Holley Inc. Gains “Moderate Buy” Consensus Amid Analyst Upgrades

Shares of Holley Inc. (NYSE:HLLY) are currently rated as a “Moderate Buy” by six research firms covering the stock, according to data from MarketBeat. This recommendation follows a mix of ratings, with one analyst suggesting a sell and five others recommending a buy. The average target price set by these analysts for the next year stands at $3.75.

Several research reports have recently provided insights into Holley’s performance. The Telsey Advisory Group reaffirmed an “outperform” rating while establishing a price target of $2.75 on July 31, 2023. Wall Street Zen upgraded its stance on Holley from “hold” to “buy” in a report dated August 9, 2023. Additionally, Canaccord Genuity Group raised its price target from $5.00 to $6.00 and maintained a “buy” rating as of August 7, 2023. On the same date, Raymond James Financial increased its price target from $2.25 to $3.00, also assigning an “outperform” rating. Conversely, Weiss Ratings reiterated a “sell (d)” rating in its latest report.

Quarterly Earnings and Insider Activity

Holley Inc. released its quarterly earnings on August 6, 2023, reporting earnings per share of $0.09, which fell short of the consensus estimate of $0.10 by $0.01. The company achieved revenues of $166.66 million, surpassing analysts’ expectations of $162.67 million. Analysts predict that Holley will post an EPS of $0.12 for the current fiscal year.

In a significant insider transaction, Director David S. Lobel sold 14,000,000 shares of Holley’s stock on September 10, 2023. The shares were sold at an average price of $2.63, amounting to a total value of $36,820,000. Following this transaction, Lobel retains 26,754,834 shares in the company, valued at $70,365,213.42, representing a 34.35% reduction in his holdings. This transaction was disclosed in a filing with the U.S. Securities and Exchange Commission (SEC).

Institutional Investor Activity

Recent activity among institutional investors indicates a growing interest in Holley. Allspring Global Investments Holdings LLC increased its holdings by 2.7% during the second quarter, now owning 10,613,820 shares valued at $22,289,000. Boston Partners made a significant move, boosting its stake by 84.8%, bringing its total to 4,807,536 shares worth $9,615,000.

Other notable investors include Bank of America Corp DE, which raised its holdings by 2.4% to 1,498,337 shares valued at $2,997,000, and Geode Capital Management LLC, which increased its ownership by 9.0%, now holding 1,320,321 shares worth $2,641,000. Franklin Resources Inc. also enhanced its position by 145.6%, acquiring 1,248,020 shares valued at $2,496,000. Collectively, institutional investors now hold 39.70% of Holley’s stock.

Holley Inc. operates as a designer, manufacturer, and marketer of automotive aftermarket products aimed at car and truck enthusiasts across the United States, Canada, Europe, and China. Its extensive product range includes performance parts like carburetors, fuel pumps, fuel injection systems, and exhaust components, catering to various automotive platforms.