Generac (NYSE:GNRC) Trading Down 5.7% – Should You Sell?

Generac Holdings Inc. (NYSE:GNRC)’s stock price traded down 5.7% during mid-day trading on Monday . The company traded as low as $161.57 and last traded at $163.1620. 269,163 shares traded hands during mid-day trading, a decline of 74% from the average session volume of 1,017,129 shares. The stock had previously closed at $173.01.

Wall Street Analysts Forecast Growth

Several research firms have recently commented on GNRC. Wells Fargo & Company set a $195.00 price target on Generac in a report on Friday, December 19th. Zacks Research downgraded Generac from a “hold” rating to a “strong sell” rating in a report on Wednesday, January 21st. Robert W. Baird upgraded shares of Generac from a “neutral” rating to an “outperform” rating and dropped their price target for the stock from $215.00 to $199.00 in a research note on Friday, January 9th. Roth Mkm set a $184.00 price target on shares of Generac and gave the stock a “neutral” rating in a research note on Thursday, October 30th. Finally, Citigroup upgraded Generac from a “neutral” rating to a “buy” rating and set a $207.00 price objective on the stock in a report on Thursday, January 8th. One equities research analyst has rated the stock with a Strong Buy rating, fifteen have assigned a Buy rating, three have given a Hold rating and one has given a Sell rating to the stock. Based on data from MarketBeat.com, the company presently has a consensus rating of “Moderate Buy” and an average price target of $195.29.

Generac Price Performance

The stock has a market cap of $9.82 billion, a price-to-earnings ratio of 31.86, a price-to-earnings-growth ratio of 1.39 and a beta of 1.82. The company has a debt-to-equity ratio of 0.51, a quick ratio of 1.02 and a current ratio of 2.18. The business’s fifty day simple moving average is $151.48 and its 200 day simple moving average is $167.42.

Generac (NYSE:GNRC) last announced its quarterly earnings data on Wednesday, October 29th. The technology company reported $1.83 earnings per share (EPS) for the quarter, missing the consensus estimate of $2.25 by ($0.42). The firm had revenue of $1.11 billion for the quarter, compared to the consensus estimate of $1.20 billion. Generac had a return on equity of 17.63% and a net margin of 6.92%.The business’s revenue for the quarter was down 5.0% compared to the same quarter last year. During the same quarter last year, the business earned $2.25 earnings per share. Research analysts predict that Generac Holdings Inc. will post 8 EPS for the current fiscal year.

Insider Buying and Selling

In related news, CEO Aaron Jagdfeld sold 5,000 shares of the stock in a transaction that occurred on Monday, November 3rd. The shares were sold at an average price of $166.43, for a total transaction of $832,150.00. Following the completion of the sale, the chief executive officer directly owned 542,966 shares of the company’s stock, valued at $90,365,831.38. This represents a 0.91% decrease in their ownership of the stock. The transaction was disclosed in a document filed with the Securities & Exchange Commission, which is available at the SEC website. Company insiders own 2.70% of the company’s stock.

Institutional Investors Weigh In On Generac

Institutional investors have recently bought and sold shares of the business. Massachusetts Financial Services Co. MA acquired a new position in Generac in the 3rd quarter worth about $70,744,000. JPMorgan Chase & Co. boosted its holdings in shares of Generac by 2.9% during the 2nd quarter. JPMorgan Chase & Co. now owns 361,189 shares of the technology company’s stock worth $51,728,000 after buying an additional 10,325 shares during the period. Paradice Investment Management LLC grew its position in shares of Generac by 27.4% in the third quarter. Paradice Investment Management LLC now owns 181,283 shares of the technology company’s stock valued at $30,347,000 after purchasing an additional 38,945 shares during the last quarter. Annex Advisory Services LLC increased its position in Generac by 9.2% in the 3rd quarter. Annex Advisory Services LLC now owns 194,519 shares of the technology company’s stock worth $32,562,000 after buying an additional 16,386 shares during the period. Finally, Valeo Financial Advisors LLC acquired a new position in Generac during the 2nd quarter valued at $217,000. 84.04% of the stock is currently owned by institutional investors and hedge funds.

About Generac

Generac Holdings Inc (NYSE: GNRC) is a leading manufacturer of backup power generation products for residential, commercial and industrial applications. The company offers a comprehensive portfolio of standby and portable generators, transfer switches and power management systems designed to provide reliable electricity during power outages and other critical situations. With an emphasis on innovation, Generac has expanded its offerings to include clean energy technologies such as battery storage and integrated solar-plus-storage systems.

Generac’s product lineup addresses a broad range of customer needs.