Gen Digital Inc. Declares Quarterly Dividend of $0.12 (NASDAQ:GEN)

Key Points

• Gen Digital declared a quarterly dividend of $0.125 per share, payable September 9 to shareholders of record on August 17. The dividend yields approximately 1.8%, and the company’s 17.9% payout ratio indicates strong earnings coverage.
• Gen Digital reported quarterly earnings of $0.71 per share, exceeding estimates by $0.02, while revenue rose 6.3% year over year to $1.34 billion. Analysts expect the company to earn $2.61 per share in the current year.
• The stock opened at $28.10, with a market capitalization of $16.82 billion and a 52-week trading range of $17.78 to $32.22. Institutional investors own 81.38% of the company, while insiders hold 9.70%.

Gen Digital Inc. (NASDAQ:GEN - Get Free Report) announced a quarterly dividend on Thursday, August 6th. Stockholders of record on Monday, August 17th will be given a dividend of 0.125 per share on Wednesday, September 9th. This represents a c) annualized dividend and a dividend yield of 1.8%. The ex-dividend date is Monday, August 17th.

Gen Digital has a payout ratio of 17.9% indicating that its dividend is sufficiently covered by earnings. Research analysts expect Gen Digital to earn $3.04 per share next year, which means the company should continue to be able to cover its $0.50 annual dividend with an expected future payout ratio of 16.4%.

Gen Digital Price Performance

Shares of NASDAQ:GEN opened at $28.10 on Friday. The company has a market cap of $16.82 billion, a P/E ratio of 17.78 and a beta of 1.21. The company has a quick ratio of 0.40, a current ratio of 0.40 and a debt-to-equity ratio of 3.07. Gen Digital has a 52 week low of $17.78 and a 52 week high of $32.22. The business has a fifty day simple moving average of $25.90 and a 200-day simple moving average of $23.29.

Gen Digital (NASDAQ:GEN - Get Free Report) last released its earnings results on Thursday, August 6th. The company reported $0.71 earnings per share for the quarter, topping the consensus estimate of $0.69 by $0.02. Gen Digital had a return on equity of 55.47% and a net margin of 19.46%.The firm had revenue of $1.34 billion for the quarter, compared to the consensus estimate of $1.31 billion. During the same period in the prior year, the business posted $0.64 earnings per share. The firm's revenue for the quarter was up 6.3% compared to the same quarter last year. Gen Digital has set its FY 2027 guidance at 2.870-2.970 EPS and its Q2 2027 guidance at 0.710-0.730 EPS. Equities research analysts forecast that Gen Digital will post 2.61 EPS for the current year.

Insiders Place Their Bets

In other Gen Digital news, Director Ondrej Vlcek sold 100,000 shares of the firm's stock in a transaction dated Wednesday, June 10th. The stock was sold at an average price of $24.78, for a total value of $2,478,000.00. Following the transaction, the director directly owned 3,832,724 shares of the company's stock, valued at $94,974,900.72. This trade represents a 2.54% decrease in their ownership of the stock. The transaction was disclosed in a document filed with the SEC, which is available through this hyperlink. Also, Director John C. Chrystal bought 3,000 shares of the firm's stock in a transaction dated Thursday, June 4th. The stock was bought at an average cost of $27.06 per share, with a total value of $81,180.00. Following the transaction, the director directly owned 31,419 shares of the company's stock, valued at approximately $850,198.14. This trade represents a 10.56% increase in their ownership of the stock. Additional details regarding this purchase are available in the official SEC disclosure. Company insiders own 9.70% of the company's stock.

Institutional Trading of Gen Digital

Large investors have recently bought and sold shares of the company. International Assets Investment Management LLC purchased a new position in shares of Gen Digital in the fourth quarter valued at $27,000. Grove Bank & Trust increased its stake in Gen Digital by 452.2% during the 2nd quarter. Grove Bank & Trust now owns 1,132 shares of the company's stock worth $28,000 after buying an additional 927 shares during the period. Weiss Asset Management LP purchased a new stake in Gen Digital during the 1st quarter worth $41,000. TD Private Client Wealth LLC lifted its holdings in Gen Digital by 65.8% in the 4th quarter. TD Private Client Wealth LLC now owns 1,539 shares of the company's stock worth $42,000 after buying an additional 611 shares in the last quarter. Finally, Geneos Wealth Management Inc. lifted its holdings in Gen Digital by 221.5% in the 1st quarter. Geneos Wealth Management Inc. now owns 1,717 shares of the company's stock worth $46,000 after buying an additional 1,183 shares in the last quarter. Institutional investors and hedge funds 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.

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