Baird Downgrades Harley-Davidson Stock Outlook to Neutral

A recent report shows Baird has downgraded Harley-Davidson's outlook from Outperform to Neutral, reflecting cautious sentiment among institutional investors. A drop in shares owned by major firms signals potential challenges ahead for the company's stock performance.

Date: 03-10-2024

AI Rating: 4

The report details a downgrade in Harley-Davidson's outlook by Baird from Outperform to Neutral, which is generally regarded as a sign of a cautious or negative sentiment towards the stock's future performance.

Furthermore, the report indicates a slight increase in the number of funds reporting positions in Harley-Davidson, up by 0.25% in the last quarter. However, the average portfolio weight dedicated to Harley-Davidson decreased slightly, which could reflect a hesitance among fund managers regarding the stock's potential.

Particularly noteworthy are the changes in holdings by significant shareholders. The report mentions various institutional investors who have reduced their holdings in Harley-Davidson:

H Partners Management: Decreased its holdings by 1.72% and reduced its portfolio allocation by 19.77%.
Beutel, Goodman & Co: Decreased its holdings by 0.96% and also reduced its portfolio allocation by 21.65%.
Boston Partners: Decreased its holdings by 1.68% and significantly reduced its portfolio allocation by 67.67%.
Lsv Asset Management: Increased its holdings by 14.76% but lowered its portfolio allocation by 4.74%.
IJH - iShares Core S&P Mid-Cap ETF: Decreased its holdings by 3.64% and reduced its portfolio allocation by 24.26%.

The overall decrease in positions held by multiple institutional investors may indicate a bearish outlook on Harley-Davidson's stock performance, potentially affecting its price negatively in the short term.

Stocks: HOG