Honda (HMC) vs. Toyota (TM)

Company Profile

Honda (HMC) and Toyota (TM) are both classified in the Automobile Manufacturers sub-industry within the broader Automobiles industry, placing them in the closest GICS peer bucket.

Both Honda (HMC, ADR) and Toyota (TM, ADR) trade as depositary receipts or similar foreign-share lines; core company financials may still be comparable, but trading line, FX, program fees, dividend withholding, and home-market rules are worth keeping in view.

Historical Performance

Historical Performance at a Glance

Profitability

Both Honda (HMC) at 4.09% and Toyota (TM) at 10.10% post Return on Equity (TTM) near their industry mid-ranges, so neither company stands out strongly from peers on this measure.

Toyota (TM) at 7.59% ranks in the top quartile for Net Profit Margin (TTM), ahead of Honda (HMC) at 2.32%, which sits closer to the industry mid-range.

Toyota (TM) at 7.43% ranks in the top quartile for Operating Profit Margin (TTM), ahead of Honda (HMC) at 3.12%, which sits closer to the industry mid-range.

Profitability at a Glance

Financial Strength

Both Honda (HMC) at 1.36 and Toyota (TM) at 1.27 carry Current Ratio (MRQ) within their industry mid-ranges, suggesting balanced short-term liquidity relative to peers.

Both Honda (HMC) at 1.06 and Toyota (TM) at 1.08 post Debt-to-Equity Ratio (MRQ) near their industry mid-ranges, so neither company stands out strongly from peers on leverage.

Honda (HMC) reports Interest Coverage Ratio (TTM) of 685.89 and can be ranked against industry peers; Toyota (TM) has no value available for this period, so a direct comparison isn’t possible.

Financial Strength at a Glance

Growth

Revenue Growth

Revenue Growth at a Glance

EPS Growth

EPS Growth at a Glance

Dividend

Both Honda (HMC) at 5.44% and Toyota (TM) at 3.22% report Dividend Yield (TTM) in the top quartile of industry peers, indicating higher cash yield relative to share price than typical competitors.

Both Honda (HMC) at 81.19% and Toyota (TM) at 59.03% post Dividend Payout Ratio (TTM) outside their industries’ typical mid-range — either leaning toward more retention or more distribution than the industry median.

Dividend at a Glance

Valuation

Both Honda (HMC) at 10.54 and Toyota (TM) at 10.01 trade in the lower-multiple quartile for Price-to-Earnings Ratio (TTM) among industry peers, indicating lower trailing earnings multiples than typical peers.

Honda (HMC) at 0.24 trades in the lower-multiple quartile for Price-to-Sales Ratio (TTM), while Toyota (TM) at 0.76 sits around the industry midpoint — HMC has a lower trailing revenue multiple relative to peers, though the gap should be read alongside growth and margins.

Honda (HMC) at 0.50 trades in the lower-multiple quartile for Price-to-Book Ratio (MRQ), while Toyota (TM) at 1.24 sits around the industry midpoint — HMC has a lower book-value multiple relative to peers, though the gap should be read alongside ROE and asset quality.

Valuation at a Glance