Generac Beats Investor Suit Over Pandemic Demand Slip, Selloff

Generac Holdings Inc. convinced a federal judge that allegations of securities fraud spurring an 80% pandemic stock decline were disconnected and didn’t identify false or misleading statements that would advance a proposed class action lawsuit, at least for now.

Shareholders failed to state a claim and relied on overly generalized statements to try to support their lead allegation that the maker of power systems concealed waning demand, Judge Brett H. Ludwig said in the US District Court for the Eastern District of Wisconsin. Despite the “length and repetitiveness” of investors’ 139-page complaint, their three theories of fraudulent nondisclosure were “light ...