HLLY Should I Buy
-
$
0.000
0.000(0.000%)
At close0.000(0.000%)Aft-market
ET
Holley Inc is not a strong buy at the moment for a beginner investor with a long-term strategy. The technical indicators are bearish, insider selling is significantly high, and recent financial performance shows declining net income and EPS despite revenue growth. While the acquisition of HRX is a positive catalyst for long-term growth, cautious investor sentiment and lack of strong trading signals suggest holding off on immediate investment.
The technical indicators are bearish. The MACD is below 0 and negatively contracting, RSI is neutral at 34.89, and moving averages are bearish (SMA_200 > SMA_20 > SMA_5). The stock is trading below the pivot level of 2.982, with key support at 2.77 and resistance at 3.194.
The acquisition of HRX expands Holley's presence in European motorsports and strengthens its global racing industry position. Revenue growth in 2025/Q4 was up 10.98% YoY, and gross margin improved by 3.55% YoY.
Insiders are selling heavily, with a 2037.18% increase in selling over the last month. Following the HRX acquisition announcement, the stock price fell by 5%, reflecting cautious investor sentiment. Net income and EPS dropped significantly YoY in 2025/Q4.
In 2025/Q4, revenue increased by 10.98% YoY to $155.4M, but net income dropped by -116.68% YoY to $6.3M, and EPS fell by -115.62% YoY to $0.05. Gross margin improved to 44.59%, up 3.55% YoY.
Canaccord analyst Brian McNamara raised the price target to $8 from $7 and maintained a Buy rating, citing organic sales growth and positive dealer survey results. However, this is a long-term outlook and does not align with current bearish technicals and sentiment.
