Honda Motor Valuation

Is HONDA19 undervalued compared to its fair value, analyst forecasts and its price relative to the market?

Valuation Score

4/6

Valuation Score 4/6

  • Below Fair Value

  • Significantly Below Fair Value

  • Price-To-Earnings vs Peers

  • Price-To-Earnings vs Industry

  • Price-To-Earnings vs Fair Ratio

  • Analyst Forecast

Share Price vs Fair Value

What is the Fair Price of HONDA19 when looking at its future cash flows? For this estimate we use a Discounted Cash Flow model.

Below Fair Value: HONDA19 (THB2.96) is trading below our estimate of fair value (THB4.83)

Significantly Below Fair Value: HONDA19 is trading below fair value by more than 20%.


Key Valuation Metric

Which metric is best to use when looking at relative valuation for HONDA19?

Key metric: As HONDA19 is profitable we use its Price-To-Earnings Ratio for relative valuation analysis.

The above table shows the Price to Earnings ratio for HONDA19. This is calculated by dividing HONDA19's market cap by their current earnings.
What is HONDA19's PE Ratio?
PE Ratio6.1x
EarningsJP¥985.56b
Market CapJP¥5.97t

Price to Earnings Ratio vs Peers

How does HONDA19's PE Ratio compare to its peers?

The above table shows the PE ratio for HONDA19 vs its peers. Here we also display the market cap and forecasted growth for additional consideration.
CompanyForward PEEstimated GrowthMarket Cap
Peer Average15.4x
A005380 Hyundai Motor
4.7x5.8%₩50.6t
STLAM Stellantis
2.8x-0.5%€37.1b
M&M Mahindra & Mahindra
28.9x11.2%₹3.4t
MARUTI Maruti Suzuki India
25.4x10.5%₹3.6t
HONDA19 Honda Motor
6.1x5.3%฿6.0t

Price-To-Earnings vs Peers: HONDA19 is good value based on its Price-To-Earnings Ratio (6.1x) compared to the peer average (15.4x).


Price to Earnings Ratio vs Industry

How does HONDA19's PE Ratio compare vs other companies in the Asian Auto Industry?

1 CompanyPrice / EarningsEstimated GrowthMarket Cap
HONDA19 6.1xIndustry Avg. 19.3xNo. of Companies8PE01224364860+
1 CompanyEstimated GrowthMarket Cap
No more companies

Price-To-Earnings vs Industry: HONDA19 is good value based on its Price-To-Earnings Ratio (6.1x) compared to the Asian Auto industry average (19.3x).


Price to Earnings Ratio vs Fair Ratio

What is HONDA19's PE Ratio compared to its Fair PE Ratio? This is the expected PE Ratio taking into account the company's forecast earnings growth, profit margins and other risk factors.

HONDA19 PE Ratio vs Fair Ratio.
Fair Ratio
Current PE Ratio6.1x
Fair PE Ration/a

Price-To-Earnings vs Fair Ratio: Insufficient data to calculate HONDA19's Price-To-Earnings Fair Ratio for valuation analysis.


Analyst Price Targets

What is the analyst 12-month forecast and do we have any statistical confidence in the consensus price target?

Analyst Forecast: Insufficient data to show price forecast.


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