Table of Contents :
• Stock Rating & Target Price
• Investment Thesis
• Fundamental Models Used
• Company Description
• Corporate Timeline
• Key Metrics (KPI ) and Recently Reported Earnings Review
• Business Highlights, Strategic Announcements & Outlook
• Quarter-over-Quarter (Q-o-Q) and Year-over-Year (Y-o-Y) Growth Analysis
• Key Catalysts Driving Growth
• Historical Financial Statement Analysis & CAGR Trends
• Quarterly Key Financial Ratios and Performance Metrics
• Annual Financial Performance Analysis: Horizontal and Vertical Financial Analysis, Trends
• Financial Forecasts
• Annual Forecasts: Income Statement
• Annual Forecasts: Cash Flow Statements
• Net Debt Levels
• A Closer Look at DCF: Our Assumptions and Methodology
• Terminal Value Calculation
• Target Price Analysis
• Valuation Multiples
• Supplementary Valuation Analysis: Multiples Approach
• Scenario/Sensitivity Analysis – Base Case , Bull Case ,Bear Case
• Holistic Peer Review & Trading Comps: Financial Data, Operational Metrics, and Valuation Multiples
• Implied Price Per Share
• Ownership Activity/ Insider Trades
• Ownership Summary
• An analysis of ESG Risk Rating
• Key Professionals
• Key Board Members
• Key Risks Considerations
• Analyst Ratings
• Analyst Industry Views
• Disclosures
Gen Digital’s $1B MoneyLion Deal Unlocks a $6T TAM And a New CompeUUve Edge— What’s the Impact on Earnings, Outlook & its Key Strategic Levers? – Investment thesis, Forecasts, Earnings, DCF, Valuation , Peer Comps & Risks
Gen Digital (GEN) delivered a solid Q3 FY25, executing on its Cyber Safety growth strategy while maintaining double-digit EPS expansion. Revenue of $986M slightly exceeded estimates, with Cyber Safety bookings growing 4% YoY and U.S. growth accelerating to 5%, reflecting strong adoption momentum. The direct customer base expanded by 1.2M YoY to a record 40.1M, supported by ARPU growth ($7.27, +$0.09 YoY) and stable retention (~77.5%). Partner revenue rose 6% YoY, driven by increased adoption in employer benefits and identity security. Adjusted EPS of $0.56 (+15% YoY) landed at the high end of guidance, highlighting disciplined cost control and capital return dynamics. Gross margins held firm at 88%, while operating margins expanded to 58.5%, reinforcing profitability leadership. The $1B MoneyLion acquisition unlocks a new fintech-security revenue stream, integrating AI-driven financial tools for 18M+ fintech users. If cross-sell adoption scales within GEN’s 500M+ security user base, it could challenge legacy credit-monitoring players. While integration risk exists, successful execution positions GEN as a fintech-security powerhouse with a TAM beyond $6T. Can Gen Digital sustain margin expansion while executing this fintech pivot, and how will MoneyLion’s integration impact long-term earnings power?
