.

Valuation

Metric CHKP NTNX Software Infrastructure median
P/E 13.26 12.21 28.02
P/S 4.89 6.45 3.07
P/B 4.93 26.20 3.36
Price to free cash flow 12.24 21.90 17.12
EV/EBITDA 15.08 49.69 14.91
EV/Sales 4.78 6.10 3.03
Earnings yield 7.54% 8.19% 0.13%
Free cash flow yield 8.17% 4.57% 1.15%

Profitability

Metric CHKP NTNX Software Infrastructure median
Gross margin 87.49% 86.80% 61.23%
Operating margin 29.02% 9.60% 0.00%
Net margin 37.93% 52.81% 0.00%
Free cash flow margin 39.91% 29.46% 1.67%
Return on equity 37.64% 37,461.61% 0.59%
Return on assets 15.89% 36.06% 0.00%
Return on invested capital 20.61% 0.00% 0.00%

Growth

Metric CHKP NTNX Software Infrastructure median
Revenue growth (TTM) 4.64% 12.44% 13.41%
EPS growth (last fiscal year) 28.95% 695.38% —
Revenue growth, 5-year CAGR 5.71% 15.40% 15.81%
Net income growth, 5-year CAGR 4.54% 0.00% 0.00%

Health

Metric CHKP NTNX Software Infrastructure median
Debt to equity 0.72 1.92 0.06
Current ratio 1.67 1.80 1.55
Net debt to EBITDA (1.14) (2.89) 0.08

Dividend

Metric CHKP NTNX Software Infrastructure median
Dividend yield — — 1.53%
Payout ratio 0.00 0.00 0.00

Size

Metric CHKP NTNX Software Infrastructure median
Market cap 13.92b 18.45b 835.96m

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