Raymond James downgraded Checkpoint Software (NASDAQ:CHKP) to Market Perform from Outperform, citing a deceleration in broader spending intentions that could ultimately lead to a period of deflation.

The firm’s previous bullish stance was based on growth acceleration, which was not reflected in estimates, but recent conversations with channel partners suggest a deteriorating spending environment for Check Point solutions.

According to the analyst, there is a high volume of renewals for Check Point-specific demand, but they are for shorter durations or smaller amounts, indicating a possibility of increased share loss. Additionally, the reception for new products in key areas has been unimpressive.