NASDAQ
GEN
Last Price
US $24.89
KEY FIGURES
MKT CAP
$14.7B
EPS
TTM
$1.62
PEG
TTM
0.28x
P/E
TTM
15.28x
P/S
TTM
2.95x
YIELD
2.04%
GROWTH
Revenue Y/Y
Profit margin
Current Ratio
Capital Returns
29.17%
Return on equity
ROIC: 7.77%
Valuation History
25.7X
Price to Earnings
EV/EBITDA: 11.8X
Cash flow
Profit margin
14.41%
(FY vs FY)
EBITDA Y/Y
3.85%
(FY vs FY)
Cash flow Y/Y
16.82%
(FY vs FY)
Cash Flow (DCF)
Fair Value
Market $24.89
—
Default assumptions
EBITDA Multiple
Fair Value
Market $24.89
-55.20%
Default assumptions
Base valuations use default assumptions. Customize in the Valuator.
Valuation
Financial
Performance
Financial risk - Cash flow debt coverage.
Gen Digital Inc. cash flow to debt ratio of 18.70% indicates that the company cannot generate enough cash to cover its debt over time. This level indicates weak financial health.
Financial stability - Healthy cash flow growth.
Gen Digital Inc.'s free cash flow has increased 26.29% from $1.21G last year to $1.52G, signaling increasing performance
Financial risk - Healthy debt to equity ratio.
Gen Digital Inc.'s debt to equity ratio is 3.16, which means that the company's assets are unhealthy financed, signaling financial risk. READ MORE: A ratio over 0.60 means the company finances its assets with debt, signaling financial risk. If ratio is negative, the company spent its own equity and risks bankruptcy
Financial stability - Healthy debt to equity ratio development.
Gen Digital Inc.'s debt has decreased relative to shareholder equity from 3.66 last year to 3.16 today, signaling strengthened financials
Financial risk - Net debt/EBITDA.
Gen Digital Inc. has a net debt to EBITDA ratio of 5.48x, which exceeds the 3.00x threshold, indicating high leverage and potential financial risk
Financial stability - ICR.
Gen Digital Inc.'s interest coverage ratio of 3.76 indicates that earnings with good margin can cover interest payments on company debt
Financial stability - Profit margin growth.
Gen Digital Inc.'s profit margin has increased (19.09%) in the last year from 16.34% to 19.46%, signaling increasing performance
Financial risk - Short term assets vs short term liabilities.
Gen Digital Inc.'s short-term liabilities of $2.71G exceed its short-term assets of $1.08G, signaling financial risk
Increasing performance - ROA.
Gen Digital Inc.'s return on assets of 6.24% is higher than the 5.00% threshold, indicating efficient asset utilization
Increasing performance - Absolute return on equity.
Gen Digital Inc.'s return on equity of 39.86%, is higher than 15.00%, indicating good performance
Increasing performance - Earnings quality.
Gen Digital Inc.'s operating cash flow exceeds its net income, indicating high-quality earnings backed by actual cash generation
Increasing performance - Earnings stability.
Gen Digital Inc. had positive net income in 5.00 out of 5 years, indicating stable and consistent earnings
Increasing performance - Free cash flow.
Gen Digital Inc. has positive free cash flow, indicating the company generates cash after capital expenditures
Increasing performance - FCF yield.
Gen Digital Inc. has a free cash flow yield of 10.34%, which is above the 2.00% threshold, indicating strong cash generation relative to market value
Increasing performance - Healthy earnings growth.
Gen Digital Inc.'s yearly earnings has increased 51.32% since last year from $643.00M to $973.00M, signaling increasing performance
Increasing performance - Healthy revenue growth.
Gen Digital Inc.'s yearly revenue has increased 27.06% since last year from $3.94G to $5.00G, signaling increasing performance
Increasing performance - ROIC.
ROIC 10.54% (Source: FMP key-metrics). At or above the 10% threshold. Score: 2 of 2. The company is generating returns above the upper end of the typical US weighted-average cost of capital range under this definition of invested capital.
Increasing performance - 3-year revenue CAGR.
Gen Digital Inc.'s 3-year revenue CAGR of 14.66% is positive, indicating growing revenue over the past 3 years
Increasing performance - Revenue consistency.
Gen Digital Inc. had revenue growth in 5.00 out of 5 years, indicating consistent revenue performance
Increasing performance - ROE consistency.
Gen Digital Inc. had positive ROE in 4.00 out of 5 years, indicating consistent and reliable returns on equity
Overvalued - DCF valuation.
Gen Digital Inc. has insufficient data to evaluate this check.
Undervalued - Earnings yield.
Gen Digital Inc. has an earnings yield of 6.61%, which is above the 4.00% threshold, indicating the stock offers reasonable value relative to its earnings
Overvalued - EBITDA valuation.
Gen Digital Inc. is overvalued relative to its fair value price of 11.15 based on EBITDA multiple model
Undervalued - EV/EBITDA.
Gen Digital Inc. has an EV/EBITDA ratio of 9.77x, which is below the 20.00x threshold, indicating reasonable valuation relative to its operating earnings
Undervalued - PEG ratio value.
Gen Digital Inc. has a PEG-ratio under 1 which is considered undervalued
Overvalued - P/B ratio.
Gen Digital Inc. has a price-to-book ratio of 5.64x, which exceeds the 5.00x threshold, indicating the stock may be overvalued relative to its book value
Undervalued - P/S ratio.
Gen Digital Inc. has a price-to-sales ratio of 2.95x, which is below the 8.00x threshold, indicating reasonable valuation relative to its revenue