Holley Inc. Common Stock (HLLY)

FairStock Score: 61/100 — STEADY

Key Financials

AI Analysis

AI-generated, general educational analysis — not personal investment advice.

I am wary of businesses that look cheap only because earnings are depressed. Holley sells performance parts to car and truck enthusiasts, a niche with cyclical demand. The filed record is volatile: FY2023, ended 2023-12-31, had revenue of $659.7M and net income of $19.2M; FY2024, ended 2024-12-31, had revenue of $602.2M but a net loss of $23.2M; FY2025, ended 2025-12-31, recovered to revenue of $613.5M and net income of $19.2M. More recently, fiscal Q1 2026, the quarter ended 2026-03-29, produced net income of $7.3M, but fiscal Q2 2026, the quarter ended 2026-06-28, reversed to a net loss of $2.4M, or diluted EPS of -$0.02, on revenue of $172.0M. That is not the consistency I prize. FairStock's calculations as of the 2026-10-13 close show a P/E of 28.22, P/B of 0.67, ROE of 2.33%, ROCE of 4.74%, and debt-to-equity of 1.27. The Altman Z-Score of 0.81 and Piotroski F-Score of 4/9 reinforce balance-sheet and quality concerns. Free cash flow of $33.0M and a 10.7% FCF yield are real positives, as is the Graham Number of $2.75 against the $2.54 price, a 7.64% margin of safety. But EV/EBITDA of 8.90 is not a giveaway if earnings stay erratic. Holley's aftermarket focus may offer a modest moat, yet low returns on capital and cyclicality suggest it is not a wide-moat compounder. I would want evidence that the latest loss is temporary and that debt is manageable before calling this a classic Graham bargain.

In plain English: Holley sells parts and accessories to car and truck enthusiasts. The business has been uneven: it returned to profit in fiscal 2025, but it lost $2.4 million in the latest reported quarter. At $2.54, the stock trades below the value of its net assets on the books, but weak current profits and high debt mean it is not an obviously safe bargain.

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Data as of 2026-10-13 close · note generated 2026-10-15 · model deepseek-flash

Sources (SEC EDGAR): fiscal Q2 2026 10-Q (period ended 2026-06-28) · fiscal Q1 2026 10-Q (period ended 2026-03-29) · fiscal Q3 2025 10-Q (period ended 2025-09-28) · fiscal Q2 2025 10-Q (period ended 2025-06-29) · FY2025 10-K (period ended 2025-12-31) · FY2024 10-K (period ended 2024-12-31) · FY2023 10-K (period ended 2023-12-31)

Fundamentals from company filings and market-data providers; prices are end-of-day, not real-time. AI-generated analysis is general and educational — not personal investment advice. Scoring methodology · Score test · Disclaimer