Harley-Davidson (HOG) Sees Price Target Raised to $34 by DA Davidson

DA Davidson has raised Harley-Davidson's (HOG) price target to $34, an increase of 9.68%, with a "Buy" rating. This is a continuation of analyst confidence in the company, which has been under review. Harley-Davidson is a leading manufacturer of heavyweight motorcycles and has expanded into the adventure touring market with its Pan America model and into electric with the LiveWire brand. The average one-year price target is $29.24, with a high estimate of $34.00 and a low estimate of $26.12. The average brokerage recommendation is 2.6, indicating a "Hold" status.

Harley-Davidson (HOG) sees a significant boost in analyst confidence with DA Davidson increasing its price target to $34, a 9.68% increase from the previous target of $31. The firm maintains a "Buy" rating on the motorcycle manufacturer's stock, which currently trades at $28.70. This move reflects a positive outlook on Harley-Davidson's future prospects.

The price target increase comes on the heels of Harley-Davidson's Q2 earnings miss, which was overshadowed by the announcement of a transformational transaction involving Harley-Davidson Financial Services (HDFS) with KKR and PIMCO. DA Davidson described the HDFS deal as "clearly transformational," noting it will strengthen Harley-Davidson’s balance sheet while unlocking more than $1 billion in cash and providing additional financial flexibility.

The firm also highlighted several "underappreciated catalysts" for the company, including inventory reduction, sequential retail strength, and the introduction of a new $6,000 motorcycle model. The new $34 price target is based on 12.4 times DA Davidson’s fiscal year 2026 earnings per share estimate for Harley-Davidson.

In other recent news, Harley-Davidson has reported its second-quarter earnings for 2025, revealing a mixed financial performance. The company exceeded revenue expectations with a robust $1.31 billion, surpassing the anticipated $1.1 billion by 19.09%. However, earnings per share (EPS) fell short of expectations, coming in at $0.88 compared to the forecasted $0.96. Additionally, Harley-Davidson announced the appointment of Arthur Starrs as the new President and Chief Executive Officer, effective October 1. Starrs, who is currently the CEO of Topgolf International, will also join the company’s board on the same date. This leadership change follows Jochen Zeitz’s tenure as CEO and chairman since 2020. The market responded positively to these developments, with Harley-Davidson’s stock experiencing significant movement.

The average one-year price target for Harley-Davidson is $29.24, with a high estimate of $34.00 and a low estimate of $26.12. The average brokerage recommendation is 2.6, indicating a "Hold" status.

The recent changes mark a pivotal moment for Harley-Davidson as it navigates its future strategies. DA Davidson's price target increase reflects a positive outlook on the company's ability to leverage its strong brand, strategic partnerships, and financial flexibility to drive growth in the coming years.

References:
- [1] https://www.investing.com/news/analyst-ratings/harleydavidson-price-target-raised-to-34-from-31-at-da-davidson-93CH-4209109
- [2] https://www.ainvest.com/news/livewire-100m-mixed-shelf-filing-strategic-capital-allocation-electric-wheeler-market-2508/
- [3] https://www.morningstar.com/news/accesswire/1063508msn/life-electric-vehicles-holdings-inc-otclfev-announces-august-26-webinar-to-discuss-company-vision-us-based-ftz-manufacturing-and-strategic-growth-plans