2023-03-31 08:54:43 ET
Generac Holdings ( NYSE: GNRC ) on Friday was downgraded to Underperform from Neutral by analysts at Bank of America Securities. They said the maker of backup generators and solar-power equipment is facing difficulties in reducing dealer inventories.
“Despite management’s insistence that channel inventory congestion will be alleviated by 2H23, this recovery is difficult to underwrite when latest winter storms do not accelerate inventory drawdown,” according to BofA. “Into a deteriorating macro environment with a strained residential consumer, we highlight risk to further HSB [home standby] underperformance on volumes and pricing.”
BofA cut its price target on Generac ( GNRC ) to $91 a share from $141 a share.
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Generac downgraded to Underperform at Bank of America