Quality Investor

Holley Inc.

Rank #312Value

HLLY · NYSE · Consumer Cyclical

Holley Inc. (HLLY) — Rank #312 by gross profitability (GP/assets 0.23) · ROE 4.3% · Piotroski F-Score 6 / 9.

As-of 2026-09-15 · CIK 0001822928 · all metrics point-in-time as of the filing date.

About

Holley Inc. designs, manufactures, and distributes automotive aftermarket products to car and truck enthusiasts in the United States, Canada, and Europe.

Show more

Its performance automotive products include carburetors, fuel pumps, fuel injection systems, nitrous oxide injection systems, superchargers, exhaust headers, mufflers, distributors, ignition components, engine tuners, and automotive performance plumbing products; and exhaust products, as well as shifters, converters, transmission kits, transmissions, tuners, and automotive software. The company sells its products under the Holley EFI, Holley, MSD, Simpson, EDGE, Accel, Flowmaster, Cataclean, and other brands through DTC, E-tailer, warehouse distributor, traditional retailer, automotive platforms, and jobber/installer channels.

The company was founded in 1903 and is headquartered in Nashville, Tennessee.

Industry
Auto Parts
Sector
Consumer Cyclical
State
DE
Filer Category
Accelerated filerSmaller reporting company
Fiscal Year End
December 31
Website
holley.com

Price History

HLLY-76.5% · -25.1% CAGRSPY+80.5% · +12.5% CAGR

Company Snapshot

P/E and dividend yield are the primary valuation lenses for mature businesses.

Market Cap

$319.45M

P/E (annual)

16.5

P/S (annual)

0.5

P/B

0.7

P/OCF (annual)

6.9

Shareholder Yield

-1.4%

Employees

1,407

Industry

Auto Parts

Exchange

NYSE

Signal Flags

2 green1 yellow
Revenue growth acceleratingGrowth rate increasing year over year
Operating leverage expandingOperating income growing faster than revenue
Disclosure regressionA previously-disclosed line item is no longer reported — worth checking the filing for why

Quality Profile

Profitability

1/1 pass
GP / assets
0.23
Return on equity
4.3%
Gross margin trend
PASS

Safety

1/1 pass
Balance-sheet safety
PASS
Debt / equity
1.58
Current ratio
3.06×
Net cash
-$457.79M

Cash Flow

3/3 pass
Positive FCF
PASS
Cash-backed earnings
PASS
Accruals healthy
PASS
SBC / revenue

Growth

2/2 pass
Revenue growth
1.9%
Piotroski F-Score
6 / 9
Share dilution
1.4%

Terry Smith quality gate

Passes 1/5 Terry Smith thresholds

1 of 5 threshold not computable from filed data.

What Growth Is Priced In

Implied revenue growth (10Y)

-2.8%

incredible deal

The annual FCF growth rate today's price requires over a 10-year horizon (discount rate 10%, terminal growth 2.5%).

Dilution drag: 1.4% — per-share value needs a total required return of -1.5% once share-count change is priced in.

vs. own 6-year median revenue growth: 0.6%

within its own history

Cost-of-equity sensitivity (implied growth at different discount rates)

r = 8%

-6.5%

r = 10% (base)

-2.8%

r = 12%

0.3%

Net debt / market cap: 144.7%— material leverage inflates the implied growth read.

Base FCF: $33.9M3Y mean FCF: $52.1M

Valuation History

Current multiple vs historical range at each filing date. Band spans 25th-75th percentile.

P / E

Price / diluted EPS

19.8xCheap
19.4xmed 26.3x1410.0x

P / S

Price / revenue per share

0.6xFair
0.5xmed 0.7x2.4x

P / B

Price / book value per share

0.8xFair
0.7xmed 1.0x5.4x

P / GP

Price / gross profit per share

1.4xFair
1.2xmed 1.7x5.7x

P / FCF

Price / free cash flow per share

11.2xFair
6.1xmed 11.2x257.1x

Dividend yield and payout ratio are the primary reads at this stage (trailing P/E — see valuation above).

Profitability

Gross profitability (GP / assets)

0.23

Primary signal (Novy-Marx).

6th of 12 SIC 3714 peers

Return on equity

4.3%

Gross margin

43.4%

1st of 12 SIC 3714 peers

Revenue growth (YoY)

1.9%

Gross margin improving

Margin trend vs prior year.

PASS

Operating Leverage

2022202320242025
Revenue vs COGS
Revenue vs OpEx
Op. Income vs Revenue

Growth

Revenue CAGR (3Y)

-3.8%

Revenue CAGR (5Y)

4.0%

Earnings CAGR (3Y)

-36.2%

FCF CAGR (3Y)

Anti-fragile safety

Balance-sheet safety

Composite anti-fragile check.

PASS

Debt / equity

1.58

9th of 11 SIC 3714 peers (best = lowest)

Current ratio

3.06×

1st of 12 SIC 3714 peers

Quick ratio

1.11×

Net cash

-$457.79M

Cash & equivalents minus total debt.

Cash-flow health

Free cash flow

$33.90M

Operating cash flow minus capex.

Positive free cash flow

PASS

FCF / net income

0.77

Cash-backing of earnings.

FCF/NI divergence

Unfavorable divergence (yellow flag).

PASS

Accruals healthy

Cash-backed earnings.

PASS

SBC / revenue

Stock-based comp intensity.

Piotroski F-Score

F-Score

6 / 9

Fundamental-strength score (0-9).

Lifecycle Phase History

20202025
Hypergrowth
Value
Decline