/Gen%20Digital%20Inc%20stock%20chart%20and%20logo-by%20T_Schneider%20via%20Shutterstock.jpg)
Tempe, Arizona-based Gen Digital Inc. (GEN) provides cyber safety solutions. Valued at $16.6 billion by market cap, Gen Digital focuses on powering digital freedom through its trusted cyber safety brands, Norton, Avast, LifeLock, Avira, AVG, ReputationDefender and CCleaner.
Gen Digital has notably outperformed the broader market over the past year. GEN stock has soared 27.4% over the past 52 weeks, outpacing the S&P 500 Index’s ($SPX) 21.8% surge during the same time frame. However, GEN stock has dipped 1.2% on a YTD basis lagging behind SPX’s 2.7% gains in 2025.
Zooming in further, GEN has also outpaced the Global X Cybersecurity ETF’s (BUG) 15.2% gains over the past year while underperforming BUG’s 8.2% surge in 2025.
Despite beating the Street’s earnings and topline expectations, Gen Digital’s stock prices declined over 3.5% in the trading session after the release of its Q3 results on Jan. 30. The company reported a 4% year-over-year growth in net revenues to $986 million which surpassed analysts’ estimates by a small margin, while its adjusted EPS surged 14.3% year-over-year to $0.56.
However, Gen Digital’s legacy business revenues have continued to face downward pressure and have dropped to a mere $12 million in the quarter. Furthermore, its constant currency bookings growth has declined from 5% in Q2 to 3% in Q3 amounting to $1.04 billion, which unsettled investor confidence.
For the current fiscal 2025, ending in March, analysts expect GEN to report a 12.8% year-over-year growth in earnings to $2.03 per share. However, the company has a mixed earnings surprise history. While it has surpassed or matched the Street’s bottom-line estimates thrice over the past four quarters, it has missed the expectations on one other occasion.
Among the eight analysts covering the GEN stock, the consensus rating is a “Moderate Buy.” That’s based on three “Strong Buy” and five “Hold” ratings.
This configuration is slightly more bullish than three months ago when only four analysts gave a “Strong Buy” recommendation.
On Jan. 31, RBC Capital analyst Matthew Hedberg reiterated a “Hold” while setting a price target of $30.
GEN’s mean price target of $32.62 represents a 20.6% premium to current price levels. While its street-high target of $37 suggests a staggering 36.8% upside potential.
