Register / Sign in

Share prices

09/07/2018

A snapshot of global bike and ATV industry share performance at the trading week closure on Friday 6 July 2018. BDN financial editor Roger Willis reports.

President Trump’s initial $34bn punitive trade tariff assault on China finally kicked into hard reality at midnight on Thursday 5 July, to be immediately followed by retaliation in kind by the Chinese. The latter clearly hadn’t been expecting any postponement or reprieve, as witnessed by Shanghai’s SSE Composite index declining steadily over the week to finish 3.3% down.

Every single Chinese motorcycling stock sank further than the average. Worst afflicted were Honda JV affiliate Sundiro and Benelli parent Qianjiang, posting respective 8.8% and 8.1% losses. Guangzhou Auto, which also has a Honda tie-up, dropped by 6.6%. Jialing was 5.8% lower. CFMoto fell by 5.4% and is now on the cusp of descending below its IPO price when first listed last year. Lifan and Loncin were both 4.8% down, while Yamaha JV partners Linhai and Jianshe respectively suffered 3.8% and 3.6% retreats.

Japan was still on the back foot too. Already on the receiving end of the same US steel and aluminium tariffs as the EU and dreading further export trade sanctions from the same direction, Japanese investors were cowed and Tokyo’s Nikkei 225 index remained distinctly negative for another week, falling by 2%. However, biker shares were mainly stagnant rather than hammered by this adverse sentiment. Kawasaki took the only sharp pain with a 3.5% fall. Honda slid by 0.8% while Yamaha lost a marginal 0.2% and Suzuki actually rose by 0.3%.

Elsewhere, various upbeat excuses overwhelmed tariff fatigue. In America, particularly strong jobs growth data for June highlighted the still-robust US domestic economy. Indices responded accordingly, with the S&P 500 climbing by 2% and the Dow Jones Industrial Average adding 1.2%. Polaris did better, boasting a 2.8% improvement. But Harley-Davidson, copping an ongoing barrage of Presidential abuse for offshoring production to avoid European tit-for-tat tariffs, did less well with a 0.7% share hike.

Much of Europe was more cheerful as well, thanks to fresh data showing a healthy surge for German industrial production in May. Frankfurt’s DAX Xetra leapt by 2.9% on the back of that good news. BMW ended 3.4% up and Volkswagen put on 2.4%. However, the pan-eurozone Eurofirst 300 index displayed a more cautious note, rising by just 0.7%. In Austria, KTM was contrarian, declining by 0.6%. In Italy, Milan’s MIB index rose by 2.4% and Piaggio managed a 1.9% increase. Energica eclipsed petrolhead punter preferences by a huge margin, though, stacking on 14% after an impressive gain of more than 35% in the previous week. Such Tesla-like investor over-confidence smacks of a bubble that can easily burst.

The Indians, meanwhile, have obviously decided commercial conflict between America and China can be played to their advantage. Even if the Bombay Stock Exchange’s BSE Sensex only cranked up by 1.2%, speculators were piling into motorcycle manufacturing shares as if there was no tomorrow. Virtually all the big names made muscular progress. Bajaj led the field with a 7.5% boost. Hero grew in value by 4.7% and TVS by 4.3%. Mahindra followed with a useful 3%. The mystery was Royal Enfield parent Eicher, which inexplicably plunged by 3.4%.     

Price (P) Daily change (C) 52-week range (R) One-year investment return (Y)  

USA (US dollar)

Harley-Davidson    P 42.39  C +0.45%  R 56.50 - 39.34  Y -16.67%
Polaris    P 125.63  C +0.76%  R 137.66 - 86.51  Y +46.13%
Textron    P 65.69  C -0.55%  R 69.36 - 47.24  Y +36.87%
US Highland    P 0.0017  C +6.25%  R 0.0107 - 0.0006  Y -50%
Curtiss    P 0.40  C N/A  R 1.50 - 0.10  Y N/A

Notes: Polaris makes Indian bikes, ATVs, snowmobiles, quadricycles and EVs. Textron produces own-brand ATVs. US Highland makes off-road bikes. Curtiss Motorcycles, formerly Confederate Motors, makes limited-edition cruisers.

CANADA (Canadian dollar)

BRP    P 61.80  C +0.7%  R 66.36 - 37.75  Y +61.17%

Notes: Bombardier Recreational Products makes Can-Am ATVs and Spyder road trikes, Ski-Doo snowmobiles, Sea-Doo PWC and Rotax proprietary engines.

TAIWAN (Taiwanese dollar)

Sanyang    P 21.40  C -0.23%  R 23.65 - 20.00  Y +3.65%

Notes: Sanyang Motor (SYM) is the leading Taiwanese bike manufacturer.

VIETNAM (Hong Kong dollar)

VMEPH    0.41  C -1.19%  R 0.48 - 0.40  Y -12.63%

Notes: Vietnam Manufacturing & Export Processing Holdings, a JV partner of SYM, is the third-largest Vietnamese bike manufacturer.

INDONESIA (rupiah)

Astra    P 6300  C N/A  R 8850 - 6100  Y -26.62%
Indomobil    P 2460  C -7.34%  R 4780 - 815  Y +124.09%

Notes: Astra International is a Honda JV partner. Its controlling shareholder is British conglomerate Jardine Matheson. Indomobil Sukses Internasional is a Suzuki JV partner.

EUROPE (euro)

BMW    P 80.25  C -0.56%  R 97.50 - 76.50  Y +2.99%
VW    P 144.90  C -1.02%  R 191.80 - 127.50  Y +4.84%
KTM    P 63.60  C -1.85%  R 70.00 - 46.61  Y +33.2%
Piaggio    P 2.19  C +0.37%  R 2.86 - 1.97  Y +0.92%
Energica    P 4.47  C +7.97%  R 5.92 - 2.71  Y +38.39%

Notes:  Volkswagen Group owns Ducati. Energica Motor is an Italian manufacturer of electric superbikes

PAKISTAN (Pakistani rupee)

Atlas Honda    P 455.00  C +0.38%  R 640.00 - 455.00  Y -19.47%
Pak Suzuki    P 383.95  C +1.35%  R 749.98 - 374.82  Y -47.04%

Notes: Atlas Honda and Pak Suzuki are JV assembly partners.

INDIA (rupee)

Hero    P 3637.10  C +3.75%  R 4200.00 - 3353.75  Y -0.85%
Bajaj    P 3020.10  C +1.79%  R 3472.60 - 2694.50  Y +12.92%
TVS    P 576.80  C +1.1%  R 794.90 - 527.65  Y +4.35%  
Eicher    P 27,626.30  C -0.94%  R 33,483.95 - 26,000.00  Y +0.1%
Mahindra    P 924.95  C +1.38%  R 933.50 - 612.00  Y +35.71%  
Maharashtra    P 2920.15  C +0.19%  R 3450.00 - 1831.10  Y +55.79%
Scooters India    P 39.55  C -4.58%  R 79.70 - 36.40  Y -20.26%

Notes: Hero MotoCorp is a former Honda JV partner. Bajaj has a major shareholding in KTM and ties with it and Kawasaki. TVS is a former Suzuki JV partner and BMW Motorrad contractor. Eicher makes the Royal Enfield brand. Mahindra & Mahindra has an own-brand bike range, a majority stake in French scooter brand Peugeot and owns formerly British BSA and Czech Jawa brand rights. Maharashtra Scooters assembles CKD scooter kits manufactured by Bajaj. Scooters India makes Vikram three-wheeled taxis and light trucks.

JAPAN (yen)

Honda    P 3228  C +1.38%  R 4151 - 3000  Y +7.15%
Yamaha    P 2781  C +1.91%  R 3935 - 2681  Y -1.4%
Suzuki    P 6134  C +0.99%  R 6811 - 5100  Y +17.13%
Kawasaki    P 3150  C N/A  R 4620 - 3125  Y -5.49%

CHINA (yuan)

Qianjiang    P 11.45  C +1.42%  R 23.99 - 11.11  Y -32.33%
Zongshen    P 4.63  C -0.22%  R 7.78 - 4.55  Y -38.54%   
Sundiro    P 3.83  C +0.26%  R 8.47 - 3.67  Y -52.58%
Jialing    P 4.41  C -1.12%  R 6.83 - 4.34  Y -32.88%
Lifan    P 4.98  C -0.6%  R 9.44 - 4.86  Y -38.59%
Loncin    P 5.17  C -1.71%  R 8.62 - 4.86  Y -25.22%
Linhai    P 6.56  C +10.07%  R 13.81 - 5.96  Y -52%
GAG    P 10.40  C +0.48%  R 21.44 - 10.04  Y -43.83%
CFMoto    P 19.58  C -0.05%  R 50.92 - 19.20  Y N/A

CHINA (Hong Kong dollar)

Jianshe    P 5.59  C -3.79%  R 11.65 - 5.30  Y -39.89%

Notes: Qianjiang owns Keeway and Benelli. Zongshen makes own-brand bikes and proprietary engines, and has JV partnerships with Piaggio, (scooters), and Harley-Davidson (parts). Sundiro is a Honda JV partner. Jialing makes own-brand bikes using Honda licensed technology. Lifan makes own-brand bikes and distributes MV Agusta in China. Loncin is a Kawasaki JV partner and OEM engine contractor to BMW Motorrad. Linhai and Jianshe are Yamaha JV partners. Guangzhou Automobile Group (GAG) is the parent of Honda JV partner and own-brand bike manufacturer Wuyang. CFMoto makes bikes and ATVs, exporting to the UK under the WK Bikes brand.

MALAYSIA (ringgit)

Oriental Holdings    P 6.09  C -0.16%  R 6.62 - 5.87  Y -2.18%
Hong Leong    P 11.30  C +1.8%  R 12.30 - 9.00  Y +12.23%

Notes: Oriental Holdings is a Honda JV partner. Hong Leong Industries is a Yamaha JV partner.

SOUTH KOREA (won)

KR    P 571  C +0.35%  R 1672.5 - 475.5  Y -61.55%
Daelim    P 75,000  C +3.02%  R 94,400 - 70,000  Y -14.78%

Notes: KR Motors makes Hyosung bikes and ATVs. Daelim Industrial retains a controlling 59% stake in Daelim Motor, the largest bike manufacturer in Korea. (The remainder is British, owned by Standard Chartered Bank.)