Gen Digital Inc. (NASDAQ:GEN) saw a downside of -3.98% to close Tuesday at $20.28 after subtracting -$0.84 on the day. The 5-day average trading volume is 6,082,300 shares of the company’s common stock. It has gained $21.15 in the past week and touched a new high 3 times within the past 5 days. An average of 3,650,930 shares of the company has been traded in the last 20 days, and the 50-day average volume stands at 4,015,462.
GEN’s 1-month performance is 10.40% or $2.20 on its low of $17.98 reached on 07/10/23. The company’s shares have touched a 52-week low of $15.45 and high of $24.87, with the stock’s rally to the 52-week high happening on 02/02/23. YTD, GEN has lost -5.37% or -$1.15 and has reached a new high 11 times. However, the current price is down -18.46% from the 52-week high price.
Insider Transactions
GEN stock investors last saw insider trading activity on May 17.DERSE NATALIE MARIE (CFO) most recently sold 1,033 shares at $21.10 per share on Feb 16. This transaction cost the insider $21,796.
Valuation Metrics
GEN stock has a beta of 0.80. Moving on to other valuation ratios, the trailing price-to-sales (P/S) ratio is 3.36 while the price-to-book (PB) in the most recent quarter is 5.91, with the price to cash flow ratio at 26.99.
Gen Digital Inc.’s quick ratio for the period ended June 29 was 0.40, with the current ratio over the same period at 0.40. As well, the company’s long term debt to equity for the quarter ending June 29 was 4.33, while the total debt to equity was 4.44.. In terms of profitability, the gross margin trailing 12 months is 81.40%. The trailing 12-month EBITDA margin is 51.68% while for the period ending June 29, Gen Digital Inc.’s operating margin was 27.70%. The firm’s gross profit as reported stood at $2.75 billion against revenue of $3.34 billion.
Earnings Surprise
For the quarterly period ending June 29 this year, Net income and sales went down compared to those figures reported in the previous quarter. Net income grew 104.06% to $189.0 million, while revenue of $1.18 billion was -523.17% off the previous quarter. Analysts expected GEN to announce $0.46 per share in earnings in its latest quarter, but it posted $0.47, representing a 2.20% surprise. EBITDA for the quarter stood at more than $487.0 million. GEN stock balance sheet for the quarter ending June 29 shows that total liabilities totaled 13.45 billion, with total debt at $9.61 billion. Shareholders hold equity totaling $639.44 million.
Let’s look briefly at Gen Digital Inc. (GEN) price momentum from a technical analysis perspective. The 9-day relative strength index as at close on 08 August was 60.56% to suggest the stock is trending Neutral, with historical volatility in this time period at 55.38%.
The stock’s 5-day moving average is $19.77, reflecting a +5.02% or $0.97 change from its current price. GEN is currently trading +8.16% above its 20-day SMA, +27.07% above its 100-day SMA. However, the stock’s current price level is away from the SMA50 by +20.43% and SMA200 by-5.72%.
Stochastic %K and %D was 82.56% and 59.27% and the average true range (ATR) pointed at 0.64. The RSI (14) points at 60.68%, while the 14-day stochastic is at 67.17% with the period’s ATR at 0.56. The stock’s 9-day MACD Oscillator is pointing at 0.88 and 0.96 on the 14-day charts.
Analyst Ratings
In the most recent analyst report for Gen Digital Inc. (NASDAQ: GEN), Evercore ISI launched coverage with an Outperform rating. Analysts offering their rating for GEN stock have a consensus rating for the stock as Overweight. Currently, 0 brokerage advisors rate GEN as a “sell,”, while 3 advise that investors “Hold.” 1 analysts have rated the stock as underweight. 1 rates the stock as overweight while 3 have offered a “buy” rating.
What is GEN’s price target for the next 12 months?
Analysts have a consensus price target ranging from a low of $21.00 and a high of $27.00, with their median price target at $23.00. Looking at these predictions, the average price target given by analysts is for Gen Digital Inc. (GEN) stock is $23.50.
