HMC - Honda Motor Co., Ltd.
| Previous Close | 26.98 |
| Open | 27.05 |
| Bid | 26.95 x 3000 |
| Ask | 27.14 x 800 |
| Day's Range | 27.00 - 27.14 |
| 52 Week Range | 22.87 - 31.04 |
| Volume | 557,409 |
| Avg. Volume | 621,400 |
| Market Cap | 47.918B |
| Beta (3Y Monthly) | 0.84 |
| PE Ratio (TTM) | 4.68 |
| EPS (TTM) | 5.79 |
| Earnings Date | N/A |
| Forward Dividend & Yield | 1.05 (3.90%) |
| Ex-Dividend Date | 2019-06-26 |
| 1y Target Est | 30.05 |
Reuters VideosChina's EV maker Byton debuts at Frankfurt Car Show
The M-Byte from Byton. China's new offering is joining a strong international cast of electric and hybrids on the stages of this year's Frankfurt Car Show. From Japan: the Honda CR-V Hybrid. The U.S.: Ford Explorer Plug-In. And - like the M-Byte, also from China - the Hongqi electric concept. When exhibitor numbers have been going down, China's presence in Frankfurt is on the up. Seventy-nine suppliers and carmakers make it the biggest foreign contingent this year. As for the M-Byte, it's had expressions of interest from 20,000 customers at shows across Europe, says designer Benoit Jacob. SOUNDBITE (English) SVP DESIGNER AT BYTON, BENOIT JACOB, SAYING: "It is quite special to really bring a concept into reality. And moreover this is especially the interior that is really a game changer. We propose a 48 inch display which will basically revolutionize the way you travel and commute." Stringent new emission rules in Europe make China's strong position in EV technologies that bit more attractive. In the wake of Dieselgate, German firms have been striking major deals with Chinese suppliers. But this is a two-way street. Carmakers in China - as it winces from its trade war with the US - are looking at Europe with more interest. Sales back home fell for a 14th consecutive month in August, according to data on Wednesday. EV sales were close to 16% lower than a year ago. Byton plans to export cars to Europe from its factory in Nanjing in 2021. The price range: expected to start at around $45,000.
- Yahoo Finance
Retail sales show consumers remain in 'pretty good shape': Economist
The U.S. consumer is in 'pretty good shape,' economist says.
- Benzinga
Mexico Suffers Sharp Drop In Auto Production, Exports
Mexico, one of the biggest exporters of vehicles in the world, experienced a 12.7% drop in total vehicle exports in August from a year ago. Manufacturers shipped 281,811 units last month compared to 322,779 vehicles in August 2018, according to the Mexican National Institute of Statistics and Geography (INEGI) and the Mexican Association of the Automotive Industry (AMIA). AMIA President Eduardo Solís Sánchez said the decline is partly due to lower demand from the U.S., Canada and Brazil, which represent 90% of Mexican auto exports.
- American City Business Journals
Crashing cars and playing with dummies: Inside Honda's Ohio R&D facility
Honda's 1.6-million-square-foot facility in Raymond, a quick drive from the Marysville Auto Plant, is the manufacturer’s largest R&D; operation outside its native Japan. Take a look inside.
- American City Business Journals
Buckle up: Honda shows off its Ohio R&D center, where job one is reducing fatal crashes
“This is something we take extremely personal,” said Bryan Hourt, chief engineer for North American safety. “That’s not a number to us. That’s a person who isn’t coming home tonight.”
- American City Business Journals
Auto supplier announces third major expansion of Springfield facility
The auto supplier, whose customers include Honda, Toyota and Nissan, will add more than 70 new jobs and invest $54 million in its Springfield plant, marking the third major expansion the company has made at the facility.
- American City Business Journals
Honda supplier adding 150 jobs, investing $10.8 million in Central Ohio facility
One of Honda’s largest North American suppliers is expanding its Central Ohio operations. Jefferson Industries Corp., JobsOhio and One Columbus (known until recently as Columbus 2020) Wednesday announced a $10.8 million expansion expected to add 150 new jobs to the 600 workers already employed at Jefferson Industries. The more than 1.1-million-square-foot manufacturing facility, which makes auto body components for Honda and others, will get a 77,000-square-foot addition, bringing it to nearly 1.2 million square feet.
- InvestorPlace
7 Automotive Stocks to Buy Now
News last week that the United States and China would resume negotiations next month sent stocks sharply higher. Astute investors may grow tired from watching markets go up or down on hope alone. Even without any solid trade terms, anticipation of a resolution is powerful enough to move stocks. The automotive sector is a beneficiary of the two countries backing down from tariffs. Currently, China is imposing tariffs on the U.S. with Ford (NYSE:F) most likely to feel the impact.Yet the trade war is not the only reason for investors to buy automotive stocks. Valuations are compelling and some of these companies reward investors with rich dividends.There are seven automotive stocks that investors should buy.InvestorPlace - Stock Market News, Stock Advice & Trading Tips Automotive Stocks to Buy: Ford (F)Source: FotograFFF / Shutterstock.com Since peaking at $10.50 in July, Ford stock fell steadily and recently found a bottom at around $8.75. The company reported a weak quarter but the stock's drop increased its dividend yield to 6.3%. Ford is not without issues. It is recalling 482,520 vehicles in the U.S. because the mechanism that controls how seat backs recline may have been improperly assembled. This news is not a setback: The company is acknowledging a problem and fixing it.In July, the decline in automotive sales in China fell by just 4.3%. But with Ford still losing money in the region, the slowing decline is welcome news. In Q2, Ford said that it saw signs of stability in its business in China. Overall earnings before interest and taxes increased by 19%, supported by a broad-based improvement in market factors led by China, North America and Europe. In China, consolidated revenue grew 48% year-over-year driven by higher volumes of Ford's Lincoln model. Additional initiatives that enhanced capabilities and stronger ties with joint venture partners will lead to stronger performance in the region. * 10 Stocks to Sell in Market-Cursed September Ford stock is worth over $11 if, using a five-year revenue exit model, investors assume revenue growing 1%-3% annually. Similarly, analysts have an average price target of $11.36. This target is achievable if Ford's revenue rebounds in the quarters ahead. General Motors (GM)Source: Linda Parton / Shutterstock.com General Motors (NYSE:GM) shares may have bottomed recently below $36, as it trades currently in the $39 range. Investors flocked to the stock when trade tensions eased. The company reported Q2 results Aug. 1 and included a reaffirmed full-year earnings per share guidance of $6.50-$7.00 for the year. In the period, North American year-over-year results improved, led by growing truck sales. Average transaction prices and crossover delivers rose. Later this quarter, the start of the deliveries of the Silverado with an optional all-new Duramax turbo-diesel engine opens a new chapter in good fuel economy. And the unveiling of the 2020 Corvette Stingray to an audience of 300,000 should excite sports car enthusiasts.GM's Cadillac is in high demand, too. It sold more than 111,000 vehicles globally in the last quarter. It launched a new XT6 seven-passenger model in China and the U.S., giving it an edge over its competition in the high-growth, luxury SUV segment.To align its workforce to demand, GM has jobs for every employee affected by the restructuring. So far, around 1,700 of the 2,800 employees accepted a transfer to plants that support the company's growth segments. So, as the economic slowdown in China gets resolved, GM is in a good position to capture more market share while operating more profitably.GM shares trade at fair value but the stock has a dividend yielding 3.9%. Honda (HMC)Source: Jonathan Weiss / Shutterstock.com Honda (NYSE:HMC) shares bottomed at $23 in August and traded recently at $24.85. Valuations for HMC are even more compelling than for either F or GM stock. HMC stock has a dividend yielding 3.3% and a price-to-earnings ratio of 8.9. Last month, sales were at levels not seen in the company's history. It also set multiple all-time monthly records. Truck sales and passenger car sales lifted total sales to 173,993, up 17.6% year-over-year. All segments performed well, including the CR-V, Passport, Accord and Civic. Even sales of the tiny-but-gas-efficient Fit grew 58% year-over-year.In the first quarter, Honda reported a 0.7% drop year-over-year in revenue. Profits fell due to higher selling, general and administrative costs. Despite the weak quarter, higher research and development spending along with renewed demand should drive sales higher in the quarters ahead. On the balance sheet, higher operating margins from the motorcycle, financial services and automobile business should ensure that Honda meets full-year guidance. * 7 Safe Dividend Stocks for Investors to Buy Right Now Honda shares have a modest upside but also pays a 3.3% dividend yield that will keep investors happy. Cost reductions and favorable raw material pricing will also help the company meet its full-year 2020 targets. Fiat Chrysler (FCAU)Source: bondvit / Shutterstock.com Fiat Chrysler (NYSE:FCAU) shares may not have the same quality levels as a Ford or Honda, but investors are happy with the company's prospects. The stock bottomed close to $12, trading recently just below $14. With a trailing P/E of 6, this stock is among the cheapest. If investors decide the stock is worth a valuation closer to its peers, then the stock might even get to the Wall Street average price target of $19.73.FCAU stock is still enjoying a rally fueled by speculation the company is holding talks with Renault to merge. On paper, merging the two firms makes sense because a bigger company could compete more effectively. It could share costs and technology with Renault. Electric vehicle and autonomous vehicle development between the two firms would prevent the two from falling behind. Fundamentally, neither firm should be kept independent in the name of being a national asset. Both auto firms need a bigger resource pool to compete as global players. A merger should result in a better return on capital.On the charts, FCAU stock is at the cusp of breaking out of a year-long downtrend. A definitive merger would send the stock back to yearly highs. Toyota (TM)Source: josefkubes / Shutterstock.com Close to a 52-week high, Toyota (NYSE:TM) is not an ideal deep-value play. But at a trailing P/E of 8 and with a dividend yielding 3.3%, TM stock may still reward patient investors. In August, the company reported strong 12.3% growth on a volume basis, posting sales of 218,403 units. This is the best-ever August. Hybrid sales increased 68.3% in the Toyota division and 44.2% for the Lexus division, suggesting that investors benefit from the company's diversification from gas-powered vehicles.As the popularity of cars falls, Toyota is bucking the trend by reporting a 15.2% increase in Corolla sales. Highlander sales rose 21.7% while RAV4 sales were up 17.2%.Just as Ford paired with Volkswagen in a joint venture and Fiat may merge with Renault, Toyota and Suzuki invested in each other. Toyota is buying a 5% stake in Suzuki while Suzuki will buy $453 million of TM stock. The companies will share costs related to the development of new technologies, and primarily, self-driving cars. * The 8 Worst Stocks to Buy Before the Trade Turmoil Cools Off In its first-quarter earnings call, Toyota said it will address staff redundancies in the U.S. It will also reduce redundancy in accounting. To increase profit margin above the 8% level by the fiscal year 2021, it will increase the SUV/truck ratio. So long as customers demand such vehicle types, Toyota will adjust its product mix to meet their needs. Navistar (NAV)Source: Casimiro PT / Shutterstock.com Navistar (NYSE:NAV) is not technically a car company. As a truck supplier, its strong Q3 report and analyst price target that is 22% above the recent $25.35 closing price are two reasons to consider this stock.Navistar reported revenue growing 17% year-over-year, led by a 25% increase in truck revenue. Adjusted earnings before interest, taxes, debt and amortization rose 22% to $266 million. The adjusted EBITDA margin rose 8.7%, up from 8.4% last year. The company provided volume guidance for 2019 and 2020. While Class 6/7 and Class 8 units are both up in 2019, it will drop in 2020. Still, the company reaffirmed revenue of $11.3 billion -$11.8 billion.Importantly, Navistar's days sales inventory on-hand is on the decline. The normal range, established since 2014, is 80 days - 120 days. In July, it was at 85 days. The balance sheet remains strong, with manufacturing cash balance at $1.12 billion. It faces no debt maturities until the year 2025 when $1.6 billion is due.NAV stock does not offer a dividend but Wall Street forecasts upside through the three recent "hold" ratings and one "buy" posted by analysts. Similarly, investors may input assumptions in a five-year discounted cash flow growth exit model to arrive at a higher fair value target. Ferrari (RACE)Source: Kharchenko Olena / Shutterstock.com With a market capitalization of $37 billion, Ferrari (NYSE:RACE) is similarly sized to Ford but almost half the size of GM. Although the stock does not pay a dividend,it is growing at a healthy pace.In the second quarter, Ferrari reported total shipments growing 8.4% year-over-year to 2,671 units. Revenue rose 6.8%, adjusted EBITDA was up 8.7% to $346 million and the EBITDA margin was 32%. The company benefited from an increase in V8 models shipped, offset by a drop in V12 models falling by a few units. Geographically, sales to China rose due to a decision to speed up client deliveries ahead of new emission regulations.Ferrari confirmed its guidance will approach the high end of the range on all metrics. Volume increase for the 488 Pista and 488 Pista Spider, Portofino and the 812 Superfast is driving demand for cars and spare parts. Higher sponsorship levels from Formula 1 racing activities is likely contributing favorably to the full-year results.Ferrari does not need a dividend to increase shareholder value. It has a $1.65 billion multi-year share buyback program and will buy back $220.1 million in the second half of 2019. In the first half of the year, it bought back $165.5 million worth of shares.RACE stock is the most expensive of the stocks discussed, with a P/E of 34 times. But it earned that valuation. Its clientele is buying more units, driving revenue higher.As of this writing, Chris Lau held shares of F. More From InvestorPlace * 2 Toxic Pot Stocks You Should Avoid * 10 Stocks to Sell in Market-Cursed September * 7 of the Worst IPO Stocks in 2019 * 7 Best Stocks That Crushed It This Earnings Season The post 7 Automotive Stocks to Buy Now appeared first on InvestorPlace.
- Market Realist
The 5 Best Stocks to Invest in for Self-Driving Cars
Self-driving cars are inevitable, and billions of dollars are going into this technology. We take a look at five of the best stocks in the industry right now.
- Financial Times
EU electric car sales to pass 1m next year in industry CO2 drive
More than 1m electric or plug-in hybrid vehicles are expected to be sold across Europe next year as carmakers ramp up output to avoid crippling fines under new emissions rules. The figure, predicted by environmental campaign group Transport & Environment, is four times higher than sales last year, and comes on the eve of the Frankfurt Motor Show, the last major industry gathering before the new rules come into force in January. Under the rules, carmakers must lower the average CO2 output of their fleet to 95g of CO2 per km, or risk fines.
- Yahoo Finance
Automakers are tormenting Trump. And vice versa
Trump is going after automakers because their pollution standards are too high.
- Market Realist
Trump Meets with General Motors CEO Mary Barra
President Donald Trump met GM CEO Mary Barra on Thursday. According to media reports, Barra characterized the meeting as “productive and valuable."
- Zacks
The Zacks Analyst Blog Highlights: Honda, Toyota, CNH, Ford and Tesla
The Zacks Analyst Blog Highlights: Honda, Toyota, CNH, Ford and Tesla
- TheStreet.com
Four Carmakers Face U.S. Antitrust Inquiry Into Vehicle-Emission Standards: WSJ
The Justice Department asks Ford, Honda, BMW and VW about an agreement with California on emissions rules, a report says.
- Financial Times
US probes carmakers over California emissions deal
The stand-off between Donald Trump’s administration and the state of California over vehicle emissions escalated on Friday, as the transport department said the state’s new standards were “unlawful and invalid” and the justice department launched an investigation into the four carmakers that signed up to them. Volkswagen, Ford, BMW and Honda are under investigation, after they agreed in July to abide by a new set of rules set by California that are stricter than those proposed by the federal Environmental Protection Agency (EPA).
- Zacks
Auto Stock Roundup: CNH Industrial's Spin-Off, Ford Recalls & More
CNH Industrial (CNHI) plans to separate the IVECO truck business from the agriculture and construction business, while recalls more than 550,000 trucks and SUVs in North America to resolve the vehicles' seat-back issue.
- Moody's
Federal International Finance (P.T.) -- Moody's announces completion of a periodic review of ratings of Federal International Finance (P.T.)
Moody's Investors Service ("Moody's") has completed a periodic review of the ratings of Federal International Finance (P.T.) and other ratings that are associated with the same analytical unit. The review was conducted through a portfolio review in which Moody's reassessed the appropriateness of the ratings in the context of the relevant principal methodology(ies), recent developments, and a comparison of the financial and operating profile to similarly rated peers. This publication does not announce a credit rating action and is not an indication of whether or not a credit rating action is likely in the near future.
- InvestorPlace
Is Tesla’s New Insurance a Game Changer for TSLA Stock?
The decision by Tesla (NASDAQ:TSLA) to offer insurance on its own vehicles, starting in California, has created more buzz than may be warranted.Source: Vitaliy Karimov / Shutterstock.com While Tesla's cars are a curiosity in most of the country, they're common in California. Electric vehicles represent almost 8% of the market, and Tesla accounts for more than half that figure. Its Model 3 is the third best-selling car in the whole state, behind only Honda's (NYSE:HMC) Civic and Toyota's (NYSE:TM) Camry.By the end of 2018, Tesla had sold 532,000 cars and almost half were less than a year old. The average Model 3 owner is 46 -- although average ages of Model X and Model S owners are 52 and 54, respectively. The company says Tesla cars registered accidents once every 1.76 million miles, 2.87 million with the autopilot engaged. That's against an industry average of one accident per 436,000 miles.InvestorPlace - Stock Market News, Stock Advice & Trading TipsSounds like good odds to me. TSLA's NumbersDrivers on one Tesla forum say their insurance costs differ. ValuePenguin estimates the cost of insuring a Tesla at about $2,450 per year, or $200 per month. Tesla claims its rates will be about 20% below those of competitors. * 7 Best Tech Stocks to Buy Right Now This means if Tesla can get half its California owners to buy its insurance, it could bring in $500 million in cash over a year. The resulting business would still be tiny measured against the whole company. Tesla's batteries and solar panels currently bring in about $1.4 billion per year, according to the latest quarterly report.The question then becomes whether Tesla can make a profit on its insurance. The company has an enormous amount of data on its drivers, but that's not unusual. Many insurance companies offer to collect data on drivers in the name of low rates. Since Tesla is only offering policies in a state where it has significant market share, it can deliver parts and expertise easily to customers. It already has 28 service centers in California.Tesla could be a competitive player then, at least in California. Grabbing a bigger chunk of its loyal customers' business would be a small boost to the top line and, over time, to the bottom line as well. Tesla's SkepticsWarren Buffett is the CEO of Berkshire Hathaway (NYSE:BRK.A, NYSE:BRK.B), which owns Geico. He was skeptical when Tesla CEO Elon Musk first discussed insurance in April. He compared car companies selling insurance to insurance companies selling cars.Geico has 13% of the U.S. auto insurance market, writing $29.6 billion worth of policies per year on about 24 million vehicles. It's geared up to handle that business. Tesla isn't a threat to Geico, or any of the other large insurers. Even if every Tesla owner in California switched to Tesla's insurance, the company's share of the U.S. car insurance market would be less than 0.5%.So why has the move drawn so much commentary, especially skeptical commentary? The answer to that question is simple: it's Tesla. If Elon Musk announces a new cup holder, it draws headlines. The Bottom Line on TSLA StockThe bottom line on this announcement is that there's not much bottom line.Insurance isn't going to be a huge business for Tesla, and Tesla is not going to be a big factor in the insurance business.Tesla next reports earnings on Oct. 23. Analysts expect a loss of $1.40 per share, on revenue of $6.6 billion. That's about 10% more revenue than last quarter, and less than a year ago.That's what analysts are looking at and that's why the shares, while down 32% so far in 2019, still look overpriced. If Tesla wants to make shareholders happy, it needs to make more cars.Dana Blankenhorn is a financial and technology journalist. He is the author of the mystery thriller, The Reluctant Detective Finds Her Family, available at the Amazon Kindle store. Write him at danablankenhorn@gmail.com or follow him on Twitter at @danablankenhorn. As of this writing he owned no shares in companies mentioned in this article. More From InvestorPlace * 2 Toxic Pot Stocks You Should Avoid * 7 Deeply Discounted Energy Stocks to Buy * 7 Stocks to Buy In a Flat Market * 10 Stocks to Buy to Ride China's Emerging Wealth The post Is Tesla's New Insurance a Game Changer for TSLA Stock? appeared first on InvestorPlace.
- American City Business Journals
Automotive Minute: Redesigned Subaru Legacy gets a sophistication and power upgrade for 2020
In a midsize sedan conversation dominated by the Toyota Camry and Honda Accord, the Subaru Legacy has been content to take a back seat awaiting its moment. This is its moment.
- Investopedia
Who are Honda's (HMC) main suppliers?
Discover some companies that serve as primary automotive parts suppliers for the Honda Motor Co. in the United States.
- GuruFocus.com
Stocks That Fell to 3-Year Lows in the Week of Aug. 23
Exxon Mobil Corp, Schlumberger Ltd., Biogen Inc. and Honda Motor Co. Ltd. have declined to their respective 3-year lows Continue reading...
- American City Business Journals
Honda shows off new 'catcher's mitt' style airbag at Raymond R&D center
Honda Motor Co.’s newest safety advancement aims to reduce brain injuries in crashes. Raymond-based Honda R&D America has announced the release of its next-generation passenger-side airbag, which will be part of vehicles starting in 2020. Instead of a single inflatable compartment, the newly created airbag has three inflatable chambers — a center chamber flanked with larger compartments on the right and left that are connected with a “sail” panel.
- Market Realist
Ford Earns Trump’s Ire by Siding with California
Last month, four automakers, including Ford, made a voluntary deal with California to make cars cleaner and more fuel efficient. Trump isn't happy with the deal.
- Zacks
Auto Stock Roundup: Honda to Stop Auto Production in Argentina, Ford Recalls
Ford (F) to recall more than 108,000 mid-size cars in North America. Group 1 Automotive (GPI) raises dividend payout.
- MarketWatch
Trump is reportedly working to prevent more automakers from emissions rollback defection
Evidence of the increasing effects of climate change is building, as are the investing opportunities and changes in consumer habits linked to environmental concerns and resource use. Trump fights to keep automakers from joining Ford, Honda and others who are siding with California. The White House, blindsided by a reported pact between California and four automakers to oppose President Trump’s auto emissions rollbacks, is scurrying to prevent any more companies from aligning with the state, the New York Times reported Wednesday, citing four people familiar with the talks.
