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Unlocking Gen Digital (GEN) International Revenues: Trends, Surprises, and Prospects
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Have you evaluated the performance of Gen Digital's (GEN - Free Report) international operations during the quarter that concluded in December 2024? Considering the extensive worldwide presence of this security software maker, analyzing the patterns in international revenues is crucial for understanding its financial resilience and potential for growth.
The global economy today is deeply interlinked, making a company's engagement with international markets a critical factor in determining its financial success and growth path. It has become essential for investors to comprehend how much a company relies on these foreign markets, as this understanding reveals the firm's potential for consistent earnings, its capacity to harness different economic cycles, and its overall growth prospects.
Being present in foreign markets serves as protection against local economic declines and helps benefit from more rapidly expanding economies. Yet, such expansion also introduces challenges related to currency fluctuations, geopolitical uncertainties and varied market behaviors.
Upon examining GEN's recent quarterly performance, we noticed several interesting patterns in the revenue generated from its international segments, which are commonly analyzed and observed by Wall Street experts.
The recent quarter saw the company's total revenue reaching $986 million, marking an improvement of 3.5% from the prior-year quarter. Next, we'll examine the breakdown of GEN's revenue from abroad to comprehend the significance of its international presence.
Exploring GEN's International Revenue Patterns
Of the total revenue, $240 million came from EMEA during the last fiscal quarter, accounting for 24.34%. This represented a surprise of +0.97% as analysts had expected the region to contribute $237.69 million to the total revenue. In comparison, the region contributed $233 million, or 23.90%, and $230 million, or 24.13%, to total revenue in the previous and year-ago quarters, respectively.
During the quarter, APJ contributed $99 million in revenue, making up 10.04% of the total revenue. When compared to the consensus estimate of $100.55 million, this meant a surprise of -1.54%. Looking back, APJ contributed $100 million, or 10.26%, in the previous quarter, and $100 million, or 10.49%, in the same quarter of the previous year.
Projected Revenues in Foreign Markets
It is projected by analysts on Wall Street that Gen Digital will post revenues of $1 billion for the ongoing fiscal quarter, an increase of 3.7% from the year-ago quarter. The expected contributions from EMEA and APJ to this revenue are 24.1% and 10.1%, translating into $241.23 million and $101.6 million, respectively.
Analysts expect the company to report a total annual revenue of $3.93 billion for the full year, marking an increase of 2.8% compared to last year. The expected revenue contributions from EMEA and APJ are projected to be 24.1% ($944.92 million) and 10.1% ($398.16 million) of the total revenue, in that order.
Final Thoughts
Relying on global markets for revenues presents both prospects and challenges for Gen Digital. Therefore, scrutinizing its international revenue trends is key to effectively forecasting the company's future outlook.
In an environment where global interconnections and geopolitical skirmishes are intensifying, Wall Street analysts keep a keen eye on these trends, particularly for firms with overseas operations, to adjust their earnings predictions. Moreover, a range of other aspects, including how a company fares in its home country, significantly affects these projections.
At Zacks, a company's changing earnings outlook is given considerable attention due to its proven, strong influence on a stock's price performance in the near term. The connection here is straightforward and positive: when earnings estimates are revised upward, the stock price generally follows suit, increasing as well.
The Zacks Rank, our proprietary stock rating tool, comes with an externally validated impressive track record. It effectively utilizes shifts in earnings projections to act as a dependable barometer for forecasting short-term stock price trends.
Exploring Recent Trends in Gen Digital's Stock Price
Over the preceding four weeks, the stock's value has diminished by 2.2%, against an upturn of 2.7% in the Zacks S&P 500 composite. In parallel, the Zacks Business Services sector, which counts Gen Digital among its entities, has appreciated by 6.4%. Over the past three months, the company's shares have seen a decline of 8.9% versus the S&P 500's 6.2% increase. The sector overall has witnessed an increase of 13.7% over the same period.
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Unlocking Gen Digital (GEN) International Revenues: Trends, Surprises, and Prospects
Have you evaluated the performance of Gen Digital's (GEN - Free Report) international operations during the quarter that concluded in December 2024? Considering the extensive worldwide presence of this security software maker, analyzing the patterns in international revenues is crucial for understanding its financial resilience and potential for growth.
The global economy today is deeply interlinked, making a company's engagement with international markets a critical factor in determining its financial success and growth path. It has become essential for investors to comprehend how much a company relies on these foreign markets, as this understanding reveals the firm's potential for consistent earnings, its capacity to harness different economic cycles, and its overall growth prospects.
Being present in foreign markets serves as protection against local economic declines and helps benefit from more rapidly expanding economies. Yet, such expansion also introduces challenges related to currency fluctuations, geopolitical uncertainties and varied market behaviors.
Upon examining GEN's recent quarterly performance, we noticed several interesting patterns in the revenue generated from its international segments, which are commonly analyzed and observed by Wall Street experts.
The recent quarter saw the company's total revenue reaching $986 million, marking an improvement of 3.5% from the prior-year quarter. Next, we'll examine the breakdown of GEN's revenue from abroad to comprehend the significance of its international presence.
Exploring GEN's International Revenue Patterns
Of the total revenue, $240 million came from EMEA during the last fiscal quarter, accounting for 24.34%. This represented a surprise of +0.97% as analysts had expected the region to contribute $237.69 million to the total revenue. In comparison, the region contributed $233 million, or 23.90%, and $230 million, or 24.13%, to total revenue in the previous and year-ago quarters, respectively.
During the quarter, APJ contributed $99 million in revenue, making up 10.04% of the total revenue. When compared to the consensus estimate of $100.55 million, this meant a surprise of -1.54%. Looking back, APJ contributed $100 million, or 10.26%, in the previous quarter, and $100 million, or 10.49%, in the same quarter of the previous year.
Projected Revenues in Foreign Markets
It is projected by analysts on Wall Street that Gen Digital will post revenues of $1 billion for the ongoing fiscal quarter, an increase of 3.7% from the year-ago quarter. The expected contributions from EMEA and APJ to this revenue are 24.1% and 10.1%, translating into $241.23 million and $101.6 million, respectively.Analysts expect the company to report a total annual revenue of $3.93 billion for the full year, marking an increase of 2.8% compared to last year. The expected revenue contributions from EMEA and APJ are projected to be 24.1% ($944.92 million) and 10.1% ($398.16 million) of the total revenue, in that order.
Final Thoughts
Relying on global markets for revenues presents both prospects and challenges for Gen Digital. Therefore, scrutinizing its international revenue trends is key to effectively forecasting the company's future outlook.In an environment where global interconnections and geopolitical skirmishes are intensifying, Wall Street analysts keep a keen eye on these trends, particularly for firms with overseas operations, to adjust their earnings predictions. Moreover, a range of other aspects, including how a company fares in its home country, significantly affects these projections.
At Zacks, a company's changing earnings outlook is given considerable attention due to its proven, strong influence on a stock's price performance in the near term. The connection here is straightforward and positive: when earnings estimates are revised upward, the stock price generally follows suit, increasing as well.
The Zacks Rank, our proprietary stock rating tool, comes with an externally validated impressive track record. It effectively utilizes shifts in earnings projections to act as a dependable barometer for forecasting short-term stock price trends.
Currently, Gen Digital holds a Zacks Rank #3 (Hold), signifying its potential to match the overall market's performance in the forthcoming period. You can see the complete list of today's Zacks Rank #1 (Strong Buy) stocks here >>>>
Exploring Recent Trends in Gen Digital's Stock Price
Over the preceding four weeks, the stock's value has diminished by 2.2%, against an upturn of 2.7% in the Zacks S&P 500 composite. In parallel, the Zacks Business Services sector, which counts Gen Digital among its entities, has appreciated by 6.4%. Over the past three months, the company's shares have seen a decline of 8.9% versus the S&P 500's 6.2% increase. The sector overall has witnessed an increase of 13.7% over the same period.