Holley stock price target raised to $3.50 from $2.75 at Telsey

Investing.com - Telsey Advisory Group raised its price target on Holley (NYSE:HLLY) to $3.50 from $2.75 on Wednesday, while maintaining an Outperform rating on the automotive aftermarket company. According to InvestingPro data, analyst targets for Holley range from $2.25 to $5.00, suggesting significant upside potential from the current price of $2.58.

The price target increase follows Holley’s second-quarter 2025 results, which showed better-than-expected performance with adjusted EBITDA of $36.4 million, exceeding Telsey’s forecast of $34.0 million and the FactSet consensus of $34.8 million.

While overall sales decreased 1.7% to $166.7 million, the figure surpassed both Telsey’s projection of $161.9 million and the FactSet consensus of $162.7 million. Core sales, excluding divested business and phased-out products, increased 3.9% year-over-year.

Telsey noted that Holley’s topline trends have improved in each of the last three quarters and are tracking for continued sequential improvement, with third-quarter 2025 sales coming in flat so far.

Despite uncertainty regarding tariff impacts on consumer demand causing Holley to slightly lower the high end of its 2025 sales guidance, the company has fully estimated the cost headwind from tariffs and expects to successfully offset it, resulting in narrower adjusted EBITDA guidance that remains unchanged at the midpoint.

In other recent news, Holley Inc reported its Q2 2025 earnings, revealing mixed results. The company’s revenue reached $166.7 million, surpassing the forecast of $163.05 million. However, Holley Inc’s earnings per share (EPS) fell short, coming in at $0.09 compared to the expected $0.10. These results indicate a stronger-than-anticipated revenue performance, though the EPS did not meet analyst expectations. Despite the earnings miss, the revenue beat is a significant highlight for investors. This development follows the company’s efforts to maintain its market position amid challenging economic conditions. Investors may find the revenue figures encouraging, as they point to robust sales performance. Holley Inc’s recent financial results are a focal point for stakeholders assessing the company’s current market standing.

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