Rafeh Masood, a director at Harley-Davidson (HOG), recently added 1,335 shares. The buy represented an initial stake for the director, and came to a total purchase price of just over $50,000.
This is the first insider activity at the company in over a year. Insiders were last buyers in early 2021. Over the past three years, insider buying has exceeded a modest amount of selling at the company.
Overall, company insiders own 0.6 percent of shares.
The motorcycle manufacturing company is down slightly over the past year, just barely outperforming the S&P 500. While the share prices hasn’t been impressive, the stock trades at 9 times earnings, more than enough to offset the company’s flat revenue and earnings growth in the past year.
Action to take: As a leading brand, if not the leading brand, in motorcycles, Harley-Davidson could be a solid winner to buy during a bear market for a quick rebound. Plus, shares pay a 1.6 percent dividend right now, and there’s been a slight increase in the past year.
For traders, shares have been trending up in recent weeks. That bodes well for the November $40 calls. Last going for about $3.40, a further move higher in shares could lead to mid-double-digit returns in the coming weeks.
Disclosure: The author of this article has no position in the company mentioned here, but may trade after the next 72 hours. The author receives no compensation from any of the companies mentioned in this article.