Honda Motor Co., Ltd. (NYSE:HMC) Given Average Recommendation of “Reduce” by Analysts

Honda Motor Co., Ltd. (NYSE:HMC) has been assigned an average recommendation of “Reduce” from the six ratings firms that are presently covering the company, Marketbeat Ratings reports. Three research analysts have rated the stock with a sell rating, two have assigned a hold rating and one has issued a strong buy rating on the company. The average 12-month target price among brokerages that have covered the stock in the last year is $25.00.

Several brokerages have recently commented on HMC. Morgan Stanley downgraded Honda Motor from an “overweight” rating to an “equal weight” rating in a research note on Wednesday, March 11th. BNP Paribas Exane started coverage on Honda Motor in a research note on Thursday, February 12th. They issued an “underperform” rating and a $25.00 price target for the company. Zacks Research downgraded Honda Motor from a “hold” rating to a “strong sell” rating in a research note on Monday, April 6th. Weiss Ratings downgraded Honda Motor from a “hold (c-)” rating to a “sell (d+)” rating in a research note on Thursday, April 16th. Finally, Wall Street Zen upgraded Honda Motor from a “sell” rating to a “hold” rating in a research note on Saturday.

Honda Motor Stock Performance

Shares of NYSE HMC opened at $26.19 on Monday. The company has a current ratio of 1.36, a quick ratio of 1.09 and a debt-to-equity ratio of 0.65. Honda Motor has a 12 month low of $23.25 and a 12 month high of $34.89. The stock has a 50 day moving average of $24.87 and a 200-day moving average of $28.38. The company has a market capitalization of $40.87 billion, a P/E ratio of -13.71 and a beta of 0.41.

Honda Motor (NYSE:HMC) last issued its earnings results on Thursday, May 14th. The company reported ($4.24) EPS for the quarter, topping the consensus estimate of ($5.74) by $1.50. Honda Motor had a negative return on equity of 3.04% and a negative net margin of 1.75%.The company had revenue of $36.81 billion during the quarter, compared to the consensus estimate of $32.99 billion. Honda Motor has set its FY 2027 guidance at 1.278-1.278 EPS. As a group, equities research analysts predict that Honda Motor will post -0.35 EPS for the current year.

Trending Headlines about Honda Motor

Here are the key news stories impacting Honda Motor this week:

• Positive Sentiment: Honda’s quarterly revenue and EPS beat expectations, suggesting core operations were better than feared despite the annual loss. Honda earnings report and conference call
• Positive Sentiment: Broker support remains intact, with Citi and Nomura keeping buy ratings, which may be helping cushion sentiment. CNBC article on Honda shares rise
• Neutral Sentiment: Honda updated FY2027 guidance with revenue above consensus but EPS below expectations, leaving the outlook mixed for investors.
• Negative Sentiment: The company posted its first annual operating loss since 1948, with a ¥414.3 billion operating loss and ¥423.9 billion net loss, reflecting a major earnings reset. Invezz article on Honda first loss since 1948
• Negative Sentiment: Losses were driven by more than $9 billion in EV restructuring costs, along with tariff pressure and a weakened U.S. EV strategy, raising concerns about future profitability. Reuters article on Honda annual loss and EV charge

Institutional Trading of Honda Motor

Several institutional investors have recently added to or reduced their stakes in the company. Advisory Services Network LLC boosted its stake in Honda Motor by 1.3% in the 2nd quarter. Advisory Services Network LLC now owns 25,183 shares of the company’s stock valued at $787,000 after purchasing an additional 329 shares during the period. Checchi Capital Advisers LLC boosted its stake in Honda Motor by 4.0% in the 3rd quarter. Checchi Capital Advisers LLC now owns 9,107 shares of the company’s stock valued at $280,000 after purchasing an additional 348 shares during the period. WealthCollab LLC boosted its stake in Honda Motor by 66.2% in the 2nd quarter. WealthCollab LLC now owns 916 shares of the company’s stock valued at $26,000 after purchasing an additional 365 shares during the period. Rosenberg Matthew Hamilton raised its holdings in Honda Motor by 6.6% in the 4th quarter. Rosenberg Matthew Hamilton now owns 6,052 shares of the company’s stock valued at $178,000 after acquiring an additional 376 shares in the last quarter. Finally, Allworth Financial LP lifted its position in shares of Honda Motor by 17.1% during the 3rd quarter. Allworth Financial LP now owns 2,642 shares of the company’s stock valued at $81,000 after acquiring an additional 385 shares during the period. 5.32% of the stock is currently owned by institutional investors.

Honda Motor Company Profile

Honda Motor Co, Ltd. is a global manufacturer and mobility company headquartered in Minato, Tokyo, Japan, founded in 1948 by Soichiro Honda and Takeo Fujisawa. The company’s core businesses include the design, manufacture and sale of automobiles and motorcycles, along with a diverse portfolio of power products, engines and related components. Honda also operates in aviation through Honda Aircraft Company and offers financial services that support vehicle sales and leasing.

In automobiles, Honda is known for a range of passenger cars, crossovers and light trucks, and in motorcycles it is one of the world’s leading producers by volume and model breadth.