Piper Sandler has revised its price target for Generac (GNRC, Financial), reducing it from $175 to $155, while maintaining an Overweight rating on the stock. This adjustment comes as attention shifts from the company's upcoming first-quarter earnings to potential tariff implications.
Generac, known for its extensive global supply chain, relies significantly on Chinese imports, prompting concerns about the impact of tariffs. To mitigate these risks, the company is expected to gradually transition its sourcing to countries outside of China. Piper Sandler anticipates that this strategic shift could result in future price increases for Generac's products.
While Generac has substantial inventory to buffer immediate disruptions, the focus remains on how effectively the company can adapt its supply chain and manage costs moving forward. These changes are seen as crucial in maintaining Generac's financial health amidst evolving trade dynamics.
Wall Street Analysts Forecast
Based on the one-year price targets offered by 19 analysts, the average target price for Generac Holdings Inc (GNRC, Financial) is $175.16 with a high estimate of $205.00 and a low estimate of $130.00. The average target implies an upside of 58.30% from the current price of $110.65. More detailed estimate data can be found on the Generac Holdings Inc (GNRC) Forecast page.
Based on the consensus recommendation from 26 brokerage firms, Generac Holdings Inc's (GNRC, Financial) average brokerage recommendation is currently 2.3, indicating "Outperform" status. The rating scale ranges from 1 to 5, where 1 signifies Strong Buy, and 5 denotes Sell.
Based on GuruFocus estimates, the estimated GF Value for Generac Holdings Inc (GNRC, Financial) in one year is $159.68, suggesting a upside of 44.31% from the current price of $110.65. GF Value is GuruFocus' estimate of the fair value that the stock should be traded at. It is calculated based on the historical multiples the stock has traded at previously, as well as past business growth and the future estimates of the business' performance. More detailed data can be found on the Generac Holdings Inc (GNRC) Summary page.
