Harley-Davidson (NYSE:HOG) Shares Down 5.2% After Earnings Miss

Harley-Davidson, Inc. (NYSE:HOG) shares dropped 5.2% during mid-day trading on Wednesday following a weaker than expected earnings announcement. The stock traded as low as $25.31 and last traded at $25.43. Approximately 1,493,394 shares changed hands during trading, a decline of 28% from the average daily volume of 2,082,140 shares. The stock had previously closed at $26.82.

The company reported ($0.93) EPS for the quarter, missing analysts’ consensus estimates of ($0.65) by ($0.28). Harley-Davidson had a return on equity of 17.79% and a net margin of 11.31%. During the same quarter in the previous year, the company earned $0.18 EPS.

Harley-Davidson Dividend Announcement

The firm also recently declared a quarterly dividend, which was paid on Monday, December 23rd. Shareholders of record on Tuesday, December 10th were issued a $0.1725 dividend. The ex-dividend date was Tuesday, December 10th. This represents a $0.69 annualized dividend and a yield of 2.61%. Harley-Davidson’s dividend payout ratio (DPR) is presently 15.54%.

Analysts Set New Price Targets

A number of brokerages have recently commented on HOG. Citigroup lowered their price objective on Harley-Davidson from $34.00 to $31.00 and set a “neutral” rating for the company in a research report on Thursday, January 23rd. Morgan Stanley cut Harley-Davidson from an “overweight” rating to an “equal weight” rating and lowered their price target for the company from $40.00 to $33.00 in a report on Tuesday, January 21st. DA Davidson cut their price objective on shares of Harley-Davidson from $39.00 to $31.00 and set a “buy” rating on the stock in a report on Tuesday. UBS Group lowered their target price on shares of Harley-Davidson from $40.00 to $35.00 and set a “neutral” rating for the company in a report on Thursday, November 7th. Finally, Bank of America cut their price target on shares of Harley-Davidson from $40.00 to $35.00 and set a “buy” rating on the stock in a research note on Thursday, January 30th. Six investment analysts have rated the stock with a hold rating and three have assigned a buy rating to the stock. Based on data from MarketBeat.com, the stock currently has an average rating of “Hold” and an average target price of $35.14.

Hedge Funds Weigh In On Harley-Davidson

Hedge funds and other institutional investors have recently made changes to their positions in the business. Venturi Wealth Management LLC raised its position in Harley-Davidson by 172.0% in the fourth quarter. Venturi Wealth Management LLC now owns 876 shares of the company’s stock valued at $26,000 after purchasing an additional 554 shares during the period. Prospera Private Wealth LLC acquired a new stake in shares of Harley-Davidson in the third quarter valued at about $35,000. Ashton Thomas Securities LLC purchased a new stake in shares of Harley-Davidson during the 3rd quarter valued at about $38,000. Mirae Asset Global Investments Co. Ltd. acquired a new position in Harley-Davidson during the 4th quarter worth approximately $42,000. Finally, Global Retirement Partners LLC boosted its holdings in Harley-Davidson by 84.3% in the 4th quarter. Global Retirement Partners LLC now owns 1,850 shares of the company’s stock worth $56,000 after acquiring an additional 846 shares during the period. Institutional investors and hedge funds own 85.10% of the company’s stock.

Harley-Davidson Price Performance

The company has a market cap of $3.37 billion, a price-to-earnings ratio of 5.95, a P/E/G ratio of 0.33 and a beta of 1.46. The company’s 50-day simple moving average is $30.18 and its 200-day simple moving average is $33.64. The company has a debt-to-equity ratio of 1.38, a current ratio of 1.41 and a quick ratio of 1.25.

About Harley-Davidson

Harley-Davidson, Inc manufactures and sells motorcycles in the United States and internationally. The company operates in three segments: Harley-Davidson Motor Company, LiveWire, and Harley-Davidson Financial Services. The Harley-Davidson Motor Company segment designs, manufactures, and sells motorcycles, including cruiser, trike, touring, standard, sportbike, adventure, and dual sport, as well as motorcycle parts, accessories, and apparel, as well as licenses its trademarks and related services.