A worker at Captain Electric unloads a 24-kilowatt Generac home generator from a truck on February 18, 2021 in Orem, Utah.
George Fray | Getty Images
Standby Power Generation Company Shares general holding corp. Shares soared more than 8% on Monday as Hurricane Milton quickly intensified into a Category 5 storm.
Hurricane Milton is expected to move north of the Yucatan Peninsula on Monday and Tuesday before crossing the Gulf of Mexico and approaching Florida’s west coast on Wednesday, according to the weather service. National Hurricane Center. Tampa Bay could face a storm surge of 8 feet to 12 feet, according to forecasters.
Generac hit an intraday high of $175.69, up more than 9% from Friday’s close. The power generation company also hit a new 52-week high. Generac closed at $173.82 per share, up about 8.5%.
Hurricane Milton came on the heels of Hurricane Helen, which killed more than 220 people and wreaked havoc in the Southeast, particularly in North Carolina.
Meanwhile, insurance stocks exposed to weather catastrophe exposure fell on potential insurance losses related to Hurricane Milton. Allstate, Travelers and Chubb Their shares fell more than 4%, while Progressive and American International Group The average decline was more than 3%.
Fort Lauderdale, Florida-based Universal Insurance shares plunged about 20% as the disaster-prone carrier with exposure to the Gulf Coast could face heightened hurricane risk.
Bank of America research analyst Joshua Shanker told clients in a note on Monday that shares of property and casualty insurance underwriters and reinsurers should come under pressure as Milton could lead to its second Fourth-quarter earnings fell sharply.
Forecasters have been warning for months “Extremely active Atlantic hurricane season“This year. That’s because warm sea surface temperatures serve as a fuel source for hurricanes, according to the Center for Tropical Weather and Climate Research at Colorado State University.
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