Toyota Motor (TM) Stock Analysis

June 13, 2026

Here is a fundamental analysis of Toyota Motor (TM), benchmarking its profitability, financial strength, dividend and valuation against its industry group peers.

Performance

Cumulative Growth

GSPC

Toyota Motor (TM) vs. S&P 500 (GSPC): Growth of a $10,000 investment over the past five years. Adjusted for dividends and splits.

Trailing Returns

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Trailing total returns for Toyota Motor (TM) and S&P 500 (GSPC). Returns over one year are annualized.

Performance at a Glance

Toyota Motor (TM) metric values compared with Automobiles & Components industry-group medians
Metric	Current stock: TM	Industry group median
1-Year Return	-3.87%	18.96%

Risk

Drawdown

GSPC

Toyota Motor (TM) vs. S&P 500 (GSPC): Drawdown from the running peak over the past five years. Each line shows the decline from its prior peak; 0% marks a new high.

Risk at a Glance

Toyota Motor (TM) metric values compared with Automobiles & Components industry-group medians
Metric	Current stock: TM	Industry group median
1-Year Volatility	29.36%	45.17%
Beta	0.58	1.24

Company Profile

Toyota Motor (TM) trades as an ADR rather than ordinary local shares — read it with FX exposure, depositary-program fees, and dividend-withholding-tax differences in mind.

Company profile fields for Toyota Motor (TM)
Profile Item	TM
Name	Toyota Motor Corporation
Country/Region	Japan
GICS Sector	Consumer Discretionary
GICS Industry Group	Automobiles & Components
GICS Industry	Automobiles
GICS Sub-Industry	Automobile Manufacturers
Market Capitalization	228.02 billion USD
Currency	USD
Exchange	NYSE
Listing Date	March 17, 1980
Security Type	ADR

Valuation

Price-to-Earnings Ratio (TTM)

Toyota Motor (TM) trades at P/E ratio of 9.51, in the cheaper earnings-multiple quartile for its industry. Investors are paying less for each dollar of TTM earnings than they usually pay for comparable businesses.

TM

Automobiles & Components industry group

9.51

Group distribution

Max: 49.81
Q3: 34.42
Median: 20.26
Q1: 13.70
TM: 9.51
Min: 6.98

Largest peers

TSLA: 369.48
RACE: 34.26
GM: 29.74
TM: 9.51
F: --
HMC: --
RIVN: --

Where Toyota Motor (TM) stands on P/E ratio within its Automobiles & Components peer group — the box is the group’s distribution and the dots its largest members.

Price-to-Sales Ratio (TTM)

Toyota Motor (TM) trades at 0.00 on P/S ratio, in the lower sales-valuation quartile for its industry. That points to a cheaper revenue stream than most peers, with margin quality still doing the heavy lifting.

TM

Automobiles & Components industry group

0.00

Group distribution

Max: 2.80
Q3: 1.54
Median: 0.58
Q1: 0.31
TM: 0.00
Min: 0.00

Largest peers

TSLA: 15.60
RACE: 8.67
RIVN: 4.07
GM: 0.40
F: 0.31
TM: 0.00
HMC: 0.00

Where Toyota Motor (TM) stands on P/S ratio within its Automobiles & Components peer group — the box is the group’s distribution and the dots its largest members.

Price-to-Book Ratio (MRQ)

Toyota Motor (TM) trades at 14.66 on P/B ratio, above the industry benchmark range. Investors are putting an unusually rich price on each dollar of book equity relative to peers.

TM

Automobiles & Components industry group

14.66

Group distribution

TM: 14.66
Max: 4.80
Q3: 2.41
Median: 1.43
Q1: 0.67
Min: -1.76

Largest peers

TSLA: 18.56
TM: 14.66
RACE: 13.42
RIVN: 4.80
F: 1.58
GM: 1.17
HMC: 0.47

Where Toyota Motor (TM) stands on P/B ratio within its Automobiles & Components peer group — the box is the group’s distribution and the dots its largest members.

Valuation at a Glance

Toyota Motor (TM) metric values compared with Automobiles & Components industry-group medians
Metric	Current stock: TM	Industry group median
Price-to-Earnings Ratio (TTM)	9.51	20.26
Price-to-Sales Ratio (TTM)	0.00	0.58
Price-to-Book Ratio (MRQ)	14.66	1.43
Free Cash Flow Yield	-528.39%	4.21%

Profitability

Return on Equity (TTM)

Toyota Motor (TM) posts ROE of 10.23%, roughly around the peer group’s normal range. Shareholders’ equity is producing a return that looks broadly typical for the industry.

TM

Automobiles & Components industry group

10.23%

Group distribution

Max: 41.97%
Q3: 11.32%
TM: 10.23%
Median: 5.13%
Q1: -14.13%
Min: -49.98%

Largest peers

RACE: 41.97%
TM: 10.23%
TSLA: 4.90%
GM: 4.02%
HMC: -2.85%
F: -14.81%
RIVN: -65.69%

Where Toyota Motor (TM) stands on ROE within its Automobiles & Components peer group — the box is the group’s distribution and the dots its largest members.

Net Profit Margin (TTM)

Toyota Motor (TM) keeps 7.59% of revenue as net profit, putting net margin in the upper peer quartile. After operating costs, interest, and taxes, more of each sales dollar reaches shareholders than it does at most industry peers.

TM

Automobiles & Components industry group

7.59%

Group distribution

Max: 15.12%
TM: 7.59%
Q3: 4.34%
Median: 1.53%
Q1: -3.18%
Min: -13.87%

Largest peers

RACE: 22.19%
TM: 7.59%
TSLA: 3.95%
GM: 1.38%
HMC: -1.95%
F: -3.22%
RIVN: -63.62%

Where Toyota Motor (TM) stands on net margin within its Automobiles & Components peer group — the box is the group’s distribution and the dots its largest members.

Operating Profit Margin (TTM)

Toyota Motor (TM) turns 4.57% of revenue into operating profit, roughly in line with the peer group’s normal operating margin range. Its core cost structure looks typical for the industry.

TM

Automobiles & Components industry group

4.57%

Group distribution

Max: 18.83%
Q3: 8.71%
TM: 4.57%
Median: 3.75%
Q1: -1.25%
Min: -14.77%

Largest peers

RACE: 29.48%
GM: 9.36%
F: 5.74%
TM: 4.57%
TSLA: 4.20%
HMC: -17.28%
RIVN: -63.79%

Where Toyota Motor (TM) stands on operating margin within its Automobiles & Components peer group — the box is the group’s distribution and the dots its largest members.

Profitability at a Glance

Toyota Motor (TM) metric values compared with Automobiles & Components industry-group medians
Metric	Current stock: TM	Industry group median
Return on Equity (TTM)	10.23%	5.13%
Return on Assets (TTM)	2.37%	2.25%
Net Profit Margin (TTM)	7.59%	1.53%
Operating Profit Margin (TTM)	4.57%	3.75%
Gross Profit Margin (TTM)	16.71%	17.66%

Financial Strength

Current Ratio (MRQ)

Toyota Motor (TM) has current ratio of 1.27, in the healthier middle range for its industry. The short-term asset cushion looks balanced relative to peers rather than stretched thin.

TM

Automobiles & Components industry group

1.27

Group distribution

Max: 4.97
Q3: 2.69
Median: 1.85
TM: 1.27
Q1: 1.14
Min: 0.38

Largest peers

RACE: 2.57
RIVN: 2.10
TSLA: 2.04
HMC: 1.28
TM: 1.27
GM: 1.15
F: 1.09

Where Toyota Motor (TM) stands on current ratio within its Automobiles & Components peer group — the box is the group’s distribution and the dots its largest members.

Debt-to-Equity Ratio (MRQ)

Toyota Motor (TM) has debt-to-equity ratio of 1.07, roughly in line with the peer group’s normal leverage range. Its mix of debt and equity looks typical for the industry.

TM

Automobiles & Components industry group

1.07

Group distribution

Max: 2.53
Q3: 1.19
TM: 1.07
Median: 0.72
Q1: 0.26
Min: 0.00

Largest peers

F: 4.26
GM: 1.99
RIVN: 1.18
HMC: 1.14
TM: 1.07
RACE: 0.72
TSLA: 0.19

Where Toyota Motor (TM) stands on debt-to-equity ratio within its Automobiles & Components peer group — the box is the group’s distribution and the dots its largest members.

Financial Strength at a Glance

Toyota Motor (TM) metric values compared with Automobiles & Components industry-group medians
Metric	Current stock: TM	Industry group median
Current Ratio (MRQ)	1.27	1.85
Debt-to-Equity Ratio (MRQ)	1.07	0.72
Net Debt / EBITDA	5.35	1.92

Dividends

Dividend Yield (TTM)

Toyota Motor (TM) has dividend yield of 3.58%, in the upper peer-yield quartile while still inside the industry range. The dividend offers more cash income per dollar of share price than most peers, though payout coverage still matters.

TM

Automobiles & Components industry group

3.58%

Group distribution

Max: 5.04%
TM: 3.58%
Q3: 2.06%
Median: 0.00%
Q1: 0.00%
Min: 0.00%

Largest peers

HMC: 5.04%
F: 4.04%
TM: 3.58%
RACE: 1.19%
GM: 0.88%
TSLA: 0.00%
RIVN: 0.00%

Where Toyota Motor (TM) stands on dividend yield within its Automobiles & Components peer group — the box is the group’s distribution and the dots its largest members.

Dividend Payout Ratio (TTM)

Toyota Motor (TM) has payout ratio of 31.40%, within the industry’s typical payout band. The dividend shares profits with investors while leaving earnings coverage that looks normal for the peer group.

TM

Automobiles & Components industry group

31.40%

Group distribution

Max: 84.24%
Q3: 33.71%
TM: 31.40%
Median: 0.00%
Q1: 0.00%
Min: 0.00%

Largest peers

F: 64.10%
HMC: 55.35%
RACE: 33.21%
TM: 31.40%
GM: 22.99%
TSLA: 0.00%
RIVN: 0.00%

Where Toyota Motor (TM) stands on payout ratio within its Automobiles & Components peer group — the box is the group’s distribution and the dots its largest members.

Dividends at a Glance

Toyota Motor (TM) metric values compared with Automobiles & Components industry-group medians
Metric	Current stock: TM	Industry group median
Dividend Yield (TTM)	3.58%	0.00%
Dividend Payout Ratio (TTM)	31.40%	0.00%