A Look Back at Leisure Products Stocks’ Q3 Earnings: Harley-Davidson (NYSE:HOG) Vs The Rest Of The Pack
Quarterly earnings results are a good time to check in on a company’s progress, especially compared to its peers in the same sector. Today we are looking at Harley-Davidson (NYSE:HOG) and the best and worst performers in the leisure products industry.
Leisure products cover a wide range of goods in the consumer discretionary sector. Maintaining a strong brand is key to success, and those who differentiate themselves will enjoy customer loyalty and pricing power while those who don’t may find themselves in precarious positions due to the non-essential nature of their offerings.
The 14 leisure products stocks we track reported a slower Q3. As a group, revenues beat analysts’ consensus estimates by 0.6% while next quarter’s revenue guidance was 1.1% below.
Amidst this news, share prices of the companies have had a rough stretch. On average, they are down 7% since the latest earnings results.
Harley-Davidson (NYSE:HOG)
Founded in 1903, Harley-Davidson (NYSE:HOG) is an American motorcycle manufacturer known for its heavyweight motorcycles designed for cruising on highways.
Harley-Davidson reported revenues of $1.15 billion, down 25.7% year on year. This print exceeded analysts’ expectations by 17.9%. Despite the top-line beat, it was still a mixed quarter for the company with a decent beat of analysts’ EPS estimates but a miss of analysts’ motorcycles sold estimates.
Harley-Davidson Total Revenue
Harley-Davidson achieved the biggest analyst estimates beat of the whole group. Still, the market seems discontent with the results. The stock is down 30.4% since reporting and currently trades at $28.66.
Spun off from Smith and Wesson in 2020, American Outdoor Brands (NASDAQ:AOUT) is an outdoor and recreational products company that offers firearms and firearm accessories.
American Outdoor Brands reported revenues of $60.23 million, up 4% year on year, outperforming analysts’ expectations by 13.1%. The business had an incredible quarter with an impressive beat of analysts’ EPS estimates and a solid beat of analysts’ EBITDA estimates.
American Outdoor Brands Total Revenue
American Outdoor Brands pulled off the highest full-year guidance raise among its peers. The market seems happy with the results as the stock is up 30.4% since reporting. It currently trades at $14.21.
Founded in 1949, Ruger (NYSE:RGR) is an American manufacturer of firearms for the commercial sporting market.
Ruger reported revenues of $122.3 million, up 1.2% year on year, falling short of analysts’ expectations by 10.8%. It was a disappointing quarter as it posted a significant miss of analysts’ EBITDA and EPS estimates.
Ruger delivered the weakest performance against analyst estimates in the group. As expected, the stock is down 12.3% since the results and currently trades at $35.76.
Founded in California in 1982, Malibu Boats (NASDAQ:MBUU) is a manufacturer of high-performance sports boats and luxury watercrafts.
Malibu Boats reported revenues of $171.6 million, down 32.9% year on year. This number beat analysts’ expectations by 2.6%. It was a stunning quarter as it also recorded a solid beat of analysts’ EPS estimates and an impressive beat of analysts’ EBITDA estimates.
Malibu Boats had the slowest revenue growth among its peers. The stock is down 16.9% since reporting and currently trades at $35.08.
Founded by two brothers from Texas, YETI (NYSE:YETI) specializes in durable outdoor goods including coolers, drinkware, and other gear tailored to adventure enthusiasts.
YETI reported revenues of $478.4 million, up 10.4% year on year. This print topped analysts’ expectations by 1.5%. It was a satisfactory quarter as it also produced a decent beat of analysts’ EPS estimates.
YETI scored the fastest revenue growth among its peers. The stock is up 3.2% since reporting and currently trades at $37.29.
Thanks to the Fed's series of rate hikes in 2022 and 2023, inflation has cooled significantly from its post-pandemic highs, drawing closer to the 2% goal. This disinflation has occurred without severely impacting economic growth, suggesting the success of a soft landing. The stock market thrived in 2024, spurred by recent rate cuts (0.5% in September and 0.25% each in November and December), and a notable surge followed Donald Trump's presidential election win in November, propelling indices to historic highs. Nonetheless, the outlook for 2025 remains clouded by the pace and magnitude of future rate cuts as well as potential changes in trade policy and corporate taxes once the Trump administration takes over. The path forward is marked by uncertainty.
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