The Generac Opportunity: Why A Post-Earnings Sell-Off Creates An Attractive Entry Point, According To This Analyst
Portfolio Pulse from Lekha Gupta
Truist Securities analyst Jordan Levy upgraded Generac Holdings Inc (GNRC) to Buy from Hold at a $160 price target following Q2 FY23 results. Despite a 23% YoY sales decline, the company reported Q2 sales of $1.00 billion, above the consensus of $985.02 billion. The analyst revised FY23 revenues to $4.05 billion and EBITDA estimate to $643 million. For FY24, the analyst expects a gross margin expansion to 36% with a higher residential segment revenue and recovery in home standby generators.
August 04, 2023 | 7:16 pm
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Generac Holdings Inc has been upgraded to Buy from Hold by Truist Securities analyst Jordan Levy, with a price target of $160. This follows Q2 FY23 results, with the company reporting sales of $1.00 billion, above the consensus. FY23 revenues and EBITDA estimates have been revised upwards.
The upgrade by Truist Securities analyst Jordan Levy is a positive signal for Generac Holdings. Despite a YoY sales decline, the company managed to beat the consensus, which is a positive sign. The upward revision of FY23 revenues and EBITDA estimates also indicates a positive outlook for the company's financial performance. This could potentially lead to an increase in the company's stock price in the short term.
CONFIDENCE 90
IMPORTANCE 80
RELEVANCE 100