A snapshot of bike and ATV industry share performance across key manufacturers and major global markets at the trading week closure on Friday 29 July 2022. BDN financial editor Roger Willis reports.
USA — CELEBRATING A REBOUND
Shuffling economic and inflationary concerns to one side, American investors concentrated on the quarterly corporate reporting season, with many blue-chips unveiling results that were much better than expected. After the worst half-year performance for US equities in more than 50 years, July trading as evidenced by market indices concluded with consistent positivity.
The S&P 500 index and Dow Jones Industrial Average respectively finished the final week 4.3% and 3% up. S&P’s MidCap 400 rose by 4.8%. Data showing that the US economy had officially slumped into a recession in the first six months of 2022, and annualised inflation had hit a new peak of 9.1%, was studiously ignored. Why spoil the party?
HOGOMETER
With its Q2 results imminent, downbeat Wall Street gossip initially cast gloom on Harley-Davidson shares and they began to slide — slightly lower by 0.4% on Monday and then a sharp 4% decline on Tuesday. But sentiment brightened on Wednesday, immediately prior Harley’s report release, eliciting a 3.6% recovery. News that it had indeed beaten analyst estimates delivered an even stronger reaction on Thursday, pushing the price 7.8% higher in a single session. Friday added a further 2.3% gain.
| Currency: dollar | Price | Week | Month |
| Harley-Davidson | 37.81 | +9.2% | +18.2% |
| Polaris Industries | 117.28 | +2.8% | +16.1% |
| Textron | 65.64 | +2.8% | +7.2% |
| Ideanomics (Energica) | 0.68 | -2.9% | +7.9% |
EUROPE — THE SILLY SEASON STARTS
End-of-term euphoria pervaded European markets as stock traders packed their bags for August’s long summer holiday. Some early upbeat corporate reports also helped to lift the mood. Frankfurt’s Xetra Dax index added 1.7% and all three biker-related Teutonic automotives rose in value for a second successive week.
And despite leaderless political chaos in Italy and the thunder of artillery in Ukraine, the allure of a month on the beach overwhelmed negative trends further south. Milan’s MIB index climbed by an extravagant 5.6% in vigorous trading. Piaggio benefited mightily, its share price surging again after a 5.2% boost in the previous week. That was aided and abetted by excellent half-year corporate results announced on Thursday.
| Currency: euro | Price | Week | Month |
| BMW | 79.48 | +3.1% | +7.8% |
| Volkswagen | 192.20 | +0.9% | +11.1% |
| Pierer Mobility | 64.50 | +2.2% | +2.4% |
| Piaggio Group | 2.56 | +5.8% | +12.8% |
JAPAN — RAW NERVES
An entirely different theme troubled the Japanese. China’s increasingly bellicose attitude towards Taiwan is raising the prospect of warfare on Japan’s doorstep. Tokyo’s Nikkei 225 index therefore retreated by 0.4%.
Three of the listings related to motorcycle manufacture abruptly lost value. Only Kawasaki remained positive. All four are due to unveil quarterly figures over the next fortnight.
| Currency: yen | Price | Week | Month |
| Honda | 3377 | -2.6% | +5.8% |
| Yamaha | 2554 | -1.4% | +4.5% |
| Suzuki | 4324 | -2.3% | +3.8% |
| Kawasaki | 2597 | +0.5% | +2.3% |
INDIA — GOOD FOR SOME
Mumbai’s BSE Sensex 30 stock index continued an inexorable bull run driven by foreign investment, putting on 2.7%. However, most motorcycle producers suddenly fell out of favour with investors.
| Currency: rupee | Price | Week | Month |
| Hero MotoCorp | 2818.05 | -1.8% | +2% |
| Bajaj Auto | 3914.45 | -3.5% | +8% |
| TVS Motor | 908.05 | +2.5% | +5.5% |
| Eicher Motors | 3093.45 | -1.7% | +11.2% |
| Mahindra | 1164.45 | -1.4% | +5.2% |
CHINA — CHOOSE YOUR FACTS
According to Reuters, China’s industrial output during July increased at its fastest pace in the past rolling year. Production in Covid-hit manufacturing hubs has apparently resumed and supply-chain disruption eased. Of course, this analysis had been based on Chinese government data, which wasn’t necessarily believed by the local investment community.
Shanghai’s SSE Composite all-share index fell by 0.5%. The blue-chip CSI 300 displayed a firmer 1.6% decline. Biggest losers in the latter were debt-defaulting property development giants like Evergrande. However, a majority of biker stocks stayed sunny side up.
| Currency: yuan | Price | Week | Month |
| Qianjiang | 21.32 | +15.5% | +22.2% |
| Zongshen | 7.06 | +3.7% | +14.6% |
| Sundiro | 2.54 | +7.6% | +16% |
| CETC (Jialing) | 11.71 | -2.6% | +5.9% |
| Lifan | 5.16 | N/A | -4.1% |
| Loncin | 5.15 | +5.5% | +11% |
| Linhai | 8.89 | +0.6% | +4.6% |
| Guangzhou Auto | 14.89 | -2.6% | -5.5% |
| CFMoto | 149.00 | +16.5% | +33% |
| Xinri E-Vehicle | 19.59 | -6.9% | +29.4% |
| Currency:Â HK dollar | Price | Week | Month |
| Jianshe | 5.00 | +0.4% | -6.2% |