WallStSmart

Honda Motor Co Ltd ADR (HMC)vsToyota Motor Corporation ADR (TM)

VS

Smart Verdict

WallStSmart Research — data-driven comparison

Toyota Motor Corporation ADR generates 133% more annual revenue ($50.68T vs $21.80T). TM leads profitability with a 7.6% profit margin vs -1.9%. TM appears more attractively valued with a PEG of 1.54. TM earns a higher WallStSmart Score of 60/100 (C+).

HMC

Hold

39

out of 100

Grade: F

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

TM

Buy

60

out of 100

Grade: C+

Growth: 6.7Profit: 4.5Value: 6.3Quality: 4.5
Piotroski: 3/9Altman Z: 1.63

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

TM4 strengths · Avg: 9.5/10
Market CapQuality
$228.02B10/10

Mega-cap, among the largest globally

P/E RatioValuation
9.5x10/10

Attractively priced relative to earnings

Free Cash FlowQuality
$398.23B10/10

Generating 398.2B in free cash flow

EPS GrowthGrowth
23.2%8/10

Earnings expanding 23.2% YoY

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

TM4 concerns · Avg: 4.0/10
PEG RatioValuation
1.544/10

Expensive relative to growth rate

Price/BookValuation
15.1x4/10

Trading at 15.1x book value

Revenue GrowthGrowth
1.9%4/10

1.9% revenue growth

Altman Z-ScoreHealth
1.634/10

Distress zone — elevated risk

Comparative Analysis Report

WallStSmart Research

Bull Case : HMC

The strongest argument for HMC centers on Price/Book, Free Cash Flow.

Bull Case : TM

The strongest argument for TM centers on Market Cap, P/E Ratio, Free Cash Flow.

Bear Case : HMC

The primary concerns for HMC are Debt/Equity, Piotroski F-Score, PEG Ratio.

Bear Case : TM

The primary concerns for TM are PEG Ratio, Price/Book, Revenue Growth.

Key Dynamics to Monitor

HMC profiles as a turnaround stock while TM is a value play — different risk/reward profiles.

TM carries more volatility with a beta of 0.31 — expect wider price swings.

HMC is growing revenue faster at 8.6% — sustainability is the question.

TM generates stronger free cash flow (398.2B), providing more financial flexibility.

Bottom Line

TM scores higher overall (60/100 vs 39/100). Both earn "Buy" 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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Toyota Motor Corporation ADR

CONSUMER CYCLICAL · AUTO MANUFACTURERS · USA

Toyota Motor Corporation designs, manufactures, assembles and sells passenger cars, minivans and commercial vehicles, and related parts and accessories. The company is headquartered in Toyota, Japan.

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