Analyst Shaul Eyal of Oppenheimer gave his initial thoughts of second-quarter earnings reported by Check Point Software Technologies Ltd. (NASDAQ:CHKP). Its earnings were strong with revenues beating estimates by about $1.5 million, up 7% YoY. Additionally, its EPS of $1.09 beat estimates of $1.07 thanks to better than anticipated operating margins of 54%.

More specifically, Check Point’s License revenues beat expectations by close to $2 million “reflecting solid demand across the breadth of CHKP’s product portfolio.” Eyal also thinks that Check Point’s recent launch appliances are seeing solid demand. Blade revenue was up 21% YoY “reflecting an ongoing shift toward a subscription driven model.”

In the second quarter CHKP generated $202.5 million in cash flow, beating expectations of $194 million. It continued to buy back $246 million in shares, contributing to its long-term plan of buying back $1.5 billion in shares.

Eyal views these results as a positive indicator and thinks that “FY16 revenue guidance range reiteration of 6-9% YoY would be viewed positively in the current environment.” The analyst also views these results as a good indication of the positive direction of the security software universe.

Eyal maintained his Outperform rating with a price target of $95, marking an 18% increase from current levels.

According to TipRanks, the analyst has a yearly average return of 10.9% and a 62% success rate. The analyst has a 10.7% average return when recommending CHKP, and is ranked #60 out of 4,083 analysts.

TipRanks shows that out of the 11 analysts who rated Check Point in the last 3 months, 45% gave a Buy rating, 45% gave a Hold rating and 10% gave a Sell rating. The average 12-month price target for the stock is $93.25, marking a 16% upside from current levels.