Gen Digital initiated with an Overweight at Wells Fargo

Wells Fargo initiated coverage of Gen Digital (GEN) with an Overweight rating and $35 price target The firm believes the company can continue to grow EPS in the mid-teens range, while also reducing the net leverage ratio below 3-times EBITDA by FY27. Cyber attacks have significantly increased, which have exposed billions of personal records of consumers. Consumers will need to increase spending on protection for devices, internet access and identity. Gen Digital has a large opportunity to convert customers that use free solutions, while also cross-selling additional solutions to its installed base, Wells argues.