Generac Holdings Inc. (GNRC, Financial) received a boost as Citi elevated its stock rating from Neutral to Buy, setting a price target of $138. The financial institution highlighted that Generac is strategically poised to maintain its profit margins, especially in light of an anticipated active hurricane season that could drive demand.
Citi analysts noted that Generac has a robust history of maneuvering tariff challenges, as evidenced during President Trump’s first term. This resilience is attributed to the company's significant domestic market presence compared to international competitors, providing it with substantial pricing leverage.
Furthermore, Citi emphasized that even if Generac operates below its projected margins and historical valuation multiples, the risk/reward profile of the stock remains attractive. This confidence underscores the belief in Generac's potential for growth and market resilience.
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.
