Gen Digital (NASDAQ:GEN) Updates Q2 2027 Earnings Guidance

Key Points

• Gen Digital raised or reaffirmed its Q2 FY2027 outlook with EPS guidance of $0.71–$0.73, above the $0.70 consensus estimate, and revenue guidance of $1.3–$1.4 billion. Full-year FY2027 EPS guidance is $2.87–$2.97.
• The company’s latest quarter exceeded expectations, reporting EPS of $0.71 versus $0.69 expected and revenue of $1.34 billion versus $1.31 billion expected. Shares rose 0.5% to $28.10 during Thursday trading.
• Analyst sentiment remains cautious, with the stock carrying an average “Hold” rating and a $29.33 average price target. Insider activity was mixed, as one director bought shares while another sold 100,000 shares.

Gen Digital (NASDAQ:GEN - Get Free Report) updated its second quarter 2027 earnings guidance on Thursday. The company provided EPS guidance of 0.710-0.730 for the period, compared to the consensus EPS estimate of 0.700. The company issued revenue guidance of $1.3 billion-$1.4 billion, compared to the consensus revenue estimate of $1.3 billion. Gen Digital also updated its FY 2027 guidance to 2.870-2.970 EPS.

Gen Digital Stock Up 0.5%

Shares of NASDAQ:GEN traded up $0.15 during trading on Thursday, reaching $28.10. The stock had a trading volume of 8,010,816 shares, compared to its average volume of 6,699,423. The company has a current ratio of 0.40, a quick ratio of 0.40 and a debt-to-equity ratio of 3.07. The company has a market capitalization of $16.82 billion, a P/E ratio of 17.78 and a beta of 1.21. The firm's 50-day simple moving average is $25.82 and its 200 day simple moving average is $23.28. Gen Digital has a one year low of $17.78 and a one year high of $32.22.

Gen Digital (NASDAQ:GEN - Get Free Report) last released its quarterly earnings data on Thursday, August 6th. The company reported $0.71 EPS for the quarter, beating the consensus estimate of $0.69 by $0.02. The business had revenue of $1.34 billion for the quarter, compared to the consensus estimate of $1.31 billion. Gen Digital had a net margin of 19.46% and a return on equity of 55.47%. 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. As a group, research analysts expect that Gen Digital will post 2.61 EPS for the current fiscal year.

Analyst Ratings Changes

GEN has been the subject of several research reports. Argus upgraded Gen Digital to a "strong-buy" rating in a research note on Friday, May 22nd. Barclays increased their price target on shares of Gen Digital from $26.00 to $27.00 and gave the company an "equal weight" rating in a research note on Friday, May 8th. Jefferies Financial Group downgraded Gen Digital from a "strong-buy" rating to a "hold" rating in a research report on Monday, April 27th. Weiss Ratings upgraded shares of Gen Digital from a "hold (c)" rating to a "hold (c+)" rating in a research note on Wednesday, July 15th. Finally, Wall Street Zen cut shares of Gen Digital from a "buy" rating to a "hold" rating in a report on Saturday, June 20th. One research analyst has rated the stock with a Strong Buy rating, one has given a Buy rating and seven have issued a Hold rating to the company. According to MarketBeat.com, the stock currently has an average rating of "Hold" and an average price target of $29.33.

Insiders Place Their Bets

In other news, Director John C. Chrystal bought 3,000 shares of the stock in a transaction dated Thursday, June 4th. The shares were acquired at an average price of $27.06 per share, with a total value of $81,180.00. Following the completion of the acquisition, the director directly owned 31,419 shares in the company, valued at approximately $850,198.14. The trade was a 10.56% increase in their ownership of the stock. The acquisition was disclosed in a document filed with the Securities & Exchange Commission, which is accessible through this hyperlink. Also, Director Ondrej Vlcek sold 100,000 shares of the business's stock in a transaction that occurred on 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 owned 3,832,724 shares in the company, valued at $94,974,900.72. The trade was a 2.54% decrease in their position. Additional details regarding this sale are available in the official SEC disclosure. 9.70% of the stock is currently owned by corporate insiders.

Institutional Trading of Gen Digital

Large investors have recently made changes to their positions in the stock. Gateway Wealth Partners LLC grew its holdings in shares of Gen Digital by 13.5% during the fourth quarter. Gateway Wealth Partners LLC now owns 8,430 shares of the company's stock worth $229,000 after buying an additional 1,000 shares in the last quarter. Meeder Advisory Services Inc. acquired a new position in Gen Digital in the fourth quarter valued at $231,000. Capital Analysts LLC grew its holdings in shares of Gen Digital by 39.9% during the 4th quarter. Capital Analysts LLC now owns 5,288 shares of the company's stock worth $144,000 after purchasing an additional 1,507 shares during the period. Advisory Services Network LLC acquired a new stake in shares of Gen Digital in the third quarter worth $116,000. Finally, United Capital Financial Advisors LLC raised its position in Gen Digital by 9.0% in the third quarter. United Capital Financial Advisors LLC now owns 8,425 shares of the company's stock valued at $239,000 after purchasing an additional 693 shares during the period. Institutional investors and hedge funds own 81.38% of the company's stock.

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.

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