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Symantec completed the sale of its enterprise-security software business to Broadcom for $10.7 billion on Monday. The deal allows Broadcom to keep the Symantec name, so—voilà!—the former Symantec is now NortonLifeLock, which provides cybersecurity services to consumers and small businesses.

The company’s stock symbol has changed from SYMC to NLOK. It is worth taking a look.

UBS analyst Fatima Boolani marked the occasion by upgrading her rating on Norton, which she thinks the market is both ignoring and mispricing. She raised her rating on the company to Buy from Neutral, increasing her target for the stock price to $27, from $23.

Boolani notes that there could be confusion around the shares for a bit, while the company completes the distribution of the after-tax proceeds from the deal to shareholders. Holders will get a special dividend of about $12 a share—around half the current stock price.

She said in a research note that she sees three reasons for taking a bullish stance on the revamped company.

One, she has “higher conviction” in management’s ability to meet its targets of $1.50 a share or more in earnings power and $900 million or more in annualized free cash flow. Two, she noted that the stock will sport a dividend yield of about 3% postdeal. And three, she sees a compelling story in terms of earnings and free cash flow.

“Amidst sweeping executive and strategic changes at Symantec, and [the] transformational sale of the Enterprise business to Broadcom, we think the market has overlooked the steadiness of the ‘RemainCo’ Consumer franchise,” she writes. “With the Enterprise divestiture now closed and upcoming earnings [on Thursday], we see catalysts for investors to revisit a cleaner, more profitable and more focused business at an attractive multiple.”

She noted that the business sold to Broadcom (ticker: AVGO) accounted for 50% of the company’s revenue, but just 10% of its pretax earnings. NortonLifeLock, she says, is now being valued at 10 times forward earnings, and about 10 times enterprise value to free cash flow, for a company with low-single digit revenue growth, 50% operating margins and free cash flow margins of 35% or better.

“NLOK is defensive and differentiated against investor fatigue with high-beta, high multiple software stocks,” she writes. “Now unencumbered by the distracting capital intensive Enterprise business, measured reinvestments should stabilize subscriber declines.”

Norton has multiple opportunities to increase average revenue per user as it “leverages its #1 market share position in consumer security with much greater focus,” Boolani said.

Norton has said it would buy back $1.6 billion of stock in connection with the Broadcom deal, the analyst noted. The company also plans to boost its dividend to 50 cents a share, from 30 cents. That implies a yield of about 3%, excluding the pending distribution of the proceeds from the sale of the enterprise business to Broadcom.

Norton shares were up 0.4%, to $23.85 on Tuesday.

Write to Eric J. Savitz at eric.savitz@barrons.com