Honda Motor Co Ltd ADR (HMC)vsLi Auto Inc (LI)
HMC
Honda Motor Co Ltd ADR
$26.70
-4.40%
CONSUMER CYCLICAL · Cap: $34.64B
LI
Li Auto Inc
$14.20
-2.54%
CONSUMER CYCLICAL · Cap: $14.42B
Smart Verdict
WallStSmart Research — data-driven comparison
Honda Motor Co Ltd ADR generates 19829% more annual revenue ($21.80T vs $109.37B). LI leads profitability with a -1.7% profit margin vs -1.9%. LI appears more attractively valued with a PEG of 0.83. LI earns a higher WallStSmart Score of 41/100 (D).
HMC
Hold39
out of 100
Grade: F
LI
Hold41
out of 100
Grade: D
Intrinsic Value Comparison
Multi-model valuation · Graham Formula
Intrinsic value data unavailable for HMC.
Margin of Safety
+78.3%
Fair Value
$88.38
Current Price
$14.20
$74.18 discount
Key Strengths & Concerns
Side-by-side fundamental analysis
Key Strengths
Reasonable price relative to book value
Generating 235.6B in free cash flow
Reasonable price relative to book value
Conservative balance sheet, low leverage
Growing faster than its price suggests
Areas to Watch
Elevated debt levels
Weak financial health signals
Expensive relative to growth rate
ROE of -3.7% — below average capital efficiency
Weak financial health signals
ROE of -2.6% — below average capital efficiency
Revenue declined 11.4%
Earnings declined 99.8%
Comparative Analysis Report
WallStSmart ResearchBull Case : HMC
The strongest argument for HMC centers on Price/Book, Free Cash Flow.
Bull Case : LI
The strongest argument for LI centers on Price/Book, Debt/Equity, PEG Ratio. PEG of 0.83 suggests the stock is reasonably priced for its growth.
Bear Case : HMC
The primary concerns for HMC are Debt/Equity, Piotroski F-Score, PEG Ratio.
Bear Case : LI
The primary concerns for LI are Piotroski F-Score, Return on Equity, Revenue Growth.
Key Dynamics to Monitor
LI carries more volatility with a beta of 0.51 — expect wider price swings.
HMC is growing revenue faster at 8.6% — sustainability is the question.
HMC generates stronger free cash flow (235.6B), providing more financial flexibility.
Monitor AUTO MANUFACTURERS industry trends, competitive dynamics, and regulatory changes.
Bottom Line
LI scores higher overall (41/100 vs 39/100). Both earn "Hold" and "Hold" ratings respectively — the choice depends on your investment horizon and risk tolerance.
This analysis is generated from publicly available financial data. Not financial advice.
Honda Motor Co Ltd ADR
CONSUMER CYCLICAL · AUTO MANUFACTURERS · USA
Honda Motor Co., Ltd. develops, manufactures, and distributes motorcycles, automobiles, electrical products, and other products in Japan, North America, Europe, Asia, and internationally. The company is headquartered in Tokyo, Japan.
Visit Website →Li Auto Inc
CONSUMER CYCLICAL · AUTO MANUFACTURERS · China
Li Auto Inc. designs, develops, manufactures and sells smart electric sport utility vehicles (SUVs) in China. The company is headquartered in Beijing, China.
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