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Toyota Motor Corporation (TM) Outpaces Stock Market Gains: What You Should Know

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In the latest trading session, Toyota Motor Corporation (TM - Free Report) closed at $181.42, marking a +0.86% move from the previous day. This move outpaced the S&P 500's daily gain of 0.42%.

Coming into today, shares of the company had gained 2.88% in the past month. In that same time, the Auto-Tires-Trucks sector lost 6.56%, while the S&P 500 gained 2.64%.

Wall Street will be looking for positivity from TM as it approaches its next earnings report date. On that day, TM is projected to report earnings of $4.68 per share, which would represent year-over-year growth of 341.51%. Our most recent consensus estimate is calling for quarterly revenue of $68.91 billion, up 61.09% from the year-ago period.

TM's full-year Zacks Consensus Estimates are calling for earnings of $17.33 per share and revenue of $288.43 billion. These results would represent year-over-year changes of +15.61% and +12.13%, respectively.

Investors might also notice recent changes to analyst estimates for TM. These recent revisions tend to reflect the evolving nature of short-term business trends. With this in mind, we can consider positive estimate revisions a sign of optimism about the company's business outlook.

Based on our research, we believe these estimate revisions are directly related to near-team stock moves. To benefit from this, we have developed the Zacks Rank, a proprietary model which takes these estimate changes into account and provides an 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. Within the past 30 days, our consensus EPS projection has moved 4.54% higher. TM is currently sporting a Zacks Rank of #1 (Strong Buy).

Looking at its valuation, TM is holding a Forward P/E ratio of 10.38. This represents a premium compared to its industry's average Forward P/E of 10.27.

It is also worth noting that TM currently has a PEG ratio of 0.68. This popular metric is similar to the widely-known P/E ratio, with the difference being that the PEG ratio also takes into account the company's expected earnings growth rate. TM's industry had an average PEG ratio of 0.48 as of yesterday's close.

The Automotive - Foreign industry is part of the Auto-Tires-Trucks sector. This industry currently has a Zacks Industry Rank of 211, which puts it in the bottom 17% 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.

Be sure to follow all of these stock-moving metrics, and many more, on Zacks.com.


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