The law firm of Kirby McInerney LLP announces that a class action lawsuit has been filed in the U.S. District Court for the Eastern District of Wisconsin on behalf of those who acquired Generac Holdings, Inc. (“Generac” or the “Company”) (NYSE: GNRC) securities between April 29, 2021 through November 1, 2022 (the “Class Period”). Investors have until January 30, 2023 to apply to the Court to be appointed as lead plaintiff in the lawsuit.
Generac manufactures automatic, stationary standby, and portable generators.
On August 1, 2022, Pink Energy sued Generac, alleging, among other things, that Generac had provided “defective” components, criticizing Generac’s failure to recall the dangerous SnapRS unit, and that Generac did not disclose to Pink Energy that a firmware update, held out as a fix for the SnapRS issues, had known adverse effects and was shutting down entire PWRcell systems. On this news, the price of Generac shares declined by $3.31 per share, or approximately 1.23%, from $268.30 per share to close at $264.99 on August 1, 2022.
On October 19, 2022, Generac published preliminary earnings showing dismal financial results for the third quarter of 2022 and announced a $55 million pre-tax charge relating to its clean energy product warranties and expenses, citing a distributor that had filed for bankruptcy. On this news, the price of Generac shares declined by $37.44 per share, or approximately 25.34%, from $147.74 per share to close at $110.30 on October 19, 2022.
On November 2, 2022, Generac released third quarter earnings and lowered guidance on sales by its solar energy business for the remainder of the year by approximately 40%. On this news, the price of Generac shares declined by $8.99 per share, or approximately 7.84%, from $114.70 per share to close at $105.71 on November 2, 2022.
The lawsuit alleges that, throughout the Class Period, Defendants made false and/or misleading statements and/or failed to disclose: (i) the full scope of the economic harm flowing from the defective SnapRS units in product liability sections of their SEC filings; (ii) that they failed to take increased warranty liability charges once Defendants knew of the SnapRS defect; and (iii) that they misrepresented or concealed the Company’s warranty liability, and falsely assured investors that the Company’s financial statements were prepared in accordance with Generally Accepted Accounting Principles.
If you purchased or otherwise acquired Generac securities, have information, or would like to learn more about this investigation, please contact Thomas W. Elrod of Kirby McInerney LLP by email at investigations@kmllp.com, or by filling out this contact form, to discuss your rights or interests with respect to these matters without any cost to you.
Kirby McInerney LLP is a New York-based plaintiffs’ law firm concentrating in securities, antitrust, whistleblower, and consumer litigation. The firm’s efforts on behalf of shareholders in securities litigation have resulted in recoveries totaling billions of dollars. Additional information about the firm can be found at Kirby McInerney LLP’s website: http://www.kmllp.com.
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Contacts
Kirby McInerney LLP
Thomas W. Elrod, Esq.
212-699-1180
https://www.kmllp.com
investigations@kmllp.com
