Analyst Ratings February 18, 2026

Canaccord Increases Holley Price Target to $8 as Sales Momentum Returns

Analyst maintains Buy stance amid accelerating organic sales, dealer survey optimism and product strategy alignment

By Sofia Navarro HLLY
Canaccord Increases Holley Price Target to $8 as Sales Momentum Returns
HLLY

Canaccord Genuity raised its price target on Holley Inc. to $8.00 from $7.00 while keeping a Buy rating, citing a return to growth and accelerating organic sales. The firm referenced dealer and reseller survey results and recent product developments as support for higher estimates. Holley is trading at $4.15 and appears below independent fair-value estimates, creating notable upside potential relative to the revised target.

Key Points

  • Canaccord Genuity raised its price target on Holley to $8.00 from $7.00 and maintained a Buy rating.
  • Holley returned to growth in Q1 2025 after three years of decline; organic sales accelerated for a third straight quarter with quarter-over-quarter increases of 3.3%, 3.9% and 6.4%.
  • Canaccord's February survey of 30 channel partners found that 73% expect the company's growth to continue; prior surveys showed tariff-driven price increases had not materially reduced demand.

Canaccord Genuity has increased its price target for Holley Inc. (NYSE: HLLY) to $8.00 from $7.00 and maintained a Buy rating on the automotive aftermarket company. At the time of the analyst note Holley was trading at $4.15, a price level the firm indicated lies below available fair-value estimates and implies room for appreciation toward Canaccord's new target.

The upgrade in Canaccord's target reflects a sales recovery that began in the first quarter of 2025 after three straight years of decline. Organic sales growth has accelerated for a third consecutive quarter, with sequential quarterly gains of 3.3% in the first quarter, 3.9% in the second quarter and 6.4% in the third quarter. That operational momentum contributed to a 43.6% share-price return over the past year, even as trailing 12-month revenue still shows a 3.2% decline.

To gauge channel sentiment and demand trends, Canaccord conducted a February survey of 30 channel partners, including 16 Certified Holley EFI dealers and 14 resellers. The survey found that 73% of respondents expect the company's recent growth trajectory to continue. Canaccord said the survey results supported upward revisions to its estimates.

In reporting on pricing dynamics, the firm noted results from its earlier June and October 2024 surveys, which suggested that tariff-induced price increases had not materially dampened demand among dealers, resellers and enthusiasts. Holley implemented pricing increases in the range of 2% to 4% during the year cited by Canaccord.

Canaccord pointed to product development as corroborating evidence that Holley's strategic pivot is gaining traction. The analyst singled out the new Edge EZ Module and described it as supporting the view that the company's realignment to its Modern Truck strategy is appropriate for current market conditions. On that basis the firm raised its internal estimates.

Holley's next scheduled earnings release is on February 26, and analysts covering the company are projecting a return to profitability this year despite recent losses. Canaccord's note highlights those expectations while also noting the updated price target.

In separate company news, Holley Performance Brands announced a leadership appointment effective January 1, 2026. Del Bohlman will become vice president of the Safety & Racing Division, succeeding Brian Appelgate, who is retiring after a 40-year career in the performance automotive industry. Bohlman brings more than two decades of global leadership experience, including a stint as CEO of Dealer Rocket LLC and senior roles at Bombardier Recreational Products.

Alongside the price-target increase to $8.00, the reporting also referenced a prior firm action in which Canaccord reiterated a Buy rating and maintained a $7.00 price target. The various analyst communications came as Holley participated in the Performance Racing Industry show and introduced a new helmet lineup that meets the 2025 Snell standards. The helmet series was showcased across Holley's RaceQuip, Simpson and Stilo brands and was cited as part of the company's ongoing efforts to strengthen its footprint in the automotive aftermarket sector.

Investors should note the multiple threads Canaccord highlighted as supporting its view: accelerating organic sales, favorable channel feedback from dealers and resellers, modest pricing increases that have not materially reduced demand according to survey respondents, and new product introductions consistent with the firm's strategic focus. Together these points underpin the firm's decision to raise estimates and adjust the price target.


For readers seeking more detailed coverage, a pro research report covering Holley and a broad set of U.S. equities is referenced in relation to analyst coverage and model detail.

Risks

  • Trailing 12-month revenue for Holley still shows a 3.2% decline, indicating that overall revenue recovery may lag share-price gains - this affects investors focused on top-line stability in the automotive aftermarket sector.
  • Canaccord's conclusions rely in part on survey responses from dealers and resellers; survey sentiment may not fully predict future demand or wider market conditions - this introduces uncertainty for market and retail channels.
  • The company has implemented price increases of 2% to 4%; while surveys suggested limited impact to demand, continued inflationary or tariff pressures could alter dealer and consumer behavior, affecting the aftermarket and racing sectors.

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