Harley-Davidson Q3 motorcycle sales still floundering
A recent Harley-Davidson motorcycle sales report by Wedbush Securities suggests Q3 retail sales are down by 10%
According to a global sales report by Wedbush Securities analyst James Hardiman, Harley-Davidson dealers are struggling to drive sales figures in the right direction - even with the introduction of the electric LiveWire motorcycle.
With the third quarter almost over, Harley dealers are saying that retail sales are 5 -10% lower than the same time last year - and last years third-quarter sales were already very low.
Despite this bleak current state of affairs, Hardiman maintains his neutral rating on Harley stock value, saying: “The question remains whether or not the company can spark a turnaround…”
At this moment in time, the stock value of Harley-Davidson is very cheap (around $33.59), which isn’t the greatest signal for the company being able to pull itself from its current market position.
That’s not to say Harley is down and out... far from it. In fact, once their Livewire eventually trickles into dealers - likely due in late September - it could help change the tide of the company fate, as such a machine takes advantage of the emerging yet fiercely competitive e-bike market. A market, which whether we like it or not, is the likely future of motorcycling.
However, this could be a long game, because the LiveWire will only be arriving in dealers in very limited numbers. And with only two other all-new models announced for 2020 things don’t look set to improve drastically in the short run. But, then again, good things take time.
What about the new 2021 Harley-Davidson models?
Perhaps new Harley Davidson models suggest for 2021 will help get the dealers back into a place that they want to be? These models include a midpriced street bike and a quirky looking off-road adventure tourer. But Hardiman wrote that: “Many dealers wished the significant news wasn’t so far in the future”.
And there is still some scepticism as to whether or not a cheaper Harley will attract a young demographic of riders. With Harley currently attracting the grey pound (for the most part).
To sum up, with the production of LiveWire, Harley is taking a step in the right direction, and it's one of the first big manufacturers to build and produce an all-electric motorcycle. However, it might be too little too late?
Why do you think Harley-Davidson sales are floundering?
Let us know in the comments below.
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