HARLEY-DAVIDSON INC (HAR.DE) Stock Fundamental Analysis
FRA:HAR - Deutsche Boerse Ag - US4128221086 - Common Stock - Currency: EUR
HAR gets a fundamental rating of 5 out of 10. The analysis compared the fundamentals against 32 industry peers in the Automobiles industry. HAR has only an average score on both its financial health and profitability. HAR has a valuation in line with the averages, but on the other hand it scores bad on growth.
1. Profitability
1.1 Basic Checks
In the past year HAR was profitable.
HAR had a positive operating cash flow in the past year.
In the past 5 years HAR has always been profitable.
Each year in the past 5 years HAR had a positive operating cash flow.
1.2 Ratios
With a decent Return On Assets value of 2.86%, HAR is doing good in the industry, outperforming 65.63% of the companies in the same industry.
HAR has a Return On Equity of 11.11%. This is in the better half of the industry: HAR outperforms 68.75% of its industry peers.
HAR has a worse Return On Invested Capital (2.82%) than 81.25% of its industry peers.
The Average Return On Invested Capital over the past 3 years for HAR is in line with the industry average of 8.00%.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 2.86% | ||
| ROE | 11.11% | ||
| ROIC | 2.82% |
ROA(3y)5.37%
ROA(5y)4.4%
ROE(3y)20.55%
ROE(5y)17.43%
ROIC(3y)6.41%
ROIC(5y)5.73%
1.3 Margins
The Profit Margin of HAR (7.39%) is better than 84.38% of its industry peers.
HAR's Profit Margin has improved in the last couple of years.
With a Operating Margin value of 6.56%, HAR is not doing good in the industry: 62.50% of the companies in the same industry are doing better.
HAR's Operating Margin has declined in the last couple of years.
Looking at the Gross Margin, with a value of 34.71%, HAR belongs to the top of the industry, outperforming 81.25% of the companies in the same industry.
HAR's Gross Margin has been stable in the last couple of years.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| OM | 6.56% | ||
| PM (TTM) | 7.39% | ||
| GM | 34.71% |
OM growth 3Y-19.67%
OM growth 5Y-6.04%
PM growth 3Y-10.34%
PM growth 5Y2.13%
GM growth 3Y-0.69%
GM growth 5Y-0.54%
2. Health
2.1 Basic Checks
HAR has a Return on Invested Capital (ROIC), which is below the Cost of Capital (WACC), which means it is destroying value.
The number of shares outstanding for HAR has been reduced compared to 1 year ago.
The number of shares outstanding for HAR has been reduced compared to 5 years ago.
The debt/assets ratio for HAR has remained at the same level compared to a year ago.
2.2 Solvency
HAR has an Altman-Z score of 1.26. This is a bad value and indicates that HAR is not financially healthy and even has some risk of bankruptcy.
Looking at the Altman-Z score, with a value of 1.26, HAR is doing worse than 65.63% of the companies in the same industry.
The Debt to FCF ratio of HAR is 7.93, which is on the high side as it means it would take HAR, 7.93 years of fcf income to pay off all of its debts.
HAR's Debt to FCF ratio of 7.93 is fine compared to the rest of the industry. HAR outperforms 78.13% of its industry peers.
A Debt/Equity ratio of 1.72 is on the high side and indicates that HAR has dependencies on debt financing.
With a Debt to Equity ratio value of 1.72, HAR is not doing good in the industry: 75.00% of the companies in the same industry are doing better.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 1.72 | ||
| Debt/FCF | 7.93 | ||
| Altman-Z | 1.26 |
ROIC/WACC0.37
WACC7.63%
2.3 Liquidity
A Current Ratio of 1.56 indicates that HAR should not have too much problems paying its short term obligations.
HAR has a Current ratio of 1.56. This is in the better half of the industry: HAR outperforms 78.13% of its industry peers.
A Quick Ratio of 1.36 indicates that HAR should not have too much problems paying its short term obligations.
HAR's Quick ratio of 1.36 is amongst the best of the industry. HAR outperforms 81.25% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Current Ratio | 1.56 | ||
| Quick Ratio | 1.36 |
3. Growth
3.1 Past
HAR shows a strong negative growth in Earnings Per Share. In the last year the EPS decreased by -40.44%.
HAR shows a small growth in Earnings Per Share. Measured over the last years, the EPS has been growing by 4.52% yearly.
HAR shows a very negative growth in Revenue. In the last year, the Revenue has decreased by -17.15%.
The Revenue has been decreasing by -0.66% on average over the past years.
EPS 1Y (TTM)-40.44%
EPS 3Y-7.45%
EPS 5Y4.52%
EPS Q2Q%-37.79%
Revenue 1Y (TTM)-17.15%
Revenue growth 3Y-0.94%
Revenue growth 5Y-0.66%
Sales Q2Q%-26.55%
3.2 Future
The Earnings Per Share is expected to grow by 8.60% on average over the next years. This is quite good.
HAR is expected to show a small growth in Revenue. In the coming years, the Revenue will grow by 1.14% yearly.
EPS Next Y-6.34%
EPS Next 2Y10.05%
EPS Next 3Y8.99%
EPS Next 5Y8.6%
Revenue Next Year-9.86%
Revenue Next 2Y-2.95%
Revenue Next 3Y-1.73%
Revenue Next 5Y1.14%
3.3 Evolution
The EPS growth rate is accelerating: in the next years the growth will be better than in the last years.
The Revenue growth rate is accelerating: in the next years the growth will be better than in the last years.
4. Valuation
4.1 Price/Earnings Ratio
With a Price/Earnings ratio of 8.65, the valuation of HAR can be described as very reasonable.
HAR's Price/Earnings ratio is in line with the industry average.
Compared to an average S&P500 Price/Earnings ratio of 24.21, HAR is valued rather cheaply.
With a Price/Forward Earnings ratio of 5.74, the valuation of HAR can be described as very cheap.
HAR's Price/Forward Earnings ratio is a bit cheaper when compared to the industry. HAR is cheaper than 65.63% of the companies in the same industry.
Compared to an average S&P500 Price/Forward Earnings ratio of 20.44, HAR is valued rather cheaply.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 8.65 | ||
| Fwd PE | 5.74 |
4.2 Price Multiples
Based on the Enterprise Value to EBITDA ratio, HAR is valued a bit more expensive than 68.75% of the companies in the same industry.
Compared to the rest of the industry, the Price/Free Cash Flow ratio of HAR indicates a rather cheap valuation: HAR is cheaper than 100.00% of the companies listed in the same industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | 3.11 | ||
| EV/EBITDA | 16.29 |
4.3 Compensation for Growth
HAR has a very decent profitability rating, which may justify a higher PE ratio.
PEG (NY)N/A
PEG (5Y)1.92
EPS Next 2Y10.05%
EPS Next 3Y8.99%
5. Dividend
5.1 Amount
HAR has a Yearly Dividend Yield of 3.08%. Purely for dividend investing, there may be better candidates out there.
The stock price of HAR dropped by -22.80% in the last 3 months. With lower prices the dividend yield is higher, but it may be a sign investors do not trust the long term dividend.
Compared to an average industry Dividend Yield of 5.89, HAR is paying slightly less dividend.
HAR's Dividend Yield is a higher than the S&P500 average which is at 2.41.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 3.08% |
5.2 History
The dividend of HAR decreases each year by -14.37%.
Dividend Growth(5Y)-14.37%
Div Incr Years4
Div Non Decr Years4
5.3 Sustainability
25.39% of the earnings are spent on dividend by HAR. This is a low number and sustainable payout ratio.
DP25.39%
EPS Next 2Y10.05%
EPS Next 3Y8.99%
FRA:HAR (5/8/2025, 7:00:00 PM)
20.59
-0.14 (-0.68%)
Chartmill FA Rating
GICS SectorConsumer Discretionary
GICS IndustryGroupAutomobiles & Components
GICS IndustryAutomobiles
Earnings (Last)
Earnings (Next)
Inst Owners95.19%
Inst Owner ChangeN/A
Ins Owners0.98%
Ins Owner ChangeN/A
Market Cap2.55B
Analysts70
Price Target25.88 (25.69%)
Short Float %N/A
Short RatioN/A
Dividend
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 3.08% |
Yearly Dividend0.62
Dividend Growth(5Y)-14.37%
DP25.39%
Div Incr Years4
Div Non Decr Years4
Ex-DateN/A
Surprises & Revisions
EPS beat(2)1
Avg EPS beat(2)-1.93%
Min EPS beat(2)-39.22%
Max EPS beat(2)35.35%
EPS beat(4)3
Avg EPS beat(4)6.21%
Min EPS beat(4)-39.22%
Max EPS beat(4)35.35%
EPS beat(8)6
Avg EPS beat(8)50.61%
EPS beat(12)10
Avg EPS beat(12)74.63%
EPS beat(16)13
Avg EPS beat(16)68.18%
Revenue beat(2)0
Avg Revenue beat(2)-6.47%
Min Revenue beat(2)-10.44%
Max Revenue beat(2)-2.5%
Revenue beat(4)1
Avg Revenue beat(4)-4.75%
Min Revenue beat(4)-10.44%
Max Revenue beat(4)4.08%
Revenue beat(8)2
Avg Revenue beat(8)-4.12%
Revenue beat(12)6
Avg Revenue beat(12)5.02%
Revenue beat(16)10
Avg Revenue beat(16)9.4%
PT rev (1m)-12.48%
PT rev (3m)-26.75%
EPS NQ rev (1m)-11.7%
EPS NQ rev (3m)-27.89%
EPS NY rev (1m)-3.4%
EPS NY rev (3m)-22.77%
Revenue NQ rev (1m)-4.43%
Revenue NQ rev (3m)-13.61%
Revenue NY rev (1m)-5.94%
Revenue NY rev (3m)-11.04%
Valuation
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 8.65 | ||
| Fwd PE | 5.74 | ||
| P/S | 0.6 | ||
| P/FCF | 3.11 | ||
| P/OCF | 2.6 | ||
| P/B | 0.9 | ||
| P/tB | 0.92 | ||
| EV/EBITDA | 16.29 |
EPS(TTM)2.38
EY11.56%
EPS(NY)3.58
Fwd EY17.41%
FCF(TTM)6.62
FCFY32.14%
OCF(TTM)7.91
OCFY38.43%
SpS34.39
BVpS22.86
TBVpS22.41
PEG (NY)N/A
PEG (5Y)1.92
Profitability
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 2.86% | ||
| ROE | 11.11% | ||
| ROCE | 3.58% | ||
| ROIC | 2.82% | ||
| ROICexc | 3.56% | ||
| ROICexgc | 3.59% | ||
| OM | 6.56% | ||
| PM (TTM) | 7.39% | ||
| GM | 34.71% | ||
| FCFM | 19.25% |
ROA(3y)5.37%
ROA(5y)4.4%
ROE(3y)20.55%
ROE(5y)17.43%
ROIC(3y)6.41%
ROIC(5y)5.73%
ROICexc(3y)7.68%
ROICexc(5y)7.1%
ROICexgc(3y)7.75%
ROICexgc(5y)7.17%
ROCE(3y)8.44%
ROCE(5y)7.56%
ROICexcg growth 3Y-23.42%
ROICexcg growth 5Y-7.47%
ROICexc growth 3Y-23.38%
ROICexc growth 5Y-7.45%
OM growth 3Y-19.67%
OM growth 5Y-6.04%
PM growth 3Y-10.34%
PM growth 5Y2.13%
GM growth 3Y-0.69%
GM growth 5Y-0.54%
F-Score6
Asset Turnover0.39
Health
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 1.72 | ||
| Debt/FCF | 7.93 | ||
| Debt/EBITDA | 11.5 | ||
| Cap/Depr | 112% | ||
| Cap/Sales | 3.76% | ||
| Interest Coverage | 250 | ||
| Cash Conversion | 231.91% | ||
| Profit Quality | 260.58% | ||
| Current Ratio | 1.56 | ||
| Quick Ratio | 1.36 | ||
| Altman-Z | 1.26 |
F-Score6
WACC7.63%
ROIC/WACC0.37
Cap/Depr(3y)117.79%
Cap/Depr(5y)99.35%
Cap/Sales(3y)3.33%
Cap/Sales(5y)3.09%
Profit Quality(3y)107.15%
Profit Quality(5y)16195.2%
High Growth Momentum
Growth
EPS 1Y (TTM)-40.44%
EPS 3Y-7.45%
EPS 5Y4.52%
EPS Q2Q%-37.79%
EPS Next Y-6.34%
EPS Next 2Y10.05%
EPS Next 3Y8.99%
EPS Next 5Y8.6%
Revenue 1Y (TTM)-17.15%
Revenue growth 3Y-0.94%
Revenue growth 5Y-0.66%
Sales Q2Q%-26.55%
Revenue Next Year-9.86%
Revenue Next 2Y-2.95%
Revenue Next 3Y-1.73%
Revenue Next 5Y1.14%
EBIT growth 1Y-53.3%
EBIT growth 3Y-20.42%
EBIT growth 5Y-6.66%
EBIT Next Year27.86%
EBIT Next 3Y18.93%
EBIT Next 5Y13.81%
FCF growth 1Y220.86%
FCF growth 3Y0.46%
FCF growth 5Y4.77%
OCF growth 1Y141.58%
OCF growth 3Y2.92%
OCF growth 5Y4.15%