Gen Digital (NASDAQ:GEN) Downgraded to “Hold” Rating by Wall Street Zen

Wall Street Zen cut shares of Gen Digital (NASDAQ:GEN) from a buy rating to a hold rating in a report issued on Saturday morning.

Several other research analysts have also recently weighed in on the stock. Zacks Research raised shares of Gen Digital from a “strong sell” rating to a “hold” rating in a report on Wednesday, February 18th. Wells Fargo & Company started coverage on shares of Gen Digital in a research report on Tuesday, March 3rd. They issued an “equal weight” rating and a $22.00 target price for the company. Jefferies Financial Group upgraded shares of Gen Digital from a “hold” rating to a “strong-buy” rating in a research note on Wednesday, March 11th. Barclays lowered their price target on Gen Digital from $33.00 to $32.00 and set an “equal weight” rating on the stock in a report on Friday, February 6th. Finally, Weiss Ratings restated a “hold (c+)” rating on shares of Gen Digital in a research note on Thursday, January 22nd. One analyst has rated the stock with a Strong Buy rating, two have issued a Buy rating and six have given a Hold rating to the company. Based on data from MarketBeat.com, the stock presently has an average rating of “Hold” and an average price target of $32.71.

Gen Digital Price Performance

NASDAQ GEN opened at $20.97 on Friday. Gen Digital has a one year low of $20.15 and a one year high of $32.22. The stock has a 50-day moving average of $23.37 and a 200 day moving average of $25.96. The company has a market capitalization of $12.70 billion, a price-to-earnings ratio of 21.62, a PEG ratio of 0.70 and a beta of 1.11. The company has a debt-to-equity ratio of 3.50, a quick ratio of 0.47 and a current ratio of 0.47.

Gen Digital (NASDAQ:GEN) last posted its earnings results on Thursday, February 5th. The company reported $0.64 earnings per share (EPS) for the quarter, beating the consensus estimate of $0.63 by $0.01. The business had revenue of $1.24 billion for the quarter, compared to analysts’ expectations of $1.23 billion. Gen Digital had a net margin of 12.76% and a return on equity of 56.76%. The business’s revenue for the quarter was up 25.8% compared to the same quarter last year. During the same quarter in the prior year, the business earned $0.56 EPS. Gen Digital has set its Q4 2026 guidance at 0.640-0.660 EPS and its FY 2026 guidance at 2.540-2.560 EPS. On average, sell-side analysts forecast that Gen Digital will post 2.05 EPS for the current year.

Gen Digital Announces Dividend

The firm also recently announced a quarterly dividend, which was paid on Wednesday, March 11th. Investors of record on Monday, February 16th were given a dividend of $0.125 per share. This represents a $0.50 annualized dividend and a yield of 2.4%. The ex-dividend date was Friday, February 13th. Gen Digital’s payout ratio is 51.55%.

Institutional Inflows and Outflows

Institutional investors have recently added to or reduced their stakes in the business. Choreo LLC grew its position in shares of Gen Digital by 3.2% during the 2nd quarter. Choreo LLC now owns 10,116 shares of the company’s stock valued at $297,000 after acquiring an additional 315 shares during the period. Beacon Pointe Advisors LLC raised its holdings in Gen Digital by 3.9% in the 2nd quarter. Beacon Pointe Advisors LLC now owns 9,505 shares of the company’s stock worth $279,000 after purchasing an additional 357 shares during the period. Blue Trust Inc. raised its holdings in Gen Digital by 2.4% in the 4th quarter. Blue Trust Inc. now owns 16,210 shares of the company’s stock worth $441,000 after purchasing an additional 387 shares during the period. Larson Financial Group LLC lifted its position in Gen Digital by 20.9% during the third quarter. Larson Financial Group LLC now owns 2,255 shares of the company’s stock valued at $64,000 after purchasing an additional 390 shares in the last quarter. Finally, Clearstead Advisors LLC lifted its position in Gen Digital by 48.6% during the third quarter. Clearstead Advisors LLC now owns 1,223 shares of the company’s stock valued at $35,000 after purchasing an additional 400 shares in the last quarter. 81.38% of the stock is currently owned by institutional investors.

Gen Digital Company Profile

Gen Digital (NASDAQ: GEN) is a global cybersecurity company specializing in consumer- and small-business-focused security, privacy, and identity protection solutions. The company offers a suite of products designed to safeguard devices, networks, and personal information against malware, ransomware, phishing attacks and other digital threats. With a focus on user-friendly interfaces and cross-platform compatibility, Gen Digital develops antivirus software, VPN services, parental controls, password management tools, and comprehensive identity-theft monitoring services.

Gen Digital traces its origins to the consumer software division of Symantec Corporation, which was spun off in late 2019 under the NortonLifeLock name.