Check Point (CHKP)
When you think of the term “firewall,” one of the first security companies that should sprint to mind is Check Point Software Technologies (CHKP). It literally invented the concept with its innovative FireWall-1 software that became the gold standard for cybersecurity.
Check Point is a leader in network security, URL filtering and “secure gateways” to protect a company’s network from either irresponsible internet use or malicious software from third parties.
CHKP is definitely a behind-the-scenes company, but fills a crucial role. Any business that has a lot of employees wired to the Internet will need to filter out spam, malware and harmful websites. And while Check Point may not materially contribute to the bottom line, there’s no question that its services are an important safeguard against costly cybersecurity breaches or the lost of productivity should a network go down.
Check Point stock is up 29% year-to-date to outperform the market. It has averaged double-digit sales growth across the last five years, and is a decent opportunity for new money right now.