50% off Premium Yearly
Harley DavidsonHOGDON'T BUYAug 14, 2015Stock price when the opinion was issued
As of Aug 21, 2026. Market Open.
(A Top Pick March 19/15. Down 16.7%.) Sold his holdings in June. Recreational vehicle sales tend to be very highly correlated with employment and household formation, which have both been strong. What really affected them was the US$, as they derive about 25% of their sales from outside of the US, but manufacture everything in the US.
This is a consumer discretionary type of item. You don’t have to have it, it is pure luxury. 70% of revenue comes from the US. The challenge is that the next generation is not as keen on buying a Harley as the previous generation. They need to go through some sort of transformation in terms of creating products that will appeal to the next generation. The stock has done quite well since 2009, and thinks a lot of that was the rebound from the meltdown in the 2008 crisis. He feels there is some downside potential for this company.