Generac (NYSE:GNRC) Stock Rating Upgraded by Piper Sandler

Generac (NYSE:GNRC) was upgraded by research analysts at Piper Sandler to a “strong-buy” rating in a research note issued to investors on Thursday, Zacks reports.

A number of other research analysts also recently weighed in on the stock. Citigroup cut their price target on shares of Generac from $300.00 to $232.00 and set a “neutral” rating on the stock in a report on Wednesday, September 30th. JPMorgan Chase & Co. boosted their price objective on shares of Generac from $261.00 to $265.00 and gave the stock an “overweight” rating in a report on Friday, September 18th. Stifel Nicolaus raised their price objective on Generac from $285.00 to $290.00 and gave the stock a “buy” rating in a research report on Wednesday, September 30th. Weiss Ratings upgraded shares of Generac from a “hold (c-)” rating to a “hold (c)” rating in a research note on Wednesday, August 5th. Finally, Wells Fargo & Company set a $280.00 price objective on Generac in a research note on Thursday, September 17th. Three investment analysts have rated the stock with a Strong Buy rating, twelve have given a Buy rating and seven have assigned a Hold rating to the stock. According to MarketBeat, the stock presently has a consensus rating of “Moderate Buy” and a consensus target price of $290.55.

Generac Stock Performance

Shares of Generac stock opened at $224.36 on Thursday. Generac has a 12 month low of $134.80 and a 12 month high of $296.44. The stock has a market cap of $13.24 billion, a PE ratio of 51.70, a price-to-earnings-growth ratio of 1.90 and a beta of 1.91. The company has a quick ratio of 1.00, a current ratio of 2.04 and a debt-to-equity ratio of 0.43. The business has a fifty day simple moving average of $202.75 and a 200-day simple moving average of $226.75.

Generac (NYSE:GNRC) last released its earnings results on Wednesday, July 29th. The technology company reported $2.91 earnings per share for the quarter, beating the consensus estimate of $2.01 by $0.90. The company had revenue of $1.17 billion for the quarter, compared to analysts’ expectations of $1.18 billion. Generac had a return on equity of 17.83% and a net margin of 5.82%.The business’s revenue for the quarter was up 10.3% on a year-over-year basis. During the same quarter in the previous year, the business posted $1.65 EPS. On average, sell-side analysts anticipate that Generac will post 9.73 EPS for the current fiscal year.

Insider Transactions at Generac

In other news, insider Norman Taffe sold 550 shares of the business’s stock in a transaction on Wednesday, August 5th. The shares were sold at an average price of $218.83, for a total value of $120,356.50. Following the completion of the transaction, the insider owned 15,508 shares of the company’s stock, valued at $3,393,615.64. The trade was a 3.43% decrease in their position. The sale was disclosed in a filing with the Securities & Exchange Commission, which is available at this hyperlink. The transaction was executed under a pre-arranged Rule 10b5-1 trading plan. Also, CEO Aaron Jagdfeld sold 5,000 shares of the business’s stock in a transaction dated Monday, August 3rd. The shares were sold at an average price of $194.89, for a total value of $974,450.00. Following the completion of the transaction, the chief executive officer directly owned 554,528 shares of the company’s stock, valued at approximately $108,071,961.92. The trade was a 0.89% decrease in their ownership of the stock. The disclosure for this sale is available in the SEC filing. The transaction was executed under a pre-arranged Rule 10b5-1 trading plan. Insiders have sold a total of 18,442 shares of company stock valued at $3,656,537 over the last three months. 2.40% of the stock is currently owned by corporate insiders.

Institutional Trading of Generac

Institutional investors have recently modified their holdings of the company. Callan Family Office LLC bought a new position in Generac during the second quarter worth about $3,033,000. Hsbc Holdings PLC boosted its position in shares of Generac by 42.8% in the fourth quarter. Hsbc Holdings PLC now owns 93,080 shares of the technology company’s stock valued at $12,711,000 after acquiring an additional 27,893 shares during the period. Virtu Financial LLC grew its position in shares of Generac by 89.2% during the 4th quarter. Virtu Financial LLC now owns 30,377 shares of the technology company’s stock worth $4,143,000 after purchasing an additional 14,321 shares in the last quarter. Patton Fund Management Inc. bought a new position in Generac during the 1st quarter worth $3,797,000. Finally, Tidal Investments LLC increased its position in shares of Generac by 94.3% in the second quarter. Tidal Investments LLC now owns 55,302 shares of the technology company’s stock worth $16,193,000 after purchasing an additional 26,836 shares during the period. 84.04% of the stock is currently owned by institutional investors.

More Generac News

Here are the key news stories impacting Generac this week:

• Positive Sentiment: Piper Sandler initiated coverage at “overweight” with a $303 price target, implying meaningful upside and adding fresh institutional support for the stock. Piper Sandler initiates coverage of Generac Holdings at overweight
• Positive Sentiment: KeyBanc upgraded Generac from “sector weight” to “overweight” and set a $280 price objective. The upgrade reflects expectations that data-center and commercial power demand can strengthen Generac’s growth outlook. KeyBanc upgrades Generac Holdings
• Positive Sentiment: Investors are focusing on Generac’s data-center backlog and commercial and industrial opportunity. Analysts see rising demand for backup and distributed power to support data-center construction and AI-related electricity needs, potentially helping offset softer residential demand. GNRC Pops on Piper’s $303 Call, Data-Center Backlog
• Positive Sentiment: A cash-flow valuation analysis suggested GNRC may be approximately 20% undervalued, supporting the argument that the recent rally may not fully reflect its longer-term earnings and cash-generation potential. Generac Stock May Be 20% Undervalued on Cash Flow
• Neutral Sentiment: Several insiders sold shares under pre-arranged Rule 10b5-1 plans. Kyle Raabe sold 603 shares, while Norman Taffe sold 550 shares across two transactions. The sales were relatively small compared with their remaining holdings and therefore appear unlikely to change the fundamental outlook. Generac insider selling alert
• Negative Sentiment: GNRC’s valuation remains demanding, with a P/E ratio above 50 based on the supplied trading data. That valuation leaves the stock sensitive to any disappointment in data-center execution, residential demand, margins or future earnings growth.

Generac Company Profile

Generac Holdings Inc is an energy technology company that designs and manufactures power generation equipment, energy storage systems and other products intended to provide backup and distributed energy solutions. Its offerings serve residential, commercial, industrial and other users seeking standby power, portable power or greater control over energy use.

The company’s product portfolio includes home standby generators, portable generators, commercial and industrial generators, mobile power equipment, engines and related transfer switches and controls.