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Honda Motor (HMC) Gains But Lags Market: What You Should Know
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Honda Motor (HMC - Free Report) closed the most recent trading day at $28.24, moving +0.86% from the previous trading session. This move lagged the S&P 500's daily gain of 1.64%. Meanwhile, the Dow gained 1.08%, and the Nasdaq, a tech-heavy index, added 0.45%.
Heading into today, shares of the automaker had lost 2.88% over the past month, outpacing the Auto-Tires-Trucks sector's loss of 7.42% and lagging the S&P 500's loss of 0.83% in that time.
Honda Motor will be looking to display strength as it nears its next earnings release. In that report, analysts expect Honda Motor to post earnings of $0.95 per share. This would mark a year-over-year decline of 39.87%. Meanwhile, our latest consensus estimate is calling for revenue of $33 billion, down 8.64% from the prior-year quarter.
Looking at the full year, our Zacks Consensus Estimates suggest analysts are expecting earnings of $3.50 per share and revenue of $132.3 billion. These totals would mark changes of -2.51% and +6.3%, respectively, from last year.
Investors should also note any recent changes to analyst estimates for Honda Motor. These recent revisions tend to reflect the evolving nature of short-term business trends. As such, positive estimate revisions reflect analyst optimism about the company's business and profitability.
Research indicates that these estimate revisions are directly correlated with near-term share price momentum. Investors can capitalize on this by using the Zacks Rank. This model considers these estimate changes and provides a simple, actionable rating system.
The Zacks Rank system ranges from #1 (Strong Buy) to #5 (Strong Sell). It has a remarkable, outside-audited track record of success, with #1 stocks delivering an average annual return of +25% since 1988. Over the past month, the Zacks Consensus EPS estimate has moved 4.53% higher. Honda Motor is holding a Zacks Rank of #3 (Hold) right now.
Digging into valuation, Honda Motor currently has a Forward P/E ratio of 8. This represents a discount compared to its industry's average Forward P/E of 9.83.
It is also worth noting that HMC currently has a PEG ratio of 0.58. This metric is used similarly to the famous P/E ratio, but the PEG ratio also takes into account the stock's expected earnings growth rate. HMC's industry had an average PEG ratio of 0.35 as of yesterday's close.
The Automotive - Foreign industry is part of the Auto-Tires-Trucks sector. This group has a Zacks Industry Rank of 196, putting it in the bottom 23% of all 250+ industries.
The Zacks Industry Rank gauges the strength of our individual industry groups by measuring the average Zacks Rank of the individual stocks within the groups. Our research shows that the top 50% rated industries outperform the bottom half by a factor of 2 to 1.
You can find more information on all of these metrics, and much more, on Zacks.com.
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Honda Motor (HMC) Gains But Lags Market: What You Should Know
Honda Motor (HMC - Free Report) closed the most recent trading day at $28.24, moving +0.86% from the previous trading session. This move lagged the S&P 500's daily gain of 1.64%. Meanwhile, the Dow gained 1.08%, and the Nasdaq, a tech-heavy index, added 0.45%.
Heading into today, shares of the automaker had lost 2.88% over the past month, outpacing the Auto-Tires-Trucks sector's loss of 7.42% and lagging the S&P 500's loss of 0.83% in that time.
Honda Motor will be looking to display strength as it nears its next earnings release. In that report, analysts expect Honda Motor to post earnings of $0.95 per share. This would mark a year-over-year decline of 39.87%. Meanwhile, our latest consensus estimate is calling for revenue of $33 billion, down 8.64% from the prior-year quarter.
Looking at the full year, our Zacks Consensus Estimates suggest analysts are expecting earnings of $3.50 per share and revenue of $132.3 billion. These totals would mark changes of -2.51% and +6.3%, respectively, from last year.
Investors should also note any recent changes to analyst estimates for Honda Motor. These recent revisions tend to reflect the evolving nature of short-term business trends. As such, positive estimate revisions reflect analyst optimism about the company's business and profitability.
Research indicates that these estimate revisions are directly correlated with near-term share price momentum. Investors can capitalize on this by using the Zacks Rank. This model considers these estimate changes and provides a simple, actionable rating system.
The Zacks Rank system ranges from #1 (Strong Buy) to #5 (Strong Sell). It has a remarkable, outside-audited track record of success, with #1 stocks delivering an average annual return of +25% since 1988. Over the past month, the Zacks Consensus EPS estimate has moved 4.53% higher. Honda Motor is holding a Zacks Rank of #3 (Hold) right now.
Digging into valuation, Honda Motor currently has a Forward P/E ratio of 8. This represents a discount compared to its industry's average Forward P/E of 9.83.
It is also worth noting that HMC currently has a PEG ratio of 0.58. This metric is used similarly to the famous P/E ratio, but the PEG ratio also takes into account the stock's expected earnings growth rate. HMC's industry had an average PEG ratio of 0.35 as of yesterday's close.
The Automotive - Foreign industry is part of the Auto-Tires-Trucks sector. This group has a Zacks Industry Rank of 196, putting it in the bottom 23% of all 250+ industries.
The Zacks Industry Rank gauges the strength of our individual industry groups by measuring the average Zacks Rank of the individual stocks within the groups. Our research shows that the top 50% rated industries outperform the bottom half by a factor of 2 to 1.
You can find more information on all of these metrics, and much more, on Zacks.com.