Last Updated: 12 Nov 2024
Executive Summary
Gen Digital Inc. (GEN) is a leading provider of cybersecurity solutions with a global presence. The company has a strong financial position with a market capitalization of $18.71 billion, EBITDA of $1.81 billion, and a trailing P/E ratio of 30.68. Gen Digital's revenue and earnings have grown steadily in recent quarters, and the company is expected to continue to perform well in the future.
Company Overview
Gen Digital Inc. was founded in 2001 and is headquartered in Tempe, Arizona. The company provides a range of cybersecurity solutions, including endpoint protection, network security, and cloud security. Gen Digital's customers include businesses of all sizes, as well as government agencies and educational institutions.
Fundamental Analysis
Gen Digital's financial performance has been strong in recent years. The company's revenue has grown from $3.2 billion in 2020 to $3.86 billion in the trailing twelve months (TTM). Gen Digital's earnings have also grown steadily, from $0.78 per share in 2020 to $0.99 per share in the TTM.
Gen Digital's profitability metrics are also strong. The company's gross profit margin is 62%, and its operating margin is 42%. Gen Digital's return on assets (ROA) is 6.24%, and its return on equity (ROE) is 27.7%.
Technical Analysis
Gen Digital's stock price has been trading in a range between $18.78 and $30.55 over the past 52 weeks. The stock is currently trading at $30.37, which is near the top of its recent range.
Gen Digital's technical indicators are mixed. The stock's 50-day moving average is $27.21, and its 200-day moving average is $24.25. The stock's relative strength index (RSI) is 62, which is in the overbought range.
Short Term Outlook
Gen Digital's stock price is likely to continue to trade in a range in the short term. The stock's technical indicators are mixed, and the company's fundamentals are strong. Gen Digital's stock price is likely to be affected by the overall market sentiment and the performance of the technology sector.
Long Term Outlook
Gen Digital's long-term outlook is positive. The company is a leader in the cybersecurity industry, and it is well-positioned to benefit from the growing demand for cybersecurity solutions. Gen Digital's strong financial position and experienced management team should allow the company to continue to grow its revenue and earnings in the future.
Analyst Recommendations
The majority of analysts have a buy rating on Gen Digital's stock. The average analyst target price is $31.46, which is 3.6% above the current stock price. Two analysts have a strong buy rating on the stock, two have a buy rating, five have a hold rating, and none have a sell or strong sell rating.
