On the stock market since 1986, it operates in the world of automobiles. It has 5,500 employees. Now — the numbers.
This is an established company with proven profits.
That much dependence is a risk in itself: if this one line weakens, the whole company feels it directly.
An average decline of 4% a year over the last 4 years — the most striking risk in this picture.
Executives buying with their own money is usually read as confidence in the company’s future.
We compared this company with its own sector across five subjects.
A score of 50 means class average.
Clearly below the class average.
Clearly above the class average — a step short of the very top.
The price isn’t cheap next to earnings — that’s why this grade sits in the middle.
Clearly below the class average.
Clearly above the class average — a step short of the very top.
Business Quality: Profit power and business quality trail similar companies in the sector.
Growth: Sales growth trails the sector average.
The stock trades 47% below its peak. The market has trimmed its expectations for the company.
Over the last 12 months, company executives reported 60 buys and 58 sells. Management buying with its own money is usually read as a good sign.
It pays out $0.74 per share each year — regular cash for whoever holds the stock.
Over the last 3 years, sales fell about 8% a year on average. Profit is holding up, but a shrinking business is a risk worth watching.
Measured against its sector, the quality of the business sits below the class average. Report-card grade: 39/100.
The growth engine is running at low revs right now. Report-card grade: 45/100.
On our five-subject report card, HOG sits behind the class. A low grade doesn’t mean “doomed” — it means “big claim, small proof.”
The takeaway: HOG is an established business that has proven its profits for years. The real debate isn’t the quality of the business — it’s what that quality should cost.
The total grade weighs these five subjects against the sector — it isn’t a simple average of the five.