15 JANUARY: WEEKLY MOTORCYCLE INDUSTRY SHARE PRICEs

A snapshot of global bike and ATV industry share performance at the trading week closure on Friday 15 January 2016.

The second week of 2016 saw worldwide stock-market turbulence worsen, as sell-off mayhem spread exponentially, forcing prices down right across the board. Principal drivers were the plummeting price of oil, with both benchmarks — Brent Light Crude and West Texas Intermediate — sinking below $30 a barrel, plus worries about the stumbling Chinese economy, China’s mushrooming financial woes and knock-on poisoning of growth forecasts elsewhere.

In New York, where the S&P 500 index fell by 2.69% this week and has now lost 8% since the beginning of January, $21bn moved out of equities — most of it heading for the safe havens of US and German sovereign bonds. Europe’s eurozone-wide Eurofirst 300 index dropped by 3.24%. The Nikkei 225 in Tokyo was down by 3.11%. India’s BSE Sensex 30 decreased by 1.92%.

Decline in China eclipsed them all. The Shanghai Composite index plummeted by 8.93% week-on-week and is 17.5% below its position on New Year’s Day. Only 19 of Shanghai’s 1124 listed companies are reportedly left holding onto annual gains.

Motorcycle manufacturers followed this deeply negative trend. There were virtually no exceptions on a global basis and some notable examples were on the receiving end of punishment way beyond index predictors. In the US, Harley-Davidson teetered on the edge of a 40-buck abyss after losing 7.6%. German dunces were BMW and Daimler, respectively down by 6.3% and 5.7%. Italian flagship Piaggio sank by 5%.

In the Far East, China was obviously an unrelenting pit of gloom with many substantial retreats. Every Indian bike manufacturer also fell, more or less in line with the BSE average, as did all four of the big-name brands in Japan apropos the Nikkei. Expect a continuation of bad news next week. 

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

USA (US dollar)

Harley-Davidson    P 40.44  C -3.65%  R 66.28 – 39.38  Y -34.54%

Polaris    P 79.02  C -1.47%  R 158.24 – 76.65  Y -41.84%

Arctic Cat    P 12.76  C +0.08%  R 39.72 – 11.70  Y -63.44%

US Highland    P 0.22  C -9.71%  R 1.05 – 0.11  Y N/A

Viper    P 0.0008  C N/A  R N/A  Y N/A 

Confederate    P 0.15  C +0.54%  R 0.33 – 0.08  Y N/A

Notes: Polaris makes Victory and Indian bikes, ATVs, snowmobiles, quadricycles and EVs. Arctic Cat makes ATVs and snowmobiles. US Highland makes off-road bikes. Viper Powersports makes the Diamondback Super Cruiser. Confederate Motors makes Combat Fighter cruisers.

CANADA (Canadian dollar)

BRP    P 15.90  C -4.5%  R 29.80 – 15.66  Y -30.63%

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

TAIWAN (Taiwanese dollar)

Sanyang    P 20.25  C N/A  R 28.75 – 19.15  Y -25.69%

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

VIETNAM (Hong Kong dollar)

VMEPH    P 0.40  C -2.44%  R 0.85 – 0.40  Y -10.11%

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

INDONESIA (rupiah)

Astra    P 6000  C +2.13%  R 8575 – 4975  Y -15.04%

Indomobil    P 2090  C -0.71%  R 4200 – 1860  Y -46.26%

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 77.14  C -4.67%  R 123.75 – 72.05  Y -15.83%

Daimler    P 64.14  C -4.15%  R 96.07 – 62.05  Y -11.85%

VW    P 120.50  C -5.48%  R 254.99 – 95.00  Y -34.44%

KTM    P 127.00  C -2.31%  R 140.00 – 99.69  Y -2.8%

Piaggio    P 1.91  C -2.1%  R 3.18 – 1.88  Y -22.12%

Notes: Daimler’s AMG-Mercedes subsidiary has a 25% stake in MV Agusta. Volkswagen Group owns Ducati.

PAKISTAN (Pakistani rupee)

Atlas Honda    P 368.00  C -1.08%  R 414.80 – 311.37  Y N/A

Pak Suzuki    P 505.00  C -1.31%  R 532.00 – 330.00  Y N/A

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

INDIA (rupee)

Hero    P 2427.75  C -0.4%  R 2970.00 – 2251.30  Y -15.29%

Bajaj    P 2322.15  C -1.71%  R 2656.00 – 1912.50  Y -2.14%

TVS    P 278.40  C -1.49%  R 322.30 – 201.00  Y -12.4% 

Eicher    P 16,240.80  C -4.4%  R 21,620.00 – 13,900.10  Y +6.13%

Mahindra    P 1177.20  C -0.95%  R 1442.05 – 1092.15  Y -8.92%

Maharashtra    P 1257.35  C -3.29%  R 1619.00 – 785.85  Y +29.61%

Scooters India    P 27.30  C -3.02%  R 35.05 – 21.75  Y -13.06%

Notes: Hero MotoCorp is an own-brand 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 now BMW Motorrad contractor. Eicher makes the Royal Enfield brand. Mahindra & Mahindra has an own-brand bike range and a majority stake in French scooter brand Peugeot. Maharashtra Scooters assembles CKD scooter kits manufactured by Bajaj. Scooters India makes Vikram three-wheeled taxis and light trucks. The Indian government has a majority stake.

JAPAN (yen)

Honda    P 3493  C -0.2%  R 4499 – 3431  Y -0.44%

Yamaha    P 2425  C -1.22%  R 3245 – 2108  Y +5.18%

Suzuki    P 3354  C -1%  R 4780.5 – 3321  Y -6.85%

Kawasaki    P 371  C -6.55%  R 647 – 368  Y -28.88%

CHINA (yuan)

Qianjiang    P 7.88  C -7.62%  R 17.11 – 5.55  Y +27.1%

Zongshen    P 10.20  C +0.99%  R 30.15 – 8.11  Y +13.46%  

Sundiro    P 5.71  C -6.7%  R 12.69 – 4.70  Y +9.6%

Jialing    P 6.4  C -4.9%  R 16.34 – 5.27  Y -12.93% 

Lifan    P 11.29  C -2.08%  R 27.99 – 8.31  Y +26.67%

Loncin    P 16.72  C -2.79%  R 39.48 – 13.00  Y +15.69%

Linhai    P 10.02  C -1.76%  R 14.71 – 7.91  Y +21.75%

GAG    P 19.14  C -4.63%  R 24.85 – 7.80  Y +125.83%

CHINA (Hong Kong dollar)

Jianshe    P 17.12  C -3.17%  R 19.99 – 6.85  Y +125.26%

Notes: Qianjiang owns Keeway and formerly Italian 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.

MALAYSIA (ringgit)

Oriental Holdings    P 6.80  C +0.59%  R 7.93 – 6.48  Y -0.8%

Hong Leong    P 5.89  C +0.34%  R 6.30 – 4.21  Y +46.25%

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

SOUTH KOREA (won)

KR    P 1175  C -4.08%  R 1770 – 905  Y +9.81%

Daelim    P 70,600  C -0.84%  R 98,000 – 50,400  Y +27.67%

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.)