Generac price target lowered to $175 from $185 at Piper Sandler

Piper Sandler lowered the firm’s price target on Generac (GNRC) to $175 from $185 and keeps an Overweight rating on the shares. Expectations into Generac’s update were low, given guidance uncertainty, the firm notes. The company provided full year EBITDA guidance that was favorable vs. what was implied in the stock, highlighted record HSB activations for the month of January, highlighted an expectation of margin expansion in 2025, and is launching a diesel generator geared at data centers. The update and low expectations drove the rally, Piper adds. Looking ahead, the firm views 2025 as a “show-me” year since guidance is more back-end weighted than anticipated.