We recently published 10 Stocks With Shocking Surges. Harley-Davidson, Inc. is one of the best-performing stocks on Wednesday.
Shares of Harley-Davidson grew by 13.38 percent on Wednesday to close at $26.92 apiece as investors took heart from news that it was in advanced talks for the sale of its lending arm for $5 billion.
Alongside the results of its earnings performance, Harley-Davidson, Inc. announced that it is in advanced negotiations with investment giants PIMCO and KKR for the sale of Harley-Davidson Financial Services (HFDS), which would inject as much as $1.25 billion in cash into the company.
Of the total proceeds, Harley-Davidson, Inc. said it would allocate $450 million for debt repayments, another $500 million to support its $1-billion share buyback program, and the balance to fund other growth opportunities.
In the second quarter of the year, Harley-Davidson, Inc. recorded disappointing earnings performance, with attributable net income falling 51 percent to $108 million from $218 million in the same period last year, and revenues dropping by 19 percent to $1.3 billion from $1.6 billion year-on-year.
Diluted EPS also ended at $0.88, lower by 46 percent than the $1.63 in the same period a year earlier.
