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Generac Holdings: Massive Selloff Presents Buying Opportunity
Summary
- Shares of Generac Holdings have taken a beating in 2022, down over 70%.
- Many investors and analysts finally threw in the towel after Q3 earnings, resulting in a capitulation event.
- This extreme pessimism has created a potential buying opportunity, though not without material risk.
- After a year of brutal declines, we believe it may finally be time to purchase shares of Generac.
- Our intrinsic value estimate for Generac is $148.92, which implies a 57% increase from current levels.
UFD Capital is the general partner and investment manager of the UFD Capital Value Fund, a value-oriented hedge fund. www.ufdcapital.com
Analyst’s Disclosure:I/we have a beneficial long position in the shares of GNRC either through stock ownership, options, or other derivatives. I wrote this article myself, and it expresses my own opinions. I am not receiving compensation for it (other than from Seeking Alpha). I have no business relationship with any company whose stock is mentioned in this article.
UFD Capital, LLC holds shares of GNRC in client portfolios. UFD Capital Value Fund, LP holds shares of GNRC.
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