Gen Digital (NASDAQ:GEN) Releases FY 2027 Earnings Guidance

Gen Digital (NASDAQ:GEN) issued an update on its FY 2027 earnings guidance on Thursday morning. The company provided earnings per share (EPS) guidance of 2.850-2.950 for the period, compared to the consensus estimate of 2.820. The company issued revenue guidance of $5.3 billion-$5.4 billion, compared to the consensus revenue estimate of $5.2 billion. Gen Digital also updated its Q1 2027 guidance to 0.680-0.700 EPS.

Gen Digital Stock Performance

Gen Digital stock opened at $22.71 on Friday. The stock has a market cap of $13.76 billion, a P/E ratio of 14.38 and a beta of 1.10. The company has a current ratio of 0.47, a quick ratio of 0.47 and a debt-to-equity ratio of 3.50. The stock has a 50 day moving average of $20.15 and a 200-day moving average of $23.90. Gen Digital has a 52 week low of $17.78 and a 52 week high of $32.22.

Gen Digital (NASDAQ:GEN) last issued its quarterly earnings results on Thursday, May 7th. The company reported $0.67 EPS for the quarter, topping the consensus estimate of $0.65 by $0.02. Gen Digital had a net margin of 19.46% and a return on equity of 56.78%. The business had revenue of $1.28 billion for the quarter, compared to analysts’ expectations of $1.25 billion. During the same quarter last year, the company posted $0.59 earnings per share. The company’s quarterly revenue was up 27.0% compared to the same quarter last year. Gen Digital has set its Q1 2027 guidance at 0.680-0.700 EPS and its FY 2027 guidance at 2.850-2.950 EPS. On average, analysts expect that Gen Digital will post 2.66 EPS for the current fiscal year.

Gen Digital Dividend Announcement

The company also recently disclosed a quarterly dividend, which will be paid on Wednesday, June 10th. Investors of record on Monday, May 18th will be paid a dividend of $0.125 per share. The ex-dividend date is Monday, May 18th. This represents a $0.50 annualized dividend and a yield of 2.2%. Gen Digital’s dividend payout ratio (DPR) is 51.55%.

Wall Street Analysts Forecast Growth

GEN has been the topic of a number of recent research reports. Weiss Ratings reissued a “hold (c+)” rating on shares of Gen Digital in a report on Thursday, January 22nd. Wells Fargo & Company initiated coverage on shares of Gen Digital in a report on Tuesday, March 3rd. They issued an “equal weight” rating and a $22.00 target price on the stock. Jefferies Financial Group cut shares of Gen Digital from a “strong-buy” rating to a “hold” rating in a report on Monday, April 27th. Royal Bank Of Canada raised their target price on Gen Digital from $22.00 to $24.00 and gave the company a “sector perform” rating in a research note on Friday. Finally, Wall Street Zen upgraded Gen Digital from a “hold” rating to a “buy” rating in a research note on Saturday. Two analysts have rated the stock with a Buy rating and seven have issued a Hold rating to the company. According to data from MarketBeat, the stock has a consensus rating of “Hold” and a consensus target price of $31.29.

Trending Headlines about Gen Digital

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

• Positive Sentiment: Gen Digital beat quarterly expectations, with revenue and EPS both coming in above estimates, and said Trust-Based Solutions revenue surged sharply year over year. The results suggest improving growth momentum and stronger demand in cybersecurity. Article Title
• Positive Sentiment: The company raised fiscal 2027 guidance above Wall Street expectations, pointing to 8%–10% revenue growth and adjusted EPS of $2.85–$2.95, which reinforced optimism about future earnings power. Article Title
• Positive Sentiment: RBC lifted its price target on Gen Digital to $24 from $22, signaling slightly improved analyst confidence even though the firm kept a “sector perform” rating. Article Title
• Neutral Sentiment: Gen Digital announced a quarterly dividend of $0.125 per share, which may support income-focused investors but is not a major growth catalyst by itself.

Institutional Investors Weigh In On Gen Digital

Several hedge funds and other institutional investors have recently added to or reduced their stakes in the company. Compound Planning Inc. raised its holdings in Gen Digital by 13.2% during the fourth quarter. Compound Planning Inc. now owns 13,257 shares of the company’s stock worth $360,000 after purchasing an additional 1,541 shares in the last quarter. Invesco Ltd. raised its position in Gen Digital by 9.7% in the fourth quarter. Invesco Ltd. now owns 9,975,365 shares of the company’s stock worth $271,230,000 after acquiring an additional 878,662 shares in the last quarter. Corient Private Wealth LLC raised its position in Gen Digital by 67.1% in the fourth quarter. Corient Private Wealth LLC now owns 253,171 shares of the company’s stock worth $6,884,000 after acquiring an additional 101,635 shares in the last quarter. Achmea Investment Management B.V. bought a new stake in Gen Digital in the fourth quarter worth about $13,991,000. Finally, Beacon Pointe Advisors LLC raised its position in Gen Digital by 14.4% in the fourth quarter. Beacon Pointe Advisors LLC now owns 9,523 shares of the company’s stock worth $259,000 after acquiring an additional 1,196 shares in the last quarter. Institutional investors own 81.38% of the company’s stock.

About Gen Digital

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.