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olivLaw · US equity research

Holley Inc. HLLY

Motor Vehicle Parts & Accessories · SIC 3714 · Vertical: Motor Vehicle Parts & Accessories (SIC 3714)

2.90USD+7.41% · 1 dayClose 04 Nov 2026

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.

Market cap
351.6 m USD
shares as of 03 Aug 2026
P/E (TTM)
35.3
Diluted EPS TTM 0.08 · TTM to 28 Jun 2026
E/P (TTM)
2.83%
TTM to 28 Jun 2026
Dividend yield
unavailable
Beta (2y)
1.02
Volatility (1y) 63%
52-week range
2.294.39

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

CompanyS&P 500vs S&P 500Vertical 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—
Max drawdown (1y)
−47.8%
03 Dec 2025 → 05 Oct 2026
Max drawdown (5y)
−87.8%
16 Mar 2022 → 07 May 2025
Compound annual growth (5y)
−24.7%
S&P 500 +10.4%

Price returns, dividends excluded.

Quarterly results

Latest quarter: Q2 2026 · 28 Jun 2026

Revenue
172.0 m USD
+3.2% YoY
Net income
-2.4 m USD
−122.4% YoY
Diluted EPS
-0.02
−122.2% YoY
net / operating
-1.4% / 1.6%

Quarterly margins

Quarterly statements · USD

Fiscal yearQ3 '24Q4 '24Q1 '25Q2 '25Q3 '25Q4 '25Q1 '26Q2 '26
Revenue134.0 m140.1 m153.0 m166.7 m138.4 m155.4 m147.3 m172.0 m
Cost of revenue81.7 m76.2 m89.0 m97.1 m78.5 m82.7 m86.6 m101.5 m
Gross profit52.3 m63.9 m64.1 m69.6 m59.8 m72.8 m60.7 m70.5 m
Research & development4.6 m5.0 m4.1 m5.1 m4.7 m4.9 m4.0 m3.7 m
SG&A30.1 m34.5 m36.7 m33.0 m33.5 m43.0 m35.4 m40.4 m
Operating income5.6 m-29.0 m19.3 m27.5 m15.9 m19.8 m17.5 m2.8 m
Interest expense15.0 m11.5 m15.7 m13.4 m11.3 m11.5 m9.9 m8.2 m
Pre-tax income-7.8 m-40.5 m3.9 m14.4 m463.0 k9.9 m9.1 m-3.6 m
Income tax-1.5 m-2.7 m1.1 m3.5 m1.3 m3.6 m1.9 m-1.2 m
Net income-6.3 m-37.8 m2.8 m10.9 m-806.0 k6.3 m7.3 m-2.4 m
Diluted EPS-0.05-0.32 ≈0.020.09-0.010.05 ≈0.06-0.02
Operating cash flow-1.7 m ≈4.1 m-7.9 m40.5 m ≈7.4 m ≈6.2 m-2.9 m47.1 m ≈
Capex1.7 m ≈2.4 m3.0 m4.8 m ≈2.1 m ≈2.4 m3.5 m6.2 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 year2019202020212022202320242025
Revenue368.7 m504.2 m692.8 m688.4 m659.7 m602.2 m613.5 m
Revenue YoYunavailable+36.8%+37.4%−0.6%−4.2%−8.7%+1.9%
Net income561.0 k32.9 m-27.1 m73.8 m19.2 m-23.2 m19.2 m
Net income YoYunavailable+5,756.9%−182.6%unavailable−74.0%−221.1%unavailable
Diluted EPS0.010.49-0.300.140.16-0.200.16
Diluted EPS YoYunavailable+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 flow2.0 m79.0 m6.4 m-1.3 m82.2 m40.1 m33.9 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

Revenue
2023
659.7 m
2024
602.2 m
2025
613.5 m

SEC (XBRL)· 16 Mar 2026verified

Cost of revenue
2023
403.6 m
2024
363.7 m
2025
347.3 m

SEC (XBRL)· 16 Mar 2026verified

Gross profit
2023
256.1 m
2024
238.5 m
2025
266.2 m

SEC (XBRL)· 16 Mar 2026verified

Research & development
2023
23.8 m
2024
18.7 m
2025
18.8 m

SEC (XBRL)· 16 Mar 2026verified

SG&A
2023
120.2 m
2024
132.1 m
2025
146.1 m

SEC (XBRL)· 16 Mar 2026verified

Operating income
2023
94.0 m
2024
14.7 m
2025
82.5 m

SEC (XBRL)· 16 Mar 2026verified

Interest expense
2023
60.7 m
2024
50.7 m
2025
51.8 m

SEC (XBRL)· 16 Mar 2026verified

Pre-tax income
2023
27.6 m
2024
-26.3 m
2025
28.6 m

SEC (XBRL)· 16 Mar 2026verified

Income tax
2023
8.4 m
2024
-3.0 m
2025
9.5 m

SEC (XBRL)· 16 Mar 2026verified

Net income
2023
19.2 m
2024
-23.2 m
2025
19.2 m

SEC (XBRL)· 16 Mar 2026verified

Diluted EPS
2023
0.16
2024
-0.20
2025
0.16

SEC (XBRL)· 16 Mar 2026verified

Weighted average diluted shares
2023
118.5 m
2024
118.4 m
2025
120.0 m

SEC (XBRL)· 16 Mar 2026verified

Balance sheet · USD

Cash
2023
41.1 m
2024
56.1 m
2025
37.2 m

SEC (XBRL)· 16 Mar 2026verified

Inventories
2023
192.3 m
2024
192.5 m
2025
205.7 m

SEC (XBRL)· 16 Mar 2026verified

Current assets
2023
297.4 m
2024
297.3 m
2025
316.2 m

SEC (XBRL)· 16 Mar 2026verified

Property, plant & equipment, net
2023
47.2 m
2024
41.0 m
2025
45.1 m

SEC (XBRL)· 16 Mar 2026verified

Goodwill
2023
419.1 m
2024
372.3 m
2025
372.3 m

SEC (XBRL)· 16 Mar 2026verified

Intangibles (excl. goodwill)
2023
410.5 m
2024
386.7 m
2025
396.9 m

SEC (XBRL)· 16 Mar 2026verified

Total assets
2023
1.2 bn
2024
1.1 bn
2025
1.2 bn

SEC (XBRL)· 16 Mar 2026verified

Accounts payable
2023
43.7 m
2024
44.8 m
2025
60.1 m

SEC (XBRL)· 16 Mar 2026verified

Short-term debt
2023
7.5 m
2024
7.2 m
2025
6.6 m

SEC (XBRL)· 16 Mar 2026verified

Long-term debt
2023
576.7 m
2024
545.4 m
2025
516.1 m

SEC (XBRL)· 16 Mar 2026verified

Current liabilities
2023
93.7 m
2024
95.2 m
2025
115.1 m

SEC (XBRL)· 16 Mar 2026verified

Total liabilities
2023
762.2 m
2024
712.2 m
2025
715.0 m

SEC (XBRL)· 16 Mar 2026verified

Equity
2023
441.2 m †
2024
421.2 m †
2025
448.9 m †

SEC (XBRL)· 16 Mar 2026verified

Cash flow · USD

Operating cash flow
2023
88.1 m
2024
46.9 m
2025
46.2 m

SEC (XBRL)· 16 Mar 2026verified

Capex
2023
5.9 m
2024
6.8 m
2025
12.3 m

SEC (XBRL)· 16 Mar 2026verified

Free cash flow
2023
82.2 m ≈
2024
40.1 m ≈
2025
33.9 m ≈

SEC (XBRL)· 16 Mar 2026derived

Investing cash flow
2023
-4.5 m
2024
2.0 m
2025
-32.2 m

SEC (XBRL)· 16 Mar 2026verified

Financing cash flow
2023
-69.0 m
2024
-34.6 m
2025
-32.6 m

SEC (XBRL)· 16 Mar 2026verified

Computed indicators

Growth

Revenue growth (YoY)
1.9%
computed by olivLawFY 2025
Revenue CAGR 3Y
-3.8%
computed by olivLawFY 2022 → FY 2025
Revenue CAGR 5Y
4.0%
computed by olivLawFY 2020 → FY 2025
EBIT growth (YoY)
462.3%
computed by olivLawFY 2025
Net income growth (YoY)
unavailable
the base of the ratio is not positive
Net income CAGR 3Y
-36.2%
computed by olivLawFY 2022 → FY 2025
Net income CAGR 5Y
-10.2%
computed by olivLawFY 2020 → FY 2025
EPS growth (YoY)
unavailable
the base of the ratio is not positive
EPS CAGR 3Y
4.6%
computed by olivLawFY 2022 → FY 2025
EPS CAGR 5Y
-20.1%
computed by olivLawFY 2020 → FY 2025
FCF growth (YoY)
-15.5%
computed by olivLawFY 2025

Profitability

Gross margin
43.0%
computed by olivLawTTM to 28 Jun 2026
EBITDA margin
unavailable
input data missing
EBIT margin
9.1%
computed by olivLawTTM to 28 Jun 2026
Net margin
1.7%
computed by olivLawTTM to 28 Jun 2026
FCF margin
7.1%
computed by olivLawTTM to 28 Jun 2026

Returns

ROE
2.3%
computed by olivLawTTM to 28 Jun 2026 · balance sheet at 28 Jun 2026
ROA
0.9%
computed by olivLawTTM to 28 Jun 2026 · balance sheet at 28 Jun 2026
ROIC
4.0%
computed by olivLawTTM to 28 Jun 2026 · balance sheet at 28 Jun 2026
ROCE
5.3%
computed by olivLawTTM to 28 Jun 2026 · balance sheet at 28 Jun 2026
Payout ratio (EPS)
unavailable
input data missing
Payout ratio (FCF)
unavailable
input data missing

Balance sheet

Net debt
457.8 m USD
computed by olivLawbalance sheet at 28 Jun 2026
Net debt / EBITDA
unavailable
input data missing
Debt / equity
1.2x
computed by olivLawbalance sheet at 28 Jun 2026
Interest coverage
1.4x
computed by olivLawTTM to 28 Jun 2026

Liquidity

Current ratio
3.1x
computed by olivLawbalance sheet at 28 Jun 2026
Quick ratio
1.4x
computed by olivLawbalance sheet at 28 Jun 2026
Cash ratio
0.6x
computed by olivLawbalance sheet at 28 Jun 2026

Cash

Operating cash flow
57.8 m USD
computed by olivLawTTM to 28 Jun 2026
Capital expenditure
14.2 m USD
computed by olivLawTTM to 28 Jun 2026
Free cash flow
43.7 m USD
computed by olivLawTTM to 28 Jun 2026
FCF conversion
423.2%
computed by olivLawTTM to 28 Jun 2026
Cash conversion
unavailable
input data missing

Efficiency

Days sales outstanding
unavailable
input data missing
Days inventory outstanding
189 days
computed by olivLawTTM to 28 Jun 2026 · balance sheet at 28 Jun 2026
Days payables outstanding
52 days
computed by olivLawTTM to 28 Jun 2026 · balance sheet at 28 Jun 2026
Cash conversion cycle
unavailable
input data missing

Market and valuation

Market capitalisation
351.6 m USD
computed by olivLawbalance sheet at 28 Jun 2026
Enterprise value
809.4 m USD
computed by olivLawbalance sheet at 28 Jun 2026
Market cap / net income TTM
34.1x
computed by olivLawTTM to 28 Jun 2026
P/E (TTM)
35.3x
computed by olivLawTTM to 28 Jun 2026
Earnings yield
2.8%
computed by olivLawTTM to 28 Jun 2026
P/B
0.8x
computed by olivLawbalance sheet at 28 Jun 2026
P/S
0.6x
computed by olivLawTTM to 28 Jun 2026 · balance sheet at 28 Jun 2026
EV/EBITDA
unavailable
input data missing
EV/EBIT
14.5x
computed by olivLawTTM to 28 Jun 2026 · balance sheet at 28 Jun 2026
EV/Sales
1.3x
computed by olivLawTTM to 28 Jun 2026 · balance sheet at 28 Jun 2026
P/FCF
8.0x
computed by olivLawTTM to 28 Jun 2026 · balance sheet at 28 Jun 2026
FCF yield
12.4%
computed by olivLawTTM to 28 Jun 2026 · balance sheet at 28 Jun 2026
Dividend yield
unavailable
no dividend in the structured statements; a missing line is not a confirmed zero
Shareholder yield (distributions)
unavailable
input data missing

Risk

Altman Z
1.29
computed by olivLawbalance sheet at 28 Jun 2026

Valuation

olivLaw classification

Neutral profile

Score: 40 / 100

A scoring methodology on indicators and valuation, not investment advice.

Closing price

2.90 USD

04 Nov 2026Source: olivLaw, closing series

Market cap: 351.6 m USD

Key indicators

Market capitalisation
351.6 m USD
computed by olivLawbalance sheet at 28 Jun 2026
P/E (TTM)
35.3x
computed by olivLawTTM to 28 Jun 2026
P/B
0.8x
computed by olivLawbalance sheet at 28 Jun 2026
EV/EBITDA
unavailable
input data missing
ROE
2.3%
computed by olivLawTTM to 28 Jun 2026 · balance sheet at 28 Jun 2026
Net margin
1.7%
computed by olivLawTTM to 28 Jun 2026
Revenue growth (YoY)
1.9%
computed by olivLawFY 2025
Dividend yield
unavailable
no dividend in the structured statements; a missing line is not a confirmed zero

Coverage and freshness

30/37 reporting lines present
Latest full fiscal year: 2025
Latest reported period: 28 Jun 2026
Latest balance sheet date: 28 Jun 2026
Share count (cover of the latest filing), as of: 03 Aug 2026
Source: SEC (XBRL)published 05 Aug 2026
verified 960derived 84

Score by group

  • Balance sheet40
  • Quality50
  • Valuation50
  • Growth15

Estimated value range

Low
3.73
USD per share
Mid
5.90
USD per share
High
11.03
USD per share
Price: 2.90 USD
The price is below the range
Potential to the central value: 103.4% (value / price − 1)
Margin of safety: 50.8% (1 − price / value)
Agreement between methods: low · 2 methods used · 2 independent bases

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 – 19.2x
    ADNT, 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
Multiple comparisons use the SIC vertical: Motor Vehicle Parts & Accessories (SIC 3714)

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

FactorValueScoreWeight used
ROIC · Quality4.0%24 (vs peers)15%
Net margin · Quality1.7%44 (vs peers)9%
FCF conversion · Quality423.2%100 (on a fixed band)9%
Revenue CAGR 3Y · Growth-3.8%0 (on a fixed band)12%
EPS CAGR 3Y · Growth4.6%30 (on a fixed band)12%
Net debt / EBITDA · Balance sheetunavailableunavailable—
Interest coverage · Balance sheet1.4x0 (on a fixed band)9%
Current ratio · Balance sheet3.1x100 (on a fixed band)6%
P/E (TTM) · Valuation35.3x10 (vs peers)15%
EV/EBITDA · Valuationunavailableunavailable—
FCF yield · Valuation12.4%100 (on a fixed band)12%
Shareholder yield (distributions) · Returnsunavailableunavailable—
Payout ratio (FCF) · Returnsunavailableunavailable—

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

P/E
35.3x
vertical median 15.1x
above median (+133.8%)
EV/EBITDA
—
vertical median 7.5x
P/S
0.6x
vertical median 0.7x
below median (−18.2%)
P/B
0.8x
vertical median 1.4x
below median (−44.5%)
ROE
2.3%
vertical median 8.5%
below median (−72.7%)
Net margin
1.7%
vertical median 2.7%
below median (−37.6%)
EBIT margin
9.1%
vertical median 3.8%
above median (+140.0%)
Revenue YoY
1.9%
vertical median 3.1%
below median (−40.2%)
Net debt/EBITDA
—
vertical median 1.1x
Dividend yield
—
vertical median 1.7%

Price rebased to 100 (monthly, 5 years)

Companies in the vertical

Market capP/EROENet marginRevenue YoY1A / 3A
MGAMagna International Inc.18.4 bn22.46.9%2.0%−1.9%+34% / +22%
BWABorgwarner Inc.10.1 bn21.58.2%3.4%+1.6%+17% / +50%
ALSNAllison Transmission Holdings, Inc.9.9 bn17.429.7%11.1%−6.7%+36% / +125%
ALVAutoliv, Inc.9.0 bn15.124.8%5.6%+4.1%+7% / +21%
APTVAptiv PLC8.8 bn11.98.5%4.6%+3.5%−44% / −48%
LEALear Corp5.7 bn10.411.6%2.5%−0.2%+11% / −11%
MODModine Manufacturing Co5.2 bn41.311.4%3.6%+23.1%−39% / +100%
GNTXGentex Corporation4.4 bn11.016.4%15.5%+9.6%−9% / −32%
DORMDorman Products, Inc.4.2 bn21.213.3%9.3%+6.0%+8% / +98%
ATMUAtmus Filtration Technologies Inc.3.9 bn18.355.8%11.3%+5.7%−5% / +119%
GTXGarrett Motion Inc.3.6 bn10.1—10.0%+3.1%+20% / +167%
PATKPatrick Industries Inc2.7 bn20.113.0%3.7%+6.3%−22% / +55%
PHINPhinia Inc.2.6 bn14.512.2%5.2%+2.4%+33% / +181%
DANDana Incorporated2.6 bn2.471.4%14.6%−3.0%+6% / +80%
LCIILci Industries2.5 bn12.115.0%5.2%+10.2%−8% / −4%
VCVisteon Corp2.0 bn13.810.8%4.1%−2.5%−22% / −32%
THRMGentherm Incorporated1.6 bn105.31.3%0.6%+2.9%−13% / −32%
ADNTAdient plc1.3 bn28.52.7%0.3%−1.0%−12% / −47%
DCHDauch Corporation1.1 bn—-15.2%-2.0%−4.7%−27% / −31%
SMPStandard Motor Products, Inc.1.0 bn15.19.9%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 m35.32.3%1.7%+1.9%−1% / −32%
KNDIKandi Technologies Group, Inc.287.8 m—-30.5%-107.4%−31.5%−63% / −88%
STRTStrattec Security Corp258.5 m15.67.2%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.

Bear
Allowed range: -50 … 50%
Allowed range: -100 … 100%
Allowed range: 0 … 100
Allowed range: -10 … 20%
Allowed range: 0 … 100%
Base
Allowed range: -50 … 50%
Allowed range: -100 … 100%
Allowed range: 0 … 100
Allowed range: -10 … 20%
Allowed range: 0 … 100%
Bull
Allowed range: -50 … 50%
Allowed range: -100 … 100%
Allowed range: 0 … 100
Allowed range: -10 … 20%
Allowed range: 0 … 100%
Nothing is saved.

Estimated price (USD)

Estimated priceBearBaseBull
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%
What moves the 3-year price the most
  • 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

  • Reliance on large distribution partners and a few major accounts creates concentration risk in sales 1.
  • SG&A expenses grew faster than sales in 2025, which pressured operating margin 1.
  • Debt remains significant, and interest costs limit financial flexibility 13.

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.

Threats

  • Trade tariffs and retaliatory measures by other countries could raise import costs and weaken competitiveness 1.
  • Lower discretionary consumer spending could reduce sales and force price cuts 1.
  • Competitors with larger financial and marketing resources could reduce the company's market share 1.

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.

News & filings

In the press

No news in our archive over the last 180 days.

SEC filings

  • Current report23 Sept 2026
    Other events · Financial statements and exhibits
  • Current report05 Aug 2026
    Results of operations · Financial statements and exhibits
  • Quarterly report05 Aug 2026
  • Current report14 Jul 2026
    Other events · Financial statements and exhibits
  • Current report26 May 2026
    Other events · Financial statements and exhibits
  • Current report18 May 2026
    Regulation FD disclosure · Other events · Financial statements and exhibits
  • Current report06 May 2026
    Results of operations · Financial statements and exhibits
  • Quarterly report06 May 2026
  • Current report06 May 2026
    Shareholder vote · Financial statements and exhibits
  • Current report08 Apr 2026
    Departure or appointment of officers · Financial statements and exhibits

Sources

  1. [1] Form 10-K, fiscal year ended 2025-12-31 · SEC / Holley Inc. · 16 Mar 2026
  2. [2] Form 10-Q, quarter ended 2026-06-28 · SEC / Holley Inc. · 05 Aug 2026
  3. [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.