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On Mar 9, we issued an updated research report on Harley-Davidson, Inc. (NYSE:HOG) .
Harley-Davidson is making long-term investments to expand its product portfolio. The company is aiming at introducing 100 new motorcycles by 2027. Of this, the company unveiled two in 2017— the Road King Special and the affordable, Street Rod 750. The recently-launched touring motorcycles are witnessing a strong demand, which is resulting in positive revenue growth, in both the United States and abroad.
Further, to bolster its presence in new spaces, Harley-Davidson has been investing to develop electric motorcycle technology. Harley-Davidson reported that it has invested in Alta Motors. Headquartered in Brisbane, CA, the latter is a manufacturer of advanced electric motorcycles and lightweight electric vehicle (EV) drivetrains.
Also, Harley-Davidson is making concerted efforts to improve its international reach and it anticipates an increase of 50% in yearly volume by 2027. In sync with this strategy, the company is adding new dealerships across the globe. It aims to add 150-200 new dealerships internationally by 2020.
Harley-Davidson has a long-term growth rate of 8%. Over the past thirty days, the Zacks Consensus Estimate for Harley-Davidson’s quarterly estimates went up 0.9% to $1.12.
However, the company has underperformed the industry it belongs to in the last three months. Its shares have lost 13%, whereas the industry declined 7.6%.
Harley-Davidson currently has a Zacks Rank #3 (Hold). You can see the complete list of today’s Zacks Rank #1 (Strong Buy) stocks here.
A few better-ranked stocks in the auto space are General Motors Company (NYSE:GM) , Volkswagen (DE:VOWG_p) AG (OTC:VLKAY) and AB Volvo (OTC:VLVLY) , each carrying a Zacks Rank #2 (Buy).
General Motors has an expected long-term growth rate of 8.4%. Past year, shares of the company rose 2.6%.
Volkswagen has an expected long-term growth rate of 18.7%. The shares of the company have gained 27.1% in the past year.
AB Volvo has an expected long-term growth rate of 15%. In the past year, shares of the company have rallied 32.2%.
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