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Toyota Motor Corporation (TM) Stock Dips While Market Gains: Key Facts

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Toyota Motor Corporation (TM - Free Report) closed at $199.56 in the latest trading session, marking a -0.58% move from the prior day. The stock's performance was behind the S&P 500's daily gain of 0.53%. Elsewhere, the Dow gained 0.64%, while the tech-heavy Nasdaq added 0.19%.

Shares of the company witnessed a gain of 11.07% over the previous month, beating the performance of the Auto-Tires-Trucks sector with its loss of 7.52% and the S&P 500's gain of 2.48%.

The investment community will be paying close attention to the earnings performance of Toyota Motor Corporation in its upcoming release. The company is slated to reveal its earnings on February 6, 2024. On that day, Toyota Motor Corporation is projected to report earnings of $3.66 per share, which would represent a year-over-year decline of 3.17%. Our most recent consensus estimate is calling for quarterly revenue of $73.72 billion, up 6.59% from the year-ago period.

Regarding the entire year, the Zacks Consensus Estimates forecast earnings of $19.48 per share and revenue of $305.05 billion, indicating changes of +46.69% and +11.03%, respectively, compared to the previous year.

Additionally, investors should keep an eye on any recent revisions to analyst forecasts for Toyota Motor Corporation. These revisions typically reflect the latest short-term business trends, which can change frequently. As a result, we can interpret positive estimate revisions as a good sign for the company's business outlook.

Our research demonstrates that these adjustments in estimates directly associate with imminent stock price performance. To take advantage of this, we've established the Zacks Rank, an exclusive model that considers these estimated changes and delivers an operational 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. Over the last 30 days, the Zacks Consensus EPS estimate has witnessed a 0.85% increase. As of now, Toyota Motor Corporation holds a Zacks Rank of #3 (Hold).

From a valuation perspective, Toyota Motor Corporation is currently exchanging hands at a Forward P/E ratio of 10.31. Its industry sports an average Forward P/E of 6.98, so one might conclude that Toyota Motor Corporation is trading at a premium comparatively.

One should further note that TM currently holds a PEG ratio of 0.42. The PEG ratio is akin to the commonly utilized P/E ratio, but this measure also incorporates the company's anticipated earnings growth rate. Automotive - Foreign stocks are, on average, holding a PEG ratio of 0.36 based on yesterday's closing prices.

The Automotive - Foreign industry is part of the Auto-Tires-Trucks sector. Currently, this industry holds a Zacks Industry Rank of 64, positioning it in the top 26% of all 250+ industries.

The Zacks Industry Rank evaluates the power of our distinct industry groups by determining the average Zacks Rank of the individual stocks forming 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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