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Diversify Advisory Services LLC raised its position in Generac Holdings Inc. (NYSE:GNRC – Free Report) by 33.5% in the 3rd quarter, according to its most recent Form 13F filing with the Securities and Exchange Commission. The fund owned 13,047 shares of the technology company’s stock after purchasing an additional 3,275 shares during the quarter. Diversify Advisory Services LLC’s holdings in Generac were worth $2,589,000 as of its most recent SEC filing.

Several other large investors have also recently bought and sold shares of GNRC. Callan Family Office LLC bought a new position in Generac in the 2nd quarter valued at approximately $3,033,000. Hsbc Holdings PLC boosted its position in Generac by 42.8% during the 4th quarter. Hsbc Holdings PLC now owns 93,080 shares of the technology company’s stock worth $12,711,000 after buying an additional 27,893 shares during the period. Patton Fund Management Inc. acquired a new stake in Generac during the 1st quarter worth approximately $3,797,000. Tidal Investments LLC grew its holdings in Generac by 94.3% during the 2nd quarter. Tidal Investments LLC now owns 55,302 shares of the technology company’s stock worth $16,193,000 after acquiring an additional 26,836 shares during the last quarter. Finally, Maverick Capital Ltd. bought a new stake in Generac during the 1st quarter worth approximately $1,267,000. 84.04% of the stock is currently owned by institutional investors.

Generac Stock Down 7.6% Shares of Generac stock opened at $187.64 on Friday. Generac Holdings Inc. has a one year low of $134.80 and a one year high of $296.44. The company has a debt-to-equity ratio of 0.43, a current ratio of 2.04 and a quick ratio of 1.00. The stock’s 50-day moving average is $200.86 and its 200 day moving average is $227.10. The firm has a market cap of $11.07 billion, a price-to-earnings ratio of 43.23, a PEG ratio of 1.74 and a beta of 1.91.

Generac (NYSE:GNRC – Get Free Report) last released its earnings results on Wednesday, July 29th. The technology company reported $2.91 EPS for the quarter, topping the consensus estimate of $2.01 by $0.90. Generac had a return on equity of 17.83% and a net margin of 5.82%. The business had revenue of $1.17 billion during the quarter, compared to analysts’ expectations of $1.18 billion. During the same quarter last year, the firm posted $1.65 earnings per share. The firm’s revenue was up 10.3% on a year-over-year basis. Equities research analysts anticipate that Generac Holdings Inc. will post 9.74 EPS for the current year. Insider Activity In other news, CEO Aaron Jagdfeld sold 5,000 shares of the business’s stock in a transaction that occurred on Monday, August 3rd. The stock was sold at an average price of $194.89, for a total transaction of $974,450.00. Following the completion of the sale, the chief executive officer owned 554,528 shares in the company, valued at $108,071,961.92. The trade was a 0.89% decrease in their ownership of the stock. The transaction was disclosed in a legal filing with the SEC, which is available through this hyperlink. The transaction was executed under a pre-arranged Rule 10b5-1 trading plan. Also, insider Norman P. 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 transaction of $120,356.50. Following the sale, the insider owned 15,508 shares of the company’s stock, valued at $3,393,615.64. This trade represents a 3.43% decrease in their position. The SEC filing for this sale provides additional information. The transaction was executed under a pre-arranged Rule 10b5-1 trading plan. Over the last 90 days, insiders have sold 18,442 shares of company stock worth $3,656,537. Company insiders own 2.40% of the company’s stock.

Analysts Set New Price Targets Several brokerages have issued reports on GNRC. Canaccord Genuity Group upped their price target on shares of Generac from $275.00 to $375.00 and gave the company a “buy” rating in a research report on Thursday, September 17th. JPMorgan Chase & Co. raised their price target on shares of Generac from $261.00 to $265.00 and gave the company an “overweight” rating in a research note on Friday, September 18th. Needham & Company LLC reiterated a “buy” rating and set a $283.00 price target on shares of Generac in a report on Thursday, September 17th. Stifel Nicolaus boosted their price objective on shares of Generac from $285.00 to $290.00 and gave the stock a “buy” rating in a research note on Wednesday, September 30th. Finally, Jefferies Financial Group reissued a “buy” rating on shares of Generac in a research note on Thursday, September 17th. Two investment analysts have rated the stock with a Strong Buy rating, thirteen have assigned a Buy rating and seven have issued a Hold rating to the stock. Based on data from MarketBeat, the company currently has a consensus rating of “Moderate Buy” and an average price target of $290.55.

View Our Latest Report on GNRC

Generac Company Profile (Free Report)

Generac Holdings Inc is a technology and energy solutions company that designs and manufactures power generation equipment and other energy-related products. Its offerings include standby and portable generators, commercial and industrial power systems, energy storage solutions, and products that help customers manage and monitor energy use.

The company serves residential, commercial, industrial, and utility customers. Its products are used for backup power, prime power, and distributed energy applications across homes, businesses, data centers, healthcare facilities, construction sites, and other critical operations.

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Key Takeaways Generac and Caterpillar are benefiting from AI data center expansion.GNRC secured a Amazon supply deal, while CAT's power generation sales to users rose 72%.Generac trades at 16.78X forward earnings versus Caterpillar's 22.98X, with both stocks posting YTD gains. The accelerating expansion of artificial intelligence (AI) infrastructure and data center buildout is creating significant opportunities for companies that provide reliable power generation equipment and backup systems.

Generac Holdings Inc. (GNRC - Free Report) and Caterpillar Inc. (CAT - Free Report) are positioning themselves to capitalize on these developments. GNRC is strengthening its presence in the data center backup power market through large-megawatt generators and long-term hyperscaler agreements.

Caterpillar is a leading name in the global construction and mining equipment manufacturing space. The company also offers a broader range of diesel and natural gas engines, generator sets and industrial gas turbines.

However, their business models, growth opportunities, financial flexibility and operating risks differ considerably.

For investors, the choice between GNRC and CAT is not straightforward. Let us break down the fundamentals, valuations, growth outlook and risks for each company to determine which stock stands out.

The Case for GNRCData center buildout has emerged as a major tailwind for Generac. The company’s Commercial & Industrial (C&I) business is accelerating rapidly. It now has a sizeable data center backlog and is investing in large-megawatt generator capacity. Generac generated more than $100 million of data center revenues in the second quarter and secured two multi-year hyperscale supply agreements.

On the last earnings call, Generac noted that the data center backlog reached $1.6 billion as of July 2026, including roughly $1 billion of new orders received in the prior 90 days, but excluding any committed volumes from the second hyperscale customer. Management also raised its 2026 data center revenue expectation to roughly $450 million, underscoring the rapid scaling of this business.

Since then, Generac finalized a long-term supply agreement with Amazon. It will supply backup power generators for Amazon data centers, with initial deliveries expected to total $2.4 billion across 2027 and 2028. Generac also issued Amazon.com NV Investment Holdings LLC a warrant to acquire up to 1,693,745 shares of its common stock at an exercise price of $200.9266 per share. Amazon.com NV Investment Holdings LLC is a wholly owned subsidiary of Amazon.

Of the total warrant shares, 307,954 vested immediately. Management added that the remaining warrant shares will vest in tranches contingent upon aggregate gross payments, net of certain offsets, received by Generac and its affiliates from or on behalf of Amazon and the affiliates for backup power generators, extending up to a total of $8 billion of qualifying payments.

The Amazon agreement adds considerable scale and visibility to a data center business that is fast emerging as Generac’s key growth engine. 

Management expects (as announced on the last earnings call) C&I segment net sales to increase in the low 30% range in 2026, up from the prior mid-to-high 20% outlook. The company is ramping production at existing domestic and international facilities and accelerating the outfitting of its Sussex, WI, facility. On the second-quarter earnings call, management said production at Sussex was expected to begin by the end of the third quarter, roughly a quarter ahead of its prior schedule. Management also acquired the Belvidere, IL, packaging facility. The Enercon buyout (completed earlier this year) is expected to boost Generac’s vertical integration and support margin expansion for megawatt backup power offerings.

However, data center market expansion brings its own set of concerns. With increasing reliance on this end market, Generac is exposed to cyclical capital spending cycles in AI and data centers. Any delays in manufacturing capacity expansion can also weigh on growth targets. Generac also needs to watch out for increasing competition in the data center space.

While the data center opportunity is driving investor excitement, Generac’s residential business still represents a major part of it. The company's residential operations remain sensitive to power outage activity and demand for discretionary home improvement products. Revenues from the Residential segment were down 2% year over year to $621.3 million. The decline was due to lower energy storage system and portable generator shipments, largely offset by higher home standby generator sales.

The residential solar and storage market also remains challenging due to policy and macro headwinds. Management reduced its 2026 Residential growth outlook to high single-digit growth from roughly 10%, citing the low outage environment, affordability concerns and a small divestiture.

Excluding tariff refunds, management expects 2026 gross margin near the low end of the prior 38.5% to 39.5% range due to higher C&I mix. With approximately $1.33 billion in outstanding debt at the end of June, Generac must carefully balance capacity investments, working capital requirements and financial flexibility as it pursues the long-term growth opportunities.

The Case for CATCaterpillar's investment appeal rests on its extensive power generation capabilities and diversified industrial operations. The company’s Power & Energy segment portfolio includes integrated systems and solutions, reciprocating engines, generator sets, turbines and turbine-related services, electrified powertrain and zero-emission power sources and service solutions development.

Caterpillar is also expanding aggressively in data-center power, increasing competitive pressure. Second-quarter 2026 Power & Energy sales reached $8.2 billion, up 17% year over year. Sales to users grew 33% in the Power & Energy segment. Within Power generation, sales to users grew 72%, supported by strong demand for large gensets and turbines used in data center applications.

Caterpillar also reported a substantial increase in its overall backlog, which reached $72 billion at the end of June, up approximately $35 billion from the prior-year period. Importantly, this is Caterpillar's total company backlog rather than a data center-specific figure.

The company added that all three segments contributed to year over year and sequential backlog growth. Management highlighted that some Power & Energy customers were placing orders extending as far as 2030.

Caterpillar expects Power & Energy margins to improve year over year in the third quarter, supported by higher sales volumes and favorable pricing, partially offset by higher manufacturing costs and capacity expansion expenses.

The company expects full-year 2026 power generation growth in both Cat reciprocating engines and Solar Turbines, supported by increasing energy demand as cloud computing and generative AI drive extensive data-center build-outs.

To address growing demand, Caterpillar is expanding manufacturing capacity. The company is restarting a 10-MW medium-speed gas reciprocating platform, bringing approximately 1.5 GW of capacity back online, with shipments expected to commence in the fourth quarter.

Caterpillar’s diversified business provides a competitive edge. On Sept. 30, the company announced plans to invest approximately $1 billion in North Carolina to expand manufacturing capacity for products that support its Cat Compact business, underscoring growth opportunities outside power generation. The company also announced an agreement to acquire John Fabick Tractor Company. Fabick is a CAT dealer serving Wisconsin, parts of Missouri, IL, and Michigan’s Upper Peninsula.

In the last reported quarter, Caterpillar generated $5.1 billion in Machinery, Power & Energy free cash flow and ended June with $6.7 billion in enterprise cash. The company also returned $2.2 billion to its shareholders through dividends and buybacks.

Nevertheless, Caterpillar faces plenty of challenges. The company’s business remains susceptible to geopolitical situations which continue to be uncertain. Tariffs represent another concern. Management now expects full-year 2026 tariff costs of around $2.2 billion or at the low end of the previously guided range, excluding expected IEEPA tariff recoveries of $400 million. Tariff impact on second-half adjusted operating profit and margins to be limited as it laps prior costs, added management.

Price Performance & Valuations of GNRC & CATYear to date, GNRC and CAT are up 45.5% and 28.4%, respectively.

Image Source: Zacks Investment Research

GNRC is trading at a forward price-to-earnings multiple of 16.78X, lower than CAT’s 22.98X.

Image Source: Zacks Investment Research

How Do the Consensus Estimates Compare for GNRC & CAT?Analysts have lowered their earnings estimates for GNRC by 0.5% for the current fiscal year in the past 60 days.

Image Source: Zacks Investment Research

Estimates have been revised up 1.9% for CAT’s bottom line in the same period.

Image Source: Zacks Investment Research

GNRC or CAT: Which Is a Better PickBoth GNRC and CAT carry a Zacks Rank #3 (Hold) at present.

Despite GNRC's strong data center growth prospects and relatively attractive valuation, CAT appears to be the better pick, supported by its diversified business portfolio, robust backlog and stronger financial flexibility.

You can see the complete list of today's Zacks #1 Rank (Strong Buy) stocks here.

WAUKESHA, Wis., Oct. 14, 2026 (GLOBE NEWSWIRE) -- Generac Holdings Inc. ("Generac") (NYSE: GNRC), a leading global designer, manufacturer, and provider of energy technology solutions and other power products, today announced plans to release its third quarter 2026 financial results before the market opens on Wednesday, October 28th, 2026. Generac management will hold a conference call at 10:00 a.m. EDT on that day to discuss highlights of this earnings release.

A webcast of the conference call can be accessed at the following link: https://edge.media-server.com/mmc/p/oci8r36p

The webcast of the conference call will also be available on Generac’s website (http://www.generac.com), under the Investor Relations link. The webcast link will be made available on the Company’s website prior to the start of the call within the Events section of the Investor Relations website.

Following the live webcast, a replay will be available on the Company's website.

About Generac
Generac is a total energy solutions company that empowers people to use energy on their own terms. Founded in 1959, Generac is a leading global designer, manufacturer, and provider of a wide range of energy technology solutions. The Company provides power generation equipment, energy storage systems, energy management devices & solutions, and other power products and services serving the residential, commercial, data center, telecom, rental, and industrial markets. The Company’s broad portfolio of energy technology offerings for homes and businesses enables its mission to Power a Smarter World and lead the evolution to more resilient, efficient, and innovative energy solutions.

SOURCE: Generac Holdings Inc.

CONTACT:
Kris Rosemann
Senior Director – Corporate Finance & Investor Relations
(262) 506-6064
[email protected]

Key Takeaways Generac's C&I revenues rose 29% to $556 million in Q2 2026, with data center sales exceeding $100 million. Generac's strong data center backlog and $2.4 billion Amazon deal strengthen its growth outlook.Excluding tariff refunds, GNRC expects 2026 gross margin near the low end of its 38.5-39.5% range.
Generac Holdings (GNRC - Free Report) is benefiting from strong momentum in its Commercial & Industrial (C&I) segment, especially as data center operators expand artificial intelligence (AI) infrastructure.

While the company’s growing exposure to data centers and multiyear hyperscale agreements improves revenue visibility, rising contributions from lower-margin C&I products challenge profitability.

Data Center Growth Boosts Generac's Revenue MixC&I revenues totaled $556 million in the second quarter of 2026, up 29% year over year, driven by data center demand, mobile product strength and international growth. Data center product sales contributed more than $100 million in the second quarter, while orders from domestic industrial distributors reached a record high, buoyed by demand across traditional C&I markets.

On the last earnings call, management said that C&I segment net sales are expected to increase in the low 30% range in 2026, up from the prior mid-to-high 20% outlook.

Management expects data centers to remain a significant long-term growth opportunity amid accelerating infrastructure investments and AI adoption.

On the last earnings call, Generac noted that the data center backlog reached $1.6 billion as of July 2026, including roughly $1 billion of new orders received in the prior 90 days, while excluding expected orders from the second hyperscale agreement. Management also raised its 2026 data center revenue expectation to roughly $450 million, underscoring the rapid scaling of this business. Since then, Generac has finalized a long-term supply agreement with Amazon, with initial backup-generator deliveries expected to total $2.4 billion across 2027 and 2028.

Continued demand from data centers, mobile equipment and C&I energy storage systems supports a broader growth profile beyond a single end market.

The Profitability TroublesExcluding tariff refunds, management expects 2026 gross margin near the low end of the prior 38.5% to 39.5% range due to higher C&I mix. C&I products generally carry lower margins than residential offerings.

In the second quarter of 2026, consolidated gross margin reached 44.5% from 39.3%. Tariff refunds added roughly 6% to gross margin growth. Also, favorable pricing partly offset unfavorable sales mix and higher input costs.

Despite these pressures, management maintained its 2026 adjusted EBITDA margin guidance of 18.5-19.5%, excluding tariff refunds. Significant operating leverage is expected to cushion EBITDA margins in the fourth quarter.

Margin Profile for CompetitorsCummins (CMI - Free Report) is also rapidly expanding its data center footprint. The company is developing a 130-liter natural gas genset for prime power and supplying Circe Energy with QSK60 and HSK78 generators with microgrid technology for a prime power solution supporting a high-performance computing data center in Texas. In August, Cummins was selected to supply battery energy storage systems (“BESS”) for a large U.S. data center project, which would represent its largest BESS deployment to date.

Second-quarter 2026 Power Systems revenues rose 19% to $2.3 billion and the segment's EBITDA margin expanded to 24.5% from 22.8%, driven primarily by higher global power generation demand. Cummins expects Power Systems revenues to grow 14-19% in 2026, with EBITDA margins of 25-25.75%.

Caterpillar (CAT - Free Report) is also expanding aggressively in data-center power, increasing competitive pressure. Second-quarter 2026 Power & Energy revenues increased 17% year over year to $8.2 billion, while segment operating margin expanded 250 basis points to 24.6%, aided by higher volumes and favorable pricing. Caterpillar expects Power & Energy margins to improve year over year in the third quarter, supported by higher sales volumes and favorable pricing, partially offset by higher manufacturing costs and capacity expansion expenses.

With shipments expected to commence in the fourth quarter, Caterpillar is adding capacity, including restarting a 10-MW medium-speed gas reciprocating platform with about 1.5 GW of planned capacity.

GNRC Price Performance, Valuation and EstimatesGNRC’s shares are up 27.1% in the past month while the Manufacturing-General Industrial sector has inched up 2.2%.

Image Source: Zacks Investment Research

Generac is trading at a forward 12-month price/earnings ratio of 19.07X, lower than the sector’s multiple of 20.25X.

Image Source: Zacks Investment Research

The Zacks Consensus Estimate for GNRC earnings for 2026 has seen a marginal downward revision over the past 60 days.

Image Source: Zacks Investment Research

GNRC currently has a Zacks Rank #3 (Hold). You can see the complete list of today’s Zacks #1 Rank (Strong Buy) stocks here.

Generac Holdings Inc. (NYSE:GNRC – Get Free Report) insider Norman Taffe sold 150 shares of the stock in a transaction on Tuesday, October 6th. The shares were sold at an average price of $220.00, for a total transaction of $33,000.00. Following the transaction, the insider directly owned 10,976 shares in the company, valued at approximately $2,414,720. This represents a 1.35% decrease in their position. The transaction was disclosed in a legal filing with the SEC, which can be accessed through this link. The transaction was executed under a pre-arranged Rule 10b5-1 trading plan.

Generac Price Performance Shares of NYSE:GNRC opened at $221.76 on Thursday. 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 stock has a market cap of $13.09 billion, a PE ratio of 51.10, a PEG ratio of 1.90 and a beta of 1.91. The company’s fifty day moving average is $202.10 and its 200 day moving average is $226.57. Generac Holdings Inc. has a 52 week low of $134.80 and a 52 week high of $296.44.

Generac (NYSE:GNRC – Get Free Report) last posted its quarterly earnings results on Wednesday, July 29th. The technology company reported $2.91 earnings per share (EPS) for the quarter, beating the consensus estimate of $2.01 by $0.90. Generac had a net margin of 5.82% and a return on equity of 17.83%. The business had revenue of $1.17 billion during the quarter, compared to analyst estimates of $1.18 billion. During the same period in the prior year, the business posted $1.65 earnings per share. The company’s revenue was up 10.3% on a year-over-year basis. Research analysts anticipate that Generac Holdings Inc. will post 9.82 earnings per share for the current year.

Key Headlines Impacting Generac Here are the key news stories impacting Generac this week: Positive Sentiment: TD Cowen upgraded Generac to “strong buy,” signaling increased confidence in the company’s growth prospects. Analysts also expect Generac to potentially exceed earnings estimates again, supported by its history of earnings surprises. Generac Stock Moved Up to Strong-Buy by TD Cowen Will Generac Holdings Beat Estimates Again Positive Sentiment: Generac’s commercial and industrial segment is benefiting from data-center demand, with reported sales growth of 29% and an improved 2026 outlook. A major opportunity tied to Amazon’s power needs adds to the company’s long-term growth narrative. Generac Commercial and Industrial Business Momentum Neutral Sentiment: Insiders reported several sales under pre-arranged Rule 10b5-1 plans. Kyle Raabe sold 603 shares for approximately $128,180, while Norman Taffe sold 550 shares across two transactions for roughly $119,184. The transactions are relatively small compared with their remaining holdings and may have limited fundamental significance. SEC Insider Filing for Kyle Raabe SEC Insider Filing for Norman Taffe Negative Sentiment: Investors remain concerned about residential-market softness, tariff volatility and margin pressure as Generac’s business mix shifts toward commercial customers. After a roughly 58% year-to-date advance, the stock’s elevated valuation also leaves less room for disappointing results. Generac Year-to-Date Gains and Risks Institutional Trading of Generac Large investors have recently modified their holdings of the business. BlackRock Inc. purchased a new position in shares of Generac during the 2nd quarter worth approximately $1,170,960,000. Diamant Asset Management Inc. raised its position in shares of Generac by 19,433.0% in the 1st quarter. Diamant Asset Management Inc. now owns 666,075 shares of the technology company’s stock worth $130,104,000 after acquiring an additional 662,665 shares in the last quarter. Bank of America Corp DE purchased a new position in shares of Generac in the 2nd quarter valued at approximately $175,942,000. Park Presidio Capital LLC purchased a new position in shares of Generac in the 2nd quarter valued at approximately $158,140,000. Finally, Bank of New York Mellon Corp bought a new stake in shares of Generac during the second quarter valued at approximately $90,872,000. 84.04% of the stock is owned by institutional investors.

Analyst Upgrades and Downgrades Several equities analysts recently issued reports on the company. Canaccord Genuity Group raised their price target on Generac from $275.00 to $375.00 and gave the stock a “buy” rating in a research report on Thursday, September 17th. Stephens reiterated an “overweight” rating and issued a $335.00 price objective on shares of Generac in a research report on Thursday, September 17th. Barclays dropped their price objective on Generac from $285.00 to $278.00 and set an “equal weight” rating for the company in a research note on Thursday, July 30th. Citigroup cut their target price 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. Finally, KeyCorp raised shares of Generac from a “sector weight” rating to an “overweight” rating and set a $280.00 target price on the stock in a research note on Thursday. Two equities research analysts have rated the stock with a Strong Buy rating, thirteen have given a Buy rating and seven have issued a Hold rating to the company’s stock. According to MarketBeat, the company currently has a consensus rating of “Moderate Buy” and a consensus price target of $289.95.

Read Our Latest Analysis on GNRC

About Generac (Get Free Report)

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.

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Have you been searching for a stock that might be well-positioned to maintain its earnings-beat streak in its upcoming report? It is worth considering Generac Holdings (GNRC - Free Report) , which belongs to the Zacks Manufacturing - General Industrial industry.

When looking at the last two reports, this generator maker has recorded a strong streak of surpassing earnings estimates. The company has topped estimates by 42.28%, on average, in the last two quarters.

For the most recent quarter, Generac Holdings was expected to post earnings of $1.95 per share, but it reported $2.91 per share instead, representing a surprise of 49.23%. For the previous quarter, the consensus estimate was $1.33 per share, while it actually produced $1.8 per share, a surprise of 35.34%.

Price and EPS Surprise

With this earnings history in mind, recent estimates have been moving higher for Generac Holdings. In fact, the Zacks Earnings ESP (Expected Surprise Prediction) for the company is positive, which is a great sign of an earnings beat, especially when you combine this metric with its nice Zacks Rank.

Our research shows that stocks with the combination of a positive Earnings ESP and a Zacks Rank #3 (Hold) or better produce a positive surprise nearly 70% of the time. In other words, if you have 10 stocks with this combination, the number of stocks that beat the consensus estimate could be as high as seven.

The Zacks Earnings ESP compares the Most Accurate Estimate to the Zacks Consensus Estimate for the quarter; the Most Accurate Estimate is a version of the Zacks Consensus whose definition is related to change. The idea here is that analysts revising their estimates right before an earnings release have the latest information, which could potentially be more accurate than what they and others contributing to the consensus had predicted earlier.

Generac Holdings currently has an Earnings ESP of +1.47%, which suggests that analysts have recently become bullish on the company's earnings prospects. This positive Earnings ESP when combined with the stock's Zacks Rank #3 (Hold) indicates that another beat is possibly around the corner.

Investors should note, however, that a negative Earnings ESP reading is not indicative of an earnings miss, but a negative value does reduce the predictive power of this metric.

Many companies end up beating the consensus EPS estimate, though this is not the only reason why their shares gain. Additionally, some stocks may remain stable even if they end up missing the consensus estimate.

Because of this, it's really important to check a company's Earnings ESP ahead of its quarterly release to increase the odds of success. Make sure to utilize our Earnings ESP Filter to uncover the best stocks to buy or sell before they've reported.

Key Takeaways GNRC's C&I revenues up 29% in the second quarter, driven by data centers, mobile products and global growth.GNRC secured an Amazon deal with $2.4B of initial generator deliveries expected across 2027 and 2028.Generac faces residential softness, capacity-expansion risks and margin pressure from a higher C&I mix. Generac Holdings (GNRC - Free Report) has been one of the stronger industrial performers in 2026, with shares surging about 57.8% year to date. The rally reflects growing investor enthusiasm around the company’s growing exposure to the data center vertical.

Image Source: Zacks Investment Research

The company’s Commercial & Industrial (C&I) business is accelerating rapidly. It now has a sizeable data center backlog and is investing in large-megawatt generator capacity.

More importantly, the investment story got a boost when Generac disclosed a long-term supply agreement with Amazon (AMZN - Free Report) for backup generators supporting its data centers last month.

This tie-up can be considered a validation of Generac’s emerging position in the data center power infrastructure space. However, following the stock’s substantial year-to-date gain, investors need to weigh execution risks, residential-market softness and the potential margin implications of Generac’s rapidly changing business mix.

Let’s discuss the company’s growth factors that contributed to the share price gain and the risks it faces to assess investment prospects and make an informed decision.

Data Center Emerges as a Major Tailwind for GNRCC&I revenues totaled $556 million in the second quarter of 2026, up 29% year over year, driven by data center demand, mobile product strength and international growth.

Management expects data centers to remain a significant long-term growth opportunity amid accelerating infrastructure investments and AI adoption. Generac generated more than $100 million of data center revenues in the second quarter and secured two multi-year hyperscale supply agreements.

On the last earnings call, Generac noted that the data center backlog reached $1.6 billion as of July 2026, including roughly $1 billion of new orders received in the prior 90 days, but excluding any committed volumes from the second hyperscale customer. Management also raised its 2026 data center revenue expectation to roughly $450 million, underscoring the rapid scaling of this business.

Since then, Generac finalized a long-term supply agreement with Amazon. It will supply backup power generators for Amazon data centers, with initial deliveries expected to total $2.4 billion across 2027 and 2028. Generac also issued Amazon.com NV Investment Holdings LLC a warrant to acquire up to 1,693,745 shares of its common stock at an exercise price of $200.9266 per share. Amazon.com NV Investment Holdings LLC is a wholly owned subsidiary of Amazon.

Of the total warrant shares, 307,954 vested immediately. Generac added that the remaining warrant shares will vest in tranches contingent upon aggregate gross payments, net of certain offsets, received by Generac and its affiliates from or on behalf of Amazon and the affiliates for backup power generators, extending up to a total of $8 billion of qualifying payments.

The Amazon agreement adds considerable scale and visibility to a data center business that is fast emerging as Generac’s key growth engine. 

Management expects (as announced on the last earnings call) C&I segment net sales to increase in the low 30% range in 2026, up from the prior mid-to-high 20% outlook. Continued demand from data centers, mobile equipment and C&I energy storage systems supports a broader growth profile beyond a single end market.

Generac’s opportunity appears large, but successfully converting demand into revenues depend heavily on production capacity. The company is ramping production at existing domestic and international facilities and accelerating the outfitting of its Sussex, WI, facility.  On the second-quarter earnings call, management said production at Sussex was expected to begin by the end of the third quarter, roughly a quarter ahead of its prior schedule. Management also acquired the Belvidere, IL, packaging facility. The Enercon buyout (completed earlier this year) is expected to boost Generac’s vertical integration and support margin expansion for megawatt backup power offerings.

However, data center market expansion brings its own set of concerns. With increasing reliance on this end market, Generac is exposed to cyclical capital spending cycles in AI and data centers. Any delays in manufacturing capacity expansion can also weigh on growth targets. Generac also needs to watch out for increasing competition in the data center space.

Cummins (CMI - Free Report) is also rapidly expanding its data center footprint and is developing a 130-liter natural gas genset for prime power and supplying Circe Energy with QSK60 and HSK78 generators with microgrid technology for a prime power solution supporting a high-performance computing data center in Texas. In August, Cummins secured its largest battery energy-storage deployment to date for a major U.S. data-center project.

Meanwhile, Caterpillar’s (CAT - Free Report) second quarter 2026 Power & Energy sales reached $8.2 billion, up 17% year over year. Sales to users grew 33% in the Power & Energy segment. Within Power generation, sales to users grew 72%, supported by strong demand for large gensets and turbines used in data center applications.

Residential Business Remains an Important CounterbalanceWhile the data center opportunity is driving investor excitement, Generac’s residential business still represents a major part of it.

In the second quarter, revenues from Residential were down 2% year over year to $621.3 million. Lower energy storage system and portable generator shipments drove the decline, largely offset by higher home standby generator sales. Portable generator sales declined due to low outage activity.

Residential energy-storage sales in 2025 was largely driven by Puerto Rico’s energy grant-related program. However, with the completion of the program, energy storage systems remain pressured. The residential solar and storage market also remains challenging due to policy and macro headwinds. Management reduced its 2026 Residential growth outlook to high single-digit growth from roughly 10%, citing the low outage environment, affordability concerns and a small divestiture.

While residential growth remains uneven, the segment has durable long-term drivers. Strength in residential energy technology products is a key catalyst. Connected home count surpassed 5.25 million residences in the second quarter, with increased energy services and subscription sales. With the integration of PWRcell 2, PWR microinverter and next-gen standby generators with ecobee, Generac aims to create a differentiated residential energy ecosystem.   

Margins Require Some PerspectiveGross margins improved sharply in the second quarter, but the underlying margin profile remains sensitive to mix and tariffs. Consolidated gross margin reached 44.5% from 39.3%. Tariff refunds added roughly 6% to gross margin. Favorable pricing partly offset unfavorable sales mix and higher input costs. Excluding tariff refunds, management expects 2026 gross margin near the low end of the prior 38.5% to 39.5% range due to higher C&I mix. C&I products generally carry lower margins than residential offerings.

GNRC’s ValuationGNRC’s shares are trading at a forward price/earnings multiple of 18.82X, marginally lower than the Manufacturing-General Industrial industry’s ratio of 20.39X.

Image Source: Zacks Investment Research

The modest discount offers some valuation support, but execution risks and margin headwinds temper the case for fresh buying following the stock’s sharp rally.

In comparison, Cummins and Caterpillar trade at a forward PE multiple of 15.48X and 26.78X, respectively.

GNRC: What Should Investors Do?At present, GNRC carries a Zacks Rank #3 (Hold).

Expanding data center backlog and the Amazon agreement strengthen its long-term growth prospects and provide greater revenue visibility. 
However, residential softness, capacity-expansion risks and mix-related margin pressure warrant a measured approach after the stock’s sharp year-to-date surge.

Existing investors may remain invested, while new buyers could wait for a more favorable entry point.

You can see the complete list of today’s Zacks #1 Rank (Strong Buy) stocks here.

Thermon Group (NYSE:THR – Get Free Report) and Generac (NYSE:GNRC – Get Free Report) are both industrials companies, but which is the better business? We will contrast the two businesses based on the strength of their valuation, dividends, analyst recommendations, risk, institutional ownership, profitability and earnings.

Institutional and Insider Ownership 99.8% of Thermon Group shares are held by institutional investors. Comparatively, 84.0% of Generac shares are held by institutional investors. 2.5% of Thermon Group shares are held by insiders. Comparatively, 2.4% of Generac shares are held by insiders. Strong institutional ownership is an indication that large money managers, endowments and hedge funds believe a company is poised for long-term growth.

Earnings and Valuation This table compares Thermon Group and Generac”s top-line revenue, earnings per share and valuation.

Gross Revenue Price/Sales Ratio Net Income Earnings Per Share Price/Earnings Ratio Thermon Group $536.26 million 3.76 $44.57 million $1.34 45.63 Generac $4.21 billion 3.05 $159.55 million $4.34 50.06 Generac has higher revenue and earnings than Thermon Group. Thermon Group is trading at a lower price-to-earnings ratio than Generac, indicating that it is currently the more affordable of the two stocks.

Profitability This table compares Thermon Group and Generac’s net margins, return on equity and return on assets.

Net Margins Return on Equity Return on Assets Thermon Group 8.31% 13.42% 8.84% Generac 5.82% 17.83% 8.58% Analyst Recommendations This is a breakdown of recent ratings for Thermon Group and Generac, as provided by MarketBeat.com.

Sell Ratings Hold Ratings Buy Ratings Strong Buy Ratings Rating Score Thermon Group 0 6 0 0 2.00 Generac 0 7 12 1 2.70 Thermon Group currently has a consensus target price of $57.00, indicating a potential downside of 6.77%. Generac has a consensus target price of $292.25, indicating a potential upside of 34.53%. Given Generac’s stronger consensus rating and higher possible upside, analysts clearly believe Generac is more favorable than Thermon Group.

Volatility and Risk Thermon Group has a beta of 0.83, meaning that its stock price is 17% less volatile than the S&P 500. Comparatively, Generac has a beta of 1.91, meaning that its stock price is 91% more volatile than the S&P 500.

Summary Generac beats Thermon Group on 10 of the 15 factors compared between the two stocks.

About Thermon Group (Get Free Report)

Thermon Group Holdings, Inc. provides engineered industrial process heating solutions for process industries in the United States and Latin America, Canada, Europe, the Middle East, Africa, and the Asia-Pacific. It offers heat tracing products, such as electric heat tracing cables, steam heating solutions, controls, monitoring and software, instrumentation, project services, industrial heating and filtration solutions, temporary electrical power distribution and lighting, and other products and services. The company also provides controls, monitoring, and software systems for the control and management of a heat trace system; environmental heating solutions under the Ruffneck, Norsemen, and Catadyne brands; process heating solutions under the Caloritech brand name; filtration solutions under the 3L Filters brand; rail and transit solutions under the Hellfire, Velocity, ArcticSense, and other brand names; and boilers under the Vapor Power, Precision Boilers, and Caloritech brands. In addition, it offers project services; transportation heating products, including track and switch heaters, accessories, control panels, rail heaters, gas blower accessories, and air curtains; transit heaters; and velocity heat products. Further, the company offers temporary power solutions; heating systems, such as engineered electric heat, explosion proof gas catalytic heaters, heaters for harshest environments, methane abatement, and engineered filtration system; electrically, steam, and fluid heated tubing bundles; and pre-insulated tubing and system accessories tubing bundles. It serves chemical and petrochemical, oil and gas, power generation, rail and transit, commercial, energy transition/decarbonization, mining and mineral processing, maritime/shipbuilding, semiconductors, pharmaceutical and biotechnology, food and beverage, data centers, and renewables industries through a network of sales and service professionals, and distributors. Thermon Group Holdings, Inc. was founded in 1954 and is headquartered in Austin, Texas.

About Generac (Get Free Report)

Generac Holdings Inc. designs, manufactures, and distributes various energy technology products and solution worldwide. The company offers residential automatic standby generators, automatic transfer switch, air-cooled engine residential standby generators, and liquid-cooled engine generators; Mobile Link, a remote monitoring system for home standby generators; residential storage solution, which consists of a system of batteries, an inverter, photovoltaic optimizers, power electronic controls, and other components; smart home solutions, such as smart thermostats and a suite of home monitoring products. It also provides smart home energy management devices and sensors for heating and cooling system; smart doorbell cameras; and portable and inverter generators; multiple portable battery solutions; manual transfer switches; outdoor power equipment, including trimmers, field and brush mowers, log splitters, stump grinders, chipper shredders, lawn and leaf vacuums, and pressure washers and water pumps; and battery-powered turf care products. In addition, the company offers commercial and industrial products comprising cleaner-burning natural gas fueled generators; light-commercial standby generators and related transfer switches; stationary generators; single-engine industrial generators; industrial standby generators; industrial transfer switches; light towers, mobile generators, commercial mobile pumps, heaters, dust-suppression equipment, and mobile energy storage systems; stationary energy storage system and related inverter products; and aftermarket service parts and product accessories. The company distributes its products through independent residential dealers, industrial distributors and dealers, national and regional retailers, e-commerce partners, electrical/HVAC/solar wholesalers, solar installers, catalogs, equipment rental companies, and other equipment distributors; and directly to end users. The company was founded in 1959 and is headquartered in Waukesha, Wisconsin.

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25.9.2026 22:08

Americké indexy končí týden na růstové vlně když v hlavní roli jsou pozitivní zprávy z americké války s Íránem. I nadále platí rozkolísanost cen většiny aktiv od dluhopisů po komodity. Tahounem dobré nálady dnes byly technologické tituly, kde i nadále hraje prim rozvoj AI.

Index Dow Jones +0,93 % na 51828,62 b.
S&P 500 +0,51 % na 7743,41 b.
Nasdaq Composite +0,48 % na 27068,72 b.

Index S&P 500 +0,51 % na 7743,41 b. Nejsilnější sektory S&P Změna Nejslabší sektory S&P Změna Informační technologie +1 % Energie -0,9 % Průmysl +0,9 % Komunikační služby -0,7 % Finanční sektor +0,5 % Reality -0,4 % Nejsilnější akcie S&P Změna Nejslabší akcie S&P Změna Bloom Energy Corp (BE) +8,3 % Gen Digital (GEN) -6,3 % ON Semiconductor Corp (ON) +5,5 % Charter Communications (CHTR) -4,0 % Microchip Technology (MCHP) +5,4 % Palo Alto Networks (PANW) -3,9 % Generac Holdings (GNRC) +5,1 % Devon Energy Corp (DVN) -3,8 % Dell Technologies (DELL) +5,0 % Cboe Global Markets (CBOE) -3,7 %
Martin Varecha
Fio banka, a.s.
Prohlášení

Generac Holdings Inc. (NYSE:GNRC – Get Free Report) insider Norman Taffe sold 150 shares of the stock in a transaction dated Thursday, September 17th. The stock was sold at an average price of $229.50, for a total transaction of $34,425.00. Following the completion of the sale, the insider directly owned 11,276 shares in the company, valued at $2,587,842. This trade represents a 1.31% decrease in their ownership of the stock. The transaction was disclosed in a document filed with the Securities & Exchange Commission, which can be accessed through the SEC website. The transaction was executed under a pre-arranged Rule 10b5-1 trading plan.

Generac Stock Up 0.4% Shares of NYSE GNRC opened at $208.18 on Monday. Generac Holdings Inc. has a 1 year low of $134.80 and a 1 year high of $296.44. The firm has a 50-day simple moving average of $202.55 and a two-hundred day simple moving average of $226.43. The company has a market cap of $12.28 billion, a P/E ratio of 47.97, a PEG ratio of 1.78 and a beta of 1.91. The company has a debt-to-equity ratio of 0.43, a current ratio of 2.04 and a quick ratio of 1.00.

Generac (NYSE:GNRC – Get Free Report) last released its earnings results on Wednesday, July 29th. The technology company reported $2.91 EPS for the quarter, beating analysts’ consensus estimates of $2.01 by $0.90. Generac had a return on equity of 17.83% and a net margin of 5.82%.The firm had revenue of $1.17 billion for the quarter, compared to analysts’ expectations of $1.18 billion. During the same quarter in the prior year, the firm posted $1.65 earnings per share. The company’s quarterly revenue was up 10.3% on a year-over-year basis. Research analysts anticipate that Generac Holdings Inc. will post 9.74 earnings per share for the current year.

Wall Street Analyst Weigh In Several analysts have recently weighed in on the company. Weiss Ratings upgraded Generac from a “hold (c-)” rating to a “hold (c)” rating in a research report on Wednesday, August 5th. Citigroup upped their price target on shares of Generac from $263.00 to $300.00 and gave the stock a “neutral” rating in a report on Thursday, July 2nd. Needham & Company LLC reaffirmed a “buy” rating and issued a $283.00 price target on shares of Generac in a research note on Thursday. Stephens reiterated an “overweight” rating and set a $335.00 price objective on shares of Generac in a report on Thursday. Finally, Jefferies Financial Group restated a “buy” rating on shares of Generac in a research note on Thursday. Two analysts have rated the stock with a Strong Buy rating, twelve have assigned a Buy rating and six have given a Hold rating to the company’s stock. According to MarketBeat, the company presently has a consensus rating of “Moderate Buy” and a consensus price target of $295.40. Read Our Latest Stock Analysis on Generac

Generac News Roundup Here are the key news stories impacting Generac this week:

Positive Sentiment: Generac signed a long-term agreement to supply backup generators for Amazon Web Services data centers. Initial deliveries are expected to total approximately $2.4 billion in 2027 and 2028, while the broader agreement could reach $8 billion through 2033. The contract gives Generac greater revenue visibility and expands its position in the rapidly growing data-center power market. Reuters article Positive Sentiment: The Amazon relationship could diversify Generac beyond seasonal residential generator demand. Analysts view the deal as evidence that the company can benefit from the power shortages and grid-connection delays affecting AI and hyperscale data-center construction. Amazon also received warrants to purchase up to roughly 1.69 million Generac shares, aligning its interests with the supplier. Generac Amazon deal article Positive Sentiment: Wall Street became more bullish following the announcement. JPMorgan raised its price target to $265 while maintaining an overweight rating; Canaccord lifted its target to $375 and kept a buy rating; and Stephens reaffirmed its overweight rating with a $335 target. A Seeking Alpha analysis also upgraded Generac to buy, citing a $1.6 billion data-center backlog and potential multi-year AI-related growth. Seeking Alpha analysis Neutral Sentiment: Two insiders, Kyle Raabe and Norman Taffe, sold shares worth approximately $138,000 and $34,000, respectively. Both transactions were executed under pre-arranged Rule 10b5-1 trading plans, and the executives retained substantial holdings, reducing the significance of the sales as a bearish signal. Investors should nevertheless monitor potential dilution from Amazon’s warrants and execution risks as Generac expands production. Institutional Trading of Generac Several hedge funds and other institutional investors have recently bought and sold shares of the stock. BlackRock Inc. purchased a new position in shares of Generac in the 2nd quarter valued at $1,170,960,000. Geode Capital Management LLC lifted its stake in shares of Generac by 0.4% during the 4th quarter. Geode Capital Management LLC now owns 1,490,876 shares of the technology company’s stock worth $202,943,000 after purchasing an additional 6,332 shares during the last quarter. Arrowstreet Capital Limited Partnership boosted its position in Generac by 9.1% during the first quarter. Arrowstreet Capital Limited Partnership now owns 1,038,493 shares of the technology company’s stock valued at $202,849,000 after purchasing an additional 86,863 shares in the last quarter. Bank of America Corp DE purchased a new position in Generac in the second quarter valued at about $175,942,000. Finally, Park Presidio Capital LLC purchased a new position in Generac in the second quarter valued at about $158,140,000. Institutional investors own 84.04% of the company’s stock.

About Generac (Get Free Report)

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.

See Also Five stocks we like better than Generac NVIDIA Just Named AI’s Next Bottleneck—And These 3 Stocks Sit Right In It Gold Has Gone Sideways, But These 3 Stocks Haven’t The AI Bottleneck Is Not Chips Anymore and 3 Pipeline Stocks Are Cashing In These 3 Stocks Under $20 Have Wall Street Looking Past the Share Price

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Analyst’s Disclosure: I/we have no stock, option or similar derivative position in any of the companies mentioned, but may initiate a beneficial Short position through short-selling of the stock, or purchase of put options or similar derivatives in GNRC over the next 72 hours. I wrote this article myself, and it expresses my own opinions. I am not receiving compensation for it (other than from Seeking Alpha). I have no business relationship with any company whose stock is mentioned in this article.

Seeking Alpha's Disclosure: Past performance is no guarantee of future results. No recommendation or advice is being given as to whether any investment is suitable for a particular investor. Any views or opinions expressed above may not reflect those of Seeking Alpha as a whole. Seeking Alpha is not a licensed securities dealer, broker or US investment adviser or investment bank. Our analysts are third party authors that include both professional investors and individual investors who may not be licensed or certified by any institute or regulatory body.

SummaryGenerac Holdings Inc.'s July data center backlog was already $1.6 billion and excluded Amazon's delivery expectations of $2.4 billion across 2027 and 2028.With Amazon, Generac has two hyperscale customers now.C&I margins are improving as data center sales go up. I care more about that trend than the revenue headline or the disappointing residential business.Amazon’s warrant (up to $8 billion) can dilute shareholders as purchases increase.I feel bullish, but I’m watching whether Generac converts this order book without supplier delays or hyperscalers going into a CapEx digestion phase. Getty Images

I didn't see this one coming.

I'm talking about September 17 being a green day for the AI trade after the Fed hiked by 25 bps and Warsh suggested a focus on price stability. As I discussed in

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Analyst’s Disclosure: I/we have no stock, option or similar derivative position in any of the companies mentioned, and no plans to initiate any such positions within the next 72 hours. I wrote this article myself, and it expresses my own opinions. I am not receiving compensation for it (other than from Seeking Alpha). I have no business relationship with any company whose stock is mentioned in this article.

I am not a registered investment adviser, broker, dealer, or tax professional. This article, including any comments or replies I post, reflects my personal opinions only and is provided for informational and educational purposes. Nothing I write is investment, legal, tax, or financial advice, or a personalized recommendation to buy, sell, hold, or short any security. My views may change without notice. Nothing I write is tailored to any reader’s objectives, financial situation, risk tolerance, or portfolio. Investing involves risk, including possible loss of principal. Readers should conduct their own research and consult a qualified professional before making investment decisions.

Seeking Alpha's Disclosure: Past performance is no guarantee of future results. No recommendation or advice is being given as to whether any investment is suitable for a particular investor. Any views or opinions expressed above may not reflect those of Seeking Alpha as a whole. Seeking Alpha is not a licensed securities dealer, broker or US investment adviser or investment bank. Our analysts are third party authors that include both professional investors and individual investors who may not be licensed or certified by any institute or regulatory body.

Generac (GNRC) secures a landmark $2.4B data center backup power deal with Amazon, potentially expanding to $8B, driving shares above $207. Commercial & Industrial segment growth of 29% YoY has driven margin expansion, with operating margin rising from 9.5% to 14.7%. Recent acquisitions, notably Enercon Engineering, strategically position GNRC for hyperscaler and data center opportunities, fueling a substantial backlog.

Generac Holdings (GNRC) saw its shares surge in the last session with trading volume being higher than average. The latest trend in earnings estimate revisions could translate into further price increase in the near term.

JasonDoiy/iStock via Getty Images

Download this episode on Apple Podcasts/Spotify or listen below:

Generac (Quant Hold) surged after announcing agreement with Amazon (Quant Strong Buy) (1:40) Powell in a similar situation to Generac (6:40) Growth does not look great for Kroger (Quant Hold) (9:05)

Transcript

Rena Sherbill: Hi everybody, good afternoon. For those expecting our wonderful Kim Khan today, he is off and in his stead, we bring you something new that I have been doing with our very own head of quant, Steven Cress, every morning around market open, Steve and I sit down and bring you a Wall Street breakfast of our own.

Riffing off Julie Morgan's wonderful Wall Street Breakfast podcast, we highlight the top stocks of the day and we cover them from a quant perspective. Steve dives deep into each stock, shares why it's a buy, a hold, or a sell, and gives some very edifying and actionable details along the way.

We also talk about that morning in the markets and basically afford yourselves an opportunity to hear from one of the really the investing greats of our time, and that's Stephen Cress. I mean, I don't even consider that hyperbolic. So @CressTopStocks, that's on YouTube, X, and TikTok, full episodes on TikTok and YouTube, coming soon, these episodes will be live on X, YouTube, and TikTok. But for now, you can catch them right after we record them right at Market Open.

So as a little preview of what you can expect from that daily morning show, we are gonna give you a taste of that today and on Friday, as you head into the weekend. This is Steve Cress on this morning's Wall Street Breakfast with Steven Cress. Hope you enjoy it.

Welcome back, everybody. It is Thursday, September 17th. We are here with none other than Mr. Steve Cress. Yesterday we were talking about the Fed meeting. They did indeed hike rates as expected. Steve, what are you looking at this morning?

Steven Cress: Really exciting day yesterday for traders and investors. And on the back of that twenty five basis point hike by the Fed, I can largely say that most traders expected it, especially the Bond vigilantes, the interest rate traders, roughly ninety-two percent saw the probability of rates going up twenty five basis points.

I think what was a little bit of a surprise was that forward guidance that there could be another twenty five basis point hike. So initially the expectation was and from history when a hike does take place, the market actually trades up on the day of the hike.

And it was trading up, but when that commentary came out from the Fed chair that there could be possibly another twenty five basis point hike, that projection from the dot plot.

I don't think there was the anticipation that there could be another twenty-five basis point hike, and they clearly indicated that yesterday.

So the market rolled over a little bit, but the good news coming out of that rollover yesterday was that many of the stocks that had been hit hard starting in May and June, which were typically AI stocks, semiconductor stocks, industrial stocks that benefited from AI, have basically been trout from June to recent days.

There's also an important announcement today that came out from Jenarack that kind of confirmations the existing demand for the sector. So I am gonna highlight Generac (GNRC) the stock today because it is up significantly.

Rena Sherbill: I saw that it was up over 30% pre-market after well, I I'll just say after it announced a long-term supply agreement with Amazon (AMZN) that includes 2.4 billion of initial of initial generator deliveries in 2027 and 2028 for Amazon's data centers.

Steven Cress: And that is huge. to the extent in the pre-market here. we're minutes away from the opening, but in the pre-market, the stock is up 32%. so I think there's really two things that are going on. One, we I will say we did have a quant hold on this stock. Looked like the hold wasfairly good.

As I mentioned, a lot of the stocks that focus around data centers and AI got trounced and Generac is not the exception. You can see back in June that the stock was up at 274 and it fell all the way to 175. But this order from Amazon indicates that these companies are live and well.

And yesterday I kind of felt like many of the stocks within the AI trade were bottoming out. So even with the Fed hiking rates by 25 basis points. And the likelihood that there could even be one or two more rate hikes. it may mean that the overall market is softer than expected.

But with these particular stocks that are in the AI trade, they sort of had valuation compression take place already. And as we go into the upcoming quarters, we see that orders and earnings and revenue continue to look good. This could be a really good time to look at companies like Generac.

So Generac, we did have a hold on. Analyst revisions are a B plus. I would imagine in the next day or so that revision grade will change. the growth for the company flattened out. That was one of the reasons for the C. And when I click on that, you can see the year-over-year numbers don't look great for Generac, but some of the board numbers already look good.

And I think that's actually gonna improve. So it has not been a strong stock since June. the fate of this may change on the back of that announcement from Amazon, but also the valuation compression as well. let's take a look at Amazon, where we do have the strong buy. obviously, them being the provider of that order, that stock is up 1.9% in the free market after being off about 1% yesterday, which is really in line with the NASDAQ. So we maintain our strong buy on Amazon.

Now I will say, based on that announcement, I believe there are number of other companies that have gotten hit hard that I want to highlight that should perform well, sort of as we hit this capitulation phase. and we're entering into a period where there's validation that business is still well alive.

So I'm gonna share with you a stock called Powell (POWL). And similar to Generac, if you take a look at this, since June, the stock has gotten hammered. Back in June, it was 307. It's down to 177, this is a quant hold as well. I would mention with this company, it's actually an industrial company, and they benefit by providing a lot of supplies and infrastructure to data centers and to utilities. It's sort of a situation where it's similar to Generac.

Some of the year over year numbers you can see grades in yellow, and some of the forward numbers you see are quite strong. So forward revenue growth is 13.5%. EPS growth going forward is 18 and a half percent compared to the sector at 11.89. the revisions of C, I believe they have one of the biggest backlog orders that they've ever had. So even though a couple of the quarters came in a little bit spotty with these huge backlog orders.

The future should look a little bit better. More in the semiconductor space, but still more of a supplier and not an actual producer of semiconductors. We find Celestica (CLS), this is another stock in June it was 458. Right now it's 339. It's up almost 5% in trading this morning.

So seeing these stocks that I'm talking about right now that were actually up yesterday when the Dow was down one percent, kind of gives me a vote of confidence that that full valuation compression has largely been baked into the stocks.

And on the back of good news, we're seeing these stocks really take off. So I'm seeing on the back of news that's not great with the Fed taking the target rate up by twenty-five basis points and a projection of another twenty five basis point hike, which will most likely happen after the election.

It does provide additional headwinds for the market, but stocks where we saw a rotation from a risk on, risk off, it looks like on the back of this rate hike, investors are actually going back to the risk on trade.

As I said, the valuation compression has taken place already and with a validation of orders coming in, and most of these companies have actually reported on their last quarter record revenues and record earnings. I think we are in for a good period for many of these stocks.

Rena Sherbill: We love a robust answer. We love other options. in our last piece of news for today, Kroger (KR), the grocer, said a summer outbreak of cyclosporiasis cost the grocer more than a hundred million in lost sales as concerns over the contaminated produce weighed on customer traffic.

And Kroger lowered its fiscal year identical store sales outlook, excluding fuel to between point two and point eight percent from its previous forecast of between one and two percent.

The company said the impact continued into Q3. Steve, what do you have to say about Kroger?

Steven Cress: Since the market acts as a forward discount mechanism, a lot of this was baked into the stock already. You can see it's barely down today.

We're at an uptape and perhaps it's on the confirmation of the news. I would say overall with Kroger literally digesting this news event and perhaps having a bit of an impact today, it's down moderately.

I think largely it's already been discounted into stock. But having said that, Quant has had a hold on it. Our Seeking Alpha contributor consensus was a buy and Wall Street consensus was a buy, but for a stock that's in the consumer staple sector and where there's largely been a big rotation to consumer staple stocks, this one has not benefited.

And I believe one of the reasons why is despite the valuation, the growth does not look great for Kroger. So if we take a look at the forward growth, it's a C minus grade, which gives you that instant characterization. That growth is below that of the sector.

And indeed, by looking at the absolute data, you can see growth, forward growth for the company is only 1.23% versus the sector at three and a half. if you scroll down, the year over year numbers look awful for earnings per share. They actually fell by 56% year over year. That's not a pleasant picture.

Going forward, it does look a little bit better. EPS is estimated by consensus for analysts at a growth rate of 7.24% versus the sector at 5.8. So that you know makes the future look a little bit better. Free cash flow for the company is very strong too. The forward free cash flow growth is almost 20% compared to the sector at 5.3%.

And the company's ROE is growing at twelve point six percent. So that's not the ROE rate, that's the actual growth of the ROE. the forward estimate is at twelve percent versus flat for the sector. So there are some growth numbers going forward that look good, but the year over year actual numbers are dragging it down.

So that overall grade is D plus, hence the hold recommendation in terms of analyst revisions for the stock in the last ninety days.We've only had two analysts that have taken their estimates up, and eighteen analysts have actually revised their earnings estimates down. That's painful.

Although I will say for the upcoming quarter, ten analysts revised up and eight revised down. So not quite as painful for the quarter as for the full year look, but certainly not positive enough to be out there buying the stock.

17.9.2026 20:04, DJI, SPX, QQQ

Americké akciové trhy se po předchozím poklesu vyvolaném zvýšením úrokových sazeb vrací k růstu. Náladu na trhu podporuje především pokles cen ropy, který mírní obavy z inflace. Hlavní index Dow Jones si připisuje 0,66 % na 51801,93 bodu, širší S&P 500 roste o 1,11 % na 7635,87 bodu a technologický Nasdaq Composite posiluje o 1,62 % na 26400,41 bodu.

Mezi odvětvími podává nejlepší výkon sektor informačních technologií se ziskem 2,1 %. Výrazně posiluje také zbytná spotřeba, která roste o 1,6 %, a základní materiály se ziskem 0,8 %. Naopak nejslabším odvětvím je nezbytná spotřeba se ztrátou 0,1 %, zatímco finanční sektor i komunikační služby si připisují mírných 0,2 %.

V čele růstových akcií stojí Generac Holdings (GNRC), které rostou o 19 % díky dohodě o dodávkách generátorů pro datová centra. Výrazný vzestup zaznamenává také Super Micro Computer (SMCI) se ziskem 10 %, Intel Corp (INTC) o 9,9 %, Hewlett Packard Enterprise (HPE) o 7,8 % a Moderna (MRNA) o 6,7 %. Na opačné straně oslabuje T-Mobile US (TMUS) o 4,7 %, Copart (CPRT) o 4,0 %, Builders FirstSource (BLDR) o 3,4 %, Axon Enterprise (AXON) o 3,4 % a Paramount Skydance Corp (PSKY) o 3,3 %.

Výnos desetiletých amerických vládních dluhopisů o osm bazických bodů na 4,95 %. Americký dolar se pohybuje bez výraznějších změn, euro vůči němu mírně roste o 0,1 % na 1,1479 USD, britská libra ztrácí 0,2 % na 1,3351 USD a japonský jen posiluje o 0,3 % na 155,81 JPY za dolar. V oblasti komodit klesá cena americké ropy WTI o 1,8 % na 100,62 USD za barel a Brent zlevňuje k hranici 103 USD za barel. Zlato naopak výrazně roste o 2,2 % na 4357,53 USD za trojskou unci. Mírné zisky si připisuje i bitcoin, který roste o 0,3 % na 76303,79 USD.

Index Dow Jones +0,66 % na 51801,93 b.
S&P 500 +1,11 % na 7635,87 b.
Nasdaq Composite +1,62 % na 26400,41 b.

Index S&P 500 +1,11 % na 7635,87 b. Nejsilnější sektory S&P Změna Nejslabší sektory S&P Změna Informační technologie +2,1 % Nezbytná spotřeba -0,1 % Zbytná spotřeba +1,6 % Finanční sektor +0,2 % Základní materiály +0,8 % Komunikační služby +0,2 % Nejsilnější akcie S&P Změna Nejslabší akcie S&P Změna Generac Holdings (GNRC) +19 % T-Mobile US (TMUS) -4,7 % Super Micro Computer (SMCI) +10 % Copart (CPRT) -4,0 % Intel Corp (INTC) +9,9 % Builders FirstSource (BLDR) -3,4 % Hewlett Packard Enterprise (HPE) +7,8 % Axon Enterprise (AXON) -3,4 % Moderna (MRNA) +6,7 % Paramount Skydance Corp (PSKY) -3,3 %
Daniel Marván, Fio banka, a.s.

Amazon just handed Generac a contract that sent shares surging, but buried inside the deal is a warrant arrangement that could let the customer claw back the very gains it created. Here is what the peer group silence from Cummins…

Generac Holdings (NYSE:GNRC | GNRC Price Prediction) stock is up 16% to $203.76 in Thursday morning trading after the backup-power maker announced a long-term agreement to supply generators for hyperscale data centers. Amazon (NASDAQ:AMZN) is the counterparty on the multi-year deal, and the tech giant also received warrants in Generac as part of the arrangement. That combination of a headline revenue win and equity issuance to the customer is the piece the tape has to price this morning.

Sector participation in the Generac stock rally is notably thin. The Industrial Select Sector SPDR ETF (NYSEARCA:XLI) is up 0.1% to $168.89, essentially flat on the session. Meanwhile, the SPDR S&P 500 ETF Trust (NYSE ARCA:SPY) is up 0.9% to $760.8, and the broad market is doing more of the day’s work than industrials.

Caterpillar (NYSE:CAT) stock is up 2% to $799.43 as a shared data-center-power narrative gives it a modest lift, though that move is a fraction of what Generac is putting up. Cummins (NYSE:CMI) stock, the closest listed comparable on standby-generator work for hyperscale customers, is unchanged at $527.48, and the absence of a move is the clearest tell that today’s action with Generac stock is one-company specific rather than a category repricing.

Amazon Deal Converts a Generator Brand Into Data Center Infrastructure Generac’s signed agreement with Amazon is reported at $2.4 billion, and it locks in multi-year volumes of backup generators for Amazon’s data center footprint. That kind of contract reframes Generac from a consumer standby-power brand best known for residential home generators into a hyperscaler-grade infrastructure supplier, which typically earns a different valuation multiple in most sell-side models.

The complication for Generac is the warrant grant. Amazon receiving equity in Generac as part of the arrangement means the customer captures part of the economics its own orders create, and that dilution has to be weighed against the revenue win. So far, the revenue side appears to be winning that argument in the price action, but the warrant math is the piece that may get scrutinized as the initial headline energy around Generac fades (we lined up seven other names powering the AI data center buildout, from power to cooling, in a free report here).

Canaccord’s $8 Billion Figure A separate figure is doing a lot of the emotional work in the Generac stock rally. Canaccord Genuity has flagged that the Amazon relationship could eventually unlock up to $8 billion in orders for Generac, well above the $2.4 billion of business the two sides have actually signed. Sell-side ceiling numbers travel quickly in a session like this one.

That $8 billion is a sell-side potential, not a commitment, and the distance between the contracted amount and the analyst’s ceiling is the entire argument on Generac stock, according to Canaccord Genuity. The bull case prices the Amazon relationship as the anchor account that opens the door to further hyperscaler wins. Skeptics can note that the signed number is what actually shows up on Generac’s invoice, and the rest is a possibility rather than a booking.

Industrial Peers Aren’t Confirming a Sector Repricing for Generac The peer read-across matters here for framing what the market is actually pricing. Cummins also builds standby power systems for data centers and would be the natural beneficiary of a broader repricing of hyperscaler backup demand, yet Cummins is unchanged on the session while Generac runs. Caterpillar’s move is participation, not confirmation, and the XLI is barely off the flat line.

For Generac, the message from the industrial complex is that today’s move is a single-customer, single-supplier event rather than a category repricing of standby power. That is rotation into one name, not a sector-wide verdict on backup generation. It also frames the risk for anyone chasing Generac Holdings on the assumption that peers will follow later in the session.

What to Watch Next Traders may want to keep an eye on whether Generac Holdings holds today’s gains once the initial headline flow fades and the warrant math gets a closer read from the sell-side desks. The stock is running on a customer-conversion story, and follow-through depends on whether a second hyperscaler contract or an order revision from Amazon lands in the coming quarters.

Investors can size their positions in Generac stock with the warrant dilution in mind, since a customer that owns equity in its supplier changes the math on future pricing negotiations. A moderate position in Generac shares, rather than a chase at the highs of the session, keeps their exposure in line with what has actually been contracted versus what is still an analyst projection of what could arrive later.

Contact [email protected] for any questions or corrections.

Generac Holdings Inc (NYSE:GNRC) signed a long-term agreement to supply backup generators for Amazon.com Inc (NASDAQ:AMZN) data centers, with initial deliveries expected to total about $2.4 billion in 2027 and 2028.

The US power equipment maker's shares surged nearly 18% in Thursday morning trading.

As part of the deal, Generac issued Amazon.com NV Investment Holdings a warrant to acquire up to 1.69 million shares in a regulatory filing Wednesday.

The warrant carries an exercise price of $200.93 per share and represents nearly 3% of Generac's outstanding shares.

About 308,000 shares vested immediately, while the remaining shares will vest in tranches tied to Amazon's purchases of backup generators.

Those purchase-linked tranches cover up to $8 billion in aggregate payments from Amazon under the arrangement.

The warrant remains exercisable through September 2033, extending beyond the initial deliveries expected over the two years.

Amazon has previously received supplier warrants tied to its AI and cloud infrastructure buildout, including from hydrogen producer Plug Power (NASDAQ:PLUG) and air cargo contractor ATSG.

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Key Takeaways Generac will supply Amazon backup generators, with initial deliveries of $2.4B expected in 2027 and 2028.Generac's data center backlog reached $1.6B in July 2026 after roughly $1B of new orders in the last 90 daysGenerac is expanding megawatt-generator capacity as data center demand accelerates. Generac Holdings Inc. (GNRC - Free Report) has entered into a major long-term supply agreement with Amazon (AMZN - Free Report) , significantly strengthening its position in the rapidly expanding data center infrastructure market. Shares are up 34.5% in premarket trading today.

In a regulatory filing, Generac disclosed that it will supply backup power generators for Amazon data centers, with initial deliveries expected to total $2.4 billion across 2027 and 2028. Generac also issued Amazon.com NV Investment Holdings LLC a warrant to acquire up to 1,693,745 shares of its common stock at an exercise price of $200.9266 per share. Amazon.com NV Investment Holdings LLC is a wholly owned subsidiary of Amazon.

Of the total warrant shares, 307,954 vested immediately. Generac added that the remaining warrant shares will vest in tranches contingent upon aggregate gross payments, net of certain offsets, received by Generac and its affiliates from or on behalf of Amazon and its affiliates for backup power generators, extending up to a total of $8 billion of qualifying payments.

The Amazon agreement adds considerable scale and visibility to a data center business that is fast emerging as Generac’s key growth engine.

In the second quarter of 2026, the company generated more than $100 million in data center revenues, helping drive a 29% year-over-year increase in Commercial & Industrial segment sales during the quarter. It also secured two multi-year agreements with hyperscale customers.

On the last earnings call, Generac noted that the data center backlog reached $1.6 billion as of July 2026, including roughly $1 billion of new orders received in the prior 90 days, while excluding expected orders from the second hyperscale agreement.

The company is focused on capacity expansion for large megawatt generators to support accelerating demand. Generac is ramping production at existing domestic and international facilities and accelerating the outfitting of its Sussex, WI, facility. Management also acquired the Belvidere, IL, packaging facility, which is expected to be operational in the first quarter of 2027. The Enercon buyout (completed earlier this year) is expected to boost Generac’s vertical integration and support margin expansion for megawatt backup power offerings.

However, data center market expansion brings its own set of concerns. With increasing reliance on this end market, Generac is exposed to cyclical capital spending cycles in AI and data centers. Any delays in manufacturing capacity expansion can also weigh on growth targets. Generac also needs to watch out for increasing competition in the data center space.

Mapping the Competitive TerrainCummins (CMI - Free Report) is also rapidly expanding its data center footprint. Second-quarter 2026 Power Systems revenues rose 19% to $2.3 billion, supported by strong power-generation demand, particularly from data centers.  Cummins is developing a 130-liter natural gas genset for prime power and supplying Circe Energy with QSK60 and HSK78 generators with microgrid technology for a prime power solution supporting a high-performance computing data center in Texas.

The company also signed a multi-year agreement with a global hyperscaler, providing visibility into several gigawatts of future backup-power genset demand. For 2026, Power Systems revenues are expected to grow 14% to 19%. In August, Cummins secured its largest battery energy-storage deployment to date for a major U.S. data-center project.

Caterpillar (CAT - Free Report) is also expanding aggressively in data-center power, increasing competitive pressure. In the second quarter of 2026, Caterpillar’s Power & Energy sales reached $8.2 billion, up 17% year over year. Sales to users grew 33% in the Power & Energy segment. Within Power generation, sales to users grew 72%, supported by strong demand for large gensets and turbines used in data center applications.

Caterpillar is also adding capacity, including restarting a 10-MW medium-speed gas reciprocating platform with about 1.5 GW of planned capacity, with shipments expected to commence in the fourth quarter. Management anticipates full-year 2026 growth in power generation for Cat reciprocating engines and Solar Turbines, driven by rising energy demand from cloud computing and generative-AI data-center buildouts.

GNRC Price Performance, Valuation and EstimatesShares of GNRC have declined 17.3% in the past month while the Manufacturing-General Industrial sector is down 8.3%.

Image Source: Zacks Investment Research

GNRC is trading at a forward 12-month price/earnings ratio of 15.92X, lower than the sector’s multiple of 20.04X.

Image Source: Zacks Investment Research

The Zacks Consensus Estimate for GNRC earnings for 2026 has seen an 8.6% upward revision over the past 60 days.

Image Source: Zacks Investment Research

GNRC currently sports a Zacks Rank #1 (Strong Buy). You can see the complete list of today’s Zacks #1 Rank stocks here.

17.9.2026 15:53, CIEN, CRM, GNRC

Index Dow Jones +0,59 % na 51765,51 b. S&P 500 +1 % na 7627,19 b. Nasdaq Composite +1,32 % na 26321,46 b.

Nejsledovanější americké indexy v úvodu dnešního obchodování posilují. V popředí jsou akcie navázané na výstavbu datových center pro umělou inteligenci. Na druhé straně jsou pak softwarové společnosti v čele se Salesforce (-2,9 %), který očekává ve fiskálním roce 2030 výnosy ve výši 63 mld. USD.

Skokově rostou akcie výrobce záložních generátorů Generac Holdings (+24 %). Společnost se dohodla na dodávce generátorů v hodnotě až 8 mld. USD pro datová centra Amazonu.

Daří se také akciím technologické společnosti Ciena (+10 %), která se specializuje na vývoj síťového hardwaru, poté, co uspořádala setkání s analytiky a představila růstové cíle, které trh vnímá příznivě. Ciena cílí na složenou roční míru růstu tržeb (CAGR) kolem 30 % do fiskálního roku 2029.

Index S&P 500 +1 % na 7627,19 b. Nejsilnější sektory S&P Změna Nejslabší sektory S&P Změna Informační technologie +1,8 % Finanční sektor -0,2 % Zbytná spotřeba +1,3 % Nezbytná spotřeba -0,1 % Průmysl +1,2 % Energie -0,1 % Nejsilnější akcie S&P Změna Nejslabší akcie S&P Změna Generac Holdings (GNRC) +24 % Paramount Skydance Corp (PSKY) -4,0 % Ciena Corp (CIEN) +10 % Reddit (RDDT) -4,0 % Corning (GLW) +7,8 % Salesforce (CRM) -2,9 % Coherent Corp (COHR) +7,7 % Axon Enterprise (AXON) -2,6 % Marvell Technology (MRVL) +7,6 % AppLovin Corp (APP) -2,5 % Zdroj: Bloomberg

Michal Bárta
Fio banka, a.s.
Prohlášení

Generac stock (NYSE: GNRC) surged about 34% in extended trading on Wednesday after Amazon committed billions of dollars to backup generators for its expanding data-centre network, but the agreement gives Amazon more than equipment. Generac expects initial deliveries worth $2.4 billion across 2027 and 2028, while payments tied to the broader relationship could reach $8 billion.

First deliveries of Generac's backup power generators are worth $2.4 billion.

Amazon was granted warrants to purchase up to $340 million worth of Generac stock, sending shares of the backup power provider soaring more than 40% in extended trading on Wednesday.

As part of the agreement, Generac said in a securities filing that it issued warrants to Amazon to acquire up to 1.69 million shares in the company at $200.93 a piece for a total investment that could be worth as much as $8 billion.

Generac will supply Amazon with backup power generators for its data centers, with initial deliveries expected to total $2.4 billion in 2027 and 2028, the filing states.

About 308,000 warrant shares vested immediately and the remaining tranches vest contingent upon payments for the generators.

The warrants are equivalent to almost 3% of outstanding shares in Generac, which has a market cap of about $10.3 billion, as of Wednesday's close.

It marks the latest infrastructure deal for Amazon. Last week, Amazon struck a deal with Qualcomm to use its custom artificial intelligence chips, and got warrants to acquire as much as $4 billion in Qualcomm stock.

Amazon Web Services, the leader in cloud infrastructure, has been rapidly building out data center capacity to meet a surge in compute demand tied to the artificial intelligence boom.

Amazon frequently purchases warrants and takes stakes in its suppliers, including semiconductor firm Astera Labs, air cargo contractor ATSG, green hydrogen supplier Plug Power and grocery distributor Spartan Nash.

California State Teachers Retirement System lifted its position in Generac Holdings Inc. (NYSE:GNRC – Free Report) by 29,322.7% during the second quarter, according to its most recent 13F filing with the Securities and Exchange Commission (SEC). The firm owned 19,945,924 shares of the technology company’s stock after acquiring an additional 19,878,133 shares during the period. California State Teachers Retirement System owned approximately 33.80% of Generac worth $5,840,366,000 at the end of the most recent quarter.

Several other hedge funds and other institutional investors have also bought and sold shares of the company. N.E.W. Advisory Services LLC bought a new stake in Generac in the second quarter valued at approximately $25,000. MUFG Securities EMEA plc bought a new position in shares of Generac during the second quarter worth $25,000. Caitong International Asset Management Co. Ltd acquired a new position in shares of Generac in the 3rd quarter valued at $26,000. Avalon Trust Co bought a new stake in shares of Generac in the 1st quarter valued at $32,000. Finally, Essential Partners LLC increased its position in shares of Generac by 57.0% in the 1st quarter. Essential Partners LLC now owns 168 shares of the technology company’s stock valued at $33,000 after buying an additional 61 shares in the last quarter. Institutional investors own 84.04% of the company’s stock.

Generac Stock Performance Shares of Generac stock opened at $186.45 on Thursday. The company has a debt-to-equity ratio of 0.43, a current ratio of 2.04 and a quick ratio of 1.00. The firm has a market cap of $11.00 billion, a price-to-earnings ratio of 42.96, a price-to-earnings-growth ratio of 1.62 and a beta of 1.91. The stock’s 50-day moving average is $210.46 and its 200-day moving average is $228.58. Generac Holdings Inc. has a one year low of $134.80 and a one year high of $296.44.

Generac (NYSE:GNRC – Get Free Report) last announced its earnings results on Wednesday, July 29th. The technology company reported $2.91 earnings per share (EPS) for the quarter, beating analysts’ consensus estimates of $2.01 by $0.90. The business had revenue of $1.17 billion for the quarter, compared to analyst estimates of $1.18 billion. Generac had a return on equity of 17.83% and a net margin of 5.82%.Generac’s revenue for the quarter was up 10.3% compared to the same quarter last year. During the same quarter last year, the firm earned $1.65 EPS. Equities analysts predict that Generac Holdings Inc. will post 9.78 earnings per share for the current fiscal year. Insider Transactions at Generac In other news, CEO Aaron Jagdfeld sold 5,000 shares of Generac stock in a transaction that occurred on Monday, August 3rd. The shares were sold at an average price of $194.89, for a total value of $974,450.00. Following the sale, the chief executive officer directly owned 554,528 shares in the company, valued at $108,071,961.92. This trade represents a 0.89% 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. The transaction was executed under a pre-arranged Rule 10b5-1 trading plan. Also, insider Norman Taffe sold 550 shares of Generac stock in a transaction that occurred on Wednesday, August 5th. The shares were sold at an average price of $218.83, for a total transaction of $120,356.50. Following the completion of the sale, the insider owned 15,508 shares in the company, valued at $3,393,615.64. This trade represents a 3.43% decrease in their ownership of the stock. 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 sold 12,086 shares of company stock valued at $2,347,160 in the last ninety days. 2.40% of the stock is currently owned by corporate insiders.

Analysts Set New Price Targets Several research analysts have weighed in on the company. Zacks Research upgraded Generac from a “hold” rating to a “strong-buy” rating in a report on Friday, July 31st. TD Cowen reaffirmed a “buy” rating on shares of Generac in a research report on Monday, July 20th. Cantor Fitzgerald lifted their price objective on Generac from $325.00 to $333.00 and gave the company an “overweight” rating in a report on Thursday, July 30th. Jefferies Financial Group reiterated a “buy” rating on shares of Generac in a research report on Wednesday, June 3rd. Finally, Stephens restated an “overweight” rating and set a $290.00 target price on shares of Generac in a report on Thursday, May 21st. Two research analysts have rated the stock with a Strong Buy rating, twelve have assigned a Buy rating and five have issued a Hold rating to the company’s stock. According to MarketBeat, Generac has a consensus rating of “Moderate Buy” and a consensus target price of $284.84.

Read Our Latest Stock Report on GNRC

Generac Company Profile (Free Report)

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.

Featured Stories Five stocks we like better than Generac Qualcomm’s Data Center Bet Looks More Real After Amazon’s AI Deal GE Aerospace’s $11.75B Deal Puts Howmet Aerospace in Focus Casey’s Post-Earnings Drop May Give Investors a Better Entry Into a Quality Retailer Sovereign AI: Palantir and Nebius Cut the Cloud Cord Want to see what other hedge funds are holding GNRC? Visit HoldingsChannel.com to get the latest 13F filings and insider trades for Generac Holdings Inc. (NYSE:GNRC – Free Report).

Receive News & Ratings for Generac Daily - Enter your email address below to receive a concise daily summary of the latest news and analysts' ratings for Generac and related companies with MarketBeat.com's FREE daily email newsletter.

Bank of New York Mellon Corp bought a new stake in Generac Holdings Inc. (NYSE:GNRC – Free Report) in the second quarter, according to its most recent Form 13F filing with the Securities and Exchange Commission (SEC). The fund bought 310,343 shares of the technology company’s stock, valued at approximately $90,872,000. Bank of New York Mellon Corp owned 0.53% of Generac at the end of the most recent quarter.

Other hedge funds have also recently bought and sold shares of the company. Focus Partners Advisor Solutions LLC bought a new position in shares of Generac during the second quarter worth about $478,000. State of Wyoming bought a new stake in Generac in the 2nd quarter valued at approximately $459,000. S&CO Inc. acquired a new position in shares of Generac during the 2nd quarter worth about $469,000. Avalon Trust Co acquired a new position in Generac during the second quarter worth $48,000. Finally, Dagco Inc. acquired a new position in Generac during the second quarter worth approximately $317,000. 84.04% of the stock is currently owned by institutional investors and hedge funds.

Generac Stock Performance Shares of GNRC opened at $203.66 on Tuesday. The firm has a market capitalization of $12.02 billion, a P/E ratio of 46.93, a P/E/G ratio of 1.75 and a beta of 1.92. Generac Holdings Inc. has a 52 week low of $134.80 and a 52 week high of $296.44. The stock has a 50 day moving average price of $232.30 and a two-hundred day moving average price of $229.95. The company has a debt-to-equity ratio of 0.43, a quick ratio of 1.00 and a current ratio of 2.04.

Generac (NYSE:GNRC – Get Free Report) last posted its quarterly 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 during the quarter, compared to analyst estimates of $1.18 billion. Generac had a net margin of 5.82% and a return on equity of 17.83%. The firm’s revenue for the quarter was up 10.3% on a year-over-year basis. During the same quarter in the prior year, the business earned $1.65 earnings per share. Equities analysts forecast that Generac Holdings Inc. will post 9.78 earnings per share for the current fiscal year. Analyst Ratings Changes Several equities analysts have recently commented on GNRC shares. Weiss Ratings raised Generac from a “hold (c-)” rating to a “hold (c)” rating in a research report on Wednesday, August 5th. TD Cowen restated a “buy” rating on shares of Generac in a research report on Monday, July 20th. Barclays dropped their price target on Generac from $285.00 to $278.00 and set an “equal weight” rating for the company in a research note on Thursday, July 30th. Cantor Fitzgerald upped their price objective on shares of Generac from $325.00 to $333.00 and gave the stock an “overweight” rating in a research report on Thursday, July 30th. Finally, Needham & Company LLC increased their price objective on shares of Generac from $282.00 to $283.00 and gave the stock a “buy” rating in a research note on Wednesday, July 29th. Two research analysts have rated the stock with a Strong Buy rating, twelve have assigned a Buy rating and five have assigned a Hold rating to the company’s stock. Based on data from MarketBeat.com, the company has a consensus rating of “Moderate Buy” and a consensus price target of $284.84.

Read Our Latest Research Report on Generac

Insider Transactions at Generac In related news, CEO Aaron Jagdfeld sold 5,000 shares of the company’s stock in a transaction that occurred on Monday, June 1st. The stock was sold at an average price of $272.18, for a total value of $1,360,900.00. Following the transaction, the chief executive officer directly owned 564,528 shares of the company’s stock, valued at approximately $153,653,231.04. This represents a 0.88% decrease in their position. The transaction was disclosed in a legal filing with the SEC, which can be accessed through this hyperlink. The transaction was executed under a pre-arranged Rule 10b5-1 trading plan. Also, insider Kyle Andrew Raabe sold 586 shares of Generac stock in a transaction on Friday, August 7th. The stock was sold at an average price of $213.35, for a total value of $125,023.10. Following the completion of the sale, the insider directly owned 10,746 shares of the company’s stock, valued at $2,292,659.10. The trade was a 5.17% decrease in their position. The disclosure for this sale is available in the SEC filing. The transaction was executed under a pre-arranged Rule 10b5-1 trading plan. Over the last 90 days, insiders have sold 12,236 shares of company stock worth $2,871,273. Insiders own 2.40% of the company’s stock.

Generac Company Profile (Free Report)

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.

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