Generac Holdings Inc. (GNRC) Valuation

Valuation

Model-based estimates, not advice. The DCF is the discounted-cash-flow value per share; compare it with the price, not as a target.

DCF fair value

-68.4%

$64.85

vs $204.97 price

Levered DCF

$69.04

After debt service

Piotroski score

6 / 9

Average

Altman Z-score

4.28

Safe zone

Rating

B+

Overall 3 / 5

Ratios by fiscal year

Margins and yields are shares of revenue, equity or price; multiples are ×.

Metric	FY2025	FY2024	FY2023	FY2022	FY2021	FY2020	FY2019	FY2018
P/E	49.95×	28.4×	39.05×	18.14×	41.35×	40.54×	24.59×	12.88×
P/B	3.03×	3.7×	3.38×	2.81×	9.97×	10.19×	6.03×	4.03×
P/S	1.9×	2.15×	1.97×	1.39×	5.9×	5.7×	2.83×	1.51×
EV / EBITDA	19.31×	15.54×	17.04×	10.87×	28.46×	26.6×	16.46×	9.42×
Gross margin	38.3%	38.8%	33.9%	33.3%	36.4%	38.5%	36.2%	35.8%
Operating margin	6.9%	12.5%	9.6%	12.4%	19.3%	19.3%	16.9%	17.7%
Net margin	3.8%	7.6%	5.0%	7.7%	14.3%	14.1%	11.5%	11.8%
Current ratio	2.03×	1.97×	2.27×	2.2×	1.6×	2.6×	2.41×	2×
Debt / equity	0.51×	0.59×	0.74×	0.71×	0.6×	0.77×	1.01×	1.21×
Interest coverage	4.09×	5.98×	3.96×	10.33×	21.88×	14.52×	8.96×	8.72×
Dividend yield	0.0%	0.0%	0.0%	0.0%	0.0%	0.0%	0.0%	0.0%
Payout ratio	0.2%	0.1%	0.0%	0.1%	0.0%	0.0%	0.1%	0.1%

Key metrics by fiscal year

Metric	FY2025	FY2024	FY2023	FY2022	FY2021	FY2020	FY2019	FY2018
Return on equity	6.1%	13.0%	8.7%	15.5%	24.1%	25.1%	24.5%	31.3%
Return on invested capital	5.3%	9.9%	6.7%	10.7%	15.3%	14.1%	13.2%	14.5%
Return on assets	2.9%	6.4%	4.0%	6.8%	10.9%	10.8%	9.5%	9.8%
Free cash flow yield	3.4%	6.5%	5.0%	-0.4%	1.4%	3.0%	4.0%	6.5%
Earnings yield	2.0%	3.5%	2.6%	5.5%	2.4%	2.5%	4.1%	7.8%
Enterprise value	$9B	$10.4B	$9.5B	$7.8B	$23.2B	$14.6B	$6.9B	$3.8B
Net debt / EBITDA	2.13×	1.78×	2.76×	2.04×	1.44×	0.75×	1.7×	1.75×
Cash conversion cycle (days)	166	132	162	157	117	120	120	120