Shares of Holley (NYSE:HLLY) skyrocketed today, which can be attributed to analyst upgrades. Christian Carlino of JP Morgan changed his rating from Hold to Buy while assigning a price target of $7 per share. In addition, Alexander Perry from Bank of America also upgraded the stock from Hold to Buy with a price target of $6, which was raised from $3.25.
Pick the best stocks and maximize your portfolio:
- Discover top-rated stocks from highly ranked analysts with Analyst Top Stocks!
- Easily identify outperforming stocks and invest smarter with Top Smart Score Stocks
BofA based its optimism on web traffic data and cost-cutting measures, which they expect to bolster operating leverage. They also highlighted improved sourcing for Holley’s popular fuel injection products that make up about 15% of its sales.
JP Morgan, on the other hand, predicts a surge in revenue for 2023 and 2024 based on the company’s conservative guidance and the forthcoming launch of Sniper 2.0. This product launch is anticipated to fuel a long-term boost in organic growth and gross margins, with signs of improvement expected in the second half of 2023. The investment firm also anticipates that margins will benefit from cost savings.
A look at the past five trading days for HLLY stock highlights the level of impact today’s news had on it. Indeed, shares jumped over 22% at the time of writing. As a result, investors are now up 21.9% during this timeframe.
