WallStSmart

Honda Motor Co Ltd ADR (HMC)vsLi Auto Inc (LI)

VS

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

Hold

39

out of 100

Grade: F

Growth: 5.3Profit: 2.0Value: 4.0Quality: 4.0
Piotroski: 2/9Altman Z: 1.48

LI

Hold

41

out of 100

Grade: D

Growth: 4.7Profit: 2.0Value: 7.7Quality: 6.3
Piotroski: 2/9
IV

Intrinsic Value Comparison

Multi-model valuation · Graham Formula

Intrinsic value data unavailable for HMC.

LIUndervalued (+78.3%)

Margin of Safety

+78.3%

Fair Value

$88.38

Current Price

$14.20

$74.18 discount

UndervaluedFair: $88.38Overvalued

Key Strengths & Concerns

Side-by-side fundamental analysis

Key Strengths

HMC2 strengths · Avg: 10.0/10
Price/BookValuation
0.5x10/10

Reasonable price relative to book value

Free Cash FlowQuality
$235.62B10/10

Generating 235.6B in free cash flow

LI3 strengths · Avg: 9.0/10
Price/BookValuation
1.4x10/10

Reasonable price relative to book value

Debt/EquityHealth
0.259/10

Conservative balance sheet, low leverage

PEG RatioValuation
0.838/10

Growing faster than its price suggests

Areas to Watch

HMC4 concerns · Avg: 2.5/10
Debt/EquityHealth
1.143/10

Elevated debt levels

Piotroski F-ScoreQuality
2/93/10

Weak financial health signals

PEG RatioValuation
3.452/10

Expensive relative to growth rate

Return on EquityProfitability
-3.7%2/10

ROE of -3.7% — below average capital efficiency

LI4 concerns · Avg: 2.3/10
Piotroski F-ScoreQuality
2/93/10

Weak financial health signals

Return on EquityProfitability
-2.6%2/10

ROE of -2.6% — below average capital efficiency

Revenue GrowthGrowth
-11.4%2/10

Revenue declined 11.4%

EPS GrowthGrowth
-99.8%2/10

Earnings declined 99.8%

Comparative Analysis Report

WallStSmart Research

Bull 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.

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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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