Gen Digital Inc. provides cyber safety solutions for consumers in the United States, Canada, Latin America, Europe, the Middle East, Africa, the Asia Pacific, and Japan. It offers Norton 360, an integrated platform provides extensive cyber safety coverage and a subscription service providing protection for PCs, Macs, and mobile devices against malware, viruses, adware, ransomware, and other online threats on various platforms; and Norton and LifeLock identity theft protection solution that offers monitoring, alerts, and restoration services to its customers. The company also provides Norton Secure VPN solution, which enhances security and online privacy by providing an encrypted data tunnel; Privacy Monitor Assistant, an on-demand, white glove service where agents help members delete personal information from data brokers online; Home Title Protect product that detects fraud and notifies members; and Avira Security, a consumer-focused portfolio of cybersecurity and privacy solutions. It offers Dark Web Monitoring product, which looks for personal information of its Norton 360 members on the Dark Web; and Social Media Monitoring solution that helps to keep customers' social media accounts safer by monitoring them for account takeovers, risky activity, and inappropriate content. The company also provides AntiTrack product, which helps to keep personal information and browsing activity private by blocking trackers and disguising digital fingerprints online; and Online Reputation Management solution that manages online search results, personal branding, and digital privacy. It markets and sells its products and related services through retailers, telecom service providers, hardware original equipment manufacturers, and employee benefit providers, as well as e-commerce platform. The company was formerly known as NortonLifeLock Inc. and changed its name to Gen Digital Inc. in November 2022. Gen Digital Inc. was founded in 1982 and is based in Tempe, Arizona.
Discounted Cash Flow Valuation of Gen Digital Inc.
In the chart Earnings are multiplied by this value.
High margins render the company resilient under dire circumstances, hence able to drive competitors out or acquire them. ROE and ROA measure the average flow generated by each invested dollar. Their marginal value is a forecast of future growth, and it is considered by Buffett and Munger the most important single indicator.
The average Net Margin over the past 5 years is +45.39%.
The trend of Net Margin over the past 5 years is +1.08%.
The average ROA over the past 5 years is +9.49%.
The trend of ROA over the past 5 years is +1.87%.
The average ROE over the past 5 years is +6.32K%.
The trend of ROE over the past 5 years is -1.19K%.
Being debt the number one cause of investment losses and company death, the ratio Debt/FCF is of utmost importance to guarantee safety. On the other hand the Graham’s stability measures the drawdown of earnings, hence indicating the reliability of the flow generated by the company.
The Debt/FCF trailing twelve month is 10.11.
The trend of Debt/FCF over the past 5 years is 1.43.
Graham’s Stability measure stands at -0.07.
Growth can be dangerous when forecasting, simply projecting the current growth is in general wrong. A company passes through multiple phases, from being young and unprofitable, to the first periods of profitability and high growth, until it arrives at a period of regime with limited growth. Identifying in which phase the company is in may help forecasting.
The Revenue CAGR over the past 5 years is -7.14%.
The trend of Revenue growth rate over the past 5 years is +2.74%.
The Earnings CAGR over the past 5 years is +3.46%.
The trend of Earnings growth rate over the past 5 years is +125.59%.
The Equity CAGR over the past 5 years is -15.22%.
The trend of Equity growth rate over the past 5 years is -8.71%.
The FCF CAGR over the past 5 years is -1.62%.
The trend of FCF growth rate over the past 5 years is -0.42%.