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ANET vs. CHKP: A Head-to-Head Stock Comparison

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Here’s a clear look at ANET and CHKP, comparing key factors like historical performance, profitability, financial strength, growth, dividend, and valuation.

Company Overview

ANET’s market capitalization of 128.76 billion USD is substantially larger than CHKP’s 24.23 billion USD, indicating a significant difference in their market valuations.

ANET’s beta of 1.38 points to significantly higher volatility compared to CHKP (beta: 0.66), suggesting ANET has greater potential for both gains and losses relative to market movements.

SymbolANETCHKP
Company NameArista Networks, Inc.Check Point Software Technologies Ltd.
CountryUSIL
SectorTechnologyTechnology
IndustryComputer HardwareSoftware - Infrastructure
CEOJayshree V. UllalBrig.Gen. Nadav Zafrir
Price102.52 USD223.63 USD
Market Cap128.76 billion USD24.23 billion USD
Beta1.380.66
ExchangeNYSENASDAQ
IPO DateJune 6, 2014June 28, 1996
ADRNoNo

Historical Performance

This chart compares the performance of ANET and CHKP by tracking the growth of an initial $10,000 investment in each. Use the tabs to select the desired time period.

Data is adjusted for dividends and splits.

ANET vs. CHKP: Growth of a $10,000 investment over the past one year.

Profitability

Return on Equity

ANET

32.05%

Computer Hardware Industry

Max
123.03%
Q3
15.78%
Median
-13.44%
Q1
-119.16%
Min
-227.95%

In the upper quartile for the Computer Hardware industry, ANET’s Return on Equity of 32.05% signals a highly effective use of shareholder capital to drive profitability compared to most of its peers.

CHKP

30.47%

Software - Infrastructure Industry

Max
80.61%
Q3
29.97%
Median
2.84%
Q1
-8.35%
Min
-56.26%

In the upper quartile for the Software - Infrastructure industry, CHKP’s Return on Equity of 30.47% signals a highly effective use of shareholder capital to drive profitability compared to most of its peers.

ANET vs. CHKP: A comparison of their ROE against their respective Computer Hardware and Software - Infrastructure industry benchmarks.

Return on Invested Capital

ANET

23.89%

Computer Hardware Industry

Max
30.37%
Q3
20.44%
Median
7.03%
Q1
-12.47%
Min
-31.70%

In the upper quartile for the Computer Hardware industry, ANET’s Return on Invested Capital of 23.89% signifies a highly effective use of its capital to generate profits when compared to its peers.

CHKP

20.27%

Software - Infrastructure Industry

Max
39.31%
Q3
11.97%
Median
1.67%
Q1
-7.10%
Min
-34.29%

In the upper quartile for the Software - Infrastructure industry, CHKP’s Return on Invested Capital of 20.27% signifies a highly effective use of its capital to generate profits when compared to its peers.

ANET vs. CHKP: A comparison of their ROIC against their respective Computer Hardware and Software - Infrastructure industry benchmarks.

Net Profit Margin

ANET

40.72%

Computer Hardware Industry

Max
40.72%
Q3
10.87%
Median
4.33%
Q1
-378.64%
Min
-753.20%

A Net Profit Margin of 40.72% places ANET in the upper quartile for the Computer Hardware industry, signifying strong profitability and more effective cost management than most of its peers.

CHKP

32.75%

Software - Infrastructure Industry

Max
46.46%
Q3
14.65%
Median
2.66%
Q1
-7.70%
Min
-35.45%

A Net Profit Margin of 32.75% places CHKP in the upper quartile for the Software - Infrastructure industry, signifying strong profitability and more effective cost management than most of its peers.

ANET vs. CHKP: A comparison of their Net Profit Margin against their respective Computer Hardware and Software - Infrastructure industry benchmarks.

Operating Profit Margin

ANET

42.27%

Computer Hardware Industry

Max
42.27%
Q3
13.53%
Median
4.56%
Q1
-295.01%
Min
-592.84%

An Operating Profit Margin of 42.27% places ANET in the upper quartile for the Computer Hardware industry. This signals a strong ability to translate revenue into operating profit, outperforming most of its competitors in core business efficiency.

CHKP

33.70%

Software - Infrastructure Industry

Max
48.51%
Q3
16.56%
Median
4.48%
Q1
-6.43%
Min
-40.18%

An Operating Profit Margin of 33.70% places CHKP in the upper quartile for the Software - Infrastructure industry. This signals a strong ability to translate revenue into operating profit, outperforming most of its competitors in core business efficiency.

ANET vs. CHKP: A comparison of their Operating Margin against their respective Computer Hardware and Software - Infrastructure industry benchmarks.

Profitability at a Glance

SymbolANETCHKP
Return on Equity (TTM)32.05%30.47%
Return on Assets (TTM)20.86%15.34%
Return on Invested Capital (TTM)23.89%20.27%
Net Profit Margin (TTM)40.72%32.75%
Operating Profit Margin (TTM)42.27%33.70%
Gross Profit Margin (TTM)64.09%86.94%

Financial Strength

Current Ratio

ANET

3.93

Computer Hardware Industry

Max
20.73
Q3
11.54
Median
2.69
Q1
1.40
Min
0.73

ANET’s Current Ratio of 3.93 aligns with the median group of the Computer Hardware industry, indicating that its short-term liquidity is in line with its sector peers.

CHKP

1.10

Software - Infrastructure Industry

Max
3.80
Q3
2.25
Median
1.51
Q1
1.10
Min
0.23

CHKP’s Current Ratio of 1.10 falls into the lower quartile for the Software - Infrastructure industry. This indicates a tighter liquidity situation and a more constrained capacity to handle short-term debt than many of its competitors.

ANET vs. CHKP: A comparison of their Current Ratio against their respective Computer Hardware and Software - Infrastructure industry benchmarks.

Debt-to-Equity Ratio

ANET

--

Computer Hardware Industry

Max
1.36
Q3
0.67
Median
0.04
Q1
0.03
Min
0.00

Debt-to-Equity Ratio data for ANET is currently unavailable.

CHKP

--

Software - Infrastructure Industry

Max
2.56
Q3
1.12
Median
0.33
Q1
0.05
Min
0.00

Debt-to-Equity Ratio data for CHKP is currently unavailable.

ANET vs. CHKP: A comparison of their D/E Ratio against their respective Computer Hardware and Software - Infrastructure industry benchmarks.

Interest Coverage Ratio

ANET

--

Computer Hardware Industry

Max
32.50
Q3
21.85
Median
4.98
Q1
-7.71
Min
-34.24

Interest Coverage Ratio data for ANET is currently unavailable.

CHKP

--

Software - Infrastructure Industry

Max
32.21
Q3
5.24
Median
0.95
Q1
-17.99
Min
-50.82

Interest Coverage Ratio data for CHKP is currently unavailable.

ANET vs. CHKP: A comparison of their Interest Coverage against their respective Computer Hardware and Software - Infrastructure industry benchmarks.

Financial Strength at a Glance

SymbolANETCHKP
Current Ratio (TTM)3.931.10
Quick Ratio (TTM)3.311.10
Debt-to-Equity Ratio (TTM)----
Debt-to-Asset Ratio (TTM)----
Net Debt-to-EBITDA Ratio (TTM)-0.58-0.47
Interest Coverage Ratio (TTM)----

Growth

The following charts compare key year-over-year (YoY) growth metrics for ANET and CHKP. These metrics are based on the companies’ annual financial reports.

Revenue Growth

ANET vs. CHKP: A comparison of their annual year-over-year Revenue Growth.

Earnings Per Share (EPS) Growth

ANET vs. CHKP: A comparison of their annual year-over-year Earnings Per Share (EPS) Growth.

Free Cash Flow Growth

ANET vs. CHKP: A comparison of their annual year-over-year Free Cash Flow Growth.

Dividend

Dividend Yield

ANET

0.00%

Computer Hardware Industry

Max
9.24%
Q3
1.58%
Median
0.00%
Q1
0.00%
Min
0.00%

ANET currently does not pay a dividend, resulting in a yield of 0%. This is a common strategy for growth-focused companies that prioritize reinvesting earnings, though it may be less typical in mature, income-oriented sectors.

CHKP

0.00%

Software - Infrastructure Industry

Max
4.07%
Q3
0.00%
Median
0.00%
Q1
0.00%
Min
0.00%

CHKP currently does not pay a dividend, resulting in a yield of 0%. This is a common strategy for growth-focused companies that prioritize reinvesting earnings, though it may be less typical in mature, income-oriented sectors.

ANET vs. CHKP: A comparison of their Dividend Yield against their respective Computer Hardware and Software - Infrastructure industry benchmarks.

Dividend Payout Ratio

ANET

0.00%

Computer Hardware Industry

Max
193.79%
Q3
30.72%
Median
0.00%
Q1
0.00%
Min
0.00%

ANET has a Dividend Payout Ratio of 0%, indicating it does not currently pay a dividend. This is a common strategy for growth-oriented companies that reinvest all profits back into the business.

CHKP

0.00%

Software - Infrastructure Industry

Max
48.68%
Q3
0.00%
Median
0.00%
Q1
0.00%
Min
0.00%

CHKP has a Dividend Payout Ratio of 0%, indicating it does not currently pay a dividend. This is a common strategy for growth-oriented companies that reinvest all profits back into the business.

ANET vs. CHKP: A comparison of their Payout Ratio against their respective Computer Hardware and Software - Infrastructure industry benchmarks.

Dividend at a Glance

SymbolANETCHKP
Dividend Yield (TTM)0.00%0.00%
Dividend Payout Ratio (TTM)0.00%0.00%

Valuation

Price-to-Earnings Ratio

ANET

42.66

Computer Hardware Industry

Max
24.60
Q3
24.01
Median
20.31
Q1
18.24
Min
13.38

At 42.66, ANET’s P/E Ratio is exceptionally high, exceeding the typical maximum for the Computer Hardware industry. This suggests the stock may be significantly overvalued compared to its peers and implies high market expectations that could be difficult to meet.

CHKP

28.30

Software - Infrastructure Industry

Max
107.77
Q3
54.40
Median
28.10
Q1
18.03
Min
5.32

CHKP’s P/E Ratio of 28.30 is within the middle range for the Software - Infrastructure industry. This suggests its valuation is in line with the sector average, representing neither a significant premium nor a discount compared to its peers.

ANET vs. CHKP: A comparison of their P/E Ratio against their respective Computer Hardware and Software - Infrastructure industry benchmarks.

Forward P/E to Growth Ratio

ANET

1.80

Computer Hardware Industry

Max
9.77
Q3
5.18
Median
1.77
Q1
1.17
Min
0.02

The Forward PEG Ratio is often not a primary valuation metric in the Computer Hardware industry.

CHKP

2.84

Software - Infrastructure Industry

Max
8.12
Q3
3.94
Median
2.13
Q1
0.94
Min
0.01

CHKP’s Forward PEG Ratio of 2.84 is within the middle range of its peers in the Software - Infrastructure industry. This suggests a reasonable balance between the stock’s price and its expected growth, aligning with sector valuation norms.

ANET vs. CHKP: A comparison of their Forward PEG Ratio against their respective Computer Hardware and Software - Infrastructure industry benchmarks.

Price-to-Sales Ratio

ANET

17.31

Computer Hardware Industry

Max
57.61
Q3
47.40
Median
3.37
Q1
1.56
Min
0.43

ANET’s P/S Ratio of 17.31 aligns with the market consensus for the Computer Hardware industry. This suggests its valuation, based on sales, is seen as standard and is on par with its competitors.

CHKP

9.31

Software - Infrastructure Industry

Max
18.25
Q3
9.05
Median
4.77
Q1
2.30
Min
0.11

CHKP’s P/S Ratio of 9.31 is in the upper echelon for the Software - Infrastructure industry. This means the company is valued richly on its revenue stream compared to its peers, suggesting the stock is priced for a high level of future performance.

ANET vs. CHKP: A comparison of their P/S Ratio against their respective Computer Hardware and Software - Infrastructure industry benchmarks.

Price-to-Book Ratio

ANET

12.77

Computer Hardware Industry

Max
21.21
Q3
14.71
Median
9.28
Q1
3.74
Min
0.43

ANET’s P/B Ratio of 12.77 is within the conventional range for the Computer Hardware industry. This shows a balanced market view, where the stock’s price is neither at a significant premium nor a discount to the book value of its peers.

CHKP

8.78

Software - Infrastructure Industry

Max
19.94
Q3
10.91
Median
6.33
Q1
2.95
Min
0.51

The P/B Ratio is often not a primary valuation metric for the Software - Infrastructure industry.

ANET vs. CHKP: A comparison of their P/B Ratio against their respective Computer Hardware and Software - Infrastructure industry benchmarks.

Valuation at a Glance

SymbolANETCHKP
Price-to-Earnings Ratio (P/E, TTM)42.6628.30
Forward PEG Ratio (TTM)1.802.84
Price-to-Sales Ratio (P/S, TTM)17.319.31
Price-to-Book Ratio (P/B, TTM)12.778.78
Price-to-Free Cash Flow Ratio (P/FCF, TTM)34.0222.38
EV-to-EBITDA (TTM)39.6224.85
EV-to-Sales (TTM)17.079.13