U.S. markets closed
  • S&P 500

    +1.77 (+0.03%)
  • Dow 30

    +62.42 (+0.16%)
  • Nasdaq

    -44.80 (-0.28%)
  • Russell 2000

    +2.85 (+0.14%)
  • Crude Oil

    -2.04 (-2.60%)
  • Gold

    +15.10 (+0.74%)
  • Silver

    +0.19 (+0.84%)

    -0.0005 (-0.04%)
  • 10-Yr Bond

    -0.0670 (-1.55%)

    +0.0015 (+0.12%)

    -0.0600 (-0.04%)
  • Bitcoin USD

    +923.59 (+1.82%)
  • CMC Crypto 200

    0.00 (0.00%)
  • FTSE 100

    +21.79 (+0.28%)
  • Nikkei 225

    +836.48 (+2.19%)

Honda (HMC) Recalls 300K Plus Vehicles for Seatbelt Defects

Honda HMC is recalling more than 300,000 of its Accords manufactured from Oct 4, 2022, to Oct 14, 2023, and HR-Vs manufactured between Apr 26, 2022, and Oct 14, 2023, due to seatbelt-related safety issues. All the recalled vehicles are gas-powered.

Per Honda, it skipped the installation of a rivet that secures the quick connector and wire plate. Due to the missing rivet, the seatbelt will not be able to restrain the occupant in the event of a crash, increasing the possibility of injury.

Per the company’s estimate, 1% of the total vehicles being recalled are defective and will require a replacement. Honda has seven warranty claims related to the issue. As of Nov 16, the automaker has not received any reports of deaths or injuries related to the case.

Per the National Highway Traffic Safety Administration, the owners of all the affected vehicles will be notified by mail on Jan 8, 2024.

When owners take their vehicles to an authorized Honda dealership, mechanics will inspect their vehicles and replace the seat belt pre-tensioner assemblies, if necessary, free of charge. The customers who have already borne the expenses of the repair will be eligible for a refund.

Per Honda’s filing, it received its first complaint concerned with the issue on May 23, 2024. The company received the affected part on Sep 20 and began an investigation. On Nov 16, it figured out the defect that necessitates a recall.

This is Honda’s 15th recall this year. A few days ago, it recalled over 250,000 vehicles due to a manufacturing defect that could harm the engine. The recalled vehicles included the Acura TLX from model years 2015-2020; MDX models from model years 2016-2020; Honda Odysseys from model years 2018-2019; 2016, 2018 and 2019 Pilots; and Ridgelines from model years 2017-2019.

Zacks Rank & Key Picks

HMC currently carries Zacks Rank #3 (Hold).

Some better-ranked players in the auto space are Volvo VLVLY, BYD Company Limited BYDDY and Modine Manufacturing Company MOD, currently sporting Zacks Rank #1 (Strong Buy). You can see the complete list of today’s Zacks #1 Rank stocks here.

The Zacks Consensus Estimate for VLVLY’s 2023 sales and earnings indicates year-over-year growth of 4.2% and 65.6%, respectively. The EPS estimate for 2024 has increased by 24 cents in the past 30 days.

The Zacks Consensus Estimate for BYDDY’s 2023 sales indicates year-over-year growth of 160.2%. The EPS estimate for 2023 has increased by 62 cents in the past 60 days. The EPS estimate for 2024 has increased by a penny in the past 30 days.

The Zacks Consensus Estimate for MOD’s 2023 sales and earnings indicates year-over-year growth of 6.7% and 55.9%, respectively. The EPS estimates for 2023 and 2024 have increased by 16 cents and 9 cents, respectively, in the past 30 days.

Want the latest recommendations from Zacks Investment Research? Today, you can download 7 Best Stocks for the Next 30 Days. Click to get this free report

Honda Motor Co., Ltd. (HMC) : Free Stock Analysis Report

Modine Manufacturing Company (MOD) : Free Stock Analysis Report

AB Volvo (VLVLY) : Free Stock Analysis Report

Byd Co., Ltd. (BYDDY) : Free Stock Analysis Report

To read this article on click here.

Zacks Investment Research