Gen Digital (NASDAQ:GEN) Stock Price Target Raised at Royal Bank Of Canada

Key Points

• Royal Bank of Canada raised Gen Digital’s price target to $27 from $24 while maintaining a “sector perform” rating, implying roughly 4.3% downside from the prior close. The broader analyst consensus remains “Hold,” with an average target of $31.60.
• Gen Digital reported quarterly results above expectations, with earnings of $0.74 per share versus $0.72 expected and revenue of $1.37 billion, up 12.2% year over year.
• Shares rose 15.8% to $28.20 during Thursday trading. Despite strong institutional ownership of 81.38%, company insiders sold roughly 558,508 shares worth $16.4 million over the past 90 days.

Gen Digital (NASDAQ:GEN - Get Free Report) had its price objective lifted by analysts at Royal Bank Of Canada from $24.00 to $27.00 in a research note issued on Thursday, Benzinga reports. The brokerage currently has a "sector perform" rating on the stock. Royal Bank Of Canada's target price points to a potential downside of 4.26% from the company's previous close.

A number of other equities research analysts have also recently commented on GEN. Weiss Ratings raised Gen Digital from a "hold (c)" rating to a "hold (c+)" rating in a research note on Friday, October 16th. Wall Street Zen cut Gen Digital from a "buy" rating to a "hold" rating in a report on Sunday, August 16th. Barclays raised their target price on Gen Digital from $27.00 to $32.00 and gave the stock an "equal weight" rating in a report on Friday, August 7th. Wells Fargo & Company boosted their target price on Gen Digital from $22.00 to $28.00 and gave the stock an "equal weight" rating in a research report on Friday, August 7th. Finally, Morgan Stanley upped their price target on Gen Digital from $32.00 to $34.00 and gave the company an "equal weight" rating in a research note on Thursday. One investment analyst has rated the stock with a Strong Buy rating, one has assigned a Buy rating and seven have assigned a Hold rating to the company's stock. According to MarketBeat.com, the stock has an average rating of "Hold" and a consensus target price of $31.60.

Gen Digital Trading Up 15.8%

Shares of NASDAQ GEN traded up $3.85 during mid-day trading on Thursday, hitting $28.20. The company's stock had a trading volume of 11,126,960 shares, compared to its average volume of 7,219,207. The stock has a market cap of $16.88 billion, a price-to-earnings ratio of 16.40, a price-to-earnings-growth ratio of 0.78 and a beta of 1.26. The company has a debt-to-equity ratio of 3.00, a current ratio of 0.47 and a quick ratio of 0.47. Gen Digital has a one year low of $17.78 and a one year high of $31.65. The company's fifty day simple moving average is $26.47 and its 200-day simple moving average is $24.37.

Gen Digital (NASDAQ:GEN - Get Free Report) last posted its quarterly earnings results on Wednesday, October 28th. The company reported $0.74 earnings per share for the quarter, topping analysts' consensus estimates of $0.72 by $0.02. Gen Digital had a net margin of 20.73% and a return on equity of 55.93%. The business had revenue of $1.37 billion during the quarter, compared to the consensus estimate of $1.34 billion. During the same period in the previous year, the firm posted $0.62 earnings per share. Gen Digital's revenue for the quarter was up 12.2% compared to the same quarter last year. On average, sell-side analysts anticipate that Gen Digital will post 2.66 earnings per share for the current fiscal year.

Insider Buying and Selling at Gen Digital

In other Gen Digital news, Director Ondrej Vlcek sold 200,000 shares of the business's stock in a transaction dated Thursday, August 27th. The stock was sold at an average price of $30.00, for a total value of $6,000,000.00. Following the completion of the transaction, the director directly owned 3,332,904 shares of the company's stock, valued at approximately $99,987,120. The trade was a 5.66% decrease in their ownership of the stock. The transaction was disclosed in a legal filing with the Securities & Exchange Commission, which is accessible through the SEC website. Also, insider Travis Witteveen sold 30,000 shares of the stock in a transaction dated Monday, August 10th. The stock was sold at an average price of $29.42, for a total value of $882,600.00. Following the completion of the sale, the insider owned 496,545 shares of the company's stock, valued at $14,608,353.90. This trade represents a 5.70% decrease in their ownership of the stock. The SEC filing for this sale provides additional information. Over the last ninety days, insiders sold 558,508 shares of company stock valued at $16,356,093. Company insiders own 9.70% of the company's stock.

Institutional Trading of Gen Digital

A number of large investors have recently bought and sold shares of the business. EverSource Wealth Advisors LLC grew its stake in shares of Gen Digital by 14.5% in the first quarter. EverSource Wealth Advisors LLC now owns 3,376 shares of the company's stock valued at $64,000 after buying an additional 427 shares in the last quarter. IFM Investors Pty Ltd raised its position in Gen Digital by 0.4% during the first quarter. IFM Investors Pty Ltd now owns 141,142 shares of the company's stock worth $2,658,000 after acquiring an additional 555 shares in the last quarter. Cookson Peirce & Co. Inc. raised its position in Gen Digital by 5.1% during the second quarter. Cookson Peirce & Co. Inc. now owns 12,231 shares of the company's stock worth $304,000 after acquiring an additional 591 shares in the last quarter. Empirical Finance LLC raised its position in Gen Digital by 3.4% during the second quarter. Empirical Finance LLC now owns 20,252 shares of the company's stock worth $504,000 after acquiring an additional 659 shares in the last quarter. Finally, D.A. Davidson & CO. lifted its stake in Gen Digital by 5.1% in the first quarter. D.A. Davidson & CO. now owns 14,100 shares of the company's stock valued at $266,000 after acquiring an additional 679 shares during the last quarter. 81.38% of the stock is owned by institutional investors.

More Gen Digital News

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

• Positive Sentiment: Q2 results exceeded expectations: Adjusted earnings were $0.74 per share versus the $0.72 consensus estimate, while revenue rose 12.2% year over year to $1.37 billion, above the $1.34 billion forecast. Gen Digital earnings results
• Positive Sentiment: Management raised its fiscal 2027 outlook: Gen cited strong cybersecurity demand, double-digit growth and a higher annual earnings floor. Record Cyber Safety margins and strength in financial wellness also supported the improved outlook. Gen Digital raises annual revenue forecast
• Positive Sentiment: Growth was broad-based: Partner-channel revenue increased 40% year over year to $295 million, helping reinforce investor confidence in Gen’s expansion strategy. Gen Digital long-term investor takeaways
• Positive Sentiment: Analyst support improved: Morgan Stanley raised its price target for GEN to $34 from $32, indicating greater confidence in the company’s earnings trajectory. Morgan Stanley price-target increase
• Positive Sentiment: Shareholder returns remain supported: Gen declared a quarterly dividend of $0.125 per share, or $0.50 annualized, representing an approximately 2.1% yield. Gen Digital dividend announcement
• Neutral Sentiment: Gen said it is not currently pursuing a transformative acquisition, reducing near-term M&A speculation but emphasizing organic growth and capital discipline. Gen Digital M&A and earnings coverage

Gen Digital Company Profile

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.

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