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Honda Motor (HMC) Gains As Market Dips: What You Should Know
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Honda Motor (HMC - Free Report) closed the most recent trading day at $28.45, moving +0.74% from the previous trading session. This move outpaced the S&P 500's daily loss of 0.26%. At the same time, the Dow lost 0.16%, and the tech-heavy Nasdaq lost 0.04%.
Heading into today, shares of the automaker had lost 0.6% over the past month, outpacing the Auto-Tires-Trucks sector's loss of 4.25% and lagging the S&P 500's gain of 4.82% in that time.
Wall Street will be looking for positivity from Honda Motor as it approaches its next earnings report date. On that day, Honda Motor is projected to report earnings of $0.95 per share, which would represent a year-over-year decline of 39.87%. Our most recent consensus estimate is calling for quarterly revenue of $33 billion, down 8.64% from the year-ago period.
For the full year, our Zacks Consensus Estimates are projecting earnings of $3.50 per share and revenue of $132.3 billion, which would represent changes of -2.51% and +6.3%, respectively, from the prior year.
Any recent changes to analyst estimates for Honda Motor should also be noted by investors. Recent revisions tend to reflect the latest near-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. 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, which ranges from #1 (Strong Buy) to #5 (Strong Sell), has an impressive outside-audited track record of outperformance, with #1 stocks generating an average annual return of +25% since 1988. The Zacks Consensus EPS estimate remained stagnant within the past month. Honda Motor is currently a Zacks Rank #3 (Hold).
Investors should also note Honda Motor's current valuation metrics, including its Forward P/E ratio of 8.07. This represents a discount compared to its industry's average Forward P/E of 10.05.
Also, we should mention that HMC has a PEG ratio of 0.58. The PEG ratio is similar to the widely-used P/E ratio, but this metric also takes the company's expected earnings growth rate into account. The Automotive - Foreign was holding an average PEG ratio of 0.36 at yesterday's closing price.
The Automotive - Foreign industry is part of the Auto-Tires-Trucks sector. This industry currently has a Zacks Industry Rank of 112, which puts it in the top 45% 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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Honda Motor (HMC) Gains As Market Dips: What You Should Know
Honda Motor (HMC - Free Report) closed the most recent trading day at $28.45, moving +0.74% from the previous trading session. This move outpaced the S&P 500's daily loss of 0.26%. At the same time, the Dow lost 0.16%, and the tech-heavy Nasdaq lost 0.04%.
Heading into today, shares of the automaker had lost 0.6% over the past month, outpacing the Auto-Tires-Trucks sector's loss of 4.25% and lagging the S&P 500's gain of 4.82% in that time.
Wall Street will be looking for positivity from Honda Motor as it approaches its next earnings report date. On that day, Honda Motor is projected to report earnings of $0.95 per share, which would represent a year-over-year decline of 39.87%. Our most recent consensus estimate is calling for quarterly revenue of $33 billion, down 8.64% from the year-ago period.
For the full year, our Zacks Consensus Estimates are projecting earnings of $3.50 per share and revenue of $132.3 billion, which would represent changes of -2.51% and +6.3%, respectively, from the prior year.
Any recent changes to analyst estimates for Honda Motor should also be noted by investors. Recent revisions tend to reflect the latest near-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. 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, which ranges from #1 (Strong Buy) to #5 (Strong Sell), has an impressive outside-audited track record of outperformance, with #1 stocks generating an average annual return of +25% since 1988. The Zacks Consensus EPS estimate remained stagnant within the past month. Honda Motor is currently a Zacks Rank #3 (Hold).
Investors should also note Honda Motor's current valuation metrics, including its Forward P/E ratio of 8.07. This represents a discount compared to its industry's average Forward P/E of 10.05.
Also, we should mention that HMC has a PEG ratio of 0.58. The PEG ratio is similar to the widely-used P/E ratio, but this metric also takes the company's expected earnings growth rate into account. The Automotive - Foreign was holding an average PEG ratio of 0.36 at yesterday's closing price.
The Automotive - Foreign industry is part of the Auto-Tires-Trucks sector. This industry currently has a Zacks Industry Rank of 112, which puts it in the top 45% 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.