Generac Holdings (GNRC) Gains As Market Dips: What You Should Know
Generac Holdings (GNRC) closed the most recent trading day at $113.48, moving +0.5% from the previous trading session. The stock outpaced the S&P 500's daily loss of 0.7%. Elsewhere, the Dow lost 0.87%, while the tech-heavy Nasdaq added 2.77%.
Heading into today, shares of the generator maker had lost 9.82% over the past month, lagging the Computer and Technology sector's loss of 2.73% and the S&P 500's loss of 5.06% in that time.
Wall Street will be looking for positivity from Generac Holdings as it approaches its next earnings report date. On that day, Generac Holdings is projected to report earnings of $0.59 per share, which would represent a year-over-year decline of 71.77%. Meanwhile, our latest consensus estimate is calling for revenue of $858.16 million, down 24.45% from the prior-year quarter.
Looking at the full year, our Zacks Consensus Estimates suggest analysts are expecting earnings of $6.29 per share and revenue of $4.1 billion. These totals would mark changes of -24.49% and -10.16%, respectively, from last year.
Investors might also notice recent changes to analyst estimates for Generac Holdings. These revisions typically reflect the latest short-term business trends, which can change frequently. With this in mind, we can consider positive estimate revisions a sign of optimism about the company's business outlook.
Research indicates that these estimate revisions are directly correlated with near-term share price momentum. To benefit from this, we have developed the Zacks Rank, a proprietary model which takes these estimate changes into account and provides an actionable rating system.
The Zacks Rank system ranges from #1 (Strong Buy) to #5 (Strong Sell). It has a remarkable, outside-audited track record of success, with #1 stocks delivering an average annual return of +25% since 1988. Over the past month, the Zacks Consensus EPS estimate has moved 9.78% lower. Generac Holdings is currently a Zacks Rank #3 (Hold).
Valuation is also important, so investors should note that Generac Holdings has a Forward P/E ratio of 17.96 right now. This represents a no noticeable deviation compared to its industry's average Forward P/E of 17.96.
It is also worth noting that GNRC currently has a PEG ratio of 1.8. This metric is used similarly to the famous P/E ratio, but the PEG ratio also takes into account the stock's expected earnings growth rate. The Electronics - Power Generation industry currently had an average PEG ratio of 1.47 as of yesterday's close.
The Electronics - Power Generation industry is part of the Computer and Technology sector. This industry currently has a Zacks Industry Rank of 20, which puts it in the top 8% of all 250+ industries.
The Zacks Industry Rank includes is listed in order from best to worst in terms of the average Zacks Rank of the individual companies within each of these sectors. Our research shows that the top 50% rated industries outperform the bottom half by a factor of 2 to 1.
Make sure to utilize Zacks.com to follow all of these stock-moving metrics, and more, in the coming trading sessions.
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Generac Holdings Inc. (GNRC) : Free Stock Analysis Report
