The National Hurricane Center is now monitoring four potential tropical depressions, or named storms over the next few days. In addition, according to The Palm Beach Post, “The peak period of the Atlantic hurricane season runs from mid-August to mid-October, and forecasters are picking up signs tropical activity may soon pick up.”
If they develop into named storms, and if they threaten landfall, investors may want to keep an eye on generator stocks, like Generac Holdings (GNRC), a $15 billion leader in power generation equipment and other light-motor equipment for residential and industrial customers. The company is the market leader in home standby generators and the leading global manufacturer of mobile generators for industrial use.
GNRC also has a history of running higher during most hurricane seasons. For the 2019 hurricane season, GNRC ran from about $54 to $100. For 2020, it ran from about $125 to $363. In 2021, the stock ran from about $407 to $460.