I'm LongbridgeAI, I can summarize articles.Harley-Davidson President & CEO Artie Starrs purchased 10,000 shares worth $258,941 on August 11, signaling confidence in the company's growth. This insider buy comes as HOG trades down 3.18% to $26.88. Despite recent revenue declines and low gross margins, Harley maintains a positive EPS trend and an undervalued P/E ratio compared to industry averages.
A notable insider purchase on August 11, was reported by Artie Starrs, President & CEO at Harley-Davidson (NYSE:HOG), based on the most recent SEC filing.
What Happened: In a significant move reported in a Form 4 filing with the U.S. Securities and Exchange Commission on Tuesday, Starrs purchased 10,000 shares of Harley-Davidson, demonstrating confidence in the company's growth potential. The total value of the transaction stands at $258,941.
Harley-Davidson shares are trading down 3.18% at $26.88 at the time of this writing on Wednesday morning.
Unveiling the Story Behind Harley-Davidson
Harley-Davidson is a leading global manufacturer of heavyweight motorcycles across the custom, cruising, and touring categories, as well as related merchandise, parts, and accessories. In recent years, the firm has expanded into the adventure touring market with its Pan America model, into electric with the LiveWire brand, and is returning to smaller-displacement bikes with the Sprint. Its captive finance arm, Harley-Davidson Financial Services, provides wholesale financing to dealers and retail financing and insurance brokerage services to customers. Harley captured around 34% of the heavyweight domestic market in 2025.
Understanding the Numbers: Harley-Davidson's Finances
Revenue Growth: Harley-Davidson's revenue growth over a period of 3 months has faced challenges. As of 30 June, 2026, the company experienced a revenue decline of approximately -5.87%. This indicates a decrease in the company's top-line earnings. As compared to its peers, the company achieved a growth rate higher than the average among peers in Consumer Discretionary sector.
Insights into Profitability:
- Gross Margin: The company faces challenges with a low gross margin of 31.74%, suggesting potential difficulties in cost control and profitability compared to its peers.
- Earnings per Share (EPS): Harley-Davidson's EPS is a standout, portraying a positive bottom-line trend that exceeds the industry average with a current EPS of 0.76.
Debt Management: With a high debt-to-equity ratio of 0.74, Harley-Davidson faces challenges in effectively managing its debt levels, indicating potential financial strain.
Market Valuation:
- Price to Earnings (P/E) Ratio: Harley-Davidson's P/E ratio of 14.84 is below the industry average, suggesting the stock may be undervalued.
- Price to Sales (P/S) Ratio: A higher-than-average P/S ratio of 0.72 suggests overvaluation in the eyes of investors, considering sales performance.
- EV/EBITDA Analysis (Enterprise Value to its Earnings Before Interest, Taxes, Depreciation & Amortization): Harley-Davidson's EV/EBITDA ratio at 6.51 suggests potential undervaluation, falling below industry averages.
Market Capitalization: Positioned above industry average, the company's market capitalization underscores its superiority in size, indicative of a strong market presence.
The Importance of Insider Transactions
Emphasizing the importance of a comprehensive approach, considering insider transactions is valuable, but it's crucial to evaluate them in conjunction with other investment factors.
In the realm of legality, an "insider" is defined as any officer, director, or beneficial owner holding more than ten percent of a company’s equity securities under Section 12 of the Securities Exchange Act of 1934. This includes executives in the c-suite and major hedge funds. These insiders are required to disclose their transactions through a Form 4 filing, to be submitted within two business days of the transaction.
Notably, when a company insider makes a new purchase, it is considered an indicator of their positive expectations for the stock.
Conversely, insider sells may not necessarily signal a bearish stance on the stock and can be motivated by various factors.
Navigating the World of Insider Transaction Codes
Delving into transactions, investors typically prioritize those unfolding in the open market, as precisely outlined in Table I of the Form 4 filing. A P in Box 3 indicates a purchase, while S signifies a sale. Transaction code C signals the conversion of an option, and transaction code A denotes a grant, award, or other acquisition of securities from the company.
Check Out The Full List Of Harley-Davidson's Insider Trades.
This article was generated by Benzinga's automated content engine and reviewed by an editor.