Automotive

Toyota Motor (TM) has a market cap of $158.3 billion. It fell 0.41% to close at $99.85 per share on June 28.

The AB International Growth Fund’s assets were spread across 57 holdings in May 2016, and it was managing $334.2 million in assets.

According to Tesla’s (TSLA) SolarCity acquisition proposal, it’s ready to pay $26.50 to $28.50 per share for SolarCity.

The US auto industry has witnessed good times in the past couple of years. In 2015, US auto sales were at their highest, with 17.4 million vehicles sold.

On June 10, 2016, Honda had a forward EV-to-EBITDA multiple of 3.2x for the next 12 months.

Honda (HMC) markets its products through an extensive sales network in the US. This network comprises ~1,040 independent local dealers for motorcycles, ~1,310 for automobiles, and ~8,200 for power products.

In fiscal 2016, Honda’s Financial Services’s net revenues stood at 1.8 trillion Japanese yen. This is 18% higher than its fiscal 2015 revenues of 1.5 trillion yen.

By revenue, Honda’s Automobile segment is the company’s largest division. In fiscal 2016, ~73% of the company’s total revenues came from the Automobile segment.

Honda’s sales from Japan have been declining lately due to slowing auto demand in the region. In fiscal 2016, 12% of the company’s total revenues were from its home market, much lower than 19% in fiscal 2012.

Honda Motor Company (HMC) is the second-largest Japanese automaker after Toyota and the world’s largest internal combustion engine manufacturer by volume. This series will help auto investors to become familiar with the key aspects of Honda’s business before investing in its stock and ADRs.

At the end of most recent reported quarter, Toyota’s interest coverage ratio was 80.6x. This is far better than the GM’s interest coverage ratio of 15.6x and Ford’s ratio of 14.1x.

In the last five fiscal years, Toyota’s Financial Services’s revenues have grown by 73%. Rising revenues for the TFS segment reflects optimism in Toyota’s overall sales pattern.

Toyota (TM) has become one of the top ten biggest advertising spenders in the US. The company spent 435 billion Japanese yen, or 1.6% of its revenues, on advertising and sales promotions during fiscal 2015.

According to a report published by Forbes in May 2015, Toyota was the eighth-largest company in the world by revenue. The company is not directly listed in the US, although its ADR is traded on the NYSE.

Toyota (TM) has 53 overseas manufacturing companies in 28 countries and regions. Originally considered a regional auto manufacturer, Toyota has busted this myth by gaining a huge global market share, particularly in the US and Europe.

Price movement of Tata Motors Tata Motors (TTM) has a market cap of $22.1 billion. It rose by 0.32% to close at $34.28 per share on June 3, 2016. The stock’s weekly, monthly, and year-to-date (or YTD) price movements were 15.3%, 20.8%, and 16.3%, respectively, as of the same day. This means that TTM is […]

Tata Motors (TTM) has a market capitalization of $21.6 billion. It rose by 12.4% to close at $33.49 per share on May 31, 2016.

In fiscal 2016 (April 1, 2015–March 31, 2016), Toyota spent ~3.7% of its revenue, or about 1,055 billion Japanese yen, on its R&D program for its vehicles.

Toyota began using the Just-in-Time method in 1938. However, the true potential of this strategy was realized when it integrated this strategy with TPS.

Toyota established its US headquarters in 1982. It expanded into luxury cars in the 1980s, pickup trucks in the 1990s, and hybrids in the 2000s.

In 2015, Toyota ranked 11th on Forbes’s list of the world’s largest companies. This ranking was based on a composite score of the revenues, profits, assets, and market value of various companies.

One such innovation that could soon become large in the two wheeler segment is electric motorcycles.

Last year, currency headwinds stole nearly 4.4% of the company’s total revenues, which resulted in an unfavorable impact on Harley-Davidson’s profitability and margins.

Harley-Davidson (HOG) is a well-known global motorcycle brand that currently produces a variety of motorcycle models. These models range from lightweight motorcycles to large heavyweight motorcycles.

In 2015, the company shipped ~95,000 motorcycles outside the US. Australia, Mexico, and Canada are also some of the other key markets for Harley-Davidson motorcycles.

Most of Harley-Davidson’s (HOG) manufacturing and assembly plants are located in the US.

Harley-Davidson has become a synonym for power, passion, and class among motorcycle enthusiasts around the world.

In 2015, GM remained at the top in the Chinese auto market, with the largest market share of 14.9%. This was higher than its share of 14.7% in 2014.

Cadillac is the most popular luxury car brand in General Motors’ portfolio. It was established with the foundation of the Cadillac Automobile Company.

In recent years, General Motors’ global market share has been falling. In 2015, its global market share stood at 11.2% against 11.5% two years ago.

To encourage people to purchase its vehicles, General Motors provides automotive financing services through GM Financial Company.

Since General Motors’ beginning, North America has been its most important market. North America alone accounted for ~70% of GM’s total revenues in 2015.

Mexico is known for its industrial base. In 2015, vehicles constituted about 23.7% of Mexican exports, followed by electronic equipment at 21.3% of exports.

Ford’s market share fell from 11.1% in 2005 to ~7% in 2015, mostly due to competition outside North America and strength in the commercial vehicle segment.

Ford uses a high amount of financial leverage. At the end of 2015, 70.4% of Ford’s capital structure was made up of debt, while 29.6% was made up of equity.

Ford’s valuation multiples are in a negative trend. This could be because of the concern that US auto sales may have already peaked last year.

In 1911, three years after founding General Motors, the founder William C. Durant and road racer Louis Chevrolet created the Chevrolet brand.

Global platform consolidation under the One Ford plan has helped Ford to reduce its vehicle development–related costs.

In 2014 and 2015, Ford Motor Company (F) launched 40 new or upgraded vehicle variants globally. This was done under the One Ford plan.

North America and Europe are two important geographic regions for Ford Motor Company. The US accounts for more than half of Ford’s total revenues.