Generac Stock Jumps 33% as Amazon Pact Worth Up to $8 Billion Unveiled
Generac Holdings Inc.'s stock soared over 33% in after-hours trading on Wednesday following the announcement of a long-term supply agreement with Amazon for backup generators at data centers.
The deal includes $2.4 billion of initial deliveries in 2027 and 2028, while total payments could reach as high as $8 billion.
Cantor Fitzgerald maintained its Overweight rating on Generac stock and raised its price target to $333, calling the Amazon agreement 'the most important data center news' since the company's first hyperscaler win.
Generac makes backup power equipment for homes, businesses, and data centers, and the Amazon deal adds a major hyperscaler customer to its data center business. The company expects initial generator deliveries under the deal to total $2.4 billion across 2027 and 2028.