/Generac%20Holdings%20Inc%20back%20up%20generator-by%20J_Michael%20Jones%20via%20iStock.jpg)
Generac Holdings Inc. (GNRC) designs and manufactures a wide range of energy technology products, including residential and commercial generators, energy storage systems, and outdoor power equipment. Headquartered in Waukesha, Wisconsin, and valued at $9.12 billion by market cap, the company serves diverse markets through a variety of distribution channels.
GNRC's shares have outperformed the broader market over the past 52 weeks. GNRC has gained 38.4% over this time frame, while the broader S&P 500 Index ($SPX) rallied 26.1%. In 2024 alone, the stock is up 16.5%, which is in line with SPX’s gains on a YTD basis.
Narrowing the focus, the energy giant massively outperformed the ProShares S&P Kensho Cleantech ETF (CTEX). The ETF has declined 24.1% over the past year and 21.5% on a YTD basis.
Following its Q2 results on Jul. 31, GNRC’s stock price increased marginally. The earnings and revenue of the energy stock were $59.1 million and $998.2 million. Adjusted EPS of $1.35 beat the Wall Street expectations of $1.24 per share. However, the revenue fell short of the analyst forecasts.
For the current fiscal year, ending in December, analysts expect GNRC’S EPS to increase 19.3% to $6.44. The company’s earnings surprise history is mixed. It surpassed the consensus estimate in three out of the last four quarters but missed on another occasion.
Among the 26 analysts covering GNRC stock, the consensus rating is a “Moderate Buy,” with 13 “Strong Buys,” one “Moderate Buy,” nine “Holds,” one “Moderate Sell,” and two “Strong Sells.”
This configuration is slightly less bullish than three months ago, with 16 analysts suggesting a “Strong Buys.”
On Aug. 1, Northland Securities analyst Donovan Schafer CFA maintained a “Buy” rating on Generac Holdings and set a price target of $180.00, which indicates an upside potential of 19.5% from the current levels.
The mean price target of $156.68 represents a 4% premium to GNRC’s current price levels. The Street-high price target of $200 suggests an upside potential of 32.8%.
On the date of publication, Rashmi Kumari did not have (either directly or indirectly) positions in any of the securities mentioned in this article. All information and data in this article is solely for informational purposes. For more information please view the Barchart Disclosure Policy here.
