Honda Stock Financials


USD 24.17  0.43  1.75%   

Honda Earnings Before Interest Taxes and Depreciation Amortization EBITDA are projected to increase significantly based on the last few years of reporting. The past year's Earnings Before Interest Taxes and Depreciation Amortization EBITDA were at 1.64 Trillion. The current year Free Cash Flow is expected to grow to about 1552.2 B, whereas Earnings before Tax are forecasted to decline to about 990.1 B.
With this module, you can analyze Honda financials for your investing period. You should be able to track the changes in Honda individual financial statements over time to develop the understanding of its risk, liquidity, profitability, or other critical and vital indicators.

Honda Most Recent Estimates

Quarterly Earnings Growth YOY
Diluted Eps
Earnings Share
Understanding current and past Honda Financials, including the trends in assets, liabilities, equity and income are directly related to making proper and timely investing decisions. All of Honda's financial statements are interrelated, with each one affecting the others. For example, an increase in Honda's assets may result in an increase in income on the income statement.


11.14 Trillion

The financial analysis of Honda is a critical element in measuring its lifeblood. The essential information of the day-to-day investment outlook for Honda includes many different criteria found on its balance sheet. For example, investors should never minimize Honda's ability to pay suppliers or employees on time, making sure interest payments are not accumulating or correctly timing where and how to re-invest extra cash. Any individual investor needs to monitor Honda's cash flow, debt, and profitability to effectively and accurately make more informed decisions on whether to invest in Honda.

Honda Motor Cash

Chance Of Financial Distress
Less than 12
Honda Motor Co has less than 12 (%) percent chance of experiencing financial distress in the next two years of operations. The calculation of odds of distress for Honda stock is tightly coupled with the Probability of Bankruptcy. It complements the equity performance score by supplying investors with insight into company financials without requiring them to know too much about all of the complex accounting and financial indicators surrounding the entity. More Info
The data published in Honda's official financial statements usually reflect Honda's business processes, product offerings, services, and other fundamental events. But there are other numbers, ratios, or fundamental indicators derived from these statements that are easier to understand and visualize within the underlying realities that drive quantitative information of Honda Motor. For example, before you start analyzing numbers published by Honda accountants, it's critical to develop an understanding of what Honda's liquidity, profitability, and earnings quality are in the context of the Automobiles space in which it operates.
Please note, the presentation of Honda's financial position, as portrayed in its financial statements, is often influenced by management's estimates, judgments, and sometimes even manipulations. In the best case, Honda's management is honest, while the outside auditors are strict and uncompromising. Whatever the case, the imprecision that can be found in Honda's accounting process means that the reasonable investor should take a skeptical approach toward the financial statement analysis of Honda Motor Co. Please utilize our Beneish M Score to check the likelihood of Honda's management to manipulate its earnings.

Honda Company Summary

Honda competes with American Axle, BorgWarner, Dorman Products, China Automotive, and Dana. Honda Motor Co., Ltd. develops, manufactures, and distributes motorcycles, automobiles, power products, and other products in Japan, North America, Europe, Asia, and internationally. Honda Motor Co., Ltd. was founded in 1946 and is headquartered in Tokyo, Japan. Honda operates under Auto Manufacturers classification in the United States and is traded on New York Stock Exchange. It employs 204035 people.
Consumer Discretionary, Automobiles & Components
InstrumentUSA Stock View All
ExchangeNew York Stock Exchange
CIK Number0000715153
RegionAsia Pacific
Business Address2-1-1, Minami-Aoyama, Tokyo,
IndustryConsumer Discretionary
BenchmarkNYSE Composite
Phone81 3 3423 1111
CurrencyUSD - US Dollar
You should never invest in Honda without having analyzed its financial statements. Do not rely on someone else's analysis or guesses about the future performance of Honda Stock, because this is throwing your money away. Analyzing the key information contained in Honda's financial statements can give you an edge over other investors and help to ensure that your investments perform well for you.

Honda Key Financial Ratios

Generally speaking, Honda's financial ratios allow both analysts and investors to convert raw data from Honda's financial statements into concise, actionable information that can be used to evaluate the performance of Honda over time and compare it to other companies across industries. There are many critical financial ratios that investors are exposed to on a daily basis, but they are usually grouped into few meaningful categories from each financial statement that Honda Motor reports annually and quarterly.

Honda Key Balance Sheet Accounts

201720182019202020212022 (projected)
Current Assets6,925.29 B7,347.29 B7,301.01 B7,579.09 B8,841.42 B8,491.32 B
Cash and Equivalents2,256.49 B2,494.12 B2,672.35 B2,758.02 B3,674.93 B3,134.87 B
Total Debt6,974.42 B7,527.72 B7,982.32 B8,183.94 B8,621.54 B8,470.44 B
Debt Current3,032.67 B3,321.69 B3,457.52 B3,187.77 B3,355.2 B3,437.83 B
Debt Non Current3,941.75 B4,206.03 B4,524.8 B4,996.17 B5,266.34 B5,032.61 B
Shareholders Equity7,933.54 B8,267.72 B8,012.26 B9,082.31 B10,444.65 B9,539.16 B
Inventory1,523.45 B1,586.79 B1,560.57 B1,545.6 B1,918.55 B1,844.75 B
Investments6,287.31 B6,698.71 B6,448.42 B7,229.39 B7,439.3 B7,458.29 B
Investments Current2,053.88 B2,114.91 B2,068.41 B2,089.96 B1,911.86 B2,073.45 B
Current Liabilities5,624.1 B5,981.12 B5,790.09 B5,715.46 B6,004.4 B6,196.82 B
Tax Assets129.34 B150.32 B132.55 B99.55 B91.59 B112.08 B
Tax Liabilities683.32 B777.14 B742.63 B889.79 B1,086.87 B933.88 B

Honda Key Income Statement Accounts

An income statement is very similar to a cash flow statement, but instead of showing net revenue minus expenses, it only includes earnings before interest and taxes (EBIT). This number does not have all of the same line items that are on a cash flow statement, but it leaves out non-cash expenses like depreciation and amortization. For example, if you bought $100 worth of goods from Walmart (WMT) using your debit card that has an interest rate of 20%, then paid off the balance at the end of the month with a credit card that charges 30% interest, you would have an income statement showing EBIT of $80 because your expenses are lower than the amount that went into your pocket. The other reason investors look at the income statement is to determine what Honda's earnings per share (EPS) will be in order to see if they want to buy more shares or not. For example, if a company earned $20 million in the last quarter and has 100,000 shares outstanding, its EPS is 20 cents. If you find that this number beats analysts' forecasts or is higher than it was from the same period last year, then you might want to buy more of this stock even though its price per share may not have changed.
201720182019202020212022 (projected)
Consolidated Income1,128.64 B676.29 B509.93 B695.44 B760.7 B752.92 B
Gross Profit3,360.57 B3,307.67 B3,079.35 B2,730.83 B2,984.77 B3,273.01 B
Interest Expense12.97 B13.22 B24.69 B13.88 B16.87 B17.6 B
Net Income1,059.34 B610.32 B455.75 B657.42 B707.07 B696.55 B
Operating Expenses2,527.01 B2,581.3 B2,445.71 B2,070.62 B2,113.54 B2,428.16 B
Operating Income833.56 B726.37 B633.64 B660.21 B871.23 B844.84 B
Income Tax Expense(13.67 B)303.09 B279.99 B218.61 B309.49 B293.52 B

Honda Key Cash Accounts

Cash flow analysis captures how much money flows into and out of Honda Motor. It measures of how well Honda is doing because it can show the actual money that comes into and out of the company from sales instead of measuring expenses against revenue to determine earnings. You have to read the cash flow statement in three sections. The first section shows how much money Honda brought in, usually known as net revenue or sales. This is different from earnings because it does not include expenses when determining net revenue for use on this part of the cash flow statement. Next, are operating activities, which show how much money Honda had leftover after paying for its expenses. This number can be calculated in two ways: by subtracting the total of all operating expenses from net revenue or by adding up changes to cash and other assets or liabilities on this part of the statement. The third section is about investing activities, which shows what Honda has done with the money that it received from the sale of assets or what it spent to acquire new ones. This section can be broken down into two parts: investing in existing businesses (in other words, buying more stock) and investing in non-business activities like paying off debt or making acquisitions.
201720182019202020212022 (projected)
Capital Expenditure(400.52 B)(400 B)(352.56 B)(311.64 B)(241.03 B)(260.06 B)
Depreciation Amortization and Accretion713.09 B721.7 B699.88 B624.24 B611.06 B693.39 B
Net Cash Flow or Change in Cash and Cash Equivalents150.51 B237.63 B178.23 B85.67 B916.91 B989.3 B
Net Cash Flow Business Acquisitions and Disposals(2.45 B)(2.4 B)(17.63 B)(95.95 B)(86.35 B)(88.62 B)
Issuance Purchase of Equity Shares(87.08 B)(64.56 B)(96.11 B)154 M(62.18 B)(63.82 B)
Issuance Repayment of Debt Securities(1,554.3 B)(1,551.63 B)(1,757.16 B)(2,045.57 B)(2,314.15 B)(2,375.04 B)
Payment of Dividends and Other Cash Distributions(174.22 B)(194.27 B)(196.79 B)(145.09 B)(188.4 B)(203.28 B)
Net Cash Flow from Financing(174.33 B)22.92 B(87.41 B)(283.98 B)(615.72 B)(631.92 B)
Net Cash Flow from Investing(615.11 B)(577.55 B)(619.48 B)(796.88 B)(376.06 B)(405.74 B)
Net Cash Flow Investment Acquisitions and Disposals(55.93 B)9.24 B(16.83 B)(156.57 B)46.06 B49.7 B
Net Cash Flow from Operations987.67 B775.99 B979.41 B1,072.38 B1,679.62 B1,452.59 B
Effect of Exchange Rate Changes on Cash(47.71 B)16.28 B(94.29 B)94.15 B229.06 B247.15 B

Honda Financial Ratios Relationships

Comparative valuation techniques use various fundamental indicators to help in determining Honda's current stock value. Our valuation model uses many indicators to compare Honda value to that of its competitors to determine the firm's financial worth. You can analyze the relationship between different fundamental ratios across Honda competition to find correlations between indicators driving Honda's intrinsic value. More Info.
Honda Motor Co is one of the top stocks in cash and equivalents category among related companies. It is one of the top stocks in working capital category among related companies reporting about  0.21  of Working Capital per Cash and Equivalents. The ratio of Cash and Equivalents to Working Capital for Honda Motor Co is roughly  4.76 . Honda Cash and Equivalents is projected to increase significantly based on the last few years of reporting. The past year's Cash and Equivalents was at 3.67 Trillion. Comparative valuation analysis is a catch-all model that can be used if you cannot value Honda by discounting back its dividends or cash flows. This model doesn't attempt to find an intrinsic value for Honda's Stock . Still, instead, it compares the stock's price multiples to a benchmark or nearest competition to determine if the stock is relatively undervalued or overvalued. The reason why the comparable model can be used in almost all circumstances is due to the vast number of multiples that can be utilized, such as the price-to-earnings (P/E), price-to-book (P/B), price-to-sales (P/S), price-to-cash flow (P/CF), and many others. The P/E ratio is the most commonly used of these ratios because it focuses on the Honda's earnings, one of the primary drivers of an investment's value.

Honda Motor Systematic Risk

Honda's systematic risk plays a vital role in portfolio allocation when considering its stock to be added to a well-diversified portfolio. Honda volatility which cannot be eliminated through diversification, requires returns over the risk-free rate. Over the long run, a well-diversified portfolio provides returns that match its exposure to systematic risk. In this case, investors face a trade-off between expected returns and systematic risk and, therefore, can only reduce a portfolio's exposure to systematic risk by sacrificing expected returns on the portfolio.
Incorrect Input. Please change your parameters or increase the time horizon required for running this function. The output start index for this execution was zero with a total number of output elements of zero. The Beta measures systematic risk based on how returns on Honda Motor correlated with the market. If Beta is less than 0 Honda generally moves in the opposite direction as compared to the market. If Honda Beta is about zero movement of price series is uncorrelated with the movement of the benchmark. if Beta is between zero and one Honda Motor is generally moves in the same direction as, but less than the movement of the market. For Beta = 1 movement of Honda is generally in the same direction as the market. If Beta > 1 Honda moves generally in the same direction as, but more than the movement of the benchmark.

About Honda Financials

What exactly are Honda Financials? Typically, a company's financial statements are the reports that show the financial position of the company. Three primary documents fall into the category of financial statements. These documents include Honda's income statement, its balance sheet, and the statement of cash flows. Potential Honda investors and stakeholders use financial statements to determine how well the company is positioned to perform in the future. Although Honda investors may use each financial statement separately, they are all related. The changes in Honda's assets and liabilities, for example, are also reflected in the revenues and expenses that we see on Honda's income statement, which results in the company's gains or losses. Cash flows can provide more information regarding cash listed on a balance sheet, but not equivalent to net income shown on the income statement. Please read more on our technical analysis and fundamental analysis pages.
There are several different ways that investors can use financial statements to try and predict whether a stock price will go up or down. Unfortunately, there is no surefire formula, but there are some general guidelines you should consider when looking at the numbers. First, realize what kind of company it is so you know if its revenues are more likely to grow or shrink over time. For example, a software company's revenue is expected to increase yearly due to new products and services that its customers will want to buy. At the same time, a car manufacturer might not be able to sell as many cars when the economy slows down, so it would have less net income during those times. Second, pay attention to its debt-to-equity ratio because this number will tell you how much risk it has. If a company such as Honda is not taking on any additional risks, its debt-to-equity should be less than one. As a general rule of thumb, if the market value or book value (which can be found in the footnotes) of assets exceeds the company's liabilities, then it is probably in good shape. Finally, use other financial statements to determine if a stock price will go up or down because investors are always looking for growth opportunities when they buy new stocks. For example, if you see that the net revenue of Honda has grown by more than 25% over the last five years, then there is a good chance that it will continue growing at least by 20% or more each year. On the other hand, if you see that net revenue has only increased by about 15%, which is barely above inflation levels, then chances are it will not grow much faster than this over time, and investors may shy away from buying it.

Honda Thematic Clasifications

Honda Motor Co is part of several thematic ideas from Power Stocks to Momentum. If you are a theme-oriented, socially responsible, and at the same time, a result-driven investor, you can align your investing habits with your values without jeopardizing your expectations about returns. You can easily create an optimal portfolio of stocks, ETFs, funds, or cryptocurrencies based on a specific theme of your liking. Get More Thematic Ideas
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Honda December 5, 2022 Opportunity Range

Along with financial statement analysis, the daily predictive indicators of Honda help investors to analyze its daily demand and supply, volume, patterns, and price swings to determine the real value of Honda Motor Co. We use our internally-developed statistical techniques to arrive at the intrinsic value of Honda Motor Co based on widely used predictive technical indicators. In general, we focus on analyzing Honda Stock price patterns and their correlations with different microeconomic environment and drivers. We also apply predictive analytics to build Honda's daily price indicators and compare them against related drivers.
Information Ratio(0.12)
Maximum Drawdown9.27
Value At Risk(2.70)
Potential Upside2.5
Please check Risk vs Return Analysis. You can also try Pair Correlation module to compare performance and examine fundamental relationship between any two equity instruments.

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When running Honda Motor price analysis, check to measure Honda's market volatility, profitability, liquidity, solvency, efficiency, growth potential, financial leverage, and other vital indicators. We have many different tools that can be utilized to determine how healthy Honda is operating at the current time. Most of Honda's value examination focuses on studying past and present price action to predict the probability of Honda's future price movements. You can analyze the entity against its peers and financial market as a whole to determine factors that move Honda's price. Additionally, you may evaluate how the addition of Honda to your portfolios can decrease your overall portfolio volatility.
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Is Honda's industry expected to grow? Or is there an opportunity to expand the business' product line in the future? Factors like these will boost the valuation of Honda. If investors know Honda will grow in the future, the company's valuation will be higher. The financial industry is built on trying to define current growth potential and future valuation accurately. All the valuation information about Honda listed above have to be considered, but the key to understanding future value is determining which factors weigh more heavily than others.
Quarterly Earnings Growth YOY
Market Capitalization
41 B
Quarterly Revenue Growth YOY
Return On Assets
Return On Equity
The market value of Honda Motor is measured differently than its book value, which is the value of Honda that is recorded on the company's balance sheet. Investors also form their own opinion of Honda's value that differs from its market value or its book value, called intrinsic value, which is Honda's true underlying value. Investors use various methods to calculate intrinsic value and buy a stock when its market value falls below its intrinsic value. Because Honda's market value can be influenced by many factors that don't directly affect Honda's underlying business (such as a pandemic or basic market pessimism), market value can vary widely from intrinsic value.
Please note, there is a significant difference between Honda's value and its price as these two are different measures arrived at by different means. Investors typically determine Honda value by looking at such factors as earnings, sales, fundamental and technical indicators, competition as well as analyst projections. However, Honda's price is the amount at which it trades on the open market and represents the number that a seller and buyer find agreeable to each party.