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Toyota Motor Corporation (TM) Gains As Market Dips: What You Should Know

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Toyota Motor Corporation (TM - Free Report) closed at $187.34 in the latest trading session, marking a +0.32% move from the prior day. The stock outpaced the S&P 500's daily loss of 0.87%. Elsewhere, the Dow lost 0.08%, while the tech-heavy Nasdaq lost 0.54%.

Coming into today, shares of the company had gained 0.29% in the past month. In that same time, the Auto-Tires-Trucks sector lost 5.33%, while the S&P 500 gained 0.7%.

Investors will be hoping for strength from Toyota Motor Corporation as it approaches its next earnings release. On that day, Toyota Motor Corporation is projected to report earnings of $3.76 per share, which would represent a year-over-year decline of 33.69%. Our most recent consensus estimate is calling for quarterly revenue of $69.27 billion, down 11.25% from the year-ago period.

TM's full-year Zacks Consensus Estimates are calling for earnings of $18.65 per share and revenue of $285.79 billion. These results would represent year-over-year changes of +24.42% and +11.11%, respectively.

Investors might also notice recent changes to analyst estimates for Toyota Motor Corporation. 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.

Research indicates that these estimate revisions are directly correlated with near-term share price momentum. We developed the Zacks Rank to capitalize on this phenomenon. Our system takes these estimate changes into account and delivers a clear, actionable rating model.

Ranging from #1 (Strong Buy) to #5 (Strong Sell), the Zacks Rank system has a proven, outside-audited track record of outperformance, with #1 stocks returning an average of +25% annually since 1988. Over the past month, the Zacks Consensus EPS estimate has moved 2.4% higher. Toyota Motor Corporation currently has a Zacks Rank of #3 (Hold).

In terms of valuation, Toyota Motor Corporation is currently trading at a Forward P/E ratio of 10.01. This valuation marks a no noticeable deviation compared to its industry's average Forward P/E of 10.01.

Investors should also note that TM has a PEG ratio of 0.44 right now. 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. The Automotive - Foreign industry currently had an average PEG ratio of 0.37 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 includes is listed in order from best to worst in terms of the average Zacks Rank of the individual companies within each of these sectors. Our research shows that the top 50% rated industries outperform the bottom half by a factor of 2 to 1.

Make sure to utilize Zacks.com to follow all of these stock-moving metrics, and more, in the coming trading sessions.


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