The Internet security company, Check Point Software Technologies Ltd (NASDAQ:CHKP) is to announce its Q3 results next week. The latest press release states that we should wait till October 20th. Investors are already getting excited about the conference call and finding out, whether the performance of the company has improved, or worsened, in a short period of time.
During the two first quarters of the year 2010, Check Point has shown improvement in its financial situation. Over the last three months the company increased its revenues by 7%, while net income has grown from 98 million up to almost 103 million dollars, about 5% up. In the meantime, total liabilities saw only a slight rise: in Q1 it was $746.26 million, while in June this number grew up to $747.4 million.
However, a little bit different situation is in the company’s ability to pay debts with the resources it has. In one quarter, current liabilities have increased, while current assets decreased. The decrease however was mostly attributabel to the stock repurchase program, which favors the investors.[BANNER]
After the last trade, the stock of Check Point Software climbed slightly up by 1.33%, reaching the price of $39.74 per stock. According to the chart (let’s look at the period from July 2010 to October 2010), the stock has been on the uptrend. If we watch a longer period, the uptrend (with slight ups and downs) can be observed even from the end of the year 2008.
Although the future of this stock looks rather positive, it is still unclear what the Q3 results will indicate. Analysts in general expect a mild quarter to quarter increase in top and bottom lines.
