| Author | Message | ||
     Teeps |
http://www.foxbusiness.com/markets/industries/arti cle/harleydavidsons-fourthquarter-profit-sputters_ 451442_5.html This couldn't be due to the innovative new models... | ||
| Hattori_hanzo |
Naw...just another sign of the wonderful economy! | ||
| Doerman |
This surprised me. No, not the HD results. They are better than I expected. But the Buell unit sales went down in 2007 compared to 2006 by about 900. I would have though that the 1125R would have boosted the number of units. Maybe not enough days left in the year after it went into production to make a significant dent. It'll be interesting to see what 08 brings. | ||
| Bebop |
There maybe many who are just waiting for the 1125R. Not just for it to get to the showroom but also for all the press and reviews to give them a better picture. Right now the press is limited on the 1125. I bet sales will pick up once some major bike mags do full test reviews and shootouts. | ||
| Elvis |
I think it's amazing that Buell shipped as many bikes as they did in the second half of 2007. When they switched over to the XB's there was quarter in which they sold almost no bikes while they made the switch from tubers to XB's - if I remember correctly. I'd bet that any drop in sales from 2006 to 2007 was related to re-tooling and setting up to run the 1125R's and limited production capability rather than any drop in demand. | ||
| Strokizator |
I did my part and bought an '08 Road Glide in Sept. HD will still sell of 300,000 bikes this year and they remain profitable. | ||
| Birdy |
Hey I helped out Buell and got My XB12Stt in 2007...is fact they're so happy I just got a gift in the mail from them! The Buell Owners Survey and a sticker counts as gifts right!  Birdy | ||
| Doerman |
Elvis. I had not thought about that. The 1125R announcement in July left a 5 month partial vacuum which could hurt sales a lot more. | ||
| Rex |
well , maybe they made up for it in selling parts and clothes....rex | ||
| Court |
I hope the next time someone describes my earnings as "in the tank" that I've just made $186,000,000 net after tax profit. | ||
| Rocketman |
I hope the next time someone describes my earnings as "in the tank" that I've just made $186,000,000 net after tax profit. They didn't. Their shareholders did. Rocket | ||
| Court |
Not, looking back, an altogether bad place to have invested $100,000 in 1987 huh? | ||
| Buellinachinashop |
My company made 5 million and had hard-ons so big they'd chip concrete. 186.1 million is failure? | ||
| Court |
What's essentially happening is this . . . . for something like 67 consecutive quarters (I think it may be a record in American business) Harley-Davidson earning have INCREASED each quarter. They, for the first time are leveling off or decreasing. Think of an airplane continuing to climb . . . and then leveling off at 100,000 feet in altitude. The climb may have stopped . . . think of profits as the "view" from that altitude. The climb may have stopped . . but the view ain't bad. Think of it this way . . . as folks lament about HD's performance. . . they basically made a $1,000,000 profit every day they did business the last year. Not all bad. . . . They are, however, at a critical juncture and it will require skilled leadership which they will need to soon be seeking. | ||
| Rex |
hey are, however, at a critical juncture and it will require skilled leadership which they will need to soon be seeking. Yes, that is correct. they have a great product and need to continue to develop it even more. That will need to continue on down to the dealerships. They need to recognize and be ready to move along too. Keeping their current customers happy, and able to adapt to the younger crowd coming up behind us baby boomers. But wall street is funny. they do not care if you are making tons more money than you have in the past. they are looking for increases and meeting the projections you promised. they hate same as last year numbers. I would think that harley davidson has invested in new plants, new toolings, new research facilities, etc. and should be ready to move forward. it is not like they were several years ago, with old tooling and old buildings. I think they sitting okay with current buildings, etc. they were able to take their profits and put back into the company, making sure they were ready. REX | ||
| Doerman |
The P/E ratio is under 10 right now!! That is very undervalued. A company like H-D with its performance (current and historical) should be trading at $50/share when compared to other manufacturing companies. It is definitely time to buy this share! If HD beats Q1 estimates (which they will with stellar 1125R, Rocker and CrossBones deliveries) and all will be forgiven by the analysts and the share value is back up. It is very attractive now at $38. Asbjorn | ||
| Alchemy |
I was listening to the radio (I think NPR but not positive) and a business analyst noted that with the demise of the Home loan as Cash Machine concept that big motorcycle venues (Sturgis, Laconia etc) are not experiencing the purchasing power lately. It seems it is a little more difficult to write those 10 grand checks now that the house is not appreciating so fast and loans are a little tighter. The commentator noted that the import motorcycle companies had broadened their product lines during the go go years but HD was relying solely on cruisers implying that they had made a business mistake that would cost them in a recessionary time. I kept waiting for a mention of Buell and the 1125R but nothing came. On another note I was at a large sportsman/hunting/fishing show recently and a HD dealer had a few bikes in a booth. They had a 1125R right out front. Smart move I thought. | ||
| Chellem |
I agree that this is the time to buy (But I'm not a licensed stock broker or in any way qualified to offer advice relating to the stock market so please don't take my word as gold or sue me later if it doesn't work out). Wall street guys don't understand Harley. They've repeatedly been wrong about them, and have been rooting for H-D to fail just to make their predictions come true and look less like idiots. This economy sucks. Loans are harder to get, and for a large purchase, most folks need a loan. Honda's numbers, from what I've heard, are looking pretty shoddy too (at least in the motorcycle/cruiser portion of their numbers). In fiscal 2007, Honda sold 10.4 million motorcycle units, a 1% increase from fiscal 2006 and a 1.1% decrease from fiscal 2005. In key Asian markets, demand continued to grow for motorcycles as an essential mode of transportation. Sales in Latin America remained strong, especially in Brazil, where economic performance was stable. Motorcycle and off-road unit sales declined 4.4% in North America, primarily due to high fuel prices that affected its heavyweight motorcycle sales. It's a tough time to be in a market that is mainly reliant upon disposable/discretionary income in its consumers, but we're in a niche market besides. And despite that, they still made a ton of money. Not too shabby. But I'm not worried. I don't think Harley is going anywhere. | ||
| Doerman |
Sorry Chellem, but what you wrote must be corrected: But I'm not worried. I don't think Harley is going anywhere but up. Now, that's more accurate.  (Message edited by doerman on January 28, 2008) | ||
| Chellem |
You're right Doerman, I stand corrected. :P |
