On September 26, Generac rose 5.05% in regular trading, trading at approximately $208.90 per share, with turnover of $96.09 million. The stock continued to benefit from the previously announced long-term supply agreement with Amazon for data center backup power generators.
Under the agreement, Generac will deliver backup generators for Amazon data centers, with initial deliveries in 2027 and 2028 valued at approximately $2.4 billion. The total deal could reach up to $8 billion. As part of the arrangement, Generac issued warrants to an Amazon subsidiary allowing the purchase of up to 1.69 million shares at an exercise price of $200.93 per share, representing roughly 3% of outstanding shares and creating a deep equity alignment between the two companies. Approximately 308,000 warrant shares vested immediately, with the remainder vesting in tranches tied to generator purchase payments.
Adding to the positive sentiment, Northcoast Research recently raised its price target on Generac to $288 from $267 while maintaining a Buy rating. Analyst consensus reflects an average target of $297.80 with an overweight rating. Generac is a global leader in energy technology solutions, providing power generation equipment, energy storage systems, and energy management devices across residential, commercial, and industrial markets.
(The above content is based on publicly available market information, generated by a program or algorithm, and is intended solely as a stock movement alert. It does not constitute investment advice or a basis for trading decisions.)
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