Gen Digital Q1 revenue beats estimates; full-year guidance raised
GEN•Drivers and analyst coverage
The company said both its Cyber Safety Platform and Trust-Based Solutions segments contributed to growth. It also reported an increase in total paid customers compared with the prior year and said results reflected the combination of its Cyber Safety, Identity Protection, and Financial Wellness offerings.
The current average analyst rating on the shares is "buy" and the breakdown of recommendations is 7 "strong buy" or "buy", 5 "hold" and no "sell" or "strong sell". The average consensus recommendation for the software peer group is "buy".
Wall Street's median 12-month price target for Gen Digital Inc. is $27.50, about 1.6% below its August 5 closing price of $27.95. The stock recently traded at 9 times the next 12-month earnings versus a P/E of 7 three months ago.
Full-year and Q2 outlook raised
Gen Digital raised FY27 non-GAAP revenue guidance to $5.375 bln-$5.475 bln from $5.325 bln-$5.425 bln.
The company also lifted its FY27 non-GAAP EPS outlook to $2.87-$2.97 from $2.85-$2.95.
For Q2 FY27, Gen Digital expects non-GAAP revenue of $1.325 bln-$1.350 bln and EPS of $0.71-$0.73.
Q1 revenue and EPS beat estimates
US cybersecurity firm Gen Digital said fiscal first-quarter revenue rose 6%, beating analyst expectations. Adjusted EPS for fiscal Q1 rose 19% year over year.
| Metric | Beat/Miss | Actual | Consensus Estimate |
|---|---|---|---|
| Q1 Revenue | Beat | $1.34 bln | $1.31 bln (7 Analysts) |
| Q1 EPS | $0.36 | ||
| Q1 Operating Cash Flow |
