Generac (GNRC)
NYSEIndustrialsSpecialty Industrial MachinerySnapshot 2026-07-07
$235.55-8.63%
Close 2026-07-07 · 1-day change
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Track GNRC free→Generac grows sales about 15% a year, supported by new data center deals. Profit margins are improving toward 19%. The company is completing strategic acquisitions to strengthen its market. Free cash flow and earnings are stable despite recent stock selloff.
Sales growth may slow below mid-teens as sector headwinds persist. Profit margins could fall below 18.5%. Recent sharp stock selloff signals investor concerns. Acquisitions may not deliver expected benefits.
The price sits about 4% above our fair value near $229, reflecting roughly 19% revenue growth expected by analysts. Our fair value is 22% below the Street median, indicating some valuation caution.
Breaks if: Adjusted EBITDA margin falls below 17% in FY26
Generac plans to improve its adjusted EBITDA margin to approximately 18.5 to 19.5% for 2026.
Stated in 2 of last 2 quarters. Adjusted EBITDA margin increased from 15.9% in 2025-Q1 to 18.3% in 2026-Q1, showing progress towards the updated guidance of 18.5 to 19.5%. The trajectory is delivering on the stated priority.
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“Adjusted EBITDA margin is now expected to be approximately 18.5 to 19.5%.”
“Adjusted EBITDA margin, before deducting for non-controlling interests, is expected to be approximately 18.0 to 19.0%.”
Breaks if: YoY revenue growth falls below 12% in FY26
Generac aims to increase its full-year 2026 net sales growth guidance to mid-to-high teens percent range.
Stated in 2 of last 2 quarters. Net sales increased 12% to $1.06 billion during the first quarter of 2026, supporting the updated guidance for mid-to-high teens percent growth. The trajectory is delivering on the revised guidance.
“The Company is updating its full-year 2026 net sales growth guidance to be in the mid-to-high teens percent range.”
“The Company is initiating its full-year 2026 net sales growth guidance to be in the mid-teens percent range.”
Breaks if: Failure to complete announced acquisitions by end of FY26
Generac aims to complete strategic acquisitions to enhance its market position and capabilities.