Generac Holdings (GNRC) Rises Higher Than Market: Key Facts
The most recent trading session ended with Generac Holdings (GNRC) standing at $114.64, reflecting a +1.3% shift from the previouse trading day's closing. This change outpaced the S&P 500's 0.53% gain on the day. On the other hand, the Dow registered a gain of 0.64%, and the technology-centric Nasdaq increased by 0.19%.
The generator maker's stock has dropped by 13.14% in the past month, falling short of the Computer and Technology sector's gain of 5.21% and the S&P 500's gain of 2.48%.
Market participants will be closely following the financial results of Generac Holdings in its upcoming release. It is anticipated that the company will report an EPS of $2.10, marking a 17.98% rise compared to the same quarter of the previous year. Alongside, our most recent consensus estimate is anticipating revenue of $1.1 billion, indicating a 4.56% upward movement from the same quarter last year.
Investors should also take note of any recent adjustments to analyst estimates for Generac Holdings. These recent revisions tend to reflect the evolving nature of short-term business trends. As such, positive estimate revisions reflect analyst optimism about the company's business and profitability.
Research indicates that these estimate revisions are directly correlated with near-term share price momentum. To utilize this, we have created the Zacks Rank, a proprietary model that integrates these estimate changes and provides a functional rating system.
The Zacks Rank system, which ranges from #1 (Strong Buy) to #5 (Strong Sell), has an impressive outside-audited track record of outperformance, with #1 stocks generating an average annual return of +25% since 1988. Over the past month, the Zacks Consensus EPS estimate has shifted 0.1% downward. Generac Holdings presently features a Zacks Rank of #3 (Hold).
Valuation is also important, so investors should note that Generac Holdings has a Forward P/E ratio of 15.41 right now. This indicates a premium in contrast to its industry's Forward P/E of 13.38.
We can additionally observe that GNRC currently boasts a PEG ratio of 1.54. This popular metric is similar to the widely-known P/E ratio, with the difference being that the PEG ratio also takes into account the company's expected earnings growth rate. As the market closed yesterday, the Electronics - Power Generation industry was having an average PEG ratio of 4.78.
The Electronics - Power Generation industry is part of the Computer and Technology sector. This industry currently has a Zacks Industry Rank of 113, which puts it in the top 45% of all 250+ industries.
The Zacks Industry Rank assesses the strength of our separate industry groups by calculating the average Zacks Rank of the individual stocks contained within the groups. Our research shows that the top 50% rated industries outperform the bottom half by a factor of 2 to 1.
To follow GNRC in the coming trading sessions, be sure to utilize Zacks.com.
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Generac Holdings Inc. (GNRC) : Free Stock Analysis Report
