📊 GENVR Key Takeaways
Is Gen Digital Inc. (GENVR) a Good Investment?
Gen Digital demonstrates strong fundamental business quality with exceptional profitability (78.5% gross margin, 35.4% operating margin) and robust free cash flow generation ($1.0B annually at 28.2% FCF margin). The company exhibits healthy revenue growth (+3.6% YoY) with expanding net income (+5.9% YoY), though this growth pace is modest relative to its software sector positioning.
Gen Digital shows strong core software economics, with 78.5% gross margin, 35.4% operating margin, and free cash flow of $1.05B on $3.72B of revenue. Growth is modest rather than high, but net income and EPS are still expanding, which suggests decent earnings quality and operating discipline. The main constraint is balance-sheet risk: leverage is elevated and liquidity is thin, so the business looks fundamentally solid but not without meaningful financial health concerns.
Why Buy Gen Digital Inc. Stock? GENVR Key Strengths
- Exceptional gross margins of 78.5% indicate strong pricing power and scalable business model
- Outstanding operating margins of 35.4% demonstrate operational efficiency and cost discipline
- Significant free cash flow generation of $1.0B annually provides financial flexibility and capital allocation optionality
- Strong interest coverage ratio of 146.3x shows ample capacity to service debt obligations
- Positive ROE of 19.8% indicates effective use of shareholder capital
- High FCF margin of 28.2% reflects highly profitable core operations
- High-margin recurring software model with 78.5% gross margin and 35.4% operating margin
- Strong cash generation, with $1.05B of free cash flow and a 28.2% FCF margin
- Profits are still growing, with revenue up 3.6%, net income up 5.9%, and diluted EPS up 8.4% year over year
GENVR Stock Risks: Gen Digital Inc. Investment Risks
- Weak liquidity position with current ratio of 0.47x and quick ratio of 0.46x suggests potential near-term cash management challenges
- High leverage with debt-to-equity ratio of 3.61x and $8.4B long-term debt creates financial risk despite strong coverage ratios
- Modest revenue growth of 3.6% YoY raises questions about market growth constraints or competitive pressures
- Limited cash position of $332.0M relative to $8.4B debt load restricts financial flexibility
- Low asset return (ROA of 2.9%) suggests inefficient asset utilization or capital-intensive operations
- High leverage, with $8.41B of long-term debt and 3.61x debt-to-equity
- Weak near-term liquidity, with current and quick ratios both below 0.5x
- Growth profile is modest, so any slowdown could pressure earnings while debt remains elevated
Key Metrics to Watch
- Revenue growth trajectory and acceleration trends (monitor if returning to higher growth rates)
- Operating cash flow sustainability and FCF margin maintenance
- Debt reduction progress and path to improved leverage ratio
- Gross margin sustainability amid competitive dynamics
- Current ratio improvement and working capital management efficiency
- Debt reduction and debt-to-equity trend
- Free cash flow conversion and operating cash flow growth
Gen Digital Inc. (GENVR) Financial Metrics & Key Ratios
💡 AI Analyst Insight
The 28.2% free cash flow margin provides substantial flexibility for dividends, buybacks, and strategic investments. The current ratio below 1.0x warrants monitoring of short-term liquidity.
GENVR Profit Margin, ROE & Profitability Analysis
GENVR vs Technology Sector: How Gen Digital Inc. Compares
How Gen Digital Inc. compares to Technology sector averages
Sector benchmarks are approximate industry averages. Actual sector performance may vary.
Is Gen Digital Inc. Stock Overvalued? GENVR Valuation Analysis 2026
Based on fundamental analysis, Gen Digital Inc. shows some fundamental concerns relative to the Technology sector in 2026.
Note: This is a fundamental analysis based on SEC filings. For P/E ratio, price targets, and market-based valuation, consult financial data providers. This is not investment advice.
Gen Digital Inc. Balance Sheet: GENVR Debt, Cash & Liquidity
GENVR Revenue & Earnings Growth: 5-Year Financial Trend
5-Year Trend Summary: Gen Digital Inc.'s revenue has grown significantly by 54% over the 5-year period, indicating strong business expansion. The most recent EPS of $2.14 reflects profitable operations.
GENVR Revenue Growth, EPS Growth & YoY Performance
GENVR Quarterly Earnings & Performance
| Quarter | Revenue | Net Income | EPS |
|---|---|---|---|
| Q3 2026 | $986.0M | $159.0M | $0.26 |
| Q2 2026 | $974.0M | $134.0M | $0.21 |
| Q1 2026 | $965.0M | $135.0M | $0.22 |
| Q3 2025 | $948.0M | $142.0M | $0.22 |
| Q2 2025 | $945.0M | $147.0M | $0.23 |
| Q1 2025 | $943.0M | $181.0M | $0.29 |
| Q3 2024 | $936.0M | $144.0M | $0.22 |
| Q2 2024 | $748.0M | $69.0M | $0.12 |
Data sourced from SEC EDGAR 10-Q quarterly filings. Figures may represent quarterly or cumulative values.
Gen Digital Inc. Dividends, Buybacks & Capital Allocation
GENVR SEC Filings: Latest 10-K & 10-Q Analysis
Access official SEC EDGAR filings for Gen Digital Inc. (CIK: 0000849399)
📋 Recent SEC Filings
❓ Frequently Asked Questions about GENVR
What is the AI rating for GENVR?
Gen Digital Inc. (GENVR) has a Combined AI Rating of BUY from Claude (BUY) and ChatGPT (BUY) with 76% combined confidence, based on fundamental analysis of SEC EDGAR filings.
What are GENVR's key strengths?
Claude: Exceptional gross margins of 78.5% indicate strong pricing power and scalable business model. Outstanding operating margins of 35.4% demonstrate operational efficiency and cost discipline. ChatGPT: High-margin recurring software model with 78.5% gross margin and 35.4% operating margin. Strong cash generation, with $1.05B of free cash flow and a 28.2% FCF margin.
What are the risks of investing in GENVR?
Claude: Weak liquidity position with current ratio of 0.47x and quick ratio of 0.46x suggests potential near-term cash management challenges. High leverage with debt-to-equity ratio of 3.61x and $8.4B long-term debt creates financial risk despite strong coverage ratios. ChatGPT: High leverage, with $8.41B of long-term debt and 3.61x debt-to-equity. Weak near-term liquidity, with current and quick ratios both below 0.5x.
What is GENVR's revenue and growth?
Gen Digital Inc. reported revenue of $3.7B.
Does GENVR pay dividends?
Gen Digital Inc. pays dividends, with $236.0M distributed to shareholders in the trailing twelve months.
Where can I find GENVR SEC filings?
Official SEC filings for Gen Digital Inc. (CIK: 0000849399) including 10-K, 10-Q, and 8-K reports are available on SEC EDGAR.
What is GENVR's EPS?
Gen Digital Inc. has a diluted EPS of $0.74.
How is the AI analysis conducted?
Two independent AI systems — Claude (Anthropic) and ChatGPT (OpenAI) — analyze SEC EDGAR filings including 10-K annual reports and 10-Q quarterly reports. Each AI evaluates financial health, profitability ratios, balance sheet strength, and growth metrics. The combined rating reflects both perspectives for balanced insights.
Is GENVR a good stock to buy right now?
Based on our AI fundamental analysis in April 2026, Gen Digital Inc. has a BUY rating with 76% confidence. The AI analysis suggests favorable fundamentals based on SEC filings. This is not investment advice.
Is GENVR stock overvalued or undervalued?
Valuation metrics for GENVR: ROE of 19.8% (sector avg: 22%), net margin of 12.4% (sector avg: 18%). Compare these metrics with sector averages to assess valuation.
Should I buy GENVR stock in 2026?
Our dual AI analysis gives Gen Digital Inc. a combined BUY rating for 2026. Revenue is data pending, with profitability at or below sector average. Always conduct your own research.
What is GENVR's free cash flow?
Gen Digital Inc.'s operating cash flow is $1.1B, with capital expenditures of $19.0M. FCF margin is 28.2%.
How does GENVR compare to other Technology stocks?
Vs Technology sector averages: Net margin 12.4% (avg: 18%), ROE 19.8% (avg: 22%), current ratio 0.47 (avg: 2.5).
Is Gen Digital Inc. carrying too much debt?
GENVR has a debt-to-equity ratio of 3.61x, which is above the Technology sector average of 0.5x. Combined with a current ratio below 1, this warrants careful monitoring of the balance sheet.