Gen Digital Inc GEN
Gen Digital Inc scores good on business quality (6.9 of 10). Here is why, in plain words, and what our sealed record shows.
Why it matters
- What Gen Digital Inc does
Gen Digital sells consumer cyber safety software like Norton and Avast, charging subscription fees to millions of households worldwide.
- What it does best
Gen dominates consumer cyber safety with a gross margin of 78.0%, beating peer CRWD at 75.2%. This edge stems from deep brand equity and massive scale in consumer endpoints that rivals struggle to replicate cost-effectively.
- The main risk
High debt load of $8.2 billion leaves the balance sheet vulnerable. With interest coverage at just 4.0x, a sudden spike in borrowing costs or cash flow disruption would immediately pinch financial flexibility.
Quality, check by check
Scored against its own industry, from company filings.
Operating margin hits 42.8% alongside an 80th percentile FCF margin, expanding rapidly on software scale economies.
A top-quartile gross margin of 78% anchors its consumer safety moat, locking in users through trusted brand heritage.
Revenue is growing at 27.1%, up sharply from prior years as digital safety adoption accelerates across its core consumer subscriber base.
Debt-to-equity of 3.1x and interest coverage of 4.0x constrain the balance sheet, despite $1.5B in free cash flow. Getting softer due to leverage.
Insiders
Executives and directors, from SEC Form 4 filings we read ourselves. Open market trades only; grants, option exercises and pre-planned sales left out.
2 sold $15.5M outside pre-planned sales.
Our sealed record on GEN
Verdicts appear here 30 days after we publish them; members see today's. Each one is in the nightly ledger, fingerprinted the night it was made.
The first sealed verdicts appear here on Oct 11, 2026.
Questions
Gen Digital Inc scores good on the Cluenex quality check (6.9 of 10), measured against its own industry. Profitability is strong, moat fair, growth fast and financial health weak.
In the last 90 days of SEC Form 4 filings: 2 sold $15.5M outside pre-planned sales.
Oct 28, 2026.
See GEN today
- Today's verdict on GEN, and why
- Fair value with cautious, base and optimistic cases
- The exact price that would change the verdict
- Which stocks each signal names, the night it fires
Cite this page: Cluenex, “Gen Digital Inc (GEN)”, https://cluenex.com/stocks/gen/, data as of Oct 10, 2026.