Wall Street Zen Upgrades Honda Motor (NYSE:HMC) to “Hold”

Honda Motor (NYSE:HMC) was upgraded by equities researchers at Wall Street Zen from a “sell” rating to a “hold” rating in a research note issued to investors on Saturday.

A number of other research firms have also recently issued reports on HMC. BNP Paribas Exane began coverage on shares of Honda Motor in a research report on Thursday, February 12th. They set an “underperform” rating and a $25.00 price objective for the company. Weiss Ratings cut shares of Honda Motor from a “hold (c-)” rating to a “sell (d+)” rating in a research report on Thursday, April 16th. Morgan Stanley cut shares of Honda Motor from an “overweight” rating to an “equal weight” rating in a research report on Wednesday, March 11th. Finally, Zacks Research cut shares of Honda Motor from a “hold” rating to a “strong sell” rating in a research report on Monday, April 6th. One equities research analyst has rated the stock with a Strong Buy rating, two have assigned a Hold rating and three have assigned a Sell rating to the company’s stock. According to MarketBeat.com, the stock currently has an average rating of “Reduce” and a consensus price target of $25.00.

Honda Motor Price Performance

HMC stock opened at $26.19 on Friday. The company has a 50 day simple moving average of $24.87 and a 200 day simple moving average of $28.38. The stock has a market cap of $40.87 billion, a price-to-earnings ratio of -13.71 and a beta of 0.41. Honda Motor has a 1 year low of $23.25 and a 1 year high of $34.89. The company has a debt-to-equity ratio of 0.65, a current ratio of 1.36 and a quick ratio of 1.09.

Honda Motor (NYSE:HMC) last released its quarterly earnings data on Thursday, May 14th. The company reported ($4.24) earnings per share (EPS) for the quarter, topping analysts’ consensus estimates of ($5.74) by $1.50. The business had revenue of $36.81 billion during the quarter, compared to analysts’ expectations of $32.99 billion. Honda Motor had a negative net margin of 1.75% and a negative return on equity of 3.04%. Honda Motor has set its FY 2027 guidance at 1.278-1.278 EPS. Research analysts anticipate that Honda Motor will post -0.35 EPS for the current fiscal year.

Institutional Investors Weigh In On Honda Motor

A number of institutional investors have recently modified their holdings of HMC. Royal Bank of Canada boosted its stake in shares of Honda Motor by 8.6% in the 1st quarter. Royal Bank of Canada now owns 285,203 shares of the company’s stock valued at $7,737,000 after purchasing an additional 22,479 shares during the last quarter. AQR Capital Management LLC boosted its stake in shares of Honda Motor by 29.5% in the 1st quarter. AQR Capital Management LLC now owns 39,558 shares of the company’s stock valued at $1,073,000 after purchasing an additional 9,001 shares during the last quarter. Integrated Wealth Concepts LLC boosted its stake in shares of Honda Motor by 5.8% in the 1st quarter. Integrated Wealth Concepts LLC now owns 8,552 shares of the company’s stock valued at $232,000 after purchasing an additional 468 shares during the last quarter. Millennium Management LLC boosted its stake in shares of Honda Motor by 41.4% in the 1st quarter. Millennium Management LLC now owns 342,491 shares of the company’s stock valued at $9,292,000 after purchasing an additional 100,330 shares during the last quarter. Finally, Geneos Wealth Management Inc. boosted its stake in shares of Honda Motor by 121.2% in the 1st quarter. Geneos Wealth Management Inc. now owns 2,119 shares of the company’s stock valued at $57,000 after purchasing an additional 1,161 shares during the last quarter. 5.32% of the stock is owned by institutional investors.

Honda Motor News Summary

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

About Honda Motor

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.