Allspring Global Investments Holdings LLC raised its position in shares of Generac Holdings Inc. (NYSE:GNRC – Free Report) by 52.5% in the first quarter, according to its most recent 13F filing with the Securities & Exchange Commission. The firm owned 19,418 shares of the technology company’s stock after purchasing an additional 6,682 shares during the period. Allspring Global Investments Holdings LLC’s holdings in Generac were worth $3,865,000 at the end of the most recent quarter.
Several other large investors also recently made changes to their positions in the company. Invesco Ltd. lifted its position in Generac by 49.9% in the fourth quarter. Invesco Ltd. now owns 2,423,971 shares of the technology company’s stock worth $330,557,000 after purchasing an additional 806,430 shares during the period. State Street Corp raised its stake in shares of Generac by 2.1% in the 2nd quarter. State Street Corp now owns 2,189,927 shares of the technology company’s stock worth $313,619,000 after buying an additional 45,592 shares in the last quarter. Boston Partners raised its stake in shares of Generac by 7.1% in the 3rd quarter. Boston Partners now owns 1,947,332 shares of the technology company’s stock worth $326,003,000 after buying an additional 128,439 shares in the last quarter. Geode Capital Management LLC lifted its holdings in shares of Generac by 0.4% in the fourth quarter. Geode Capital Management LLC now owns 1,490,876 shares of the technology company’s stock valued at $202,943,000 after buying an additional 6,332 shares during the period. Finally, Arrowstreet Capital Limited Partnership grew its holdings in Generac by 20.7% during the third quarter. Arrowstreet Capital Limited Partnership now owns 1,104,362 shares of the technology company’s stock worth $184,870,000 after acquiring an additional 189,457 shares during the period. Institutional investors and hedge funds own 84.04% of the company’s stock.
Insider Activity at Generac In other news, CEO Aaron Jagdfeld sold 5,000 shares of the business’s stock in a transaction on Monday, June 1st. The stock was sold at an average price of $272.18, for a total transaction of $1,360,900.00. Following the completion of the sale, the chief executive officer owned 564,528 shares in the company, valued at $153,653,231.04. The trade was a 0.88% decrease in their ownership of the stock. The transaction was disclosed in a legal filing with the SEC, which is available through this link. The transaction was executed under a pre-arranged Rule 10b5-1 trading plan. Also, insider Norman P. Taffe sold 550 shares of Generac stock in a transaction dated Monday, July 6th. The stock was sold at an average price of $256.00, for a total value of $140,800.00. Following the completion of the sale, the insider owned 15,808 shares of the company’s stock, valued at approximately $4,046,848. The trade was a 3.36% decrease in their ownership of the stock. The disclosure for this sale is available in the SEC filing. The transaction was executed under a pre-arranged Rule 10b5-1 trading plan. Insiders have sold 6,100 shares of company stock worth $1,651,443 over the last three months. 2.40% of the stock is owned by insiders.
Wall Street Analyst Weigh In Several equities analysts have recently weighed in on the stock. Canaccord Genuity Group raised their price objective on shares of Generac from $300.00 to $325.00 and gave the company a “buy” rating in a research report on Thursday, April 30th. Stephens reissued an “overweight” rating and set a $290.00 target price on shares of Generac in a research note on Thursday, May 21st. Raymond James Financial set a $302.00 target price on shares of Generac in a report on Friday, May 22nd. Needham & Company LLC reaffirmed a “buy” rating on shares of Generac in a report on Tuesday, June 2nd. Finally, Weiss Ratings downgraded Generac from a “hold (c)” rating to a “hold (c-)” rating in a research report on Tuesday, July 14th. One research analyst has rated the stock with a Strong Buy rating, twelve have given a Buy rating and six have given a Hold rating to the company. According to MarketBeat.com, Generac currently has a consensus rating of “Moderate Buy” and a consensus target price of $286.44.
Check Out Our Latest Report on Generac
Generac Price Performance Generac stock opened at $202.13 on Friday. The company has a debt-to-equity ratio of 0.47, a quick ratio of 0.99 and a current ratio of 2.03. The firm has a market cap of $11.90 billion, a P/E ratio of 63.36, a P/E/G ratio of 1.97 and a beta of 1.89. The business’s fifty day moving average is $256.28 and its two-hundred day moving average is $222.70. 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 released its quarterly earnings results on Wednesday, April 29th. The technology company reported $1.80 earnings per share (EPS) for the quarter, beating analysts’ consensus estimates of $1.33 by $0.47. The business had revenue of $1.06 billion during the quarter, compared to analysts’ expectations of $1.05 billion. Generac had a return on equity of 15.45% and a net margin of 4.37%.The firm’s revenue for the quarter was up 12.5% compared to the same quarter last year. During the same period in the previous year, the business posted $1.26 earnings per share. Equities research analysts forecast that Generac Holdings Inc. will post 8.91 earnings per share for the current fiscal year.
Generac 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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On July 24, 2026, Generac Holdings Inc (GNRC) shares fell 4.0% to $202.01, reflecting a significant decline of 28.9% over the past month. The stock has experien
Key Takeaways Generac's Q2 sales and earnings estimates imply year-over-year growth of 11% and 18.2%.Data center demand and hyperscale opportunities are expected to power C&I growth in the quarter.Q2 adjusted EBITDA margin is expected near 18%, with faster improvement projected later in 2026. Generac Holdings Inc. (GNRC - Free Report) will report second-quarter 2026 results on July 29, before the market opens.
The Zacks Consensus Estimate for revenues is pinned at $1.18 billion, up 11% from the prior-year reported number. The consensus estimate for earnings is $1.95 per share, up 18.2% year over year. The estimate has remained unchanged in the past 60 days.
GNRC’s earnings beat the Zacks Consensus Estimate in two of the trailing four quarters and missed twice, delivering an average surprise of 7.4%.
Price Performance
Image Source: Zacks Investment Research
In the past year, shares of the company have gained 34.1% compared with the Zacks Manufacturing-General Industrial industry’s growth of 3.5%.
Factors at Play Ahead of GNRC’s Q2 ResultsGenerac entered second-quarter 2026 against a backdrop of increasing momentum in its Commercial & Industrial (C&I) segment, driven by robust data center demand, while Residential trends remain more back-half weighted.
Management guided to second-quarter consolidated net sales growth of approximately 9% to 10% year over year, with growth entirely driven by the C&I segment. On the last earnings call, the company highlighted that it was in the final stages of vendor approval with two hyperscale customers. It has also been witnessing backlog expansion for these products with both current and new customers.
Generac’s data center backlog reached more than $700 million at the first quarter-end, representing a roughly $300 million increase since mid-February and providing visibility into 2027 deliveries. Importantly, this number excludes a nonbinding notice to proceed for $600 million in hyperscale data center deliveries expected in 2027, indicating substantial upside potential as the pipeline converts into firm orders. The company has been focused on capacity expansion for large megawatt generators to support accelerating demand.
Within the Residential segment, meaningful growth is skewed toward the second half of 2026, driven by home standby generator, supported by easier comparisons.
Within residential energy technology, ecobee has been emerging as a strategic asset, with more than 5 million connected homes and increased energy services and subscription sales. With the integration of PWRcell 2, PowerMicro microinverter and next-gen standby generators with ecobee, Generac aims to create a differentiated residential energy ecosystem.
Generac expects second-quarter adjusted EBITDA margins to be 18%, representing modest year-over-year expansion. Margin improvement is expected to accelerate in the back half of the year, driven by operating leverage on higher volumes and contributions from the Enercon acquisition.
Nonetheless, volatile macroeconomic conditions, including tariff troubles, stiff competition and increasing operating costs remain additional concerns for Generac.
Heavy reliance on the residential business exposes Generac to weather-driven volatility. Further, 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 could also weigh on growth targets.
Also, Residential energy growth in 2025 was largely driven by Puerto Rico’s energy grant-related program. However, with the completion of the program, energy storage systems declined in the first quarter. GNRC is also recalibrating its investments and expects the solar and storage market to contract in 2026 due to reduced U.S. federal incentives.
Key HighlightsOn June 15, 2026, Generac announced an expansion of its packaging capacity for large-megawatt generators through the acquisition of a new facility in Belvidere, IL.
On June 2, 2026, Generac announced a supply agreement with a major hyperscale data center operator to provide backup power generators for its data center infrastructure following a comprehensive qualification and audit process.
What Does Our Model Unveil for GNRC?Our proven model does not predict an earnings beat for Generac this time around. The combination of a positive Earnings ESP and a Zacks Rank #1 (Strong Buy), 2 (Buy), or 3 (Hold) increases the odds of an earnings beat. This not the case here.
Generac has an Earnings ESP of 0.00% and a Zacks Rank #2 at present. You can uncover the best stocks to buy or sell before they’re reported with our Earnings ESP Filter.
Stocks to ConsiderHere are a few stocks that you may want to consider, as our model shows that these have the right combination of elements to post an earnings beat this season.
Celestica (CLS - Free Report) currently has an Earnings ESP of +1.86% and a Zacks Rank #2. You can see the complete list of today’s Zacks #1 Rank stocks here.
Celestica is scheduled to report quarterly earnings on July 27. The Zacks Consensus Estimate for CLS’ to-be-reported quarter’s earnings and revenues stands at $2.29 per share and $4.35 billion, respectively. Shares of Celestica have gained 96.7% in the past year.
Seagate Technology Holdings plc (STX - Free Report) has an Earnings ESP of +1.75% and a Zacks Rank #1 at present. STX is scheduled to report quarterly figures on July 28. The Zacks Consensus Estimate for Seagate Technology’s to-be-reported quarter’s earnings and revenues is pinned at $5.10 per share and $3.49 billion, respectively. Shares of Seagate Technology are up 505.3% in the past year.
Teradyne (TER - Free Report) has an Earnings ESP of +0.59% and a Zacks Rank #2 at present. The company is scheduled to report quarterly figures on July 28. The Zacks Consensus Estimate for Teradyne’s to-be-reported quarter’s earnings and revenues is pinned at $2.04 per share and $1.22 billion, respectively. Shares of Teradyne are up 314.6% in the past year.
Generac Holdings is transitioning from residential generators to a power solutions provider, with Commercial & Industrial (C&I) now the primary growth driver. Management guides for mid-teens revenue growth and gradual margin expansion, targeting $6.4 billion in revenue by 2028, underpinned by strong data center demand. The C&I segment is expected to grow 20-25% annually through 2028 but operates at lower margins than residential. Modest margin improvement is anticipated as scale increases.
WAUKESHA, Wis., July 15, 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 second quarter 2026 financial results before the market opens on Wednesday, July 29th, 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/zrzjabf4
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. Generac introduced the first affordable backup generator and later created the automatic home standby generator category. 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.
/PRNewswire/ -- Generac Holdings Inc. (NYSE: GNRC), a leading global designer, manufacturer and provider of energy technology solutions and other power
/PRNewswire/ --Generac Holdings Inc. (NYSE: GNRC), azienda leader a livello mondiale nella progettazione, produzione e fornitura di soluzioni tecnologiche per
WAUKESHA, Wis., July 6, 2026 /PRNewswire/ -- Generac Holdings Inc. (NYSE: GNRC), a leading global designer, manufacturer and provider of energy technology solutions and other power products, today announced the promotion of Niccolò Borracchini to Executive Vice President – International, leading the Generac and Pramac-branded business outside the U.S. and Canada, effective immediately.
On July 02, 2026, Generac Holdings Inc GNRC shares fell 6.5% today, closing at $252.66. Over the past week, the stock has lost 14.4%, and it has decreased by 11.2% in the last month. The shares have experienced a 52-week range of $134.80 to $296.44, highlighting significant volatility in the stock price.
GF Value™ verdict: Current price of $252.66 is 56.9% above the GF Value™ of $161.05, indicating overvaluation. GF Score™: 83/100, suggesting strong overall performance. Most notable signal: Insider activity shows that insiders sold $1.4M worth of stock in the last 3 months, with no buying activity. Is GNRC Overvalued or Undervalued? The current market price of Generac Holdings Inc GNRC at $252.66 significantly exceeds the GF Value™ estimate of $161.05, indicating that the stock is overvalued by 56.9%. This overvaluation presents a risk for potential investors, as the price may not be sustainable and could be subject to correction. The GF Valuation label identifies GNRC as significantly overvalued, which suggests that the stock price may not accurately reflect its intrinsic value based on current fundamentals.
GF Value™ is GuruFocus' proprietary measure of intrinsic value, calculated from historical trading multiples, past business growth, and future performance estimates. As the current price is well above the GF Value™, investors should exercise caution, as a decline in stock price may occur if the market adjusts to more realistic valuation levels.
How Does GNRC's Valuation Compare to Its History? Metric Current Historical P/E (TTM) 79.2x 35.3x Forward P/E 28.0x - The current P/E ratio of 79.2x is 124% above GNRC's 5-year median P/E of 35.3x, indicating that the stock is trading at a premium compared to its historical valuation. This analysis aligns with the GF Value™ verdict of overvaluation, reinforcing the notion that the current price may not be justified based on past performance metrics.
What Does GNRC's GF Score™ Tell Us? Metric Rating GF Score™ 83/100 Financial Strength 6/10 Profitability 8/10 Growth 8/10 Valuation 3/10 Momentum 9/10 The GF Score™ of 83/100 indicates a strong overall performance for Generac Holdings Inc. The strongest areas are profitability and growth, both rated at 8/10, suggesting that the company has robust earnings and potential for expansion. However, the Valuation rank of 3/10 highlights concerns regarding the stock's current price relative to its intrinsic value, thereby suggesting a weaker position in this aspect.
What Are Insiders Doing with GNRC Stock? In the last three months, insiders have sold $1.4 million worth of Generac Holdings Inc stock, with no reported buying activity during the same period. This pattern of selling may indicate a lack of confidence from insiders regarding the future performance of the stock, which could be a red flag for potential investors.
What This Means for Investors Based on the GF Value™ assessment, Generac Holdings Inc GNRC is currently overvalued. This overvaluation should prompt caution for those considering an investment in the company, as the stock price appears detached from its intrinsic value.
For the complete analysis, visit the Generac Holdings Inc GNRC stock page. You can also explore the GF Value™ page for detailed valuation methodology, or use the GuruFocus Stock Screener to find similar opportunities.
Frequently Asked Questions What is GNRC's GF Score™?
GNRC's GF Score™ is 83/100, indicating strong overall performance and potential for long-term returns.
Is GNRC overvalued or undervalued?
GNRC is currently overvalued, with a market price that exceeds its GF Value™ estimate by 56.9%.
What is GNRC's P/E ratio?
GNRC's P/E ratio is 79.2x, which is significantly above its 5-year median P/E of 35.3x, reinforcing its overvaluation status.
This stock alert was generated using automated technology and GuruFocus financial data to provide readers with timely and accurate market reporting. This content was reviewed by GuruFocus editorial team prior to publication. Please send any questions or comments about this story to [email protected].
Disclosures I/We may personally own shares in some of the companies mentioned above. However, those positions are not material to either the company or to my/our portfolios.
On June 23, 2026, Generac Holdings Inc GNRC shares fell 7.1% to $274.54, marking a significant decline amidst a fluctuating price history. The stock has experienced a 52-week range of $126.72 to $296.03, highlighting its volatility over the past year.
GF Value™ verdict: Current price of $274.54 is 71.2% above the GF Value™ of $160.39, indicating significant overvaluation.GF Score™ of 77/100 suggests the stock is above average compared to peers.Insiders sold $2.4M worth of stock in the last three months, indicating a lack of confidence in the stock's near-term prospects. Is GNRC Overvalued or Undervalued? The current market price of Generac Holdings Inc GNRC at $274.54 is significantly higher than the GF Value™ estimate of $160.39. This indicates that the stock is overvalued by approximately 71.2%, suggesting a substantial disparity between its current trading price and intrinsic value. The GF Valuation label categorizes GNRC as "Significantly Overvalued," implying that there may be heightened risk for potential investors if the stock price fails to align with its intrinsic value.
Moreover, this overvaluation presents a margin of safety issue for investors. With the current price greatly exceeding the GF Value™, there is a notable risk that the stock could face downward price adjustments if the market corrects itself. GF Value™ is GuruFocus' proprietary measure of intrinsic value, calculated from historical trading multiples, past business growth, and future performance estimates.
How Does GNRC's Valuation Compare to Its History? Metric Current Historical P/E (TTM) 86.1x 35.4x Forward P/E 30.5x N/A Currently, GNRC's P/E ratio of 86.1x is significantly above its 5-year median P/E of 35.4x, indicating the stock is trading at a premium compared to its historical valuation. The forward P/E of 30.5x suggests some expectations of future earnings growth, yet this still aligns with the GF Value™ verdict that GNRC is overvalued. Overall, the P/E analysis supports the notion that the current valuation is not justified based on historical performance.
What Does GNRC's GF Score™ Tell Us? Metric Rating GF Score™ 77 Financial Strength 6/10 Profitability 8/10 Growth 8/10 Valuation 1/10 Momentum 9/10 The GF Score™ of 77/100 indicates that GNRC is performing above average relative to its peers. The strongest areas are in profitability and growth, both rated at 8/10, suggesting that the company has robust earnings capabilities and favorable growth potential. However, the valuation score of 1/10 is a stark contrast, highlighting significant concerns regarding the stock's current price relative to its intrinsic value. Financial strength is also moderately rated at 6/10, suggesting that while the company is stable, there is room for improvement.
What Are Insiders Doing with GNRC Stock? In the past three months, insiders have sold $2.4 million in Generac Holdings Inc GNRC stock, with no reported buying activity. This pattern of selling may indicate a lack of confidence among insiders regarding the stock's future performance, which could be a concerning signal for potential investors. Insiders typically have better insights into the company's operational outlook, and their selling could reflect concerns about valuation or upcoming challenges.
What This Means for Investors Based on the analysis of GF Value™, Generac Holdings Inc GNRC is currently classified as overvalued. The significant gap between the current price and the intrinsic value suggests that investors may face risks associated with holding the stock at this premium level.
For the complete analysis, visit the Generac Holdings Inc GNRC stock page. You can also explore the GF Value™ page for detailed valuation methodology, or use the GuruFocus Stock Screener to find similar opportunities.
Frequently Asked Questions What is GNRC's GF Score™?
GNRC has a GF Score™ of 77/100, indicating it is above average compared to its peers and suggesting potential for higher long-term returns.
Is GNRC overvalued or undervalued?
GNRC is currently overvalued, with a GF Value™ estimate of $160.39, which is significantly lower than the current trading price of $274.54.
What is GNRC's P/E ratio?
GNRC's P/E ratio is 86.1x, which is substantially higher than its 5-year median P/E of 35.4x, suggesting it is trading at a premium compared to its historical valuation.
This stock alert was generated using automated technology and GuruFocus financial data to provide readers with timely and accurate market reporting. This content was reviewed by GuruFocus editorial team prior to publication. Please send any questions or comments about this story to [email protected].
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.
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.
This investment supports continued growth in Generac's Commercial & Industrial business amid rising demand from data centers and mission-critical applications
, /PRNewswire/ -- Generac Holdings Inc. (NYSE: GNRC), a leading global designer, manufacturer and provider of energy technology solutions and other power products, announced the acquisition of a new facility in Belvidere, Illinois. The investment will significantly expand the company's packaging capacity for large-megawatt (MW) generators as demand continues to accelerate across key sectors.
In February, Generac acquired Enercon Engineering, Inc., adding specialized expertise in generator enclosure manufacturing. Building on this capability and in response to rising demand, the new facility will complement Enercon's operations by expanding capacity for enclosure assembly and final packaging, delivering shipment-ready units to customers.
"As demand for reliable backup power continues to grow — particularly from data centers and other mission-critical industries —expanding our capacity to deliver large-megawatt solutions is essential," said Erik Wilde, EVP and President, Domestic C&I at Generac. "This investment strengthens our ability to scale efficiently while maintaining the quality and speed our customers expect."
This investment adds to Generac's continued investments to scale its Commercial & Industrial (C&I) business, including expanded operations in Oshkosh, Wisconsin, and new facilities in Beaver Dam and Sussex, Wisconsin. These efforts are complemented by strategic initiatives such as collaboration with EPC Power and the acquisition of Enercon Engineering. Together, these investments continue to strengthen Generac's domestic manufacturing footprint and position the company to meet growing demand across key markets.
The Belvidere facility is strategically located, providing direct access to major interstate systems and enabling efficient transport of large-scale equipment. The new facility will add more than 100 new jobs when it opens in the first quarter of 2027.
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. Generac introduced the first affordable backup generator and later created the automatic home standby generator category. 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.
Generac's Commercial & Industrial segment now comprises 48.1% of FQ1'26 revenues, supported by a $700M data center backlog and strong hyperscaler demand. The raised FY2026 guidance and expanding EBITDA margins underscore their multi-year tailwinds beyond the last offered FY2028 guidance offered in the Analyst/Investor Day. This is significantly aided by the accretive acquisitions and the expanding manufacturing capacity, allowing them to deliver up to $1.2B in capacity against the $17B TAM.
Generac delivered a strong quarter, beating on both revenue and earnings, with net earnings up 65% and a $700M order backlog. I maintain a hold rating on GNRC, citing both attractive AI/data center-driven upside and accumulating downside risk after a 95% share price rally. GNRC's residential segment remains core, but macro risks—especially potential demand destruction from geopolitical shocks—temper enthusiasm for new positions.
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Stock to Watch: Generac Holdings (GNRC - Free Report) Headquartered in Waukesha, WI, and founded in 1959, Generac Holdings Inc is a leading manufacturer of backup and prime power generation systems for residential and C&I applications, solar + battery storage solutions, advanced power grid software platforms and services, energy management devices and controls along with engine and battery-powered tools and equipment.
GNRC is a #3 (Hold) on the Zacks Rank, with a VGM Score of B.
Momentum investors should take note of this Industrial Products stock. GNRC has a Momentum Style Score of A, and shares are up 33.6% over the past four weeks.
Five analysts revised their earnings estimate higher in the last 60 days for fiscal 2026, while the Zacks Consensus Estimate has increased $0.03 to $8.50 per share. GNRC also boasts an average earnings surprise of +7.4%.
With a solid Zacks Rank and top-tier Momentum and VGM Style Scores, GNRC should be on investors' short list.
Generac Holdings (GNRC +1.91%) stock jumped this week after reporting quarterly earnings and boosting its full-year sales forecast. Shares were about 17% above last week's close as of Friday at noon, according to data provided by S&P Global Market Intelligence.
A sluggish housing market isn't slowing Generac's growth. That's because the company is now seeing strength from the expanding data center construction market.
Image source: The Motley Fool.
Another data center solution Generac's commercial and industrial (C&I) segment reported a 28% sales increase in Q1, helping to drive overall net sales up 12%. Data center operators are looking for off-grid power generation and backup power solutions. Generac offers both.
The company offers commercial battery energy storage systems and diesel generators to provide uninterrupted power to the exploding data center market. Investors have noticed, and the stock is about 90% higher year to date after this week's surge.
Today's Change
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4.91
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262.24
It may not be too late for investors to jump in, though. Management now sees sales growing in the mid-to-high teens percent range this year, a slight boost from prior guidance. Much of that is thanks to the C&I segment, but even residential sales could increase 10% year over year, according to the company.
A strengthening housing market would only help that residential segment. Generac's business is humming right now, and it may not be too late for investors to get on board.
Howard Smith has no position in any of the stocks mentioned. The Motley Fool has no position in any of the stocks mentioned. The Motley Fool has a disclosure policy.
From pre-storm planning to backup power solutions, Generac highlights simple ways homeowners can prepare for power outages and prevent disruptions to everyday life.
, /PRNewswire/ -- Generac Holdings, Inc. (NYSE: GNRC), a leading global designer, manufacturer and provider of energy technology solutions and other power products, is supporting homeowners – especially those in hurricane-prone areas – to take simple steps to prepare for severe weather and storm-related power outages, by sharing the 2026 Hurricane Preparedness Guide to help make that planning easier.
Generac releases the 2026 Hurricane Preparedness Guide. For more than a decade, Generac has equipped homeowners with the tools, insights and proven strategies needed to prepare for hurricane season. Marking its 10th anniversary, the 2026 Hurricane Preparedness Guide expands that leadership with new data on the nation's highest-risk zones and a clearer picture of the cost of power outages, from nightly lodging to basement flooding expenses.
According to Colorado State University's annual Atlantic hurricane season forecast, experts are anticipating 13 named storms with six expected to develop into hurricanes and two forecasted to reach major hurricane strength of a Category 3 or higher.
Communities across the Atlantic and Gulf coasts are reminded that planning is critical.
The 2025 Atlantic hurricane season produced 13 named storms, five of which became hurricanes. And in 2024, the U.S. reported nearly 1.5 billion electric outage hours – the most since Generac began tracking this data. Hurricane Helene and Milton together caused a staggering 9.5 million power outages at storm peaks and over $113 billion in damages. During Hurricanes Helene and Milton, Generac Whole Home Standby Generators reported 5.4 million hours of runtime.
"It only takes one storm to disrupt people's lives. These storms don't just knock out power. As our homes are our sanctuaries, our workplaces and our classrooms, having a backup power plan is essential," said Kyle Raabe, President of Home Power Generation at Generac. "Planning ahead this hurricane season will protect you and your family from unnecessary stress and help you ensure safety and stability during a storm-induced power outage."
Generac urges homeowners across the country, regardless of if they live in a high-risk area, to download the Hurricane Preparedness Guide to learn more about how to prepare for a storm-induced power outage. The 2026 preparedness guide includes information on home energy and power options, safety tips before, during and after the storm and helpful tools such as emergency kit checklists, home inventory forms and important emergency contact resources.
To learn more about Generac's complete line of home backup power solutions, contact your local dealer or visit www.generac.com.
About Generac
Generac Holdings, Inc. (NYSE: GNRC) 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 serving the residential, light commercial, and industrial markets. Generac introduced the first affordable backup generator and later created the automatic home standby generator category. The Company continues to expand its energy technology offerings for homes and businesses in its mission to Power a Smarter World and lead the evolution to more resilient, efficient, and sustainable energy solutions.
Building a successful investment portfolio takes skill and hard work, no matter if you're a growth, value, income, or momentum-focused investor.
But how do you find the right combination of stocks? Funding your retirement, your kids' college tuition, or your short- and long-term savings goals certainly requires significant returns.
Enter the Zacks Rank.
What is the Zacks Rank?The Zacks Rank, which is a unique, proprietary stock-rating model, employs earnings estimate revisions, or changes to a company's earnings expectations, that makes building a winning portfolio easier.
There are four main factors behind the Zacks Rank: Agreement, Magnitude, Upside, and Surprise.
Agreement is the extent to which all brokerage analysts are revising their earnings estimates in the same direction. The greater the percentage of analysts revising their estimates higher, the better chance the stock will outperform.
Magnitude is the size of the recent change in the consensus estimate for the current and next fiscal years.
Upside is the difference between the most accurate estimate, which is calculated by Zacks, and the consensus estimate.
Surprise is made up of a company's last few quarters' earnings per share surprises; companies with a positive earnings surprise are more likely to beat expectations in the future.
Each factor is given a raw score, which is recalculated every night and compiled into the Zacks Rank. Utilizing this data, stocks are put into five different groups: Strong Buy, Buy, Hold, Sell, and Strong Sell.
The Power of Institutional InvestorsThe Zacks Rank also allows individual investors, or retail investors, to benefit from the power of institutional investors.
Institutional investors are the professionals who manage the trillions of dollars invested in mutual funds, investment banks, and hedge funds. Studies have shown that these investors can and do move the market due to the large amounts of money they invest with. Because of this, the market tends to move in the same direction as institutional investors.
These investors are known for designing valuation models that focus on earnings and earnings expectations in order to figure out the fair value of a company and its shares. If earnings estimates are raised, it puts a higher value on a company.
With these changes, institutional investors will act, usually buying stocks with rising estimates and selling those with falling estimates. An increase in earnings expectations can potentially lead to higher stock prices and bigger gains for the investor.
Retail investors who get in at the first sign of upward revisions have a distinct advantage over larger investors since it can often take weeks, if not months, for an institutional investor to build a position. They'll also benefit from the expected institutional buying that could follow.
Not only can the Zacks Rank help you take advantage of trends in earnings estimate revisions, but it can also provide a way to get into stocks that are highly sought after by professionals.
How to Invest with the Zacks RankThe Zacks Rank is known for transforming investment portfolios. In fact, a portfolio of Zacks Rank #1 (Strong Buy) stocks has beaten the market in 26 of the last 32 years, with an average annual return of +23.93%.
Moreover, stocks with a new #1 (Strong Buy) ranking have some of the biggest profit potential, while those that fell to a #4 (Sell) or #5 (Strong Sell) have some of the worst.
Let's take a look at Generac Holdings (GNRC - Free Report) , which was added to the Zacks Rank #1 list on May 7, 2026. Headquartered in Waukesha, WI, and founded in 1959, Generac Holdings Inc is a leading manufacturer of backup and prime power generation systems for residential and C&I applications, solar + battery storage solutions, advanced power grid software platforms and services, energy management devices and controls along with engine and battery-powered tools and equipment.
For fiscal 2026, seven analysts revised their earnings estimate upwards in the last 60 days, and the Zacks Consensus Estimate has increased $0.5 to $8.91 per share. GNRC boasts an average earnings surprise of 7.4%.
Earnings are expected to grow 40.5% for the current fiscal year, while revenue is projected to increase 16.9%.
Additionally, GNRC has climbed higher over the past four weeks, gaining 31.8%. The S&P 500 is up 11.4% in comparison.
Bottom LineWith a #1 (Strong Buy) ranking, positive trend in earnings estimate revisions, and strong market momentum, Generac Holdings should be on investors' shortlist.
If you want even more information on the Zacks Ranks, or one of our many other investing strategies, check out the Zacks Education home page.
Discover Today's Top StocksOur private Zacks #1 Rank List, based on our quantitative Zacks Rank stock-rating system, has more than doubled the S&P 500 since 1988. Applying the Zacks Rank in your own trading can boost your investing returns on your very next trade. See Today's Zacks #1 Rank List >>
Momentum investing is all about the idea of following a stock's recent trend, which can be in either direction. In the "long context," investors will essentially be "buying high, but hoping to sell even higher." And for investors following this methodology, taking advantage of trends in a stock's price is key; once a stock establishes a course, it is more than likely to continue moving in that direction. The goal is that once a stock heads down a fixed path, it will lead to timely and profitable trades.
Even though momentum is a popular stock characteristic, it can be tough to define. Debate surrounding which are the best and worst metrics to focus on is lengthy, but the Zacks Momentum Style Score, part of the Zacks Style Scores, helps address this issue for us.
Below, we take a look at Generac Holdings (GNRC - Free Report) , which currently has a Momentum Style Score of A. We also discuss some of the main drivers of the Momentum Style Score, like price change and earnings estimate revisions.
It's also important to note that Style Scores work as a complement to the Zacks Rank, our stock rating system that has an impressive track record of outperformance. Generac Holdings currently has a Zacks Rank of #1 (Strong Buy). Our research shows that stocks rated Zacks Rank #1 (Strong Buy) and #2 (Buy) and Style Scores of "A or B" outperform the market over the following one-month period.
You can see the current list of Zacks #1 Rank Stocks here >>>
Set to Beat the Market? In order to see if GNRC is a promising momentum pick, let's examine some Momentum Style elements to see if this generator maker holds up.
Looking at a stock's short-term price activity is a great way to gauge if it has momentum, since this can reflect both the current interest in a stock and if buyers or sellers have the upper hand at the moment. It is also useful to compare a security to its industry, as this can help investors pinpoint the top companies in a particular area.
For GNRC, shares are up 17.39% over the past week while the Zacks Manufacturing - General Industrial industry is down 0.01% over the same time period. Shares are looking quite well from a longer time frame too, as the monthly price change of 31.78% compares favorably with the industry's 3.58% performance as well.
While any stock can see its price increase, it takes a real winner to consistently beat the market. That is why looking at longer term price metrics -- such as performance over the past three months or year -- can be useful as well. Over the past quarter, shares of Generac Holdings have risen 24.39%, and are up 130.43% in the last year. In comparison, the S&P 500 has only moved 6.55% and 32.75%, respectively.
Investors should also pay attention to GNRC's average 20-day trading volume. Volume is a useful item in many ways, and the 20-day average establishes a good price-to-volume baseline; a rising stock with above average volume is generally a bullish sign, whereas a declining stock on above average volume is typically bearish. GNRC is currently averaging 835,895 shares for the last 20 days.
Earnings OutlookThe Zacks Momentum Style Score encompasses many things, including estimate revisions and a stock's price movement. Investors should note that earnings estimates are also significant to the Zacks Rank, and a nice path here can be promising. We have recently been noticing this with GNRC.
Over the past two months, 7 earnings estimates moved higher compared to none lower for the full year. These revisions helped boost GNRC's consensus estimate, increasing from $8.41 to $8.91 in the past 60 days. Looking at the next fiscal year, 7 estimates have moved upwards while there have been no downward revisions in the same time period.
Bottom LineGiven these factors, it shouldn't be surprising that GNRC is a #1 (Strong Buy) stock and boasts a Momentum Score of A. If you're looking for a fresh pick that's set to soar in the near-term, make sure to keep Generac Holdings on your short list.
On May 15, 2026, Generac Holdings Inc GNRC shares fell 4.6% today, bringing the current price to $263.68. Over the past year, the stock has seen significant volatility, with a 52-week high of $276.80 and a low of $118.09.
GF Value™ verdict: Current price of $263.68 is 67.7% above the GF Value™ of $157.24, indicating overvaluation.GF Score™: 84/100, suggesting strong overall potential for returns.Most notable signal: Insiders sold $9.6M worth of stock in the last 3 months, indicating possible concerns about future performance. Is GNRC Overvalued or Undervalued? Generac Holdings Inc GNRC is currently trading at $263.68, which is significantly higher than its GF Value™ estimate of $157.24. This represents a substantial 67.7% overvaluation, raising concerns about the sustainability of its current price level. The GF Valuation label categorizes GNRC as significantly overvalued, which suggests that the market may be pricing in overly optimistic growth expectations or that the stock has reached a speculative level lacking fundamental support.
The margin of safety in investing is crucial for mitigating risk, and in this instance, the overvaluation signals a potential risk for investors. If GNRC’s performance does not meet the high expectations reflected in its stock price, investors could face significant losses. GF Value™ is GuruFocus' proprietary measure of intrinsic value, calculated from historical trading multiples, past business growth, and future performance estimates.
How Does GNRC's Valuation Compare to Its History? Metric Current Historical P/E (TTM) 82.4x 35.3x Forward P/E 29.2x N/A GNRC’s current P/E (TTM) of 82.4x is 133% above its 5-year median P/E of 35.3x, indicating that the stock is trading well above its historical valuation levels. This analysis aligns with the GF Value™ verdict of overvaluation, suggesting that the current price may not be justified when compared to the company's historical earnings performance. Moreover, the forward P/E of 29.2x also indicates a premium valuation, further confirming the overvalued status of the stock.
What Does GNRC's GF Score™ Tell Us? Metric Rating GF Score™ 84/100 Financial Strength 6/10 Profitability 8/10 Growth 8/10 Valuation 3/10 Momentum 10/10 The GF Score™ of 84/100 suggests that GNRC has strong potential based on various factors affecting long-term returns. The strongest areas for the company are its Profitability and Growth, both rated 8/10, indicating robust earnings and expansion prospects. However, the Valuation rank of 3/10 highlights significant concerns regarding its current stock price relative to intrinsic value. Financial Strength at 6/10 reflects moderate stability, while a perfect Momentum rank of 10/10 indicates strong price performance recently.
What Are Insiders Doing with GNRC Stock? In the past three months, insiders sold $9.6M worth of Generac Holdings Inc stock, with no reported buying activity. This trend of selling could suggest that insiders may have concerns about the company’s future prospects or find the current price attractive for realizing gains. Such activity can often be a red flag for investors, potentially indicating a lack of confidence in how the stock will perform moving forward.
What This Means for Investors Based on the GF Value™ assessment, Generac Holdings Inc GNRC is currently overvalued. The significant discrepancy between the current price and the intrinsic value suggests caution for potential investors, as the stock may not be able to sustain its current valuation levels without solid performance backing.
For the complete analysis, visit the Generac Holdings Inc GNRC stock page. You can also explore the GF Value™ page for detailed valuation methodology, or use the GuruFocus Stock Screener to find similar opportunities.
Frequently Asked Questions What is GNRC's GF Score™?
GNRC has a GF Score™ of 84/100, which indicates strong potential for generating long-term returns based on key performance metrics.
Is GNRC overvalued or undervalued?
GNRC is currently overvalued, with a GF Value™ of $157.24 compared to its current price of $263.68, suggesting significant risk for investors.
What is GNRC's P/E ratio?
GNRC's P/E (TTM) ratio is 82.4x, which is significantly above its 5-year median P/E of 35.3x, confirming its overvaluation status.
This stock alert was generated using automated technology and GuruFocus financial data to provide readers with timely and accurate market reporting. This content was reviewed by GuruFocus editorial team prior to publication. Please send any questions or comments about this story to [email protected].
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Shares of Generac Holdings GNRC surged on Friday after Jefferies upgraded the backup power equipment maker, citing growing momentum in AI-driven data center infrastructure demand and increasing traction for the company’s Baudouin engines among hyperscale operators.
Generac shares climbed 9% after Jefferies raised its rating on the stock to Buy from Hold and increased its price target to $302 from $239.
The new target implies roughly 22% upside from the stock’s previous closing price of $247.79.
The bullish call comes as investors increasingly focus on companies positioned to benefit from accelerating investments in artificial intelligence infrastructure and large-scale data centers.
Jefferies analyst Tanner James said the company could be approaching a key turning point tied to major supply agreements with hyperscale customers.
“Given the continued strong environment for data center development, and potential indications of activity with hyperscalers, we see an asymmetric positive risk/reward setup,” James wrote in a note to clients.
The analyst also pointed to ongoing negotiations involving large backup generator supply contracts that could potentially be announced later this year.
Jefferies highlighted evidence suggesting that Generac’s Baudouin engines are increasingly being adopted within hyperscaler data center configurations.
“Baudouin engines are finding their way into hyperscaler configurations, pointing to market acceptance for a product only GNRC can ably scale,” James said.
The firm noted that Generac had previously disclosed a nonbinding $600 million notice-to-proceed agreement tied to a potential large customer.
Jefferies described the company as being on the “one-yard line” in securing its first major hyperscaler contract.
Part of the optimism stems from permitting documents tied to the “Stargate” AI infrastructure project in Abilene, Texas.
The filings reportedly reference Baudouin engines, which are supplied exclusively in the United States through Generac.
The project has been associated with hyperscaler-backed data center expansion efforts linked to Oracle Corporation.
However, analysts cautioned that the documents do not directly confirm Generac’s involvement in the project.
Still, Jefferies said the filings indicate broader market acceptance of the engine technology among hyperscale operators building next-generation AI infrastructure.
Jefferies now expects Generac to secure two hyperscaler supply agreements over the next three years, potentially driving substantial revenue growth.
The brokerage forecasts the company could generate $6.8 billion in revenue by 2028, exceeding both existing company guidance and Wall Street consensus estimates.
Adjusted EBITDA could rise to nearly $1.5 billion by 2028, according to the firm, supported by growing commercial and industrial demand alongside improving margins.
The upgrade also reflects broader optimism among analysts covering the stock.
According to LSEG data, 13 out of 21 analysts currently maintain either Buy or Strong Buy ratings on Generac shares.
Although Jefferies’ new price target sits above the broader analyst average of approximately $267, several firms have recently increased their targets as enthusiasm around AI infrastructure spending continues to expand.
Generac shares have already risen nearly 91% so far this year.
Residential generator business remains resilientJefferies also pushed back against concerns that slowing consumer spending could hurt Generac’s core residential backup generator business.
The brokerage argued that home standby generators are increasingly viewed as essential infrastructure, particularly among higher-income homeowners facing rising concerns around grid reliability and extreme weather events.
The combination of stable residential demand and rapidly growing commercial opportunities tied to AI infrastructure has strengthened investor confidence in Generac’s long-term growth prospects.
As hyperscalers continue expanding data center capacity to support artificial intelligence workloads, investors appear increasingly focused on the companies supplying critical backup power systems required to support those facilities.
After reaching an important support level, Generac Holdings (GNRC - Free Report) could be a good stock pick from a technical perspective. GNRC surpassed resistance at the 20-day moving average, suggesting a short-term bullish trend.
The 20-day simple moving average is a popular trading tool. It provides a look back at a stock's price over a 20-day period, and is beneficial to short-term traders since it smooths out price fluctuations and provides more trend reversal signals than longer-term moving averages.
Like other SMAs, if a stock's price is moving above the 20-day, the trend is considered positive. When the price falls below the moving average, it can signal a downward trend.
GNRC could be on the verge of another rally after moving 22.3% higher over the last four weeks. Plus, the company is currently a Zacks Rank #1 (Strong Buy) stock.
Looking at GNRC's earnings estimate revisions, investors will be even more convinced of the bullish uptrend. There have been 7 revisions higher for the current fiscal year compared to none lower, and the consensus estimate has moved up as well.
Investors may want to watch GNRC for more gains in the near future given the company's key technical level and positive earnings estimate revisions.
It has been about a month since the last earnings report for Generac Holdings (GNRC - Free Report) . Shares have added about 7.8% in that time frame, outperforming the S&P 500.
Will the recent positive trend continue leading up to its next earnings release, or is Generac Holdings due for a pullback? Before we dive into how investors and analysts have reacted as of late, let's take a quick look at the latest earnings report in order to get a better handle on the important catalysts.
Generac Tops Q1 Earnings EstimatesGenerac reported first-quarter 2026 adjusted earnings per share (EPS) of $1.80, which beat the Zacks Consensus Estimate of $1.33. Adjusted EPS was $1.26 in the prior-year quarter.
Net sales were $1.06 billion, up 12% from $942 million in the prior-year quarter. The figure also beat the consensus estimate of nearly $1.044 billion. Strength in the Commercial & Industrial (“C&I”) segment, especially the data center market, acted as a catalyst. Generac added that it was in the final stages of vendor approval with several hyperscale customers. It has also expanded the backlog for these products with both current and new customers. The Enercon buyout (completed earlier this month) is expected to boost the company’s vertical integration and support margin expansion for megawatt backup power offerings.
Given the strong first-quarter performance and momentum in the data center market and increasing backlog, Generac now expects 2026 revenues to increase in the mid-to-high teens percent range. This includes a 2% positive impact from the net effect of foreign currency, acquisitions and divestitures. The earlier growth target was in the mid-teens percent range.
C&I product sales are anticipated to increase in the mid-to-high 20% range compared with the earlier target of low-to-mid 20% range. Residential product sales are expected to increase in the 10% range for 2026.
The net income margin (before deducting for non-controlling interests) is expected to be between 8% and 9%. The adjusted EBITDA margin is estimated to be 18.5-19.5% as compared with the earlier guided range of 18-19%.
Segments in DetailBeginning from the first quarter of 2026, Generac’s two reportable segments are now Residential and C&I.
The Residential segment consists of the former Domestic segment minus the domestic C&I operations. The C&I segment consists of the former International segment, plus the domestic C&I operations.
Revenues from Residential were up 1% year over year to $552.2 million, driven by higher portable generator shipments, partially offset by reduced energy storage system sales. Sales of home standby generators remained unchanged from the prior-year quarter as higher pricing offset reduced volumes.
C&I revenues totaled $510.1 million, up 28% year over year. This included 10% net favorable impact from the combination of acquisitions, divestitures and foreign currency. The core revenue growth for the segment was driven by higher sales to data center customers and shipments to domestic industrial distributors and rental channels. Increasing sales of the control solutions to the power generation vertical acted as another tailwind.
The Zacks Consensus Estimate for Residential and C&I products’ first-quarter revenues was pegged at $518 million and $439 million, respectively.
Margin PerformanceGross profit was $410.2 million, up from nearly $372 million in the prior-year quarter, with respective margins of 38.7% and 39.5%. The margin performance was impacted by an unfavorable sales mix, which offset higher price realization.
Total operating expenses were $292.9 million, up 2% year over year, caused by higher intangible amortization.
The operating income was $117.3 million compared with $83.6 million in the prior-year quarter. Adjusted EBITDA, before deducting for non-controlling interests, was $193 million compared with $150 million a year ago.
Cash Flow & LiquidityIn the first quarter, the company generated $119 million of net cash from operating activities. The free cash flow totaled $90 million.
As of March 31, 2025, cash and cash equivalents were $265.5 million with $1.25 billion of long-term borrowings and finance-lease obligations.
The company did not buy back stock in the first quarter. In 2025, the company repurchased 1.1 million shares for $148 million. Management also earlier approved a share repurchase authorization of up to $500 million over the next 24 months. This new program replaces the remaining balance of the earlier program.
How Have Estimates Been Moving Since Then?In the past month, investors have witnessed a upward trend in fresh estimates.
VGM ScoresCurrently, Generac Holdings has a nice Growth Score of B, though it is lagging a lot on the Momentum Score front with a D. Following the exact same course, the stock has a grade of D on the value side, putting it in the bottom 40% for this investment strategy.
Overall, the stock has an aggregate VGM Score of D. If you aren't focused on one strategy, this score is the one you should be interested in.
OutlookEstimates have been broadly trending upward for the stock, and the magnitude of these revisions looks promising. Interestingly, Generac Holdings has a Zacks Rank #3 (Hold). We expect an in-line return from the stock in the next few months.
On June 01, 2026, Generac Holdings Inc GNRC shares fell 3.1% today, bringing the current price to $269.26. Over the past 52 weeks, GNRC has traded between a low of $118.09 and a high of $287.09, reflecting significant volatility in the stock price.
GF Value™ verdict: Current price is $269.26 vs GF Value™ of $158.62, indicating a 69.8% overvaluation.GF Score™: 83/100, which suggests a strong overall quality assessment.Most notable signal: Insider activity reveals that insiders sold $3.4 million worth of shares in the last three months, indicating a lack of buying interest. Is GNRC Overvalued or Undervalued? The current price of Generac Holdings Inc GNRC at $269.26 is significantly higher than the GF Value™ estimate of $158.62, marking the stock as 69.8% overvalued according to GuruFocus' proprietary valuation metrics. This overvaluation suggests that GNRC may not provide a sufficient margin of safety for potential investors, as the current market price considerably exceeds the calculated intrinsic value of the company. The GF Valuation label categorizes GNRC as "Significantly Overvalued," which presents a risk for investors considering entering a position at this price point.
The GF Value™ methodology evaluates intrinsic value by analyzing historical trading multiples, past business growth, and future performance estimates. Given the substantial divergence between market price and GF Value™, investors must be cautious, as this overvaluation could lead to a price correction if the market reassesses the company’s value in the near future.
How Does GNRC's Valuation Compare to Its History? Metric Current Historical P/E (TTM) 84.1x 35.3x Forward P/E 29.9x N/A The current P/E ratio of 84.1x is 138% above its 5-year median P/E of 35.3x, indicating that GNRC is trading significantly above its historical valuation levels. This P/E analysis aligns with the GF Value™ verdict of overvaluation, reinforcing the notion that the current stock price does not reflect the company's historical earnings multiples.
What Does GNRC's GF Score™ Tell Us? The GF Score™ ranks stocks from 0 to 100 based on five key aspects: Financial Strength, Profitability, Growth, Valuation, and Momentum. Stocks with higher GF Score™ values have been found to generate higher long-term returns (backtested 2006-2021).
Metric Rating GF Score™ 83 Financial Strength 6/10 Profitability 8/10 Growth 8/10 Valuation 3/10 Momentum 9/10 Overall, GNRC's GF Score™ of 83 indicates a strong company, particularly in areas of profitability and growth, which are both rated 8/10. The momentum rank of 9/10 also highlights positive price trends. However, the valuation rank of 3/10 suggests that the stock is not favorably priced relative to its earnings, aligning with the concerns raised by the GF Value™ assessment.
What Are Insiders Doing with GNRC Stock? Insider activity for Generac Holdings Inc has shown a bearish trend, with insiders selling $3.4 million worth of shares in the past three months, and no reported purchases. This selling activity may indicate that those with intimate knowledge of the company do not have confidence in the stock's current valuation, which could be a bearish signal for potential investors.
The lack of insider buying further raises concerns about the stock's current price level and potential future performance, as insiders typically gain insight into the company's prospects and may act accordingly.
What This Means for Investors Based on the GF Value™ assessment, Generac Holdings Inc GNRC is currently overvalued. With shares trading at $269.26 compared to a fair value estimate of $158.62, the stock presents significant risks for potential investors. Caution is advised as the current market price far exceeds intrinsic value.
For the complete analysis, visit the Generac Holdings Inc GNRC stock page. You can also explore the GF Value™ page for detailed valuation methodology, or use the GuruFocus Stock Screener to find similar opportunities.
Frequently Asked Questions What is GNRC's GF Score™?
GNRC's GF Score™ is 83/100, indicating a strong overall assessment based on various key metrics.
Is GNRC overvalued or undervalued?
GNRC is currently overvalued, with a GF Value™ estimate of $158.62 compared to a market price of $269.26.
What is GNRC's P/E ratio?
GNRC's P/E ratio is 84.1x, which is significantly higher than its 5-year median P/E of 35.3x, indicating overvaluation relative to its historical earnings.
This stock alert was generated using automated technology and GuruFocus financial data to provide readers with timely and accurate market reporting. This content was reviewed by GuruFocus editorial team prior to publication. Please send any questions or comments about this story to [email protected].
, /PRNewswire/ -- Generac Holdings Inc. (NYSE: GNRC), a leading global designer, manufacturer and provider of energy technology solutions and other power products, today announced it has signed a global supply agreement with a leading hyperscale data center operator to supply backup power generators for the company's data center infrastructure.
Generac signed a global supply agreement with a leading hyperscale data center operator. Data centers underpin the digital infrastructure people rely on every day — banking systems, healthcare delivery, transportation logistics, emergency response, and the broader digital economy. Reliable backup power is the resilience layer that keeps these essential services running through grid disruptions, weather events, and high-demand periods.
The global supply agreement was awarded following a rigorous qualification process including multiple factory visits, performance and quality system reviews, and audits across Generac's broader vendor base.
"This agreement positions Generac at the heart of supporting essential services and the digital economy," said Aaron Jagdfeld, Chairman, President and CEO of Generac. "The successful navigation of this approval process solidifies our position as a top-tier supplier of large megawatt backup power generators and reflects the kind of relationship we expect will grow as the digital economy continues to scale."
"Generac has been supporting mission-critical infrastructure for decades," said Erik Wilde, EVP and President, Domestic C&I at Generac. "Securing this agreement reflects our culture — an engineering-first organization focused on backup power, with the service capabilities required to support critical infrastructure at scale."
Generac has made a series of strategic investments to scale its Commercial & Industrial business and strengthen its global capabilities. Recent initiatives include the collaboration with EPC Power to deploy fully integrated energy solutions for data center applications worldwide, and the acquisition of Enercon, adding 50 years of expertise in generator enclosures and switchgear for mission-critical applications.
These efforts are complemented by the ongoing expansion of manufacturing and operational capacity at facilities in Beaver Dam, Oshkosh and Sussex, Wisconsin, as well as across key regions including APAC, Europe, the Middle East and Latin America, reinforcing Generac's ability to support data center growth with reliable, end-to-end solutions on a global scale. Generac's expertise is further demonstrated through the successful delivery of energy solutions for major colocator data center projects worldwide, supporting some of the industry's leading operators in ensuring resilient, mission-critical infrastructure for rapidly growing digital economies.
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 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.
Forward-looking Information
Certain statements contained in this news release, as well as other information provided from time to time by Generac Holdings Inc. or its employees, may contain forward-looking statements that involve risks and uncertainties that could cause actual results to differ materially from those in the forward-looking statements. Forward-looking statements give Generac's current expectations and projections relating to the Company's financial condition, results of operations, plans, objectives, future performance and business. You can identify forward-looking statements by the fact that they do not relate strictly to historical or current facts. These statements may include words such as "anticipate," "estimate," "expect," "forecast," "project," "plan," "intend," "believe," "confident," "may," "should," "can have," "likely," "future," "optimistic" and other words and terms of similar meaning in connection with any discussion of the timing or nature of future operating or financial performance or other events.
Any such forward-looking statements are not guarantees of performance or results, and involve risks, uncertainties (some of which are beyond the Company's control) and assumptions. Although Generac believes any forward-looking statements are based on reasonable assumptions, you should be aware that many factors could affect Generac's actual financial results and cause them to differ materially from those anticipated in any forward- looking statements, including:
frequency and duration of power outages impacting demand for our products; fluctuations in cost, availability, and quality of raw materials, key components and labor required to manufacture our products; our dependence on a small number of contract manufacturers and component suppliers, including single-source suppliers; changes and volatility with respect to the trade policies of various countries, which may result in new or increased tariffs, trade restrictions, or other unfavorable trade actions; our ability to protect our intellectual property rights or successfully defend against third party infringement claims; changes in durable goods spending by consumers and businesses or other global macroeconomic conditions, impacting demand for our products; changes in governmental policies, particularly with respect to tax incentives, tax credits, or grant programs, which could: (i) affect the demand for certain of our products; or (ii) result in a withdrawal or reduction of grants previously awarded to the Company; increase in product and other liability claims, warranty costs, recalls, or other claims; significant legal proceedings, claims, fines, penalties, tax assessments, lawsuits or government investigations; our ability to consummate our share repurchase programs; our failure or inability to adapt to, or comply with, current or future changes in applicable laws, regulations, and product standards; our ability to develop and enhance products and gain customer acceptance including our offerings that serve the data center and energy technology markets; uncertainty regarding the growth of the data center market; increase in contract risk related to terms with certain data center customers, including cancellation rights, delivery requirements, and potential liability exposure tied to our performance obligations or other claimed damages; our ability to accurately forecast demand for our products and effectively manage inventory levels relative to such forecast; our ability to remain competitive; our dependence on our dealer and distribution network; market reaction to changes in selling prices or mix of products; loss of our key management and employees; disruptions from labor disputes or organized labor activities; our ability to attract and retain employees; disruptions in our manufacturing operations; the possibility that the expected synergies, efficiencies and cost savings of our acquisitions, divestitures, restructurings, or realignments will not be realized, or will not be realized within the expected time period; risks related to sourcing components in foreign countries; compliance with environmental, health and safety laws and regulations; scrutiny regarding our sustainability practices; government regulation of our products; failures or security breaches of our networks, information technology systems, or connected products; risks due to instability caused by geopolitical conflicts; our ability to make payments on our indebtedness; terms of our credit facilities that may restrict our operations; our potential need for additional capital to finance our growth or refinancing our existing credit facilities; risks of impairment of the value of our goodwill and other indefinite-lived assets; volatility of our stock price; and potential tax liabilities. Should one or more of these risks or uncertainties materialize, Generac's actual results may vary in material respects from those projected in any forward-looking statements. A detailed discussion of these and other factors that may affect future results is contained in Generac's filings with the U.S. Securities and Exchange Commission ("SEC"), particularly in the Risk Factors section of the Annual Report on Form 10-K and in its periodic reports on Form 10-Q. Stockholders, potential investors and other readers should consider these factors carefully in evaluating the forward-looking statements.
Any forward-looking statement made by Generac in this press release speaks only as of the date on which it is made. Generac undertakes no obligation to update any forward-looking statement, whether as a result of new information, future developments or otherwise, except as may be required by law.
, /PRNewswire/ -- Generac Holdings Inc. (NYSE: GNRC), a leading global designer, manufacturer and provider of energy technology solutions and other power products, today announced it has signed a global supply agreement with a leading hyperscale data center operator to supply backup power generators for the company's data center infrastructure.
Generac signed a global supply agreement with a leading hyperscale data center operator. Data centers underpin the digital infrastructure people rely on every day — banking systems, healthcare delivery, transportation logistics, emergency response, and the broader digital economy. Reliable backup power is the resilience layer that keeps these essential services running through grid disruptions, weather events, and high-demand periods.
The global supply agreement was awarded following a rigorous qualification process including multiple factory visits, performance and quality system reviews, and audits across Generac's broader vendor base.
"This agreement positions Generac at the heart of supporting essential services and the digital economy," said Aaron Jagdfeld, Chairman, President and CEO of Generac. "The successful navigation of this approval process solidifies our position as a top-tier supplier of large megawatt backup power generators and reflects the kind of relationship we expect will grow as the digital economy continues to scale."
"Generac has been supporting mission-critical infrastructure for decades," said Erik Wilde, EVP and President, Domestic C&I at Generac. "Securing this agreement reflects our culture — an engineering-first organization focused on backup power, with the service capabilities required to support critical infrastructure at scale."
Generac has made a series of strategic investments to scale its Commercial & Industrial business and strengthen its global capabilities. Recent initiatives include the collaboration with EPC Power to deploy fully integrated energy solutions for data center applications worldwide, and the acquisition of Enercon, adding 50 years of expertise in generator enclosures and switchgear for mission-critical applications.
These efforts are complemented by the ongoing expansion of manufacturing and operational capacity at facilities in Beaver Dam, Oshkosh and Sussex, Wisconsin, as well as across key regions including APAC, Europe, the Middle East and Latin America, reinforcing Generac's ability to support data center growth with reliable, end-to-end solutions on a global scale. Generac's expertise is further demonstrated through the successful delivery of energy solutions for major colocator data center projects worldwide, supporting some of the industry's leading operators in ensuring resilient, mission-critical infrastructure for rapidly growing digital economies.
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 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.
Forward-looking Information
Certain statements contained in this news release, as well as other information provided from time to time by Generac Holdings Inc. or its employees, may contain forward-looking statements that involve risks and uncertainties that could cause actual results to differ materially from those in the forward-looking statements. Forward-looking statements give Generac's current expectations and projections relating to the Company's financial condition, results of operations, plans, objectives, future performance and business. You can identify forward-looking statements by the fact that they do not relate strictly to historical or current facts. These statements may include words such as "anticipate," "estimate," "expect," "forecast," "project," "plan," "intend," "believe," "confident," "may," "should," "can have," "likely," "future," "optimistic" and other words and terms of similar meaning in connection with any discussion of the timing or nature of future operating or financial performance or other events.
Any such forward-looking statements are not guarantees of performance or results, and involve risks, uncertainties (some of which are beyond the Company's control) and assumptions. Although Generac believes any forward-looking statements are based on reasonable assumptions, you should be aware that many factors could affect Generac's actual financial results and cause them to differ materially from those anticipated in any forward- looking statements, including:
frequency and duration of power outages impacting demand for our products; fluctuations in cost, availability, and quality of raw materials, key components and labor required to manufacture our products; our dependence on a small number of contract manufacturers and component suppliers, including single-source suppliers; changes and volatility with respect to the trade policies of various countries, which may result in new or increased tariffs, trade restrictions, or other unfavorable trade actions; our ability to protect our intellectual property rights or successfully defend against third party infringement claims; changes in durable goods spending by consumers and businesses or other global macroeconomic conditions, impacting demand for our products; changes in governmental policies, particularly with respect to tax incentives, tax credits, or grant programs, which could: (i) affect the demand for certain of our products; or (ii) result in a withdrawal or reduction of grants previously awarded to the Company; increase in product and other liability claims, warranty costs, recalls, or other claims; significant legal proceedings, claims, fines, penalties, tax assessments, lawsuits or government investigations; our ability to consummate our share repurchase programs; our failure or inability to adapt to, or comply with, current or future changes in applicable laws, regulations, and product standards; our ability to develop and enhance products and gain customer acceptance including our offerings that serve the data center and energy technology markets; uncertainty regarding the growth of the data center market; increase in contract risk related to terms with certain data center customers, including cancellation rights, delivery requirements, and potential liability exposure tied to our performance obligations or other claimed damages; our ability to accurately forecast demand for our products and effectively manage inventory levels relative to such forecast; our ability to remain competitive; our dependence on our dealer and distribution network; market reaction to changes in selling prices or mix of products; loss of our key management and employees; disruptions from labor disputes or organized labor activities; our ability to attract and retain employees; disruptions in our manufacturing operations; the possibility that the expected synergies, efficiencies and cost savings of our acquisitions, divestitures, restructurings, or realignments will not be realized, or will not be realized within the expected time period; risks related to sourcing components in foreign countries; compliance with environmental, health and safety laws and regulations; scrutiny regarding our sustainability practices; government regulation of our products; failures or security breaches of our networks, information technology systems, or connected products; risks due to instability caused by geopolitical conflicts; our ability to make payments on our indebtedness; terms of our credit facilities that may restrict our operations; our potential need for additional capital to finance our growth or refinancing our existing credit facilities; risks of impairment of the value of our goodwill and other indefinite-lived assets; volatility of our stock price; and potential tax liabilities. Should one or more of these risks or uncertainties materialize, Generac's actual results may vary in material respects from those projected in any forward-looking statements. A detailed discussion of these and other factors that may affect future results is contained in Generac's filings with the U.S. Securities and Exchange Commission ("SEC"), particularly in the Risk Factors section of the Annual Report on Form 10-K and in its periodic reports on Form 10-Q. Stockholders, potential investors and other readers should consider these factors carefully in evaluating the forward-looking statements.
Any forward-looking statement made by Generac in this press release speaks only as of the date on which it is made. Generac undertakes no obligation to update any forward-looking statement, whether as a result of new information, future developments or otherwise, except as may be required by law.
Generac Signs Global Supply Agreement with Leading Hyperscale Data Center Operator to Supply Backup Power Generac Signs Global Supply Agreement with Leading Hyperscale Data Center Operator to Supply Backup Power PR Newswire
WAUKESHA, Wis., June 2, 2026
, /PRNewswire/ -- Generac Holdings Inc. (NYSE: GNRC), a leading global designer, manufacturer and provider of energy technology solutions and other power products, today announced it has signed a global supply agreement with a leading hyperscale data center operator to supply backup power generators for the company's data center infrastructure.
Data centers underpin the digital infrastructure people rely on every day — banking systems, healthcare delivery, transportation logistics, emergency response, and the broader digital economy. Reliable backup power is the resilience layer that keeps these essential services running through grid disruptions, weather events, and high-demand periods.
The global supply agreement was awarded following a rigorous qualification process including multiple factory visits, performance and quality system reviews, and audits across Generac's broader vendor base.
"This agreement positions Generac at the heart of supporting essential services and the digital economy," said Aaron Jagdfeld, Chairman, President and CEO of Generac. "The successful navigation of this approval process solidifies our position as a top-tier supplier of large megawatt backup power generators and reflects the kind of relationship we expect will grow as the digital economy continues to scale."
"Generac has been supporting mission-critical infrastructure for decades," said Erik Wilde, EVP and President, Domestic C&I at Generac. "Securing this agreement reflects our culture — an engineering-first organization focused on backup power, with the service capabilities required to support critical infrastructure at scale."
Generac has made a series of strategic investments to scale its Commercial & Industrial business and strengthen its global capabilities. Recent initiatives include the collaboration with EPC Power to deploy fully integrated energy solutions for data center applications worldwide, and the acquisition of Enercon, adding 50 years of expertise in generator enclosures and switchgear for mission-critical applications.
These efforts are complemented by the ongoing expansion of manufacturing and operational capacity at facilities in Beaver Dam, Oshkosh and Sussex, Wisconsin, as well as across key regions including APAC, Europe, the Middle East and Latin America, reinforcing Generac's ability to support data center growth with reliable, end-to-end solutions on a global scale. Generac's expertise is further demonstrated through the successful delivery of energy solutions for major colocator data center projects worldwide, supporting some of the industry's leading operators in ensuring resilient, mission-critical infrastructure for rapidly growing digital economies.
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 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.
Forward-looking Information
Certain statements contained in this news release, as well as other information provided from time to time by Generac Holdings Inc. or its employees, may contain forward-looking statements that involve risks and uncertainties that could cause actual results to differ materially from those in the forward-looking statements. Forward-looking statements give Generac's current expectations and projections relating to the Company's financial condition, results of operations, plans, objectives, future performance and business. You can identify forward-looking statements by the fact that they do not relate strictly to historical or current facts. These statements may include words such as "anticipate," "estimate," "expect," "forecast," "project," "plan," "intend," "believe," "confident," "may," "should," "can have," "likely," "future," "optimistic" and other words and terms of similar meaning in connection with any discussion of the timing or nature of future operating or financial performance or other events.
Any such forward-looking statements are not guarantees of performance or results, and involve risks, uncertainties (some of which are beyond the Company's control) and assumptions. Although Generac believes any forward-looking statements are based on reasonable assumptions, you should be aware that many factors could affect Generac's actual financial results and cause them to differ materially from those anticipated in any forward- looking statements, including:
frequency and duration of power outages impacting demand for our products;fluctuations in cost, availability, and quality of raw materials, key components and labor required to manufacture our products;our dependence on a small number of contract manufacturers and component suppliers, including single-source suppliers;changes and volatility with respect to the trade policies of various countries, which may result in new or increased tariffs, trade restrictions, or other unfavorable trade actions;our ability to protect our intellectual property rights or successfully defend against third party infringement claims;changes in durable goods spending by consumers and businesses or other global macroeconomic conditions, impacting demand for our products;changes in governmental policies, particularly with respect to tax incentives, tax credits, or grant programs, which could: (i) affect the demand for certain of our products; or (ii) result in a withdrawal or reduction of grants previously awarded to the Company;increase in product and other liability claims, warranty costs, recalls, or other claims;significant legal proceedings, claims, fines, penalties, tax assessments, lawsuits or government investigations;our ability to consummate our share repurchase programs;our failure or inability to adapt to, or comply with, current or future changes in applicable laws, regulations, and product standards;our ability to develop and enhance products and gain customer acceptance including our offerings that serve the data center and energy technology markets;uncertainty regarding the growth of the data center market;increase in contract risk related to terms with certain data center customers, including cancellation rights, delivery requirements, and potential liability exposure tied to our performance obligations or other claimed damages;our ability to accurately forecast demand for our products and effectively manage inventory levels relative to such forecast;our ability to remain competitive;our dependence on our dealer and distribution network;market reaction to changes in selling prices or mix of products;loss of our key management and employees;disruptions from labor disputes or organized labor activities;our ability to attract and retain employees;disruptions in our manufacturing operations;the possibility that the expected synergies, efficiencies and cost savings of our acquisitions, divestitures, restructurings, or realignments will not be realized, or will not be realized within the expected time period;risks related to sourcing components in foreign countries;compliance with environmental, health and safety laws and regulations;scrutiny regarding our sustainability practices;government regulation of our products;failures or security breaches of our networks, information technology systems, or connected products;risks due to instability caused by geopolitical conflicts;our ability to make payments on our indebtedness;terms of our credit facilities that may restrict our operations;our potential need for additional capital to finance our growth or refinancing our existing credit facilities;risks of impairment of the value of our goodwill and other indefinite-lived assets;volatility of our stock price; andpotential tax liabilities.Should one or more of these risks or uncertainties materialize, Generac's actual results may vary in material respects from those projected in any forward-looking statements. A detailed discussion of these and other factors that may affect future results is contained in Generac's filings with the U.S. Securities and Exchange Commission ("SEC"), particularly in the Risk Factors section of the Annual Report on Form 10-K and in its periodic reports on Form 10-Q. Stockholders, potential investors and other readers should consider these factors carefully in evaluating the forward-looking statements.
Any forward-looking statement made by Generac in this press release speaks only as of the date on which it is made. Generac undertakes no obligation to update any forward-looking statement, whether as a result of new information, future developments or otherwise, except as may be required by law.
View original content to download multimedia:https://www.prnewswire.com/news-releases/generac-signs-global-supply-agreement-with-leading-hyperscale-data-center-operator-to-supply-backup-power-302787834.html
Generac CEO Aaron Jagdfeld joins ‘Squawk on the Street' to discuss the company's global supply agreement to provide generators to a major hyperscaler, how the deal could transform the business, and more.
This recognition underscores Generac's momentum in delivering large-scale, mission-critical backup power.
, /PRNewswire/ -- Generac Holdings Inc. (NYSE: GNRC), a leading global designer, manufacturer and provider of energy technology solutions and other power products, today announced that its SD3250 3.25MW generator has been named the Gold winner in the Power Generation & Electrical Infrastructure category of the 2026 Consulting-Specifying Engineer (CSE) Product of the Year awards.
SD3250 3.25MW generator The recognition represents the highest honor within the category and is awarded through a competitive, reader-driven voting process involving qualified consulting-specifying engineers and industry professionals. The annual program recognizes innovative products that demonstrate technological advancement, service to the industry and impact on the market.
"This award is especially meaningful because it comes directly from the engineers and professionals who design, specify and deploy power solutions in mission-critical environments," said Erik Wilde, EVP and President, Domestic C&I. "The SD3250 reflects our continued investment in delivering large-scale power solutions that meet the evolving needs of commercial and industrial customers and we're proud to see that work recognized by the specifying engineer community."
The 3.25MW unit, Generac's largest diesel generator, is designed to support mission-critical applications in a wide range of industries including data centers, healthcare and infrastructure. This model is part of Generac's series of new large diesel generators ranging from 1.75-3.25 MW.
This award follows a series of investments Generac has made to scale its Commercial & Industrial business. Recent investments include the collaboration with EPC Power to deploy fully integrated energy solutions for data center applications, the acquisition of Enercon, bringing 50 years of expertise in generator enclosures and switchgear for mission-critical applications, and continued expansion of domestic manufacturing capacity at facilities in Beaver Dam, Oshkosh and Sussex, Wisconsin.
For more information about Generac's commercial and industrial power solutions, visit www.generac.com/industrial/.
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. Generac introduced the first affordable backup generator and later created the automatic home standby generator category. 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.
This is a fair market value price provided by Massive. Learn more.
52-Week Range$123.66▼
$294.18P/E Ratio82.01
Price Target$278.65
Power consumption is the hardest physical limit on artificial intelligence (AI) scaling. As tech giants race to build the next generation of power-hungry data centers, a legacy manufacturer known for residential backup generators has executed a brilliant strategic pivot.
A strategic pivot that now positions Generac Holdings Inc. NYSE: GNRC as a critical infrastructure supplier for the AI supercycle.
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Following a landmark global supply agreement with an undisclosed top-tier hyperscaler, Generac is quietly positioning itself inside the mission-critical grid resilience layer required to keep the AI revolution online, as multi-billion-dollar initiatives like Stargate accelerate demand for reliable backup power.
This deliberate transition from a weather-dependent residential business to a larger data-center-driven commercial and industrial business appears poised to unlock a new, more predictable phase of significant growth. It represents a structural shift that some investors are beginning to notice.
Generac's Ticket to the AI Big LeaguesOn June 2, 2026, Generac announced it had secured a global supply agreement with an undisclosed hyperscale data center operator to provide large-megawatt backup power generators. The news was a clear market signal, validating the industrial pivot and sending Generac shares up nearly 8% in a single session.
Generac Holdings Inc. (GNRC) Price Chart for Friday, June, 12, 2026
The agreement did not come with a disclosed order value, but it builds on an already meaningful data center backlog. Generac reported more than $700 million in data center backlog in Q1, up roughly $300 million from its mid-February update, giving the company revenue visibility into 2027 before any additional contribution from larger hyperscale opportunities.
While the partner remains officially confidential, the deal is heavily connected to the Stargate AI data center, a rumored $100 billion joint venture involving OpenAI, Oracle, and SoftBank. The evidence lies in plain sight within Texas air permitting documents filed for the project's Abilene site.
These public records explicitly list emergency generators powered by Baudouin engines, a brand used in Generac’s large-megawatt data center generator lineup.
This is not just a one-off contract; it is a technical and logistical validation of Generac's capacity to meet the rigorous, always-on demands of the world's most advanced computing infrastructure. Landing a piece of this foundational AI project serves as a powerful calling card for future hyperscale contracts globally.
Generac's Financials Power Up for GrowthGenerac's recent financial performance provides a strong foundation for this growth narrative.
Generac delivered a robust first quarter for 2026, reporting net sales of $1.06 billion, a 12% year-over-year increase. More impressively, earnings per share (EPS) came in at $1.80, crushing consensus estimates of $1.33 by a remarkable 35%.
The key metric for this strategic pivot, however, is margin expansion. Adjusted earnings before interest, taxes, depreciation, and amortization (EBITDA) margins hit 18.3%, reflecting companywide operating leverage and strong C&I momentum.
After the solid report, Generac raised its full-year 2026 revenue guidance to mid-to-high teens growth, with adjusted EBITDA margins now projected to reach 19% at the midpoint.
Current Price$261.59High Forecast$335.00Average Forecast$278.65Low Forecast$202.00Generac Stock Forecast Details
Sell-side analysts reacted swiftly to the hyperscaler and data-center catalyst and improved outlook.
Jefferies upgraded the stock from a Hold to a Buy, raising its price target to $302.
Their long-term model forecasts a clear path for Generac to achieve $6.8 billion in total revenue and nearly $1.5 billion in adjusted EBITDA by 2028.
The outlook is contingent on securing at least two major hyperscaler contracts within the next three years, a goal that now seems attainable.
This trajectory underscores the massive margin expansion potential as the sales mix shifts from lower-margin residential products to high-value, long-term industrial solutions.
The Price of Power: Insider Selling Vs. Analyst HypeDespite the compelling growth story, investors must analyze the counterarguments. The primary risk factor is valuation. With a trailing 12-month price-to-earnings (P/E) ratio of approximately 87x, Generac trades at a significant premium. This multiple suggests the market has already priced in substantial future AI-driven growth, leaving less room for error or execution missteps.
Generac also faces stiff competition from established industrial incumbents such as Caterpillar NYSE: CAT, Cummins NYSE: CMI, and Kohler, all of which have deep roots and extensive global service networks in the data center power space.
But even as analysts have become more constructive on Generac’s AI data center opportunity, there has been no insider buying activity over the past year.
However, it is also worth noting that the only reported insider sale over the past three months came from CEO Aaron Jagdfeld, whose June 1 sale of 5,000 shares for approximately $1.36 million was conducted under a prearranged Rule 10b5-1 trading plan. That planned transaction does not meaningfully support a bearish read on its own, but the absence of insider buying gives investors another risk factor to weigh against the recent wave of bullish analyst upgrades and the stock’s premium valuation.
Plugging Into Generac's AI Power SurgeGenerac presents a unique and timely investment thesis. The industrial giant is successfully leveraging its core competency in power generation to penetrate the booming AI data center market, offering a crucial pick-and-shovel play on one of the most significant technological shifts of our time. The hyperscaler contract provides tangible proof of this strategic pivot and its clear potential for significant, sustained margin expansion.
However, the stock's premium valuation and the recent pattern of insider selling are material risks that cannot be ignored. A short interest of approximately 4.58% of the float also indicates a healthy market debate between bullish momentum investors and those skeptical of the current price.
Investors with a higher risk tolerance and a long-term horizon might consider Generac an essential infrastructure component for a diversified AI-focused portfolio. More cautious investors, conversely, may prefer to add Generac to their watchlist, waiting for a broader market pullback or a period of consolidation to offer a more attractive entry point into this compelling grid-resilience story.
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