Jefferies upgrades Generac to 'hold' as margins seen improving with clean tech exit

Jefferies upgrades rating on power equipment maker Generac Holdings GNRC.N to "hold" from "underperform"

Lifts PT to $200 from $150, an upside of 1.9% from the stock's last close

Brokerage says co will scale back investment in its residential solar business after the segment delivered weak returns and faced product recall issues

Notes Generac expects reduced margin pressure after cutting back its energy technology business, which had been projected to dilute 2025 EBITDA margins by up to 3.5%

However, trims 2025 EPS forecast to $7.43 from $8.04

Thirteen of 22 brokerages rate the stock "buy" or higher, nine "hold"; their median PT is $202.50 - data compiled by LSEG

YTD stock is up 26.6%