Latest Ratios: P/E Ratio 16.9x · EV/EBITDA 9.0x · ROE 39.9%. (1997–2026 historical series)
Price-based multiples — how expensive the stock is relative to earnings, sales, book value, and cash flow
| Metric | TTM | FY 2026 | FY 2025 | FY 2024 | FY 2023 | FY 2022 | FY 2021 | FY 2020 | FY 2019 | FY 2018 | FY 2017 |
|---|---|---|---|---|---|---|---|---|---|---|---|
| Market Cap | $16.1B | $11.7B | $16.5B | $14.4B | $10.7B | $15.9B | $12.9B | $11.8B | $14.5B | $17.3B | $19.0B |
| Enterprise Value | $23.9B | $19.5B | $23.8B | $22.2B | $19.8B | $17.9B | $15.6B | $13.9B | $17.2B | $20.5B | $22.9B |
| P/E Ratio → | 16.94 | 12.03 | 25.66 | 23.58 | 7.94 | 19.11 | 23.28 | 20.32 | 468.23 | 14.86 | — |
| P/S Ratio | 3.22 | 2.34 | 4.19 | 3.78 | 3.23 | 5.69 | 5.04 | 4.72 | 3.07 | 3.56 | 4.72 |
| P/B Ratio | 6.31 | 4.48 | 7.27 | 6.72 | 4.87 | — | — | 1176.05 | 2.53 | 3.44 | 5.44 |
| P/FCF | 10.58 | 7.68 | 13.68 | 7.04 | 14.26 | 16.45 | 18.36 | — | 11.28 | 21.37 | — |
| P/OCF | 10.43 | 7.57 | 13.51 | 6.97 | 14.15 | 16.35 | 18.20 | — | 9.72 | 18.18 | — |
P/E links to full P/E history page with 30-year chart
Enterprise-value multiples — capital-structure-neutral measures of total business value
| Metric | TTM | FY 2026 | FY 2025 | FY 2024 | FY 2023 | FY 2022 | FY 2021 | FY 2020 | FY 2019 | FY 2018 | FY 2017 |
|---|---|---|---|---|---|---|---|---|---|---|---|
| EV / Revenue | — | 3.90 | 6.05 | 5.84 | 5.96 | 6.39 | 6.12 | 5.58 | 3.63 | 4.23 | 5.70 |
| EV / EBITDA | 9.02 | 7.36 | 11.73 | 13.91 | 12.88 | 15.33 | 14.62 | 19.42 | 27.33 | 29.78 | 53.25 |
| EV / EBIT | 11.09 | 9.04 | 14.81 | 19.88 | 16.70 | 15.29 | 15.37 | 13.70 | 170.20 | 41.04 | — |
| EV / FCF | — | 12.79 | 19.74 | 10.86 | 26.33 | 18.45 | 22.30 | — | 13.35 | 25.40 | — |
Margins and return-on-capital ratios measuring operating efficiency
Full margin charts and quarterly trend are on the Earnings History page
| Metric | TTM | FY 2026 | FY 2025 | FY 2024 | FY 2023 | FY 2022 | FY 2021 | FY 2020 | FY 2019 | FY 2018 | FY 2017 |
|---|---|---|---|---|---|---|---|---|---|---|---|
| Gross Margin | 74.1% | 74.1% | 80.3% | 80.8% | 82.2% | 85.4% | 85.8% | 84.2% | 77.8% | 78.7% | 78.8% |
| Operating Margin | 43.1% | 43.1% | 40.9% | 29.2% | 36.4% | 35.9% | 35.1% | 14.3% | 8.0% | 1.0% | -2.5% |
| Net Profit Margin | 19.5% | 19.5% | 16.3% | 16.0% | 40.2% | 29.9% | 21.7% | 156.1% | 0.7% | 24.0% | -2.6% |
| Metric | TTM | FY 2026 | FY 2025 | FY 2024 | FY 2023 | FY 2022 | FY 2021 | FY 2020 | FY 2019 | FY 2018 | FY 2017 |
|---|---|---|---|---|---|---|---|---|---|---|---|
| ROE | 39.9% | 39.9% | 29.2% | 28.0% | 126.6% | — | — | 135.2% | 0.6% | 27.3% | -3.0% |
| ROA | 6.3% | 6.3% | 4.1% | 3.8% | 11.7% | 12.6% | 7.9% | 32.8% | 0.2% | 6.8% | -0.7% |
| ROIC | 16.2% | 16.2% | 12.4% | 7.8% | 13.8% | 36.7% | 30.4% | 5.0% | 3.4% | 0.5% | -2.0% |
| ROCE | 16.9% | 16.9% | 12.5% | 8.5% | 14.2% | 24.8% | 19.2% | 4.1% | 3.1% | 0.4% | -0.9% |
Solvency and debt-coverage ratios — lower is generally safer
| Metric | TTM | FY 2026 | FY 2025 | FY 2024 | FY 2023 | FY 2022 | FY 2021 | FY 2020 | FY 2019 | FY 2018 | FY 2017 |
|---|---|---|---|---|---|---|---|---|---|---|---|
| Debt / Equity | 3.14 | 3.14 | 3.66 | 4.04 | 4.46 | — | — | 432.20 | 0.78 | 1.00 | 2.35 |
| Debt / EBITDA | 3.10 | 3.10 | 4.10 | 5.43 | 6.40 | 3.29 | 3.46 | 6.04 | 7.08 | 7.29 | 19.04 |
| Net Debt / Equity | — | 2.98 | 3.22 | 3.65 | 4.12 | — | — | 214.50 | 0.46 | 0.65 | 1.13 |
| Net Debt / EBITDA | 2.94 | 2.94 | 3.60 | 4.90 | 5.91 | 1.67 | 2.58 | 3.00 | 4.23 | 4.72 | 9.16 |
| Debt / FCF | — | 5.11 | 6.06 | 3.82 | 12.08 | 2.01 | 3.94 | — | 2.07 | 4.02 | — |
| Interest Coverage | 3.79 | 3.79 | 2.78 | 1.67 | 2.95 | 9.27 | 7.06 | 5.18 | 0.49 | 1.95 | -0.26 |
Short-term solvency ratios and asset-utilisation metrics
| Metric | TTM | FY 2026 | FY 2025 | FY 2024 | FY 2023 | FY 2022 | FY 2021 | FY 2020 | FY 2019 | FY 2018 | FY 2017 |
|---|---|---|---|---|---|---|---|---|---|---|---|
| Current Ratio | 0.40 | 0.40 | 0.51 | 0.50 | 0.43 | 0.74 | 0.72 | 1.17 | 0.85 | 1.07 | 1.14 |
| Quick Ratio | 0.40 | 0.40 | 0.51 | 0.50 | 0.43 | 0.74 | 0.72 | 1.17 | 0.85 | 1.07 | 1.14 |
| Cash Ratio | 0.15 | 0.15 | 0.35 | 0.31 | 0.26 | 0.62 | 0.45 | 0.86 | 0.54 | 0.68 | 0.92 |
| Asset Turnover | — | 0.32 | 0.25 | 0.24 | 0.21 | 0.40 | 0.40 | 0.32 | 0.30 | 0.31 | 0.22 |
| Inventory Turnover | — | — | — | — | — | — | — | — | — | — | — |
| Days Sales Outstanding | — | 26.35 | 24.30 | 15.75 | 20.25 | 19.19 | 21.18 | 29.17 | 59.95 | 60.93 | 58.94 |
Earnings, FCF, buyback, and dividend yields — total returns to shareholders
Full dividend history and growth charts are on the Dividend History page
| Metric | TTM | FY 2026 | FY 2025 | FY 2024 | FY 2023 | FY 2022 | FY 2021 | FY 2020 | FY 2019 | FY 2018 | FY 2017 |
|---|---|---|---|---|---|---|---|---|---|---|---|
| Dividend Yield | 1.9% | 2.7% | 1.9% | 2.2% | 2.9% | 1.9% | 2.9% | 63.6% | 1.5% | 1.2% | 1.2% |
| Payout Ratio | 32.1% | 32.1% | 48.7% | 53.2% | 23.5% | 36.2% | 67.3% | 192.5% | 700.0% | 18.2% | — |
| Metric | TTM | FY 2026 | FY 2025 | FY 2024 | FY 2023 | FY 2022 | FY 2021 | FY 2020 | FY 2019 | FY 2018 | FY 2017 |
|---|---|---|---|---|---|---|---|---|---|---|---|
| Earnings Yield | 5.9% | 8.3% | 3.9% | 4.2% | 12.6% | 5.2% | 4.3% | 4.9% | 0.2% | 6.7% | — |
| FCF Yield | 9.5% | 13.0% | 7.3% | 14.2% | 7.0% | 6.1% | 5.4% | — | 8.9% | 4.7% | — |
| Buyback Yield | 3.9% | 5.4% | 1.6% | 3.1% | 8.4% | 0.0% | 2.4% | 13.4% | 1.6% | 0.6% | 2.6% |
| Total Shareholder Yield | 5.8% | 8.1% | 3.5% | 5.3% | 11.4% | 1.9% | 5.3% | 77.1% | 3.1% | 1.8% | 3.8% |
| Shares Outstanding | — | $619M | $624M | $642M | $624M | $591M | $600M | $643M | $632M | $668M | $618M |
High leverage and integration
According to current market data, Gen Digital trades at a forward P/E of 9.59, which, when compared to the broader software sector, suggests investors are pricing the company as a stable cash-flow generator rather than a high-growth entity, despite the recent 27.06% headline revenue expansion.
The current valuation multiples appear to discount the potential for long-term organic growth, likely due to the market's skepticism regarding the sustainability of the current subscription model in the face of platform-level competition. Investors should monitor whether the PEG ratio of 1.38 accurately captures the risk-adjusted growth profile or if the market is overly pessimistic about the company's ability to upsell its existing user base.
As reported in financial statements, Gen Digital's ROIC has remained in the low single digits, hovering around 5.9% in 2026Q4, which indicates that the company is struggling to generate meaningful returns on its invested capital base following its aggressive acquisition-led expansion strategy.
The persistent gap between ROIC and the company's cost of capital suggests that the massive goodwill balance is weighing heavily on performance metrics. This trend warrants further investigation into whether management can improve capital efficiency through operational streamlining or if the current asset base is structurally incapable of delivering superior compounding returns.
Based on quarterly data, the company's asset turnover ratio has remained stagnant at approximately 0.08, reflecting the significant capital intensity required to maintain its current scale and the ongoing challenges in optimizing working capital cycles across its diverse, newly integrated business units.
The lack of improvement in asset turnover suggests that the company's growth is not yet translating into greater operational efficiency. Investors should monitor the DSO and DPO trends, as any deterioration in these metrics could signal a weakening of the company's leverage over its customer and supplier relationships.
According to recent SEC filings, the company's interest coverage ratio has fluctuated significantly, reaching 6.25 in 2026Q4, which indicates that while debt service is currently manageable, the company's reliance on external financing remains a critical vulnerability in a volatile interest rate environment.
The reported D/E ratio of 3.14 appears to mask the true extent of the leverage utilized for the Avast acquisition, suggesting that the balance sheet may be more sensitive to macro shocks than headline figures imply. A sustained decline in interest coverage would likely force management to prioritize debt reduction over the current share repurchase and dividend programs.
The most commonly misapplied metric for Gen Digital is the standard P/E ratio, which fails to account for the significant non-cash amortization charges resulting from the company's aggressive M&A activity, thereby obscuring the true cash-generative capacity of the underlying subscription-based business model.
Analysts should instead focus on P/FCF or EV/EBITDA to better understand the company's ability to generate cash after accounting for the costs of its acquisition-heavy strategy. Relying on GAAP earnings in this context may lead to an inaccurate assessment of the company's valuation and its ability to sustain capital returns to shareholders.
Includes 30+ ratios · 30 years · Updated daily
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Quick answers to the most common questions about buying GEN stock.
Gen Digital Inc.'s current P/E ratio is 16.9x. The historical average is 26.6x. This places it at the 23th percentile of its historical range.
Gen Digital Inc.'s current EV/EBITDA is 9.0x. This enterprise value multiple compares the company's total value (equity + debt - cash) to its EBITDA. The historical average is 15.1x.
Gen Digital Inc.'s return on equity (ROE) is 39.9%. This is above the typical threshold of 15-20% considered good for most companies. The historical average is 21.6%.
Based on historical data, Gen Digital Inc. is trading at a P/E of 16.9x. This is at the 23th percentile of its historical P/E range. Compare with industry peers and growth rates for a complete picture.
Gen Digital Inc.'s current dividend yield is 1.89% with a payout ratio of 32.1%.
Gen Digital Inc. has 74.1% gross margin and 43.1% operating margin. Operating margin above 20% indicates strong pricing power and cost efficiency.
Gen Digital Inc.'s Debt/EBITDA ratio is 3.1x, indicating high leverage. A ratio between 2-4x is manageable but warrants monitoring.