/
Founded in 1959, Generac is a leading global designer, manufacturer, and provider of a wide range of energy technology solutions. Generac provides power generation equipment, energy storage systems, energy management devices & solutions, and other power products and services serving the residential, commercial, data center, telecom, rental, and industrial markets.
$269.26
$8.65 (-3.11%)
Price from 2 days ago
Operating margin is thin at 6.87%. Limited cushion if revenue slows or costs rise, not the profile of a wide-moat business.
Revenue declined 2.0% YoY. Margins deteriorated 5.6pp alongside, both lines moving the wrong way.
At 84x earnings, the current multiple leaves limited room for execution misses or growth deceleration. Free cash flow declined 56% versus the prior year, cash generation momentum has weakened.
84.1x earnings, 48.2x FCF. The market is pricing in years of above-average growth. If that thesis breaks, downside from multiple compression alone could be 30%+. This is a stock where you're paying for the future, not the present.
Based on TTM earnings · Diluted shares
Profitability & Returns
Revenue (TTM)
$4.33B
▼ -2.0% YoY
Net Income (TTM)
$189M
▼ -49.6% YoY
Op. Margin
7.46%
▼ -5.6pp YoY
ROIC
6.81%
▼ -4.8pp YoY
Cash Flow & Balance Sheet
FCF (TTM)
$331M
▼ -55.6% YoY
Op. Cash Flow (TTM)
$499M
▼ -40.9% YoY
Net Debt
$1.08B
Cash & Equiv.
$266M
5Y CAGR: +11.1%
5Y CAGR: -8.8%
Continue Research