Stifel on Generac Holdings (NYSE: GNRC): 'We expect the shares to react well to the results'.

The analyst comments "Underpinned by sharply higher-than-expected 1Q26 and strong momentum in its data center business, Generac boosted 2026 guidance. Based on the midpoint of the guidance range, 2026 adjusted EBITDA guidance is now roughly $940 versus our $899 million pre-release forecast and the $895 million consensus. The primary driver of the higher guidance is stronger C&I sales (data centers) and modestly higher margins. Based on 1Q26 results, it appears GNRC has been successful executing and delivering higher C&I margins. We expect the shares to react well to the results, and await details on the 10AM ET conference call."