Securities class action litigation has been filed on behalf of investors who purchased or otherwise acquired the common stock of Generac Holdings Inc. (“Generac” or the “Company”) (NYSE: GNRC) from April 29, 2021 through November 1, 2022, inclusive (the “Class Period”).
If you purchased or otherwise acquired Generac common stock during the Class Period, you may move the Court for appointment as lead plaintiff by no later than January 30, 2023. A lead plaintiff is a representative party who acts on behalf of other class members in directing the litigation. Your share of any recovery in the actions will not be affected by your decision of whether to seek appointment as lead plaintiff. You may retain Lieff Cabraser, or other attorneys, as your counsel in the action.
Generac investors who wish to learn more about the litigation and how to seek appointment as lead plaintiff complete the form below, text or email email@example.com, or call Sharon M. Lee of Lieff Cabraser at 1-800-541-7358.
Generac is a Wisconsin-based company that produces a wide range of products that includes energy management technology and power generators. Generac also produces batteries for homes that are designed to be used with solar panels.
The securities class action alleges that Generac and certain of its senior executives made false and misleading statements and failed to disclose material information concerning: (1) the safety and success of a component of the Company’s clean power products, “SnapRS,” (2) the number of channel partners Generac relied on to sell, install, and service those products, and (3) Generac’s warranty liability arising from the defective SnapRS products.
On August 1, 2022, Pink Energy, one of Generac’s channel partners, filed a lawsuit against Generac claiming that defective SnapRS components in Pink Energy products exposed the company to liabilities that could result in its bankruptcy. On this news, the price of Generac stock fell $3.31 per share, or 1.23%, to close at $264.99 per share on August 1, 2022.
On October 19, 2022, after Pink Energy declared bankruptcy, Generac reported pre-tax charges of $55 million for the third quarter of 2022, including $37 million apparently for warranty expenses related to liability for defective SnapRS components, and an $18 million charge for receivables owed to Generac from Pink Energy and other customers who purchased defective SnapRS components. On this news, the price of Generac stock fell $37.44 per share, or 25.34%, to close at $110.30 on October 19, 2022, on heavy trading volume.
On November 2, 2022, Generac lowered its sales guidance for its solar energy business for the fourth quarter of 2022 by approximately 40% due, in part, to the loss of a major customer (Pink Energy) and liabilities related to the defective SnapRS product and Pink Energy’s bankruptcy. On this news, the price of Generac stock fell $8.99 per share, or 7.84%, to close at $105.71 on November 2, 2022, on elevated trading volume.
About Lieff Cabraser
Lieff Cabraser Heimann & Bernstein, LLP, with offices in San Francisco, New York, Nashville, and Munich, is an internationally-recognized law firm committed to advancing the rights of investors and promoting corporate responsibility. Recognized as a “Plaintiffs’ Powerhouse” by Law360, Lieff Cabraser has litigated some of the most important civil cases in the United States, and has assisted clients in recovering over $127 billion in verdicts and settlements. Law360 has selected Lieff Cabraser as one of the Top 50 law firms nationwide for litigation, highlighting our firm’s “laser focus” and noting that our firm routinely finds itself “facing off against some of the largest and strongest defense law firms in the world.” In 2021, The American Lawyer named our firm its “Boutique Litigation Firm of the Year.” Benchmark Litigation has named Lieff Cabraser one of the “Top 10 Plaintiffs’ Firms in America,” and listed us as its “2020 California Plaintiff Firm of the Year.” Lieff Cabraser is committed to ensuring access to justice for all.