Check Point Software Technologies Ltd. (CHKP) vs SailPoint, Inc. (SAIL)

Check Point Software Technologies Ltd. and SailPoint, Inc. are both Software Infrastructure companies. Check Point Software Technologies Ltd. is the larger, with a market value of $15.1B against $10.5B — 1.4× the size. SailPoint, Inc. has negative trailing earnings, so its P/E is not meaningful; Check Point Software Technologies Ltd. trades at 17.7×. SailPoint, Inc. grew revenue faster over the last twelve months: 20.1% against 2.70%. Check Point Software Technologies Ltd. has the higher net margin (31.7% vs −16.9%) and the higher return on invested capital (19.8% vs −2.10%). Across the 19 metrics below, Check Point Software Technologies Ltd. leads on 15 and SailPoint, Inc. on 4.

Valuation

Metric CHKP SAIL Software Infrastructure median
P/E 17.66 n/m 24.43
P/S 5.45 9.01 2.81
P/B 5.69 1.53 2.88
Price to free cash flow 13.33 65.78 17.94
EV/EBITDA 17.48 258.79 14.51
EV/Sales 5.38 9.63 2.91
Earnings yield 5.66% (1.84%) 0.00%
Free cash flow yield 7.50% 1.52% 0.49%

Profitability

Metric CHKP SAIL Software Infrastructure median
Gross margin 87.19% 66.22% 57.45%
Operating margin 28.31% (18.92%) 0.00%
Net margin 31.74% (16.92%) 0.00%
Free cash flow margin 40.86% 13.70% 0.00%
Return on equity 30.61% (2.88%) 0.00%
Return on assets 13.32% (2.62%) 0.00%
Return on invested capital 19.82% (2.10%) 0.00%

Growth

Metric CHKP SAIL Software Infrastructure median
Revenue growth (TTM) 2.70% 20.13% 14.28%
EPS growth (last fiscal year) 28.95% 95.82% 18.26%
Revenue growth, 5-year CAGR 5.71% — 16.15%
Net income growth, 5-year CAGR 4.54% — 0.00%

Health

Metric CHKP SAIL Software Infrastructure median
Debt to equity 0.75 0.00 0.02
Current ratio 1.60 1.23 1.53
Net debt to EBITDA (1.14) 8.93 0.05

Dividend

Metric CHKP SAIL Software Infrastructure median
Dividend yield — — 1.06%
Payout ratio — — 0.29

Size

Metric CHKP SAIL Software Infrastructure median
Market cap 15.13b 10.50b 661.51m

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