Check Point pushed out of Nasdaq 100 Index

Israeli cybersecurity company Check Point Software Technologies Ltd. (Nasdaq: CHKP) is being removed from the Nasdaq-100 Index, in its annual changes effective from December 20, Nasdaq has announced. The Nasdaq-100 is the index of the 100 largest non-financial companies listed on Nasdaq.

Check Point has been part of the Nasdaq-100 for many years and as well losing the prestige of being on the index, funds linked to the index will also sell their shares in the company. Check Point is one of six companies being removed from the index and among those replacing it is Palo Alto Networks, a cybersecurity company founded in the US by CTO Nir Zuk, a former senior executive at Check Point. Palo Alto Networks has a market cap of $52.5 billion compared with Check Point which only has a market cap of $14.7 billion. Palo Alto does not make a profit while Check Point, led by CEO Gil Shwed, is profitable but its rate of growth is very modest.