Generac Holdings (GNRC) closed at $103.86 in the latest trading session, marking a -0.31% move from the prior day. This move lagged the S&P 500's daily gain of 0.09%. Elsewhere, the Dow lost 0.03%, while the tech-heavy Nasdaq lost 2.51%.
Coming into today, shares of the generator maker had lost 6.74% in the past month. In that same time, the Computer and Technology sector gained 4%, while the S&P 500 gained 6.17%.
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 $0.51 per share, which would represent a year-over-year decline of 75.6%. Meanwhile, our latest consensus estimate is calling for revenue of $858.16 million, down 24.45% from the prior-year quarter.
GNRC's full-year Zacks Consensus Estimates are calling for earnings of $6.07 per share and revenue of $4.1 billion. These results would represent year-over-year changes of -27.13% and -10.16%, respectively.
It is also important to note the recent changes to analyst estimates for Generac Holdings. Recent revisions tend to reflect the latest near-term business trends. As a result, we can interpret positive estimate revisions as a good sign for 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.
Ranging from #1 (Strong Buy) to #5 (Strong Sell), the Zacks Rank system has a proven, outside-audited track record of outperformance, with #1 stocks returning an average of +25% annually since 1988. The Zacks Consensus EPS estimate has moved 5.31% lower within the past month. Generac Holdings is holding a Zacks Rank of #3 (Hold) right now.
In terms of valuation, Generac Holdings is currently trading at a Forward P/E ratio of 17.17. For comparison, its industry has an average Forward P/E of 17.17, which means Generac Holdings is trading at a no noticeable deviation to the group.
It is also worth noting that GNRC currently has a PEG ratio of 1.72. 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. The Electronics - Power Generation was holding an average PEG ratio of 1.37 at yesterday's closing price.
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 gauges the strength of our individual industry groups by measuring the average Zacks Rank of the individual stocks within the groups. Our research shows that the top 50% rated industries outperform the bottom half by a factor of 2 to 1.
You can find more information on all of these metrics, and much more, on Zacks.com.
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