Gen Digital Inc. GEN
Gen Digital trades at 16.8x earnings and 10.9x EV/EBITDA as of the quarter ended 2026-04-03, roughly 39% and 32% below infrastructure-software peer medians, despite FY2026 revenue surging 27% to $5.0B with operating margin expanding to 43.1% and EPS climbing to $1.57 from $1.03. The MoneyLion acquisition opens a cross-sell channel into financial wellness, and management's FY2027 guidance of 9–11% revenue growth and 14–18% EPS growth supports continued re-rating potential.
Free cash flow of $1.52B against $8.26B in total debt provides ample capacity for deleveraging and shareholder returns, while smart money flows turned positive in Q2 2026 with fund count rising to 58.
What could go wrong
- Margin dilution from Trust-Based Solutions. Trust-Based Solutions revenue grew 24% but carries lower margins (~30%) versus the high-margin Cyber Safety core, which could compress blended profitability as the segment becomes a larger revenue share.
- Elevated leverage. Total debt of $8.26B against stockholders' equity of $2.61B as of FY2026 leaves a leveraged balance sheet, limiting flexibility if growth disappoints or integration costs rise.
- Insider selling. Over the trailing 24 months, net insider value was negative $8.17M, with Vlcek Ondrej selling 147,462 shares in August 2026 at $28–$29 per share, signaling limited insider conviction at current levels.
- MoneyLion integration uncertainty. The acquisition's cross-sell benefits remain unquantified per recent coverage, and integration execution risk could delay the expected revenue and customer-base monetization.
What would change my mind
Where this comes from: FMP annual fundamentals FY2026; derived_metrics FY2026 · peer_relative as of 2026-08-25 · FMP annual fundamentals FY2026; derived_metrics FY2026 · FMP annual fundamentals FY2026. Orin's read on GEN; not advice.
Twelve months actual closes to 2026-09-23 · actual filings
50-day average 200-day average · volume below
On file
All GEN filingsLargest holders · 13F Q2 2026
Money flow| Filer | Position | Of fund |
|---|---|---|
| Fmr | $1.2B | 0.1% of fund |
| Vanguard Capital Management | $887.9M | 0.0% of fund |
| State Street | $777.6M | 0.0% of fund |
| Vanguard Portfolio Management | $757.2M | 0.0% of fund |
| Ameriprise Financial | $690.3M | 0.1% of fund |
| Geode Capital Management | $391.8M | 0.0% of fund |
76 filers · quarter ended Q2 2026 · positions, not flows
Insiders, last 24 months: 75 Form 4 filings, net −$19.6M. Of the 50 on hand, 2 were open-market purchases and 10 sales— the rest are grants, option exercises and tax withholding.
Ask Orin about GEN
Orin answers questions about GEN from its filings, transcripts and numbers — with the source behind every claim. Your own desk starts with 3 free days, card required.
Start 3 free days →Where it trades
| Metric | Now | Own median | Sector |
|---|---|---|---|
| P/E | 15.1× | 18.7× | 53.3× |
| EV/EBITDA | 10.1× | 13.0× | — |
| P/S | 3.09× | 3.75× | — |
| P/B | 5.9× | — | — |
Its P/E sits 40th percentile of its own last 5 years (−0.36σ from its own mean).
-1.4%
free-cash-flow growth every year for 10 years, discounted at 10%, is what today’s price implies — starting from $1.5B of trailing free cash flow. It is an assumption the market is making, not a forecast Orin is making.
What Wall Street published
$29
$27 – $30 · +9% against today's price
- 10 buy or overweight
- 10 hold
- 1 underweight or sell
The analysts’ consensus and their own ratings, not Orin’s. A target is a twelve-month opinion published by the firm that wrote it.
Against the companies it is compared to
| Company | Market cap | P/E | EV/EBITDA | Gross | Net | ROE |
|---|---|---|---|---|---|---|
| GENGen Digital Inc. | $16B | 15.1× | 10.1× | 78.0% | 20.7% | 42% |
| AKAMAkamai Technologies, Inc. | $17B | 41.7× | 19.5× | 56.4% | 9.5% | 8% |
| CPAYCorpay, Inc. | $26B | 23.7× | 13.7× | 73.3% | 22.7% | 30% |
| FFIVF5, Inc. | $26B | 35.9× | 25.3× | 82.2% | 22.0% | 20% |
| GDDYGoDaddy Inc. | $13B | 14.2× | 11.0× | 63.8% | 17.8% | 661% |
The median is of the 4 peers listed above and nothing else — check it against the column. This company trades 49.4% below it. The peer set is the vendor’s, so a company can appear here that a person would not have chosen.
What it has traded at
What its sector has traded at
Two scales, drawn separately on purpose: a sector median and one company’s multiple are not the same number and putting them on one axis invites a comparison neither series supports.
Discounted cash flow
| Model | Fair value | Against | Computed |
|---|---|---|---|
| Standard DCF | $201 | $24.89 · +708% | 2026-06-10 |
| Levered DCF | $138 | $24.89 · +453% | 2026-06-10 |
The vendor’s intrinsic-value models. Treat them as a low-growth anchor — for a fast grower the market routinely pays well above a DCF. These were computed against the price in the “against” column, not today’s.
Every estimate on one scale
The vertical rule is the current price. Ranges and point estimates are the backend’s, published as they were calculated; an arrow means the estimate sits beyond this scale, and its number is on the right.