Chart of Day: Generac Holdings (GNRC) Could Rally Above $100

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Shares of Generac Holdings (GNRC) have been wildly explosive.

In recent days, the stock hit a multi-year high of $94 as fires burn out of control in California. With hurricane force winds, fire, and power outages raging in the state, folks have been turning to alternative power sources, like those offered by Generac Holdings.

Chart from StockCharts.com

Making things worse for the state, and fueling GNRC upside is PG&E.  According to CNBC, “PG&E announced another large-scale preemptive power cut for hundreds of thousands of customers in California. PG&E is currently going through bankruptcy, and the company doesn’t seem to have an immediate solution for how to keep the power on when the threat of fire is high. So, while PG&E falters, there could be much more upside ahead for Generac.”

With 75% market share in the residential home backup generator market, we could see higher highs in the stock with winter nearing, and with California fires.

As things only get worse for the state, we wouldn’t be shocked to see GNRC well above $100.

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