Honda Motor Co Stock Fundamentals
| HMC Stock | USD 34.55 0.41 1.20% |
Honda Motor Co fundamentals help investors to digest information that contributes to Honda's financial success or failures. It also enables traders to predict the movement of Honda Stock. The fundamental analysis module provides a way to measure Honda's intrinsic value by examining its available economic and financial indicators, including the cash flow records, the balance sheet account changes, the income statement patterns, and various microeconomic indicators and financial ratios related to Honda stock.
At present, Honda's Interest Expense is projected to increase significantly based on the last few years of reporting. The current year's Total Revenue is expected to grow to about 20.4 T, whereas Selling General Administrative is forecasted to decline to about 1.4 T. Honda | Select Account or Indicator |
Honda Motor Co Company Profit Margin Analysis
Honda's Profit Margin measures overall efficiency of a company and shows its ability to withstand competition as well as defend against adverse conditions such as rising costs, falling prices, decline in sales or management distress. Profit margin tells investors how well the company executes on its overall pricing strategies as well as how effective the company in controlling its costs.
Current Honda Profit Margin | 0.05 % |
Most of Honda's fundamental indicators, such as Profit Margin, are part of a valuation analysis module that helps investors searching for stocks that are currently trading at higher or lower prices than their real value. If the real value is higher than the market price, Honda Motor Co is considered to be undervalued, and we provide a buy recommendation. Otherwise, we render a sell signal.
Honda Profit Margin Historical Pattern
Today, most investors in Honda Stock are looking for potential investment opportunities by analyzing not only static indicators but also various Honda's growth ratios. Consistent increases or drops in fundamental ratios usually indicate a possible pattern that can be successfully translated into profits. However, when comparing two companies, knowing each company's profit margin growth rates may not be enough to decide which company is a better investment. That's why investors frequently use a static breakdown of Honda profit margin as a starting point in their analysis.
Honda Profit Margin |
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In a nutshell, Profit Margin indicator shows the amount of money the company makes from total sales or revenue. It can provide a good insight into companies in the same sector, as well as help to identify trends of a company from year to year.
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Honda Pretax Profit Margin
Pretax Profit Margin |
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Based on the latest financial disclosure, Honda Motor Co has a Profit Margin of 0.0484%. This is 98.08% lower than that of the Automobiles sector and 95.93% lower than that of the Consumer Discretionary industry. The profit margin for all United States stocks is 103.81% lower than that of the firm.
Honda Motor Fundamental Drivers Relationships
Comparative valuation techniques use various fundamental indicators to help in determining Honda's current stock value. Our valuation model uses many indicators to compare Honda value to that of its competitors to determine the firm's financial worth. You can analyze the relationship between different fundamental ratios across Honda competition to find correlations between indicators driving Honda's intrinsic value. More Info.Honda Motor Co is rated below average in return on equity category among related companies. It is rated # 5 in return on asset category among related companies reporting about 0.32 of Return On Asset per Return On Equity. The ratio of Return On Equity to Return On Asset for Honda Motor Co is roughly 3.12 . At present, Honda's Return On Equity is projected to slightly decrease based on the last few years of reporting.Comparative valuation analysis is a catch-all model that can be used if you cannot value Honda by discounting back its dividends or cash flows. This model doesn't attempt to find an intrinsic value for Honda's Stock. Still, instead, it compares the stock's price multiples to a benchmark or nearest competition to determine if the stock is relatively undervalued or overvalued. The reason why the comparable model can be used in almost all circumstances is due to the vast number of multiples that can be utilized, such as the price-to-earnings (P/E), price-to-book (P/B), price-to-sales (P/S), price-to-cash flow (P/CF), and many others. The P/E ratio is the most commonly used of these ratios because it focuses on the Honda's earnings, one of the primary drivers of an investment's value.Honda Profit Margin Peer Comparison
Stock peer comparison is one of the most widely used and accepted methods of equity analyses. It analyses Honda's direct or indirect competition against its Profit Margin to detect undervalued stocks with similar characteristics or determine the stocks which would be a good addition to a portfolio. Peer analysis of Honda could also be used in its relative valuation, which is a method of valuing Honda by comparing valuation metrics of similar companies.Honda is currently under evaluation in profit margin category among related companies.
Honda Current Valuation Drivers
We derive many important indicators used in calculating different scores of Honda from analyzing Honda's financial statements. These drivers represent accounts that assess Honda's ability to generate profits relative to its revenue, operating costs, and shareholders' equity. Below are some of Honda's important valuation drivers and their relationship over time.
| 2019 | 2020 | 2021 | 2022 | 2023 | 2024 (projected) | ||
| Market Cap | 12.7T | 17.3T | 17.9T | 18.0T | 16.2T | 17.0T | |
| Enterprise Value | 17.4T | 22.3T | 22.3T | 21.8T | 19.6T | 20.6T |
Honda Fundamentals
| Return On Equity | 0.0849 | ||||
| Return On Asset | 0.0272 | ||||
| Profit Margin | 0.05 % | ||||
| Operating Margin | 0.07 % | ||||
| Current Valuation | 5.44 T | ||||
| Shares Outstanding | 1.61 B | ||||
| Shares Owned By Institutions | 5.00 % | ||||
| Number Of Shares Shorted | 1.48 M | ||||
| Price To Earning | 10.96 X | ||||
| Price To Book | 0.74 X | ||||
| Price To Sales | 0 X | ||||
| Revenue | 16.91 T | ||||
| Gross Profit | 2.98 T | ||||
| EBITDA | 1.7 T | ||||
| Net Income | 938.19 B | ||||
| Cash And Equivalents | 3.8 T | ||||
| Total Debt | 7.67 T | ||||
| Debt To Equity | 0.74 % | ||||
| Current Ratio | 1.47 X | ||||
| Book Value Per Share | 2,486 X | ||||
| Cash Flow From Operations | 2.13 T | ||||
| Short Ratio | 1.15 X | ||||
| Earnings Per Share | 3.70 X | ||||
| Price To Earnings To Growth | 3.62 X | ||||
| Target Price | 38.55 | ||||
| Number Of Employees | 197.04 K | ||||
| Beta | 0.61 | ||||
| Market Capitalization | 55.53 B | ||||
| Total Asset | 24.67 T | ||||
| Retained Earnings | 10.02 T | ||||
| Working Capital | 2.97 T | ||||
| Current Asset | 6.24 T | ||||
| Current Liabilities | 5.47 T | ||||
| Annual Yield | 0.03 % | ||||
| Five Year Return | 3.35 % | ||||
| Net Asset | 24.67 T | ||||
| Last Dividend Paid | 49.0 |
About Honda Fundamental Analysis
The Macroaxis Fundamental Analysis modules help investors analyze Honda Motor Co's financials across various querterly and yearly statements, indicators and fundamental ratios. We help investors to determine the real value of Honda using virtually all public information available. We use both quantitative as well as qualitative analysis to arrive at the intrinsic value of Honda Motor Co based on its fundamental data. In general, a quantitative approach, as applied to this company, focuses on analyzing financial statements comparatively, whereas a qaualitative method uses data that is important to a company's growth but cannot be measured and presented in a numerical way.
Please read more on our fundamental analysis page.| Last Reported | Projected for Next Year | ||
| Current Deferred Revenue | 948.8 B | 996.2 B | |
| Total Revenue | 19.4 T | 20.4 T | |
| Cost Of Revenue | 15.6 T | 16.4 T | |
| Stock Based Compensation To Revenue | 0.000019 | 0.00002 | |
| Sales General And Administrative To Revenue | 0.00 | 0.00 | |
| Research And Ddevelopement To Revenue | 0.05 | 0.04 | |
| Capex To Revenue | (0.04) | (0.05) | |
| Revenue Per Share | 3 K | 3.2 K | |
| Ebit Per Revenue | 0.06 | 0.06 |
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Complementary Tools for Honda Stock analysis
When running Honda's price analysis, check to measure Honda's market volatility, profitability, liquidity, solvency, efficiency, growth potential, financial leverage, and other vital indicators. We have many different tools that can be utilized to determine how healthy Honda is operating at the current time. Most of Honda's value examination focuses on studying past and present price action to predict the probability of Honda's future price movements. You can analyze the entity against its peers and the financial market as a whole to determine factors that move Honda's price. Additionally, you may evaluate how the addition of Honda to your portfolios can decrease your overall portfolio volatility.
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Is Honda's industry expected to grow? Or is there an opportunity to expand the business' product line in the future? Factors like these will boost the valuation of Honda. If investors know Honda will grow in the future, the company's valuation will be higher. The financial industry is built on trying to define current growth potential and future valuation accurately. All the valuation information about Honda listed above have to be considered, but the key to understanding future value is determining which factors weigh more heavily than others.
Quarterly Earnings Growth 0.081 | Dividend Share 49 | Earnings Share 3.7 | Revenue Per Share 11.8 K | Quarterly Revenue Growth 0.214 |
The market value of Honda Motor is measured differently than its book value, which is the value of Honda that is recorded on the company's balance sheet. Investors also form their own opinion of Honda's value that differs from its market value or its book value, called intrinsic value, which is Honda's true underlying value. Investors use various methods to calculate intrinsic value and buy a stock when its market value falls below its intrinsic value. Because Honda's market value can be influenced by many factors that don't directly affect Honda's underlying business (such as a pandemic or basic market pessimism), market value can vary widely from intrinsic value.
Please note, there is a significant difference between Honda's value and its price as these two are different measures arrived at by different means. Investors typically determine if Honda is a good investment by looking at such factors as earnings, sales, fundamental and technical indicators, competition as well as analyst projections. However, Honda's price is the amount at which it trades on the open market and represents the number that a seller and buyer find agreeable to each party.