olivLaw · US equity research
Holley Inc. HLLY
Motor Vehicle Parts & Accessories · SIC 3714 · Vertical: Motor Vehicle Parts & Accessories (SIC 3714)
Holley Inc. designs, manufactures and distributes high-performance aftermarket automotive products for enthusiasts in the United States, Canada, Europe and China, mainly through distribution partners. In 2026 it is reshaping its portfolio by selling non-core brands and pursuing core growth amid tariffs and inflation. Net sales reached 613.5 million USD in fiscal 2025, and the 2026 guidance was reiterated.
At the close of 04 Nov 2026, Holley Inc. (HLLY) stock was 2.90 USD (+7.41% on the day), with market capitalisation 351.6 m USD, P/E 35.3 on diluted EPS of 0.08 USD over the last 12 months, beta 1.02, 52-week range 2.29–4.39 USD. Latest reported quarter (Q2 2026): revenue of 172.0 m USD (+3.2% YoY), net income of -2.4 m USD (−122.4% YoY), diluted EPS -0.02 USD.
Data as of · AI analysis dated · Source: SEC filings and closing prices, computed by olivLaw.
Price history
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Technical reading
- RSI (14)
- 65.7
- strong (55–70)
- Bollinger (20, 2)
- 2.35 – 2.80
- above the upper band · %B 1.23 · band width 17.3%
- SMA 50 / 200
- 2.62 / 2.98
- mixed trend
- MACD (12, 26, 9)
- 0.05 / 0.01
- MACD above signal
Indicators describe past prices; on their own they do not predict direction. On our history the RSI ≤ 40 filter added no return (see the signals methodology).
Performance
| Company | S&P 500 | vs S&P 500 | Vertical median | |
|---|---|---|---|---|
| 1 month | +26.6% | −1.1% | +27.7 pp | — |
| 3 months | −4.6% | −0.5% | −4.2 pp | — |
| 6 months | +1.0% | +4.4% | −3.3 pp | — |
| Year to date | −29.8% | +12.3% | −42.1 pp | — |
| 1 year | −1.0% | +13.5% | −14.6 pp | −10.2% |
| 3 years | −32.1% | +76.4% | −108.5 pp | +9.8% |
| 5 years | −75.7% | +63.7% | −139.4 pp | — |
Price returns, dividends excluded.
Quarterly results
Latest quarter: Q2 2026 · 28 Jun 2026
Quarterly margins
Quarterly statements · USD
| Fiscal year | Q3 '24 | Q4 '24 | Q1 '25 | Q2 '25 | Q3 '25 | Q4 '25 | Q1 '26 | Q2 '26 |
|---|---|---|---|---|---|---|---|---|
| Revenue | 134.0 m | 140.1 m | 153.0 m | 166.7 m | 138.4 m | 155.4 m | 147.3 m | 172.0 m |
| Cost of revenue | 81.7 m | 76.2 m | 89.0 m | 97.1 m | 78.5 m | 82.7 m | 86.6 m | 101.5 m |
| Gross profit | 52.3 m | 63.9 m | 64.1 m | 69.6 m | 59.8 m | 72.8 m | 60.7 m | 70.5 m |
| Research & development | 4.6 m | 5.0 m | 4.1 m | 5.1 m | 4.7 m | 4.9 m | 4.0 m | 3.7 m |
| SG&A | 30.1 m | 34.5 m | 36.7 m | 33.0 m | 33.5 m | 43.0 m | 35.4 m | 40.4 m |
| Operating income | 5.6 m | -29.0 m | 19.3 m | 27.5 m | 15.9 m | 19.8 m | 17.5 m | 2.8 m |
| Interest expense | 15.0 m | 11.5 m | 15.7 m | 13.4 m | 11.3 m | 11.5 m | 9.9 m | 8.2 m |
| Pre-tax income | -7.8 m | -40.5 m | 3.9 m | 14.4 m | 463.0 k | 9.9 m | 9.1 m | -3.6 m |
| Income tax | -1.5 m | -2.7 m | 1.1 m | 3.5 m | 1.3 m | 3.6 m | 1.9 m | -1.2 m |
| Net income | -6.3 m | -37.8 m | 2.8 m | 10.9 m | -806.0 k | 6.3 m | 7.3 m | -2.4 m |
| Diluted EPS | -0.05 | -0.32 ≈ | 0.02 | 0.09 | -0.01 | 0.05 ≈ | 0.06 | -0.02 |
| Operating cash flow | -1.7 m ≈ | 4.1 m | -7.9 m | 40.5 m ≈ | 7.4 m ≈ | 6.2 m | -2.9 m | 47.1 m ≈ |
| Capex | 1.7 m ≈ | 2.4 m | 3.0 m | 4.8 m ≈ | 2.1 m ≈ | 2.4 m | 3.5 m | 6.2 m ≈ |
≈ derived quarter (cumulative difference / share-days average)
E/P over time
E/P = trailing-12-month diluted EPS / price at quarter end. E/P is the inverse of P/E and stays defined when earnings are negative.
Today's P/E sits at the 79 percentile of its own 14-quarter history (min 3.3, median 25.2, max 255.8; quarters with earnings only).
Fiscal years
| Fiscal year | 2019 | 2020 | 2021 | 2022 | 2023 | 2024 | 2025 |
|---|---|---|---|---|---|---|---|
| Revenue | 368.7 m | 504.2 m | 692.8 m | 688.4 m | 659.7 m | 602.2 m | 613.5 m |
| Revenue YoY | unavailable | +36.8% | +37.4% | −0.6% | −4.2% | −8.7% | +1.9% |
| Net income | 561.0 k | 32.9 m | -27.1 m | 73.8 m | 19.2 m | -23.2 m | 19.2 m |
| Net income YoY | unavailable | +5,756.9% | −182.6% | unavailable | −74.0% | −221.1% | unavailable |
| Diluted EPS | 0.01 | 0.49 | -0.30 | 0.14 | 0.16 | -0.20 | 0.16 |
| Diluted EPS YoY | unavailable | +4,800.0% | −161.2% | unavailable | +14.3% | −225.0% | unavailable |
| net % | 0.2% | 6.5% | -3.9% | 10.7% | 2.9% | -3.9% | 3.1% |
| Free cash flow | 2.0 m | 79.0 m | 6.4 m | -1.3 m | 82.2 m | 40.1 m | 33.9 m |
Reported results vs expectations
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Balance sheet & financial health
Fiscal year 2025 · 31 Dec 2025
- Cash
- 37.2 m USD
- Financial debt
- 522.6 m USD
- Net debt
- 485.4 m USD
- Equity
- 448.9 m USD
- Total assets
- 1.2 bn USD
- Debt / equity
- 1.16x
- Current ratio
- 2.75x
- ROE
- 4.4%
- ROA
- 1.7%
- FCF margin
- 5.5%
Financial statements (source on every figure)
Revenue and net income (USD)
Margins
Income statement · USD
| Line | 2020 | 2021 | 2022 | 2023 | 2024 | 2025 | Source (latest year) |
|---|---|---|---|---|---|---|---|
| Revenue | 504.2 m | 692.8 m | 688.4 m | 659.7 m | 602.2 m | 613.5 m | SEC (XBRL)· 16 Mar 2026verified |
| Cost of revenue | 295.9 m | 406.0 m | 434.8 m | 403.6 m | 363.7 m | 347.3 m | SEC (XBRL)· 16 Mar 2026verified |
| Gross profit | 208.2 m | 286.8 m | 253.7 m | 256.1 m | 238.5 m | 266.2 m | SEC (XBRL)· 16 Mar 2026verified |
| Research & development | 23.5 m | 28.3 m | 29.1 m | 23.8 m | 18.7 m | 18.8 m | SEC (XBRL)· 16 Mar 2026verified |
| SG&A | 70.9 m | 116.8 m | 150.7 m | 120.2 m | 132.1 m | 146.1 m | SEC (XBRL)· 16 Mar 2026verified |
| Operating income | 85.5 m | 77.5 m | 50.7 m | 94.0 m | 14.7 m | 82.5 m | SEC (XBRL)· 16 Mar 2026verified |
| Interest expense | 43.8 m | 39.1 m | 40.2 m | 60.7 m | 50.7 m | 51.8 m | SEC (XBRL)· 16 Mar 2026verified |
| Pre-tax income | 41.7 m | -16.7 m | 78.3 m | 27.6 m | -26.3 m | 28.6 m | SEC (XBRL)· 16 Mar 2026verified |
| Income tax | 8.8 m | 10.4 m | 4.5 m | 8.4 m | -3.0 m | 9.5 m | SEC (XBRL)· 16 Mar 2026verified |
| Net income | 32.9 m | -27.1 m | 73.8 m | 19.2 m | -23.2 m | 19.2 m | SEC (XBRL)· 16 Mar 2026verified |
| Diluted EPS | 0.49 | -0.30 | 0.14 | 0.16 | -0.20 | 0.16 | SEC (XBRL)· 16 Mar 2026verified |
| Weighted average diluted shares | 67.7 m | 90.0 m | 117.2 m | 118.5 m | 118.4 m | 120.0 m | SEC (XBRL)· 16 Mar 2026verified |
Balance sheet · USD
| Line | 2020 | 2021 | 2022 | 2023 | 2024 | 2025 | Source (latest year) |
|---|---|---|---|---|---|---|---|
| Cash | 71.7 m | 36.3 m | 26.2 m | 41.1 m | 56.1 m | 37.2 m | SEC (XBRL)· 16 Mar 2026verified |
| Inventories | 133.9 m | 185.0 m | 233.6 m | 192.3 m | 192.5 m | 205.7 m | SEC (XBRL)· 16 Mar 2026verified |
| Current assets | 258.0 m | 291.7 m | 325.0 m | 297.4 m | 297.3 m | 316.2 m | SEC (XBRL)· 16 Mar 2026verified |
| Property, plant & equipment, net | 43.7 m | 51.5 m | 52.2 m | 47.2 m | 41.0 m | 45.1 m | SEC (XBRL)· 16 Mar 2026verified |
| Goodwill | 359.1 m | 411.4 m | 418.1 m | 419.1 m | 372.3 m | 372.3 m | SEC (XBRL)· 16 Mar 2026verified |
| Intangibles (excl. goodwill) | 404.5 m | 438.5 m | 424.9 m | 410.5 m | 386.7 m | 396.9 m | SEC (XBRL)· 16 Mar 2026verified |
| Total assets | 1.1 bn | 1.2 bn | 1.2 bn | 1.2 bn | 1.1 bn | 1.2 bn | SEC (XBRL)· 16 Mar 2026verified |
| Accounts payable | 34.6 m | 45.7 m | 44.9 m | 43.7 m | 44.8 m | 60.1 m | SEC (XBRL)· 16 Mar 2026verified |
| Short-term debt | 5.5 m | 7.9 m | 7.0 m | 7.5 m | 7.2 m | 6.6 m | SEC (XBRL)· 16 Mar 2026verified |
| Long-term debt | 649.5 m | 637.7 m | 643.6 m | 576.7 m | 545.4 m | 516.1 m | SEC (XBRL)· 16 Mar 2026verified |
| Current liabilities | 82.0 m | 91.8 m | 101.3 m | 93.7 m | 95.2 m | 115.1 m | SEC (XBRL)· 16 Mar 2026verified |
| Total liabilities | 824.9 m | 888.6 m | 833.7 m | 762.2 m | 712.2 m | 715.0 m | SEC (XBRL)· 16 Mar 2026verified |
| Equity | 240.4 m † | 304.5 m † | 416.0 m † | 441.2 m † | 421.2 m † | 448.9 m † | SEC (XBRL)· 16 Mar 2026verified |
† equity attributable to the parent's shareholders: in these years the issuer no longer reports the total including non-controlling interests.
Cash flow · USD
| Line | 2020 | 2021 | 2022 | 2023 | 2024 | 2025 | Source (latest year) |
|---|---|---|---|---|---|---|---|
| Operating cash flow | 88.4 m | 21.6 m | 12.3 m | 88.1 m | 46.9 m | 46.2 m | SEC (XBRL)· 16 Mar 2026verified |
| Capex | 9.4 m | 15.2 m | 13.6 m | 5.9 m | 6.8 m | 12.3 m | SEC (XBRL)· 16 Mar 2026verified |
| Free cash flow | 79.0 m ≈ | 6.4 m ≈ | -1.3 m ≈ | 82.2 m ≈ | 40.1 m ≈ | 33.9 m ≈ | SEC (XBRL)· 16 Mar 2026derived |
| Investing cash flow | -165.6 m | -134.1 m | -25.0 m | -4.5 m | 2.0 m | -32.2 m | SEC (XBRL)· 16 Mar 2026verified |
| Financing cash flow | 140.5 m | 77.2 m | 2.9 m | -69.0 m | -34.6 m | -32.6 m | SEC (XBRL)· 16 Mar 2026verified |
≈ computed by olivLaw from the reported lines of the same year: Operating cash flow − Capex.
Computed indicators
Growth
Profitability
Returns
Balance sheet
Liquidity
Cash
Efficiency
Market and valuation
Risk
Valuation
olivLaw classification
Score: 40 / 100
A scoring methodology on indicators and valuation, not investment advice.
Closing price
04 Nov 2026Source: olivLaw, closing series
Market cap: 351.6 m USD
Key indicators
Coverage and freshness
Score by group
- Balance sheet40
- Quality50
- Valuation50
- Growth15
Estimated value range
The combined range = the median of the valid methods' low, central and high values; it is not a probability interval and does not cover every result. Envelope of all methods: 0.94 – 20.49 USD.
Valuation assumptions are editorial choices, not measured; beta is not measured.
Method ranges (USD per share)
— — Mid · ▏ Price
Valuation methods
- DCF (discounted cash flow)6.51 – 20.49 (Mid 10.56)WACC 6.1% · starting FCFF 70.2 m USD · terminal value share of EV 84%The WACC × g sensitivity gives the method's bounds; these are not probabilities.Reverse DCF: no growth between −30% and +40% justifies the price
- Peers: EV/EBITDAunavailable · input data missing
- Peers: P/E0.94 – 1.58 (Mid 1.24)19 companies used · median multiple 15.1x · quartiles 11.5x – 19.2xADNT, ALSN, ALV, APTV, ATMU, BWA, CAAS, DAN, DORM, GNTX, GTX, LCII, LEA, MGA, PATK, PHIN, SMP, STRT, VC
- Dividend discount (DDM)unavailable · the company pays no dividend: a dividend model needs an explicit initiation assumption
Classification (SIC) comparables group by industry code, not by economic activity; the direct group is an editorial selection by activity. Members' multiples are on their own trailing twelve months, at their own latest close.
Assumptions (illustrative, editorial)
- Risk-free rate
- 4.3%
- Equity risk premium
- 5.0%
- Beta (default)
- 1.00
- Cost of equity
- 9.3%
- Terminal growth
- 2.5%
Factor scorecard
Neutral profile · Score 40/100
| Factor | Value | Score | Weight used |
|---|---|---|---|
| ROIC · Quality | 4.0% | 24 (vs peers) | 15% |
| Net margin · Quality | 1.7% | 44 (vs peers) | 9% |
| FCF conversion · Quality | 423.2% | 100 (on a fixed band) | 9% |
| Revenue CAGR 3Y · Growth | -3.8% | 0 (on a fixed band) | 12% |
| EPS CAGR 3Y · Growth | 4.6% | 30 (on a fixed band) | 12% |
| Net debt / EBITDA · Balance sheet | unavailable | unavailable | — |
| Interest coverage · Balance sheet | 1.4x | 0 (on a fixed band) | 9% |
| Current ratio · Balance sheet | 3.1x | 100 (on a fixed band) | 6% |
| P/E (TTM) · Valuation | 35.3x | 10 (vs peers) | 15% |
| EV/EBITDA · Valuation | unavailable | unavailable | — |
| FCF yield · Valuation | 12.4% | 100 (on a fixed band) | 12% |
| Shareholder yield (distributions) · Returns | unavailable | unavailable | — |
| Payout ratio (FCF) · Returns | unavailable | unavailable | — |
Factors without a value were dropped; the remaining weights were renormalised.
Score groups
- Balance sheet40/100 · 2/3 factors with a value
- Growth15/100 · 2/2 factors with a value
- Quality50/100 · 3/3 factors with a value
- Returns· partialunavailable · 0/2 factors with a value
- Valuation50/100 · 2/3 factors with a value
A «partial» group is computed from under half of its weight or from one factor: it is not a full assessment of the group.
Memo
HOLLEY INC. (HLLY). Latest full fiscal year: 2025; data up to 2026-06-28.
Figures computed from the financial statements: revenue 613.5 m USD in 2025; YoY growth 1.9%; net margin 1.7%; ROE 2.3%.
The estimated value range is 3.73–11.03 USD per share (median of 2 methods, agreement: low); assumptions are illustrative. Against the central value of 5.90 USD, the price of 2.90 USD leaves a potential of 103.4% (value / price − 1) and a margin of safety of 50.8% (1 − price / value). The range is the median of the methods' low, central and high values, not a probability interval.
olivLaw score 40/100, methodological classification: neutral profile (score, margin of safety and method agreement together; not a judgement of the right price). Groups assessed only in part: returns. Not investment advice.
Text generated deterministically from the figures shown; no language model. Not investment advice.
What supports the thesis
- FCF conversion: 423.2%
- Current ratio: 3.1x
- FCF yield: 12.4%
- The price is below the estimated value range
What contradicts it
- ROIC: 4.0%
- Revenue CAGR 3Y: -3.8%
- Interest coverage: 1.4x
- P/E (TTM): 35.3x
- The valuation methods diverge
Not assessed (insufficient data or a ratio without meaning): Net debt / EBITDA, EV/EBITDA, Shareholder yield (distributions), Payout ratio (FCF).
Versus the vertical median
Motor Vehicle Parts & Accessories (SIC 3714) · same industry (4-digit SIC) · compared with 34 companies
Multiples and returns vs the median
Price rebased to 100 (monthly, 5 years)
Companies in the vertical
| Market cap | P/E | ROE | Net margin | Revenue YoY | 1A / 3A | |
|---|---|---|---|---|---|---|
| MGAMagna International Inc. | 18.4 bn | 22.4 | 6.9% | 2.0% | −1.9% | +34% / +22% |
| BWABorgwarner Inc. | 10.1 bn | 21.5 | 8.2% | 3.4% | +1.6% | +17% / +50% |
| ALSNAllison Transmission Holdings, Inc. | 9.9 bn | 17.4 | 29.7% | 11.1% | −6.7% | +36% / +125% |
| ALVAutoliv, Inc. | 9.0 bn | 15.1 | 24.8% | 5.6% | +4.1% | +7% / +21% |
| APTVAptiv PLC | 8.8 bn | 11.9 | 8.5% | 4.6% | +3.5% | −44% / −48% |
| LEALear Corp | 5.7 bn | 10.4 | 11.6% | 2.5% | −0.2% | +11% / −11% |
| MODModine Manufacturing Co | 5.2 bn | 41.3 | 11.4% | 3.6% | +23.1% | −39% / +100% |
| GNTXGentex Corporation | 4.4 bn | 11.0 | 16.4% | 15.5% | +9.6% | −9% / −32% |
| DORMDorman Products, Inc. | 4.2 bn | 21.2 | 13.3% | 9.3% | +6.0% | +8% / +98% |
| ATMUAtmus Filtration Technologies Inc. | 3.9 bn | 18.3 | 55.8% | 11.3% | +5.7% | −5% / +119% |
| GTXGarrett Motion Inc. | 3.6 bn | 10.1 | — | 10.0% | +3.1% | +20% / +167% |
| PATKPatrick Industries Inc | 2.7 bn | 20.1 | 13.0% | 3.7% | +6.3% | −22% / +55% |
| PHINPhinia Inc. | 2.6 bn | 14.5 | 12.2% | 5.2% | +2.4% | +33% / +181% |
| DANDana Incorporated | 2.6 bn | 2.4 | 71.4% | 14.6% | −3.0% | +6% / +80% |
| LCIILci Industries | 2.5 bn | 12.1 | 15.0% | 5.2% | +10.2% | −8% / −4% |
| VCVisteon Corp | 2.0 bn | 13.8 | 10.8% | 4.1% | −2.5% | −22% / −32% |
| THRMGentherm Incorporated | 1.6 bn | 105.3 | 1.3% | 0.6% | +2.9% | −13% / −32% |
| ADNTAdient plc | 1.3 bn | 28.5 | 2.7% | 0.3% | −1.0% | −12% / −47% |
| DCHDauch Corporation | 1.1 bn | — | -15.2% | -2.0% | −4.7% | −27% / −31% |
| SMPStandard Motor Products, Inc. | 1.0 bn | 15.1 | 9.9% | 3.8% | +22.4% | +22% / +28% |
| AEVAAeva Technologies, Inc. | 661.5 m | — | — | -150.1% | +99.4% | −15% / +240% |
| CPSCooper-Standard Holdings Inc. | 391.6 m | — | — | -2.0% | +0.4% | −29% / +24% |
| HLLYHolley Inc. | 351.6 m | 35.3 | 2.3% | 1.7% | +1.9% | −1% / −32% |
| KNDIKandi Technologies Group, Inc. | 287.8 m | — | -30.5% | -107.4% | −31.5% | −63% / −88% |
| STRTStrattec Security Corp | 258.5 m | 15.6 | 7.2% | 2.9% | +2.5% | −14% / +201% |
1- and 3-year price returns: for HLLY from daily closes (the same as the performance table), for the other companies from month-end closes.
olivLaw engine forecast
The world engine ran after the company's latest material disclosure. Probabilities are of TOUCHING a level within the horizon (not closing there) and sit next to the random walk (p_rw), the no-information benchmark.
The engine has no published run for this company yet.
Valuation scenarios (editable assumptions)
Illustrative scenarios
Illustrative: not forecasts and without probabilities. Each case is one coherent set of assumptions, computed on today's figures.
Estimated price (USD)
| Estimated price | Bear | Base | Bull |
|---|---|---|---|
| 1 years | 1.63 Total return -44% · Per year -44% | 2.89 Total return -0% · Per year -0% | 4.37 Total return 51% · Per year 51% |
| 3 years | 1.33 Total return -54% · Per year -23% | 2.68 Total return -8% · Per year -3% | 4.48 Total return 54% · Per year 16% |
| 5 years | 1.08 Total return -63% · Per year -18% | 2.48 Total return -15% · Per year -3% | 4.59 Total return 58% · Per year 10% |
- Exit P/E± 0.67
- Net margin± 0.47
- Annual revenue growth± 0.42
- Annual dilution± 0.04
AI analysis
AI-generatedAI-generated analysis (Claude) from cited public sources; it may contain errors. Not investment advice. As of 27 Oct 2026 · Model: claude-haiku-5-5.
In brief
Holley Inc. designs, manufactures and distributes high-performance aftermarket automotive products for enthusiasts in the United States, Canada, Europe and China, mainly through distribution partners. In 2026 it is reshaping its portfolio by selling non-core brands and pursuing core growth amid tariffs and inflation. Net sales reached 613.5 million USD in fiscal 2025, and the 2026 guidance was reiterated.
SWOT
Strengths
- Brands recognized by enthusiasts, a broad product portfolio and a direct DTC channel are clear strengths, backed by investment in innovation and a diversified distribution network 1.
- Efficient supply chain management, with a mix of global sourcing and in-house manufacturing, supports strong gross margins and cash conversion 1.
- The company has generated free cash flow and reduced debt through voluntary prepayments, which strengthens its balance sheet 3.
Weaknesses
Opportunities
- Expansion into adjacent categories such as exterior accessories and mobile electronics could add further growth 1.
- New placements at national retailers and the launch pipeline for the second half could support core growth 3.
- Acquisitions of strategically aligned brands, after the divestment of non-core assets, could strengthen market position 2.
Risks
- Tariffs and trade restrictionshigh
Tariffs on imported products and materials could materially affect revenue and operating results 1.
- Discretionary demandhigh
If consumer confidence falls, sales of performance products could decline and margins could be affected 1.
- Raw material inflationmedium
Rising prices of steel, aluminum and precious metals could reduce profitability if they cannot be passed on to customers 1.
- Indebtednessmedium
Bank debt remains significant, and changes in interest rates could raise financing costs 13.
- Execution of portfolio rebalancingmedium
Divestitures and acquisitions may not deliver the expected benefits, and losses on asset sales could be significant 23.
Investment thesis
What would need to be true (bull case)
- If core growth stays in the upper part of the guidance range and margins firm up, the company could show a path to more sustainable growth 3.
- Continued debt reduction and cash generation could provide flexibility for strategic acquisitions in the future 3.
- Strong brands and an enthusiast community could support demand even during periods of economic pressure 1.
What would break the thesis
- If tariffs and inflationary pressures persist, margins could be compressed and growth could stay below expectations 12.
- Sales lost through divestitures and losses on asset sales could slow total growth in the coming period 3.
- If the adjusted EBITDA guidance is not reached in the second half, investor confidence could be affected 3.
What to watch
- Delivery against the guidance for net sales and adjusted EBITDA2026
- Progress of leverage toward the 3.5x targetYear-end 2026
- Effect of divestitures on core sales growthQ3 2026
- Tariff refunds and their effect on cost baseQ3 2026
Products, market & competition
AI-generatedAI-generated analysis (Claude) from cited public sources; it may contain errors. Not investment advice. As of 27 Oct 2026 · Model: claude-haiku-5-5.
The business
Holley, founded in 1903, designs, manufactures and distributes performance aftermarket products for car and truck enthusiasts, mainly in the United States, Canada and Europe 1. The range includes carburetors, fuel pumps, fuel injection, exhaust systems, ignition components, tuners and safety equipment, and the company has locations in the United States, Canada, Italy and China 1. Net sales rose 1.9% in fiscal 2025 to 613.5 million USD, and gross margin reached 43.4% 1. Strategy is built on four consumer verticals: American Performance, Modern Truck & Off-Road, Euro & Import, and Safety & Racing 1. The company says it wants to focus resources on its highest-priority growth categories and reduce debt 23.
Segments
Core brands
The top five brands, Holley EFI, Holley, MSD, Flowmaster and Simpson, generated 49% of sales in 2025, and Holley EFI is the largest at 17% of sales 1. Holley EFI focuses on electronic fuel injection, Flowmaster on exhaust products, and Simpson on motorsport safety equipment 1.
Sales channels
The DTC channel through Holley.com gives better margins and direct customer relationships, while distribution through partners such as e-tailers, warehouse distributors and retailers accounts for most sales 1. E-tailers and warehouse distributors made up 54% of 2025 sales, and the largest single partner 22% 1.
Market context
The US performance aftermarket is large and fragmented, with consistent growth over the past two decades 1. The products are largely discretionary, so demand depends on consumer confidence and disposable income 1. In the second quarter of 2026 core net sales grew 4.9% after excluding divestitures and the portfolio rebalancing 3. The 2026 guidance points to core growth of roughly 2% to 7% 3.
Trends
- Tariffs and international trademixed
Tariffs imposed by the United States and retaliatory measures by other countries raise import costs and complicate supply chains, and the company received a refund on IEEPA tariffs struck down by the Supreme Court 12. If tariffs stay high, margins could be pressured, although refunds and a diversified sourcing strategy could offset part of the impact 2.
- Discretionary consumer spendingheadwind
Demand for performance products depends on economic conditions, inflation and consumer confidence, and a slowdown could reduce sales 1. The company has already noted that in some periods demand has shifted toward lower-margin products 2.
- Operating efficiency gainstailwind
Production efficiency, inventory discipline and lower warranty costs helped lift gross margin in 2025 1. If these improvements hold, they could support profitability even with relatively stable sales 3.
- Shift to electric vehicles and shared mobilitymixed
A move toward electric vehicles and away from car ownership could shrink the enthusiast base if the company does not launch relevant new products 1. The company says product development and acquisitions are its main response to this shift 1.
Competitive position
The company operates in a highly competitive market where players compete on technical features, performance, design, innovation, brand and price 1. There are four types of competitors: multi-category providers, single-category providers, e-tailer private labels and niche custom manufacturers 1. Original equipment manufacturers, through their dealerships, also compete by supplying replacement parts 1.
- Multi-category providers
Legacy brands covering several performance categories, often built through acquisitions; Holley is among the largest in this group 1.
- Single-category providers
Specialist companies focused on one product category, selling mainly through distributors, with products either lower priced or higher quality 1.
- E-tailer private labels
Private-label products sold by online retailers, usually at lower price points with stronger presence in less specialized categories 1.
- Niche custom manufacturers
Smaller, usually regional shops that focus on fully customizing specific vehicle makes or models 1.
Links, dependencies and risks
Who the company is tied to, from its own SEC filings (customers, suppliers, production, partners, competitors, countries, regulation), from the 5 %+ holders' statements (13D/13G) and from what other companies say about it. Click a node for its evidence; on a listed company the graph moves to it.
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News & filings
In the press
No news in our archive over the last 180 days.
SEC filings
- Current report23 Sept 2026Other events · Financial statements and exhibits
- Current report05 Aug 2026Results of operations · Financial statements and exhibits
- Quarterly report05 Aug 2026
- Current report14 Jul 2026Other events · Financial statements and exhibits
- Current report26 May 2026Other events · Financial statements and exhibits
- Current report18 May 2026Regulation FD disclosure · Other events · Financial statements and exhibits
- Current report06 May 2026Results of operations · Financial statements and exhibits
- Quarterly report06 May 2026
- Current report06 May 2026Shareholder vote · Financial statements and exhibits
- Current report08 Apr 2026Departure or appointment of officers · Financial statements and exhibits
Sources
- [1] Form 10-K, fiscal year ended 2025-12-31 · SEC / Holley Inc. · 16 Mar 2026
- [2] Form 10-Q, quarter ended 2026-06-28 · SEC / Holley Inc. · 05 Aug 2026
- [3] Form 8-K, results release (exhibit 99.1) · SEC / Holley Inc. · 05 Aug 2026
Figures computed by olivLaw from SEC filings and closing prices; the qualitative analysis is AI-generated from cited sources. Not investment advice.