HMC

Honda Motor Co., Ltd.

Consumer Cyclical · $42.7B market cap

Verdict

Share price

$31.35

close of Oct 3, 2026

Fair value

$50.66

Sticker Price

Payback Price

$20.26

buy price

Undervalued

HMC is Undervalued: at $31.35 it trades 38% below its fair value of $50.66. Its buy price (Payback Price) is $20.26, 35% below today's price. Business quality is limited: none of the 5 key numbers clears the 10% bar.

How we valued it

Owner Earnings. Earnings grow slowly (under 7% a year), but cash flow is steady, so we value it on its cash flow instead of its earnings.

Business quality

0 of 5 clear the 10% bar. What are the Big Five?

Earnings per share growth5.4% a year✗
Equity per share growth8.1% a year✗
Sales growth4.7% a year✗
Free cash flow growth1.6% a year✗
Return on invested capital1.9%✗

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Insider activity

Since Sep 1, 2026: no open-market purchases and 12 other filings (stock awards, tax withholding and similar). Why purchases matter

Other filings

About Honda Motor Co., Ltd.

Honda Motor Co., Ltd. is a global enterprise that designs, manufactures, and markets a diverse array of products, primarily motorcycles, automobiles, and power equipment, reaching customers across Japan, North America, Europe, Asia, and other international markets. The company's operations are divided into four main business segments: Motorcycle, Automobile, Financial Services, and Life Creation and Other…

Auto - Manufacturers

Fair value and Payback Price are estimates from the company's reported financials, not investment advice. Prices as of the close of Oct 3, 2026. How the Payback Price works