Harley-Davidson Cutting Jobs as CFO Exits Amid Reorganization
Investing.com
Published Jul 09, 2020 11:13AM ET
By Christiana Sciaudone
Investing.com -- Harley-Davidson (NYSE:HOG) will cut 700 positions across global operations, with about 500 expected to exit in 2020.
HOG said it is overhauling its global operating model to become a “leaner, more nimble” organization.
Shares are down about 0.8% to $25.42, while the Dow is lower by 1.8%. HOG is trading at a price to earnings ratio of about 11, compared to about 23 on average for the Dow.
Changes include the exit of Chief Financial Officer John Olin (NYSE:OLN) after 17 years with the company. Vice President Treasurer Darrell Thomas will assume duties as interim CFO until a successor is appointed.
Restructuring costs should total about $42 million in the second quarter
Citigroup (NYSE:C) analyst Shawn Collins said on July 6 that the company is trading as if its declining sales will never recover, according to Barron’s. The stock’s cheap valuation and its new CEO make the stock a good bet, Collins said, initiating coverage of the stock with a buy.
HOG has eight holds, four buys and two sells, according to data compiled by Investing.com, with an average price target of $25.36.
“We’ve taken a hard look at our entire set up, our spending, and how work is getting done, to align our operating model, structure and processes,” said Jochen Zeitz, chairman, president and CEO of Harley-Davidson.”
Get The News You Want
Written By: Investing.com
Trading in financial instruments and/or cryptocurrencies involves high risks including the risk of losing some, or all, of your investment amount, and may not be suitable for all investors. Prices of cryptocurrencies are extremely volatile and may be affected by external factors such as financial, regulatory or political events. Trading on margin increases the financial risks.
Before deciding to trade in financial instrument or cryptocurrencies you should be fully informed of the risks and costs associated with trading the financial markets, carefully consider your investment objectives, level of experience, and risk appetite, and seek professional advice where needed.
Fusion Media would like to remind you that the data contained in this website is not necessarily real-time nor accurate. The data and prices on the website are not necessarily provided by any market or exchange, but may be provided by market makers, and so prices may not be accurate and may differ from the actual price at any given market, meaning prices are indicative and not appropriate for trading purposes. Fusion Media and any provider of the data contained in this website will not accept liability for any loss or damage as a result of your trading, or your reliance on the information contained within this website.
It is prohibited to use, store, reproduce, display, modify, transmit or distribute the data contained in this website without the explicit prior written permission of Fusion Media and/or the data provider. All intellectual property rights are reserved by the providers and/or the exchange providing the data contained in this website.
Fusion Media may be compensated by the advertisers that appear on the website, based on your interaction with the advertisements or advertisers.