Gen Digital (NASDAQ:GEN) Issues Q3 2027 Earnings Guidance

Gen Digital (NASDAQ:GEN) updated its third quarter 2027 earnings guidance on Friday morning. The company provided earnings per share (EPS) guidance of 0.730-0.750 for the period, compared to the consensus EPS estimate of 0.720. The company issued revenue guidance of $1.4 billion, compared to the consensus revenue estimate of $1.4 billion.

Gen Digital Stock Performance

NASDAQ:GEN opened at $28.79 on Friday. The company has a debt-to-equity ratio of 3.00, a quick ratio of 0.47 and a current ratio of 0.47. The company has a 50 day moving average price of $26.48 and a 200 day moving average price of $24.38. Gen Digital has a fifty-two week low of $17.78 and a fifty-two week high of $31.65. The stock has a market capitalization of $17.24 billion, a P/E ratio of 14.42, a PEG ratio of 0.76 and a beta of 1.26.

Gen Digital (NASDAQ:GEN) last released its earnings results on Wednesday, October 28th. The company reported $0.74 earnings per share (EPS) for the quarter, topping analysts’ consensus estimates of $0.72 by $0.02. The company had revenue of $1.37 billion for the quarter, compared to analyst estimates of $1.34 billion. Gen Digital had a net margin of 23.07% and a return on equity of 57.97%. The firm’s quarterly revenue was up 12.2% on a year-over-year basis. During the same period in the prior year, the business earned $0.62 EPS. Equities research analysts forecast that Gen Digital will post 2.66 EPS for the current year.

Gen Digital Announces Dividend

The firm also recently declared a quarterly dividend, which will be paid on Wednesday, December 9th. Stockholders of record on Monday, November 16th will be issued a $0.1250 dividend. This represents a $0.50 annualized dividend and a dividend yield of 1.7%. The ex-dividend date of this dividend is Monday, November 16th. Gen Digital’s dividend payout ratio (DPR) is currently 29.07%.

Analyst Ratings Changes

A number of equities research analysts recently issued reports on GEN shares. Royal Bank Of Canada upped their target price on Gen Digital from $24.00 to $27.00 and gave the company a “sector perform” rating in a research note on Thursday. Wells Fargo & Company increased their price target on shares of Gen Digital from $22.00 to $28.00 and gave the stock an “equal weight” rating in a research note on Friday, August 7th. Wall Street Zen downgraded Gen Digital from a “buy” rating to a “hold” rating in a report on Sunday, August 16th. Morgan Stanley raised their price target on shares of Gen Digital from $32.00 to $34.00 and gave the company an “equal weight” rating in a report on Thursday. Finally, Barclays lifted their target price on shares of Gen Digital from $27.00 to $32.00 and gave the company an “equal weight” rating in a report on Friday, August 7th. One research analyst has rated the stock with a Strong Buy rating, one has issued a Buy rating and seven have issued a Hold rating to the company’s stock. Based on data from MarketBeat.com, Gen Digital presently has a consensus rating of “Hold” and an average price target of $31.60.

Insider Buying and Selling at Gen Digital

In related news, COO Bryan Seuk Ko sold 28,248 shares of the company’s stock in a transaction on Friday, September 4th. The stock was sold at an average price of $30.67, for a total transaction of $866,366.16. Following the transaction, the chief operating officer directly owned 744,262 shares of the company’s stock, valued at approximately $22,826,515.54. The trade was a 3.66% decrease in their ownership of the stock. The transaction was disclosed in a filing with the Securities & Exchange Commission, which is accessible through the SEC website. The transaction was executed under a pre-arranged Rule 10b5-1 trading plan. Also, Director Ondrej Vlcek sold 200,000 shares of Gen Digital stock in a transaction on Thursday, August 27th. The shares were sold at an average price of $30.00, for a total transaction of $6,000,000.00. Following the sale, the director directly owned 3,332,904 shares of the company’s stock, valued at $99,987,120. This trade represents a 5.66% decrease in their position. Additional details regarding this sale are available in the official SEC disclosure. Over the last 90 days, insiders have sold 558,508 shares of company stock valued at $16,356,093. Corporate insiders own 9.70% of the company’s stock.

Gen Digital News Summary

Here are the key news stories impacting Gen Digital this week:

• Positive Sentiment: Q2 beat and raised outlook: Adjusted earnings were $0.74 per share versus the $0.72 consensus, while revenue rose 12.2% year over year to $1.37 billion, exceeding the $1.34 billion estimate. Gen also raised its fiscal 2027 outlook, citing strong cybersecurity demand. Reuters article
• Positive Sentiment: Above-consensus near-term guidance: Gen forecast fiscal third-quarter EPS of $0.73-$0.75, ahead of the $0.72 consensus, with revenue guidance of approximately $1.4 billion in line with expectations. Yahoo Finance article
• Positive Sentiment: Improving profitability and demand: Management highlighted record Cyber Safety margins and strength in financial-wellness products. Partner-channel revenue grew 40% to $295 million, supporting the company’s double-digit growth narrative. Zacks article
• Positive Sentiment: Analyst support and capital returns: Morgan Stanley raised its price target to $34 from $32. Gen also declared its regular $0.125 quarterly dividend, equivalent to $0.50 annually and an approximately 1.8% yield. MarketScreener article
• Neutral Sentiment: No major acquisition planned: Gen said it is not currently pursuing a “transformative acquisition,” reducing speculation about a large deal but keeping investor focus on organic growth and margins. Barron’s article
• Negative Sentiment: Valuation caution: Royal Bank of Canada raised its target to $27 but maintained a “sector perform” rating, implying its target remains below the reported share price. MarketBeat article

About Gen Digital

Gen Digital Inc (NASDAQ: GEN) is a cybersecurity company that provides digital safety, privacy, and identity protection products for consumers. Its services are designed to help protect devices, personal information, online accounts, and digital identities from malware, fraud, identity theft, scams, and other cyber threats.

The company operates a portfolio of consumer brands that includes Norton, Avast, LifeLock, Avira, AVG, ReputationDefender, and CCleaner. Its offerings include antivirus and device security software, virtual private network services, password management, identity theft monitoring and restoration support, privacy tools, scam protection, and performance and optimization utilities.

Gen Digital serves customers internationally through direct subscriptions and distribution partnerships.