Here's Why Generac Holdings (GNRC) is a Strong Value Stock
For new and old investors, taking full advantage of the stock market and investing with confidence are common goals.
While you may have an investing style you rely on, finding great stocks is made easier with the Zacks Style Scores. These are complementary indicators that rate stocks based on value, growth, and/or momentum characteristics.
Why Investors Should Pay Attention to This Value Stock
Finding good stocks at good prices, and discovering which companies are trading under their true value, are what value investors like to focus on. So, the Value Style Score takes into account ratios like P/E, PEG, Price/Sales, and Price/Cash Flow to highlight the most attractive and discounted stocks.
Generac Holdings (GNRC)
Headquartered in Waukesha, WI, and founded in 1959, Generac Holdings Inc is a leading manufacturer of backup and prime power generation systems for residential and C&I applications, solar + battery storage solutions, advanced power grid software platforms and services, energy management devices and controls along with engine and battery-powered tools and equipment.
GNRC sits at a Zacks Rank #3 (Hold), holds a Value Style Score of B, and has a VGM Score of A. Compared to the Electronics - Power Generation industry's P/E of 8.7X, shares of Generac Holdings are trading at a forward P/E of 21.9X. GNRC also has a PEG Ratio of 1.8, a Price/Cash Flow ratio of 17.4X, and a Price/Sales ratio of 2.1X.
Many value investors pay close attention to a company's earnings as well. For GNRC, 13 analysts revised their earnings estimate upwards in the last 60 days, and the Zacks Consensus Estimate has increased $0.34 to $6.52 per share for 2024. Per share GNRC boasts an average earnings surprise of 9.8%.
GNRC should be on investors' short lists because of its impressive earnings and valuation fundamentals, a good Zacks Rank, and strong Value and VGM Style Scores.
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Generac Holdings Inc. (GNRC) : Free Stock Analysis Report