Why Generac Stock Is Rising Today

Generac Holdings Inc. GNRC shares are trading higher after the company reportedly said it is seeing increased demand for backup generators in Texas.

What To Know: The demand appears to be correlated to the strain on the reliability of the state’s main electric grid due to the intense heat.

“We’ve seen a dramatic increase in the Texas region in sales leads for our generators and battery backup systems,” CEO Aaron Jagdfeld said in an interview Monday. “Texas has been a great market for a long time, so this will only add to that in the future.”

Generac shares hit a four-month high last week amid the Texas grid operator urging residents to conserve electricity to prevent blackouts, in addition to issuing a weather advisory for this week due to heat waves.

Jagdfeld went on to tout how Generac customers provided about 1 megawatt of backup power from their home generators to the Texas grid last week, enough to power about 200 Texas homes.

Related Link: Why Spirit Airlines (SAVE) Shares Are Seeing Blue Skies Today

GNRC Price Action: Shares of GNRC were up 9.11% at $142.95 at the time of publication, according to Benzinga Pro.

Image by Michael Schwarzenberger from Pixabay