Generac (NYSE:GNRC) Price Target Raised to $375.00 at Canaccord Genuity Group

Key Points

• Canaccord Genuity raised Generac’s price target to $375 from $275 and maintained a “buy” rating, implying 113.91% upside from the previous close.
• Generac reported quarterly EPS of $2.91, exceeding the $2.01 consensus estimate, while revenue reached $1.17 billion and increased 10.3% year over year.
• Analyst sentiment remains favorable, with a consensus “Moderate Buy” rating and average price target of $292.25; institutional investors own approximately 84.04% of the stock.

Generac (NYSE:GNRC - Get Free Report) had its price objective hoisted by research analysts at Canaccord Genuity Group from $275.00 to $375.00 in a note issued to investors on Thursday, Benzinga reports. The brokerage currently has a "buy" rating on the technology company's stock. Canaccord Genuity Group's target price would indicate a potential upside of 113.91% from the stock's previous close.

Several other research firms have also commented on GNRC. Robert W. Baird set a $305.00 price target on shares of Generac in a report on Thursday, July 30th. HSBC lowered shares of Generac to a "hold" rating and set a $333.00 price objective on the stock. in a research note on Thursday. Zacks Research upgraded Generac from a "hold" rating to a "strong-buy" rating in a research note on Friday, July 31st. Jefferies Financial Group reaffirmed a "buy" rating on shares of Generac in a report on Wednesday, June 3rd. Finally, Cantor Fitzgerald reiterated an "overweight" rating and set a $333.00 price target on shares of Generac in a research report on Wednesday. Two equities research analysts have rated the stock with a Strong Buy rating, twelve have issued a Buy rating and six have assigned a Hold rating to the company's stock. According to MarketBeat.com, Generac presently has a consensus rating of "Moderate Buy" and an average price target of $292.25.

Generac Stock Performance

GNRC stock opened at $175.31 on Thursday. The company has a current ratio of 2.04, a quick ratio of 1.00 and a debt-to-equity ratio of 0.43. The firm has a market cap of $10.34 billion, a P/E ratio of 40.39, a P/E/G ratio of 1.49 and a beta of 1.91. Generac has a 12-month low of $134.80 and a 12-month high of $296.44. The stock's 50 day simple moving average is $203.64 and its 200 day simple moving average is $226.70.

Generac (NYSE:GNRC - Get Free Report) last released its quarterly earnings data on Wednesday, July 29th. The technology company reported $2.91 EPS for the quarter, topping analysts' consensus estimates of $2.01 by $0.90. Generac had a net margin of 5.82% and a return on equity of 17.83%. The firm had revenue of $1.17 billion during the quarter, compared to the consensus estimate of $1.18 billion. During the same quarter in the previous year, the company posted $1.65 earnings per share. The firm's revenue was up 10.3% on a year-over-year basis. As a group, equities research analysts predict that Generac will post 9.78 EPS for the current year.

Insider Buying and Selling

In other Generac news, insider Norman P. Taffe sold 400 shares of the company's stock in a transaction dated Tuesday, September 8th. The shares were sold at an average price of $188.70, for a total value of $75,480.00. Following the completion of the transaction, the insider owned 11,276 shares in the company, valued at approximately $2,127,781.20. This represents a 3.43% decrease in their position. The transaction was disclosed in a document filed with the Securities & Exchange Commission, which is available at this link. The transaction was executed under a pre-arranged Rule 10b5-1 trading plan. Also, CEO Aaron Jagdfeld sold 5,000 shares of the firm's stock in a transaction that occurred on Tuesday, September 1st. The shares were sold at an average price of $182.21, for a total transaction of $911,050.00. Following the completion of the sale, the chief executive officer owned 549,528 shares in the company, valued at $100,129,496.88. The trade was a 0.90% decrease in their position. Additional details regarding this sale are available in the official SEC disclosure. The transaction was executed under a pre-arranged Rule 10b5-1 trading plan. Insiders have sold a total of 12,086 shares of company stock valued at $2,347,160 in the last quarter. Company insiders own 2.40% of the company's stock.

Hedge Funds Weigh In On Generac

A number of institutional investors and hedge funds have recently added to or reduced their stakes in GNRC. Sequoia Financial Advisors LLC boosted its position in Generac by 5.6% during the 2nd quarter. Sequoia Financial Advisors LLC now owns 6,417 shares of the technology company's stock worth $1,879,000 after acquiring an additional 341 shares during the period. Tidal Investments LLC grew its stake 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 in the last quarter. WINTON GROUP Ltd acquired a new position in shares of Generac during the second quarter valued at $1,260,000. Engineers Gate Manager LP acquired a new position in shares of Generac during the second quarter valued at $688,000. Finally, NorthRock Partners LLC bought a new stake in shares of Generac during the second quarter valued at about $377,000. 84.04% of the stock is owned by institutional investors.

More Generac News

Here are the key news stories impacting Generac this week:

• Positive Sentiment: Significant revenue opportunity: Generac expects initial generator deliveries worth approximately $2.4 billion in 2027 and 2028. Payments connected to the broader relationship could reach as much as $8 billion, providing substantial multi-year visibility and exposure to data-center infrastructure spending. Generac, Amazon strike $2.4 billion long-term generator supply deal
• Positive Sentiment: Strategic customer validation: Amazon’s commitment strengthens Generac’s position in the fast-growing market for reliable backup power for data centers and could support manufacturing utilization, future orders and investor confidence in the company’s commercial business. Generac surges on $2.4B Amazon data-center deal
• Neutral Sentiment: Amazon receives equity rights: As part of the arrangement, Amazon received warrants to purchase up to approximately $340 million of Generac shares. The warrants align Amazon’s interests with Generac’s performance, but the eventual exercise of those rights could dilute existing shareholders. Amazon obtains right to buy stock in Generac
• Negative Sentiment: Execution and concentration risks: The agreement’s longer-term value depends on Amazon’s data-center buildout, Generac’s ability to deliver at scale and the terms governing future purchases. Investors may also assess whether the sizable customer relationship increases dependence on a single large buyer and whether warrant issuance limits per-share upside.

Generac Company Profile

Generac Holdings Inc is an energy technology company that designs and manufactures power generation and energy management products. Its portfolio includes residential standby generators, portable generators, commercial and industrial generator systems, and related transfer switches, controls and monitoring technologies.

The company also offers clean energy and electrification solutions, including battery energy storage systems, solar-related products, electric vehicle chargers and load-management technologies.

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