In early May I noted additional evidence that consumers were turning to two wheels as gas prices climbed toward $4 a gallon.
Now that is has hit $4 nationally, it seems to flow is turning into a flood.
NBC San Diego reported that Harley Davidson dealerships in the area are seeing huge response to $4 gas.
"We're seeing a huge influx of new riders coming in," said Mike Moran of San Diego Harley-Davidson. "It's been incredible."
Because of gas prices, sales have increased dramatically, say workers at the business.
"I drive a 1990 Ford Bronco," customer Warren Deeds said. "I get, like, 13 miles a gallon, and being a bigger guy, I don't fit into the more fuel-efficient smaller cars, so I was looking at motorcycles today."
Deeds and his friend Joey Claiborne are both in the market for new rides.
"If I can get 30 mpg --a lot, probably a couple of hundred a month, probably a little more," Claiborne said, discussing how much money riding a motorcycle could save him."
Previous reports of increasing Harley sales were from Illinois, Florida and LA. HOG predicted an 8% drop in motorcycle sales this year ans that will be the key measure when earnings are reported mid-July.
I for one will not be surprised and do expect to hear that trend are improving in terms of sales. Now, the performance of HDFC will have a large impact on results but I expect those who have sold the stock expecting dire news are going to be disappointed.
Disclosure ("none" means no position):Long HOG
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