TOYOTA MOTOR CORP -SPON ADR (TM) Stock Fundamental Analysis
USA - New York Stock Exchange - NYSE:TM - US8923313071 - ADR
214.73 USD
+1.4 (+0.66%)
215 USD
+0.27 (+0.13%)
Taking everything into account, TM scores 6 out of 10 in our fundamental rating. TM was compared to 35 industry peers in the Automobiles industry. TM scores excellent on profitability, but there are some minor concerns on its financial health. TM is not valued too expensively and it also shows a decent growth rate.
1. Profitability
1.1 Basic Checks
In the past year TM was profitable.
TM had a positive operating cash flow in the past year.
Each year in the past 5 years TM has been profitable.
TM had a positive operating cash flow in each of the past 5 years.
1.2 Ratios
Looking at the Return On Assets, with a value of 4.75%, TM belongs to the top of the industry, outperforming 94.29% of the companies in the same industry.
TM's Return On Equity of 12.35% is amongst the best of the industry. TM outperforms 94.29% of its industry peers.
TM has a better Return On Invested Capital (4.81%) than 88.57% of its industry peers.
Measured over the past 3 years, the Average Return On Invested Capital for TM is in line with the industry average of 5.91%.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 4.75% | ||
| ROE | 12.35% | ||
| ROIC | 4.81% |
ROA(3y)4.63%
ROA(5y)4.34%
ROE(3y)12.12%
ROE(5y)11.36%
ROIC(3y)4.89%
ROIC(5y)4.54%
1.3 Margins
The Profit Margin of TM (9.38%) is better than 94.29% of its industry peers.
In the last couple of years the Profit Margin of TM has grown nicely.
TM has a better Operating Margin (8.78%) than 94.29% of its industry peers.
TM's Operating Margin has improved in the last couple of years.
Looking at the Gross Margin, with a value of 17.97%, TM is in the better half of the industry, outperforming 80.00% of the companies in the same industry.
TM's Gross Margin has improved in the last couple of years.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| OM | 8.78% | ||
| PM (TTM) | 9.38% | ||
| GM | 17.97% |
OM growth 3Y1.5%
OM growth 5Y4.44%
PM growth 3Y2.98%
PM growth 5Y7.79%
GM growth 3Y1.57%
GM growth 5Y2.05%
2. Health
2.1 Basic Checks
TM has a Return on Invested Capital (ROIC), which is just above the Cost of Capital (WACC), which means it is creating some value.
TM has less shares outstanding than it did 1 year ago.
The number of shares outstanding for TM has been reduced compared to 5 years ago.
The debt/assets ratio for TM is higher compared to a year ago.
2.2 Solvency
TM has an Altman-Z score of 1.72. This is a bad value and indicates that TM is not financially healthy and even has some risk of bankruptcy.
With a decent Altman-Z score value of 1.72, TM is doing good in the industry, outperforming 77.14% of the companies in the same industry.
A Debt/Equity ratio of 0.63 indicates that TM is somewhat dependend on debt financing.
TM's Debt to Equity ratio of 0.63 is in line compared to the rest of the industry. TM outperforms 54.29% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.63 | ||
| Debt/FCF | N/A | ||
| Altman-Z | 1.72 |
ROIC/WACC1.49
WACC3.22%
2.3 Liquidity
A Current Ratio of 1.25 indicates that TM should not have too much problems paying its short term obligations.
TM's Current ratio of 1.25 is in line compared to the rest of the industry. TM outperforms 54.29% of its industry peers.
TM has a Quick Ratio of 1.10. This is a normal value and indicates that TM is financially healthy and should not expect problems in meeting its short term obligations.
With a decent Quick ratio value of 1.10, TM is doing good in the industry, outperforming 68.57% of the companies in the same industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Current Ratio | 1.25 | ||
| Quick Ratio | 1.1 |
3. Growth
3.1 Past
The Earnings Per Share has grown by an nice 11.57% over the past year.
The Earnings Per Share has been growing by 19.57% on average over the past years. This is quite good.
Looking at the last year, TM shows a small growth in Revenue. The Revenue has grown by 6.44% in the last year.
The Revenue has been growing by 9.97% on average over the past years. This is quite good.
EPS 1Y (TTM)11.57%
EPS 3Y20.57%
EPS 5Y19.57%
EPS Q2Q%65.7%
Revenue 1Y (TTM)6.44%
Revenue growth 3Y15.25%
Revenue growth 5Y9.97%
Sales Q2Q%-2.18%
3.2 Future
TM is expected to show a decrease in Earnings Per Share. In the coming years, the EPS will decrease by -1.10% yearly.
Based on estimates for the next years, TM will show a small growth in Revenue. The Revenue will grow by 4.09% on average per year.
EPS Next Y-25.55%
EPS Next 2Y-5.11%
EPS Next 3Y-1.1%
EPS Next 5YN/A
Revenue Next Year5.5%
Revenue Next 2Y4.42%
Revenue Next 3Y4.09%
Revenue Next 5YN/A
3.3 Evolution
When comparing the EPS growth rate of the last years to the growth rate of the upcoming years, we see that the growth is decreasing.
When comparing the Revenue growth rate of the last years to the growth rate of the upcoming years, we see that the growth is decreasing.
4. Valuation
4.1 Price/Earnings Ratio
With a Price/Earnings ratio of 9.52, the valuation of TM can be described as very reasonable.
94.29% of the companies in the same industry are more expensive than TM, based on the Price/Earnings ratio.
When comparing the Price/Earnings ratio of TM to the average of the S&P500 Index (27.00), we can say TM is valued rather cheaply.
With a Price/Forward Earnings ratio of 10.39, the valuation of TM can be described as very reasonable.
Compared to the rest of the industry, the Price/Forward Earnings ratio of TM indicates a somewhat cheap valuation: TM is cheaper than 80.00% of the companies listed in the same industry.
Compared to an average S&P500 Price/Forward Earnings ratio of 23.70, TM is valued rather cheaply.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 9.52 | ||
| Fwd PE | 10.39 |
4.2 Price Multiples
Compared to the rest of the industry, the Enterprise Value to EBITDA ratio of TM indicates a rather cheap valuation: TM is cheaper than 85.71% of the companies listed in the same industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | N/A | ||
| EV/EBITDA | 8.8 |
4.3 Compensation for Growth
TM has an outstanding profitability rating, which may justify a higher PE ratio.
PEG (NY)N/A
PEG (5Y)0.49
EPS Next 2Y-5.11%
EPS Next 3Y-1.1%
5. Dividend
5.1 Amount
TM has a Yearly Dividend Yield of 2.14%.
TM's Dividend Yield is rather good when compared to the industry average which is at 0.79. TM pays more dividend than 85.71% of the companies in the same industry.
Compared to an average S&P500 Dividend Yield of 1.94, TM has a dividend comparable with the average S&P500 company.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 2.14% |
5.2 History
The dividend of TM is nicely growing with an annual growth rate of 14.07%!
TM has paid a dividend for at least 10 years, which is a reliable track record.
The dividend of TM decreased in the last 3 years.
Dividend Growth(5Y)14.07%
Div Incr Years2
Div Non Decr Years2
5.3 Sustainability
25.44% of the earnings are spent on dividend by TM. This is a low number and sustainable payout ratio.
DP25.44%
EPS Next 2Y-5.11%
EPS Next 3Y-1.1%
214.73
+1.4 (+0.66%)
Chartmill FA Rating
GICS SectorConsumer Discretionary
GICS IndustryGroupAutomobiles & Components
GICS IndustryAutomobiles
Earnings (Last)
Earnings (Next)
Inst Owners24.9%
Inst Owner Change0%
Ins OwnersN/A
Ins Owner ChangeN/A
Market Cap279.87B
Revenue(TTM)49.39T
Net Income(TTM)4.63T
Analysts76.92
Price Target223.87 (4.26%)
Short Float %0.09%
Short Ratio2.62
Dividend
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 2.14% |
Yearly Dividend5.45
Dividend Growth(5Y)14.07%
DP25.44%
Div Incr Years2
Div Non Decr Years2
Ex-DateN/A
Surprises & Revisions
EPS beat(2)2
Avg EPS beat(2)15.99%
Min EPS beat(2)7.7%
Max EPS beat(2)24.28%
EPS beat(4)4
Avg EPS beat(4)29.65%
Min EPS beat(4)7.7%
Max EPS beat(4)74.75%
EPS beat(8)7
Avg EPS beat(8)15.35%
EPS beat(12)10
Avg EPS beat(12)18.99%
EPS beat(16)13
Avg EPS beat(16)14.27%
Revenue beat(2)0
Avg Revenue beat(2)-4.74%
Min Revenue beat(2)-9%
Max Revenue beat(2)-0.47%
Revenue beat(4)2
Avg Revenue beat(4)-1.4%
Min Revenue beat(4)-9%
Max Revenue beat(4)2.33%
Revenue beat(8)4
Avg Revenue beat(8)0.75%
Revenue beat(12)8
Avg Revenue beat(12)2.23%
Revenue beat(16)12
Avg Revenue beat(16)2.49%
PT rev (1m)7.17%
PT rev (3m)10.05%
EPS NQ rev (1m)0%
EPS NQ rev (3m)61.15%
EPS NY rev (1m)1.22%
EPS NY rev (3m)6.47%
Revenue NQ rev (1m)1.08%
Revenue NQ rev (3m)1.85%
Revenue NY rev (1m)0.31%
Revenue NY rev (3m)2.16%
Valuation
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 9.52 | ||
| Fwd PE | 10.39 | ||
| P/S | 0.89 | ||
| P/FCF | N/A | ||
| P/OCF | 9.09 | ||
| P/B | 1.17 | ||
| P/tB | 1.21 | ||
| EV/EBITDA | 8.8 |
EPS(TTM)22.56
EY10.51%
EPS(NY)20.66
Fwd EY9.62%
FCF(TTM)-0.08
FCFYN/A
OCF(TTM)23.62
OCFY11%
SpS241.78
BVpS183.55
TBVpS176.86
PEG (NY)N/A
PEG (5Y)0.49
Graham Number305.24
Profitability
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 4.75% | ||
| ROE | 12.35% | ||
| ROCE | 6.52% | ||
| ROIC | 4.81% | ||
| ROICexc | 6.44% | ||
| ROICexgc | 6.63% | ||
| OM | 8.78% | ||
| PM (TTM) | 9.38% | ||
| GM | 17.97% | ||
| FCFM | N/A |
ROA(3y)4.63%
ROA(5y)4.34%
ROE(3y)12.12%
ROE(5y)11.36%
ROIC(3y)4.89%
ROIC(5y)4.54%
ROICexc(3y)6.18%
ROICexc(5y)5.68%
ROICexgc(3y)6.34%
ROICexgc(5y)17.96%
ROCE(3y)7.22%
ROCE(5y)6.72%
ROICexgc growth 3Y-39.12%
ROICexgc growth 5Y5.29%
ROICexc growth 3Y7.2%
ROICexc growth 5Y5.36%
OM growth 3Y1.5%
OM growth 5Y4.44%
PM growth 3Y2.98%
PM growth 5Y7.79%
GM growth 3Y1.57%
GM growth 5Y2.05%
F-Score6
Asset Turnover0.51
Health
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.63 | ||
| Debt/FCF | N/A | ||
| Debt/EBITDA | 3.58 | ||
| Cap/Depr | 214.68% | ||
| Cap/Sales | 9.8% | ||
| Interest Coverage | 2.6 | ||
| Cash Conversion | 73.19% | ||
| Profit Quality | N/A | ||
| Current Ratio | 1.25 | ||
| Quick Ratio | 1.1 | ||
| Altman-Z | 1.72 |
F-Score6
WACC3.22%
ROIC/WACC1.49
Cap/Depr(3y)219.04%
Cap/Depr(5y)219.3%
Cap/Sales(3y)10.7%
Cap/Sales(5y)11.63%
Profit Quality(3y)N/A
Profit Quality(5y)N/A
High Growth Momentum
Growth
EPS 1Y (TTM)11.57%
EPS 3Y20.57%
EPS 5Y19.57%
EPS Q2Q%65.7%
EPS Next Y-25.55%
EPS Next 2Y-5.11%
EPS Next 3Y-1.1%
EPS Next 5YN/A
Revenue 1Y (TTM)6.44%
Revenue growth 3Y15.25%
Revenue growth 5Y9.97%
Sales Q2Q%-2.18%
Revenue Next Year5.5%
Revenue Next 2Y4.42%
Revenue Next 3Y4.09%
Revenue Next 5YN/A
EBIT growth 1Y-17.51%
EBIT growth 3Y16.98%
EBIT growth 5Y14.86%
EBIT Next Year18960.5%
EBIT Next 3Y507.91%
EBIT Next 5YN/A
FCF growth 1Y97.33%
FCF growth 3YN/A
FCF growth 5YN/A
OCF growth 1Y34.97%
OCF growth 3Y-0.23%
OCF growth 5Y9.04%
TOYOTA MOTOR CORP -SPON ADR / TM FAQ
What is the ChartMill fundamental rating of TOYOTA MOTOR CORP -SPON ADR (TM) stock?
ChartMill assigns a fundamental rating of 6 / 10 to TM.
Can you provide the valuation status for TOYOTA MOTOR CORP -SPON ADR?
ChartMill assigns a valuation rating of 6 / 10 to TOYOTA MOTOR CORP -SPON ADR (TM). This can be considered as Fairly Valued.
How profitable is TOYOTA MOTOR CORP -SPON ADR (TM) stock?
TOYOTA MOTOR CORP -SPON ADR (TM) has a profitability rating of 8 / 10.
Can you provide the PE and PB ratios for TM stock?
The Price/Earnings (PE) ratio for TOYOTA MOTOR CORP -SPON ADR (TM) is 9.52 and the Price/Book (PB) ratio is 1.17.
What is the expected EPS growth for TOYOTA MOTOR CORP -SPON ADR (TM) stock?
The Earnings per Share (EPS) of TOYOTA MOTOR CORP -SPON ADR (TM) is expected to decline by -25.55% in the next year.