Harley-Davidson Shares Slide After Revenue Miss, Weak Outlook


Harley-Davidson Inc.'s revenue fell 14% in the first quarter as the motorcycle maker's retail sales slid in the in the US and overseas. UBS AG now has a $57.00 price objective on the stock. Analysts mean target price for Spirit Airlines, Inc.

Harley-Davidson, Inc. (HOG) opened the session with a $60.11 price tag, later ranging from $59.27 to $60.18, the range at which the stock has traded at throughout the day. Longbow Research raised shares of Harley-Davidson from an "underperform" rating to a "neutral" rating in a research note on Wednesday, March 15th. Barclays PLC restated an underweight rating and set a $53.00 target price (up from $45.00) on shares of Harley-Davidson in a research report on Wednesday, February 1st. The consensus recommendation by Thomson Reuters analysts is Outperform and their mean rating for the stock is 2.08 on scale of 1-5.

HOG stock was down 3% as of Tuesday morning. The shares were sold at an average price of $56.88, for a total transaction of $5,688,000.00.

Harley Davidson has tried to encourage dealers to shed existing inventory by lowering shipments. After a recent look, shares have been seen 7.47% from the 200-day moving average, and 0.71% from the 50-day moving average. This is an increase of 482% compared to the average volume of 840 put options.

Harley-Davidson's Earning Per Share (EPS) for the first quarter 2017 decreased 22.8 percent to $1.05 compared to $1.36 in the same period of 2016. Harley-Davidson had a net margin of 13.13% and a return on equity of 35.38%.

Sales in Europe, the Middle East, and Africa fell 0.4%, and its Asia Pacific region reported a 9.3% decline; revenues in Harley-Davidson's Latin American segment jumped 24.2% year-over-year. During the same quarter previous year, the company earned $0.22 EPS. This is a decrease from its earnings per share of $1.36 that was reported during the same time a year ago.

COPYRIGHT VIOLATION WARNING: This news story was reported by BBNS and is the property of of BBNS. If you are viewing this article on another publication, it was illegally stolen and reposted in violation of United States and worldwide trademark & copyright laws. Also, Director Donald A. James sold 100,000 shares of Harley-Davidson stock in a transaction on Friday, February 10th. Harley-Davidson has an average rating of "Hold" and a consensus target price of $56.35. The number of shares now owned by investors are 175.63 mln. The sale was disclosed in a filing with the SEC, which is accessible through this link.

Sell-side analyst recommendations point to a short term price target of $48.17 on the shares of Unum Group (UNM). The disclosure for this sale can be found here. A rating of 4 or 5 would represent a Sell recommendation.

A number of large investors have recently modified their holdings of the stock. Harley-Davidson's USA market share for the quarter was 51.3 percent in the 601cc-plus segment, up compared to the first quarter in 2016. Analysts expect the company to announce earnings of $1.02 per share for the quarter.

Milwaukee-based Harley's shares were down 4 percent at $57.00 in premarket trading on Tuesday. This is an increase over its cash dividend of 35 cents per share from the same time a year ago. Harley-Davidson generated $159.9 million of cash from operating activities in the first quarter of 2017 compared to $41.1 million in the same period of 2016. Finally, Fulton Bank N.A. boosted its stake in shares of Harley-Davidson by 0.4% in the first quarter. "It unifies our 67,000 global employees, enables us to make progress during economically challenging years and creates a win-win-win for the environment we all share, our communities and our company".

Harley-Davidson, Inc is the parent company for the groups of companies doing business as Harley-Davidson Motor Company (HDMC) and Harley-Davidson Financial Services (HDFS).

In the first quarter, revenue from the Motorcycles and Related Products segment was down versus the first quarter of 2016 on lower shipments. The motorcycle manufacturer sells more than a third of its hogs outside the US.