Gencor Industries, Inc. (GENC)

Gencor Industries' stock has been impacted by several events in the past six months. Q4 FY2025 revenue was reported at approximately $18.8 million and EPS at $0.13, concluding FY2025 with $115.4 million in revenue and $1.07 EPS, indicating a slowdown in Q4 revenue. In Q1 FY2026, Gencor reported a decline in net revenue to $23.577 million. Despite the revenue decrease, the company achieved improved gross profit margins due to increased aftermarket sales. The fiscal year began with a weaker backlog, partly attributed to a government shutdown. Recent months have shown a pickup in order activity and increased customer optimism, with the current backlog exceeding $57 million. Over the past year, GENC's stock price has seen a 4.68% change, with its 52-week range between $10.80 and $17.40. In January 2026, the stock's price target was decreased to $16.32, while Freedom Capital Markets initiated coverage with a "buy" recommendation. In December 2025, Marc Elliott succeeded EJ Elliott as the Chairman of the Board. Earlier, in July 2025, the company was noted as "unloved" by the market due to technical issues, specifically a delayed audit and late financial filings following an auditor change, rather than fundamental business problems, which led to a low valuation. Fiscal Year 2024 results showed net revenue of $113.2 million, an increase of approximately 7.7% from the previous year. Preliminary unaudited results for Q1 FY2025 indicated a 20% year-over-year revenue increase to about $31 million. The stock has demonstrated stable price volatility over the past three months compared to the broader U.S. market, and its weekly volatility has remained stable over the past year.

Demand for Gencor Industries' products and services is closely tied to infrastructure spending and construction activity. The company experienced a significant surge in demand over the 12-18 months leading up to May 2025, resulting in a record order backlog. The start of fiscal year 2026 saw a weaker-than-normal backlog, partly due to a government shutdown. Recent months have shown an increase in order activity and renewed optimism from customers regarding large capital purchases, with the backlog currently exceeding $57 million. Demand is cyclical and highly influenced by government infrastructure initiatives, economic conditions, and customer confidence in the construction sector.

Gencor Industries, Inc. is a diversified heavy machinery manufacturer for the road and highway construction and environmental services industries. The company operates in the Industrials sector, specifically in the Farm & Heavy Construction Machinery industry. Gencor's products include asphalt pavers, hot mix asphalt plants, combustion systems, fluid heat transfer systems, hot-mix storage silos, fabric filtration systems, cold feed bins, soil remediation plants, and material handling equipment. The company also manufactures related asphalt plant equipment and offers spare parts and support services.

Gencor Industries, Inc. is headquartered in Orlando, Florida, United States. The company has a significant market presence both domestically within the United States and internationally. Products are manufactured in the U.S. and sold through company sales representatives and independent dealers and agents. The majority of its revenue is generated from the United States, and it also operates in Canada and other foreign countries.

Gencor Industries has a strong industry reputation for quality, innovation, and reliability, spanning more than 70 years. The company is recognized for its robust engineering and the durability of its heavy-duty construction equipment. Gencor pioneered counter-flow asphalt drum mixer technology and holds hundreds of patents. Gencor has been a leader in integrating advanced recycling technologies for asphalt pavement materials (RAP), demonstrating a commitment to sustainability and cost-effectiveness. In 2023, Gencor reinforced its dedication to sustainability by joining the National Asphalt Pavement Association's "Road Forward" initiative. In the past year, Gencor's market perception was negatively affected by technical issues, specifically a delayed audit and late financial filings following an auditor change in mid-2025.

Gencor Industries, Inc. has a significant institutional ownership presence. As of Q4 2025, 163 institutions held shares, accounting for 61.70% of total shares, with institutional shareholding increasing by 2.24% compared to Q3 2025. 206 institutional owners and shareholders have filed 13D/G or 13F forms, holding a total of 9,798,172 shares, representing 79.41% of institutional shares. Major institutional owners include Systematic Financial Management Lp, Royce & Associates Lp, Dimensional Fund Advisors Lp, Vanguard Group Inc, BlackRock, Inc., Renaissance Technologies Llc, Martin & Co Inc /tn/, Gamco Investors INC. ET AL, Teton Advisors LLC, and JPMorgan Chase & Co. Individual insiders collectively own 29.9% of the company's shares, while the general public holds 20.1%. Marc G. Elliott, the President and Director, holds 269.02K shares.