US investment research institute Bernstein Research has published a list companies which, it claims are undervalued. The institute notes the companies, among them Check Point (Nasdaq: CHKP), because of their core operations, cash flow and robustness in the business arena.
Bernstein adds that the companies concerned are undervalued, which may make some of them interesting acquisition targets for interested parties. Last month “Forbes” magazine reported that Hewlett Packard (NYSE: HPQ) could acquire Check Point by the end of 2006, with the goal of consolidating and expanding its software business.
Bernstein stresses, however, that this is not to say every company on the list makes sense as an acquisition candidate, but it does mean that based on math alone, the stocks look interesting.
Bernstein Research analyst Vadim Zlotnikov, who participated in the survey, said that the list contained prominent high-tech companies such as IBM (NYSE: IBM), Microsoft Corp (Nasdaq: MSFT), Xerox (NYSE: XRX), Lexmark (NYSE: LXK), and Check Point.
Check Point responded to the report by climbing 6% in trading on Wall Street.
Published by Globes [online], Israel business news - www.globes.co.il - on September 20, 2006
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