Honda Probability Of Bankruptcy

Name: Honda Next Fiscal Quarter End
Start: 2023-03-31
End: 2023-03-31
Location: Honda Motor

HMC Stock

USD 25.64 0.11 0.43%

Honda Motor Probability Of Bankruptcy is used to show its chance of financial distress over the next two years of operations under current economic and market conditions. Honda Motor Probability Of Bankruptcy is determined by interpolating and adjusting Honda Altman Z Score to account for off-balance-sheet items and missing or unfiled public information. All items used in analyzing the odds of distress are taken from the Honda balance sheet as well as cash flow and income statements available from the company's most recent filings. Check out Honda Piotroski F Score and Honda Altman Z Score analysis. For information on how to trade Honda Stock refer to our How to Trade Honda Stock guide.

Honda Free Cash Flow is projected to increase significantly based on the last few years of reporting. The past year's Free Cash Flow was at 1.65 Trillion. The current year Market Capitalization is expected to grow to about 46.7 B, whereas Earnings Before Interest Taxes and Depreciation Amortization EBITDA are forecasted to decline to about 1830.9 B.

Honda Probability Of Bankruptcy Analysis

Honda's Probability Of Bankruptcy is a relative measure of the likelihood of financial distress. For stocks, the Probability Of Bankruptcy is the normalized value of Z-Score. For funds and ETFs, it is derived from a multi-factor model developed by Macroaxis. The score is used to predict the probability of a firm or a fund experiencing financial distress within the next 24 months. Unlike Z-Score, Probability Of Bankruptcy is the value between 0 and 100, indicating the firm's actual probability it will be financially distressed in the next 2 fiscal years.

	2022	2023 (projected)
Cost of Revenue	11,029.14 B	10,215.49 B
Consolidated Income	874.81 B	812.98 B

Cost of Revenue Consolidated Income

Probability Of Bankruptcy

Normalized

Z-Score

More About Probability Of Bankruptcy | All Equity Analysis

Current Honda Probability Of Bankruptcy

41%

Most of Honda's fundamental indicators, such as Probability Of Bankruptcy, are part of a valuation analysis module that helps investors searching for stocks that are currently trading at higher or lower prices than their real value. If the real value is higher than the market price, Honda Motor Co is considered to be undervalued, and we provide a buy recommendation. Otherwise, we render a sell signal.

Our calculation of Honda probability of bankruptcy is based on Altman Z-Score and Piotroski F-Score, but not limited to these measures. To be applied to a broader range of industries and markets, we use several other techniques to enhance the accuracy of predicting Honda odds of financial distress. These include financial statement analysis, different types of price predictions, earning estimates, analysis consensus, and basic intrinsic valuation. Please use the options below to get a better understanding of different measures that drive the calculation of Honda Motor Co financial health.

Is Honda's industry expected to grow? Or is there an opportunity to expand the business' product line in the future? Factors like these will boost the valuation of Honda. If investors know Honda will grow in the future, the company's valuation will be higher. The financial industry is built on trying to define current growth potential and future valuation accurately. All the valuation information about Honda listed above have to be considered, but the key to understanding future value is determining which factors weigh more heavily than others.

Quarterly Earnings Growth

0.285

Dividend Share

125

Earnings Share

3.19

Revenue Per Share

9.6 K

Quarterly Revenue Growth

0.203

The market value of Honda Motor is measured differently than its book value, which is the value of Honda that is recorded on the company's balance sheet. Investors also form their own opinion of Honda's value that differs from its market value or its book value, called intrinsic value, which is Honda's true underlying value. Investors use various methods to calculate intrinsic value and buy a stock when its market value falls below its intrinsic value. Because Honda's market value can be influenced by many factors that don't directly affect Honda's underlying business (such as a pandemic or basic market pessimism), market value can vary widely from intrinsic value.

Please note, there is a significant difference between Honda's value and its price as these two are different measures arrived at by different means. Investors typically determine Honda value by looking at such factors as earnings, sales, fundamental and technical indicators, competition as well as analyst projections. However, Honda's price is the amount at which it trades on the open market and represents the number that a seller and buyer find agreeable to each party.

Honda Probability Of Bankruptcy Driver Correlations

Understanding the fundamental principles of building solid financial models for Honda is extremely important. It helps to project a fair market value of Ford stock properly, considering its historical fundamentals such as Probability Of Bankruptcy. Since Honda's main accounts across its financial reports are all linked and dependent on each other, it is essential to analyze all possible correlations between related accounts. However, instead of reviewing all of Honda's historical financial statements, investors can examine the correlated drivers to determine its overall health. This can be effectively done using a conventional correlation matrix of Honda's interrelated accounts and indicators.

The Probability of Bankruptcy SHOULD NOT be confused with the actual chance of a company to file for chapter 7, 11, 12, or 13 bankruptcy protection. Macroaxis simply defines Financial Distress as an operational condition where a company is having difficulty meeting its current financial obligations towards its creditors or delivering on the expectations of its investors. Macroaxis derives these conditions daily from both public financial statements as well as analysis of stock prices reacting to market conditions or economic downturns, including short-term and long-term historical volatility. Other factors taken into account include analysis of liquidity, revenue patterns, R&D expenses, and commitments, as well as public headlines and social sentiment.

Competition

Predict Honda

Based on the latest financial disclosure, Honda Motor Co has a Probability Of Bankruptcy of 41.0%. This indicator is about the same for the Automobiles average (which is currently at 41.39) sector and 10.34% lower than that of the Consumer Discretionary industry. The probability of bankruptcy for all United States stocks is 2.94% lower than that of the firm.

Honda Probability Of Bankruptcy Peer Comparison

Stock peer comparison is one of the most widely used and accepted methods of equity analyses. It analyses Honda's direct or indirect competition against its Probability Of Bankruptcy to detect undervalued stocks with similar characteristics or determine the stocks which would be a good addition to a portfolio. Peer analysis of Honda could also be used in its relative valuation, which is a method of valuing Honda by comparing valuation metrics of similar companies.

Honda is currently under evaluation in probability of bankruptcy category among related companies.

Honda Main Bankruptcy Drivers

	2018	2019	2020	2021	2022	2023 (projected)
Total Debt	7,527.72 B	7,982.32 B	8,183.94 B	8,621.54 B	9,914.77 B	9,151.08 B
Current Liabilities	5,981.12 B	5,790.09 B	5,715.46 B	6,004.4 B	6,905.06 B	6,670.85 B
Current Assets	7,347.29 B	7,301.01 B	7,579.09 B	8,841.42 B	10,167.64 B	9,189.32 B
Net Cash Flow from Operations	775.99 B	979.41 B	1,072.38 B	1,679.62 B	1,931.57 B	1,585.19 B
Weighted Average Shares	1.78 B	1.76 B	1.73 B	1.73 B	1.55 B	1.57 B

Honda Fundamentals

	Return On Equity	0.07 %
	Return On Asset	0.0252 %
	Profit Margin	0.0432 %
	Operating Margin	0.06 %
	Current Valuation	70.72 B
	Shares Outstanding	1.68 B
	Shares Owned by Institutions	5.50 %
	Number of Shares Shorted	1.85 M
	Price to Earning	10.96 X
	Price to Book	0.48 X
	Price to Sales	0.0026 X
	Revenue	14552.7 B
	Gross Profit	2984.77 B
	EBITDA	1644.49 B
	Net Income	1070.19 B
	Cash and Equivalents	3674.93 B
	Total Debt	4984.25 B
	Debt to Equity	0.74 %
	Current Ratio	1.47 X
	Book Value Per Share	6,592 X
	Cash Flow from Operations	1679.62 B
	Short Ratio	1.76 X
	Earnings Per Share	3.19 X
	Price to Earnings To Growth	8.66 X
	Target Price	30.62
	Number of Employees	204.03 K
	Beta	0.79
	Market Capitalization	43.67 B
	Total Asset	23973.15 B
	Retained Earnings	8029.98 B
	Working Capital	771.27 B
	Current Asset	6241.63 B
	Current Liabilities	5470.35 B
	Annual Yield	0.06 %
	Five Year Return	3.35 %
	Net Asset	23973.15 B
	Last Dividend Paid	125.0

About Honda Fundamental Analysis

The Macroaxis Fundamental Analysis modules help investors analyze Honda Motor Co's financials across various querterly and yearly statements, indicators and fundamental ratios. We help investors to determine the real value of Honda using virtually all public information available. We use both quantitative as well as qualitative analysis to arrive at the intrinsic value of Honda Motor Co based on its fundamental data. In general, a quantitative approach, as applied to this company, focuses on analyzing financial statements comparatively, whereas a qaualitative method uses data that is important to a company's growth but cannot be measured and presented in a numerical way.

Please read more on our fundamental analysis page.

Honda Motor Co., Ltd. develops, manufactures, and distributes motorcycles, automobiles, power products, and other products in Japan, North America, Europe, Asia, and internationally. Honda Motor Co., Ltd. was founded in 1946 and is headquartered in Tokyo, Japan. Honda operates under Auto Manufacturers classification in the United States and is traded on New York Stock Exchange. It employs 204035 people.

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Our tools can tell you how much better you can do entering a position in Honda without increasing your portfolio risk or giving up the expected return. As an individual investor, you need to find a reliable way to track all your investment portfolios. However, your requirements will often be based on how much of the process you decide to do yourself. In addition to allowing all investors analytical transparency into all their portfolios, our tools can evaluate risk-adjusted returns of your individual positions relative to your overall portfolio.

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Check out Honda Piotroski F Score and Honda Altman Z Score analysis. For information on how to trade Honda Stock refer to our How to Trade Honda Stock guide. You can also try Portfolio Optimization module to compute new portfolio that will generate highest expected return given your specified tolerance for risk.

Complementary Tools for analysis

When running Honda Motor price analysis, check to measure Honda's market volatility, profitability, liquidity, solvency, efficiency, growth potential, financial leverage, and other vital indicators. We have many different tools that can be utilized to determine how healthy Honda is operating at the current time. Most of Honda's value examination focuses on studying past and present price action to predict the probability of Honda's future price movements. You can analyze the entity against its peers and financial market as a whole to determine factors that move Honda's price. Additionally, you may evaluate how the addition of Honda to your portfolios can decrease your overall portfolio volatility.

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Quarterly Earnings Growth

0.285

Dividend Share

125

Earnings Share

3.19

Revenue Per Share

9.6 K

Quarterly Revenue Growth

0.203

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	Current Assets	Cash and Equivalents	Total Debt	Debt Current	Shareholders Equity	Investments Current	Total Liabilities	Current Liabilities	Tax Assets	Tax Liabilities
Current Assets		0.97	0.97	0.93	0.96	0.76	0.86	0.94	-0.86	0.87
Cash and Equivalents	0.97		0.92	0.87	0.93	0.67	0.73	0.87	-0.88	0.84
Total Debt	0.97	0.92		0.98	0.99	0.88	0.91	0.98	-0.87	0.92
Debt Current	0.93	0.87	0.98		0.97	0.91	0.93	0.99	-0.82	0.9
Shareholders Equity	0.96	0.93	0.99	0.97		0.87	0.89	0.97	-0.9	0.92
Investments Current	0.76	0.67	0.88	0.91	0.87		0.87	0.92	-0.78	0.92
Total Liabilities	0.86	0.73	0.91	0.93	0.89	0.87		0.94	-0.68	0.82
Current Liabilities	0.94	0.87	0.98	0.99	0.97	0.92	0.94		-0.82	0.92
Tax Assets	-0.86	-0.88	-0.87	-0.82	-0.9	-0.78	-0.68	-0.82		-0.89
Tax Liabilities	0.87	0.84	0.92	0.9	0.92	0.92	0.82	0.92	-0.89

Honda Probability Of Bankruptcy

Honda Probability Of Bankruptcy Analysis

Current Honda Probability Of Bankruptcy

Honda Probability Of Bankruptcy Driver Correlations

Honda Probability Of Bankruptcy Peer Comparison

Honda Main Bankruptcy Drivers

Honda Fundamentals

About Honda Fundamental Analysis

Be your own money manager

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Money Managers

Becoming a Better Investor with Macroaxis

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Align your risk with return expectations

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