TOYOTA MOTOR CORP -SPON ADR (TM) Stock Fundamental Analysis
NYSE:TM • US8923313071
248.29 USD
+6.65 (+2.75%)
At close: Feb 13, 2026
247 USD
-1.29 (-0.52%)
After Hours: 2/13/2026, 8:04:00 PM
Overall TM gets a fundamental rating of 6 out of 10. We evaluated TM against 35 industry peers in the Automobiles industry. While TM has a great profitability rating, there are some minor concerns on its financial health. TM has a decent growth rate and is not valued too expensively.
1. Profitability
1.1 Basic Checks
- In the past year TM was profitable.
- TM had a positive operating cash flow in the past year.
- TM had positive earnings in each of the past 5 years.
- TM had a positive operating cash flow in each of the past 5 years.
1.2 Ratios
- TM has a Return On Assets of 4.75%. This is amongst the best in the industry. TM outperforms 97.14% of its industry peers.
- TM has a better Return On Equity (12.35%) than 94.29% of its industry peers.
- TM's Return On Invested Capital of 4.81% is amongst the best of the industry. TM outperforms 91.43% of its industry peers.
- The Average Return On Invested Capital over the past 3 years for TM is in line with the industry average of 5.21%.
| 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
- With an excellent Profit Margin value of 9.38%, TM belongs to the best of the industry, outperforming 94.29% of the companies in the same industry.
- In the last couple of years the Profit Margin of TM has grown nicely.
- Looking at the Operating Margin, with a value of 8.78%, TM belongs to the top of the industry, outperforming 94.29% of the companies in the same industry.
- TM's Operating Margin has improved in the last couple of years.
- TM has a Gross Margin of 17.97%. This is in the better half of the industry: TM outperforms 77.14% of its industry peers.
- 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
- With a Return on Invested Capital (ROIC) just above the Cost of Capital (WACC), TM is creating some value.
- The number of shares outstanding for TM has been reduced compared to 1 year ago.
- The number of shares outstanding for TM has been reduced compared to 5 years ago.
- TM has a worse debt/assets ratio than last year.
2.2 Solvency
- Based on the Altman-Z score of 1.77, we must say that TM is in the distress zone and has some risk of bankruptcy.
- The Altman-Z score of TM (1.77) is better than 82.86% of its industry peers.
- TM has a Debt/Equity ratio of 0.63. This is a neutral value indicating TM is somewhat dependend on debt financing.
- TM has a Debt to Equity ratio of 0.63. This is comparable to the rest of the industry: TM outperforms 57.14% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.63 | ||
| Debt/FCF | N/A | ||
| Altman-Z | 1.77 |
ROIC/WACC1.48
WACC3.24%
2.3 Liquidity
- A Current Ratio of 1.25 indicates that TM should not have too much problems paying its short term obligations.
- TM has a Current ratio (1.25) which is comparable to the rest of the industry.
- 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.
- Looking at the Quick ratio, with a value of 1.10, TM is in the better half of 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 for TM have decreased strongly by -25.62% in the last year.
- Measured over the past years, TM shows a quite strong growth in Earnings Per Share. The EPS has been growing by 19.57% on average per year.
- TM shows a small growth in Revenue. In the last year, the Revenue has grown by 6.52%.
- TM shows quite a strong growth in Revenue. Measured over the last years, the Revenue has been growing by 9.97% yearly.
EPS 1Y (TTM)-25.62%
EPS 3Y20.57%
EPS 5Y19.57%
EPS Q2Q%-41.81%
Revenue 1Y (TTM)6.52%
Revenue growth 3Y15.25%
Revenue growth 5Y9.97%
Sales Q2Q%8.6%
3.2 Future
- The Earnings Per Share is expected to grow by 0.19% on average over the next years.
- The Revenue is expected to grow by 4.09% on average over the next years.
EPS Next Y-23.94%
EPS Next 2Y-4.25%
EPS Next 3Y0.19%
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.
- The Revenue growth rate is decreasing: in the next years the growth will be less than in the last years.
4. Valuation
4.1 Price/Earnings Ratio
- TM is valuated correctly with a Price/Earnings ratio of 13.43.
- Based on the Price/Earnings ratio, TM is valued cheaper than 88.57% of the companies in the same industry.
- Compared to an average S&P500 Price/Earnings ratio of 27.97, TM is valued rather cheaply.
- With a Price/Forward Earnings ratio of 11.58, 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 rather cheap valuation: TM is cheaper than 82.86% of the companies listed in the same industry.
- TM is valuated cheaply when we compare the Price/Forward Earnings ratio to 27.96, which is the current average of the S&P500 Index.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 13.43 | ||
| Fwd PE | 11.58 |
4.2 Price Multiples
- 88.57% of the companies in the same industry are more expensive than TM, based on the Enterprise Value to EBITDA ratio.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | N/A | ||
| EV/EBITDA | 9.49 |
4.3 Compensation for Growth
- The excellent profitability rating of TM may justify a higher PE ratio.
PEG (NY)N/A
PEG (5Y)0.69
EPS Next 2Y-4.25%
EPS Next 3Y0.19%
5. Dividend
5.1 Amount
- With a Yearly Dividend Yield of 2.56%, TM has a reasonable but not impressive dividend return.
- TM's Dividend Yield is rather good when compared to the industry average which is at 0.91. TM pays more dividend than 85.71% of the companies in the same industry.
- TM's Dividend Yield is a higher than the S&P500 average which is at 1.79.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 2.56% |
5.2 History
- The dividend of TM is nicely growing with an annual growth rate of 14.07%!
- TM has been paying a dividend for at least 10 years, so it has 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
- TM pays out 25.44% of its income as dividend. This is a sustainable payout ratio.
- The dividend of TM is growing, but the earnings are growing slower. This means the dividend growth is not sustainable.
DP25.44%
EPS Next 2Y-4.25%
EPS Next 3Y0.19%
248.29
+6.65 (+2.75%)
Chartmill FA Rating
GICS SectorConsumer Discretionary
GICS IndustryGroupAutomobiles & Components
GICS IndustryAutomobiles
Earnings (Last)02-05 2026-02-05/amc
Earnings (Next)05-06 2026-05-06/bmo
Inst Owners24.9%
Inst Owner Change1.27%
Ins OwnersN/A
Ins Owner ChangeN/A
Market Cap323.61B
Revenue(TTM)48.04T
Net Income(TTM)4.63T
Analysts76.15
Price Target236.39 (-4.79%)
Short Float %0.12%
Short Ratio3.53
Dividend
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 2.56% |
Yearly Dividend5.55
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)5.59%
PT rev (3m)16.21%
EPS NQ rev (1m)-32.08%
EPS NQ rev (3m)3.56%
EPS NY rev (1m)2.16%
EPS NY rev (3m)8.77%
Revenue NQ rev (1m)1.26%
Revenue NQ rev (3m)3.12%
Revenue NY rev (1m)0%
Revenue NY rev (3m)1.71%
Valuation
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 13.43 | ||
| Fwd PE | 11.58 | ||
| P/S | 1.01 | ||
| P/FCF | N/A | ||
| P/OCF | 10.31 | ||
| P/B | 1.33 | ||
| P/tB | 1.38 | ||
| EV/EBITDA | 9.49 |
EPS(TTM)18.49
EY7.45%
EPS(NY)21.45
Fwd EY8.64%
FCF(TTM)-0.08
FCFYN/A
OCF(TTM)24.08
OCFY9.7%
SpS246.5
BVpS187.14
TBVpS180.32
PEG (NY)N/A
PEG (5Y)0.69
Graham Number279.03
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 | 1.77 |
F-Score6
WACC3.24%
ROIC/WACC1.48
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)-25.62%
EPS 3Y20.57%
EPS 5Y19.57%
EPS Q2Q%-41.81%
EPS Next Y-23.94%
EPS Next 2Y-4.25%
EPS Next 3Y0.19%
EPS Next 5YN/A
Revenue 1Y (TTM)6.52%
Revenue growth 3Y15.25%
Revenue growth 5Y9.97%
Sales Q2Q%8.6%
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 Year18595%
EBIT Next 3Y504%
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 13.43 and the Price/Book (PB) ratio is 1.33.
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 -23.94% in the next year.