Honda Motor Co., Ltd. (HMC) Financial Ratios
30 years of historical data (1997–2026) · Consumer Cyclical · Auto - Manufacturers
EV/EBITDA
↑
14.79
↑+274% vs avg
5yr avg: 3.96
30Y Low1.7·High9.0
P/FCF
↑
9.91
↑+6891% vs avg
5yr avg: 0.14
30Y Low0.0·High0.5
P/B Ratio
↓
0.46
↑+12010% vs avg
5yr avg: 0.00
30Y Low0.0·High0.0
ROE
↓
-3.6%
↑-173% vs avg
5yr avg: 5.0%
30Y Low-4%·High18%
Debt/EBITDA
↑
14.36
↑+141% vs avg
5yr avg: 5.95
30Y Low2.1·High14.4
Percentile shows where the current value sits in 30-year historical distribution. Sparklines show 5-year trend.
HMC Valuation Multiples
Price-based multiples — how expensive the stock is relative to earnings, sales, book value, and cash flow
Honda Motor Co., Ltd. currently has a negative P/E ratio, indicating the company is operating at a loss on a trailing-twelve-month basis. On a free-cash-flow basis, the stock trades at 9.9x P/FCF, 6891% above the 5-year average of 0.1x.
| Metric | TTM | FY 2026 | FY 2025 | FY 2024 | FY 2023 | FY 2022 | FY 2021 | FY 2020 | FY 2019 | FY 2018 | FY 2017 |
|---|---|---|---|---|---|---|---|---|---|---|---|
| Market Cap | $34.1B | $32.4B | $42.2B | $60.8B | $44.9B | $48.6B | $52.1B | $39.4B | $47.8B | $62.3B | $54.5B |
| Enterprise Value | $86.5B | $8.48T | $-64314126421 | $5.19T | $3.87T | $4.43T | $4.03T | $4.78T | $4.88T | $4.60T | $4.76T |
| P/E Ratio → | -12.56 | — | 0.05 | 0.05 | 0.07 | 0.07 | 0.08 | 0.09 | 0.08 | 0.06 | 0.09 |
| P/S Ratio | 0.24 | 0.00 | 0.00 | 0.00 | 0.00 | 0.00 | 0.00 | 0.00 | 0.00 | 0.00 | 0.00 |
| P/B Ratio | 0.46 | 0.00 | 0.00 | 0.00 | 0.00 | 0.00 | 0.01 | 0.00 | 0.01 | 0.01 | 0.01 |
| P/FCF | 9.91 | 0.06 | — | 0.44 | 0.03 | 0.04 | 0.10 | 0.10 | 0.28 | 0.15 | 0.22 |
| P/OCF | 4.57 | 0.03 | 22.04 | 0.08 | 0.02 | 0.03 | 0.05 | 0.04 | 0.06 | 0.06 | 0.06 |
P/E links to full P/E history page with 30-year chart
HMC EV Ratios
Enterprise-value multiples — capital-structure-neutral measures of total business value
Honda Motor Co., Ltd.'s enterprise value stands at 14.8x EBITDA, 274% above its 5-year average of 4.0x. The Consumer Cyclical sector median is 12.2x, placing the stock at a 21% premium on an enterprise-value basis.
| Metric | TTM | FY 2026 | FY 2025 | FY 2024 | FY 2023 | FY 2022 | FY 2021 | FY 2020 | FY 2019 | FY 2018 | FY 2017 |
|---|---|---|---|---|---|---|---|---|---|---|---|
| EV / Revenue | — | 0.37 | -0.00 | 0.25 | 0.23 | 0.30 | 0.31 | 0.32 | 0.31 | 0.30 | 0.34 |
| EV / EBITDA | 14.79 | 9.00 | -0.03 | 2.38 | 2.57 | 1.88 | 1.93 | 2.28 | 2.23 | 2.01 | 2.19 |
| EV / EBIT | — | — | -0.05 | 3.05 | 4.22 | 5.00 | 6.16 | 5.86 | 4.92 | 4.08 | 4.67 |
| EV / FCF | — | 15.29 | — | 37.45 | 2.58 | 3.60 | 7.74 | 12.63 | 29.04 | 11.09 | 19.21 |
HMC Profitability
Margins and return-on-capital ratios measuring operating efficiency
Honda Motor Co., Ltd. earns an operating margin of -1.9%, below the Consumer Cyclical sector average of 2.0%. Operating margins have compressed from 6.8% to -1.9% over the past 3 years, signaling potential cost pressures or competitive headwinds. A negative ROE of -3.6% indicates the company is currently destroying shareholder equity.
Margins
Full margin charts and quarterly trend are on the Earnings History page
| Metric | TTM | FY 2026 | FY 2025 | FY 2024 | FY 2023 | FY 2022 | FY 2021 | FY 2020 | FY 2019 | FY 2018 | FY 2017 |
|---|---|---|---|---|---|---|---|---|---|---|---|
| Gross Margin | 16.5% | 16.5% | 21.5% | 21.6% | 19.7% | 20.5% | 20.7% | 20.6% | 20.8% | 21.9% | 22.4% |
| Operating Margin | -1.9% | -1.9% | 5.6% | 6.8% | 4.6% | 6.0% | 5.0% | 4.2% | 4.6% | 5.4% | 6.0% |
| Net Profit Margin | -1.9% | -1.9% | 3.9% | 5.4% | 3.9% | 4.9% | 5.0% | 3.1% | 3.8% | 6.9% | 4.4% |
Return on Capital
| Metric | TTM | FY 2026 | FY 2025 | FY 2024 | FY 2023 | FY 2022 | FY 2021 | FY 2020 | FY 2019 | FY 2018 | FY 2017 |
|---|---|---|---|---|---|---|---|---|---|---|---|
| ROE | -3.6% | -3.6% | 6.5% | 9.0% | 5.8% | 7.0% | 7.4% | 5.4% | 7.3% | 13.4% | 8.4% |
| ROA | -1.4% | -1.4% | 2.8% | 4.1% | 2.7% | 3.1% | 3.1% | 2.2% | 3.1% | 5.5% | 3.3% |
| ROIC | -2.0% | -2.0% | 5.9% | 6.2% | 3.8% | 4.6% | 3.8% | 3.6% | 4.2% | 5.0% | 5.2% |
| ROCE | -1.9% | -1.9% | 5.6% | 7.0% | 4.3% | 5.1% | 4.3% | 4.4% | 5.2% | 6.1% | 6.4% |
HMC Leverage & Debt
Solvency and debt-coverage ratios — lower is generally safer
Honda Motor Co., Ltd. carries a Debt/EBITDA ratio of 14.4x, which is highly leveraged (201% above the sector average of 4.8x). Net debt stands at $8.4T ($13.5T total debt minus $5.1T cash).
| Metric | TTM | FY 2026 | FY 2025 | FY 2024 | FY 2023 | FY 2022 | FY 2021 | FY 2020 | FY 2019 | FY 2018 | FY 2017 |
|---|---|---|---|---|---|---|---|---|---|---|---|
| Debt / Equity | 1.11 | 1.11 | 0.35 | 0.78 | 0.66 | 0.75 | 0.72 | 0.89 | 0.86 | 0.83 | 0.90 |
| Debt / EBITDA | 14.36 | 14.36 | 2.26 | 4.63 | 5.07 | 3.43 | 3.23 | 3.54 | 3.34 | 2.97 | 3.13 |
| Net Debt / Equity | — | 0.69 | -0.01 | 0.39 | 0.33 | 0.41 | 0.42 | 0.57 | 0.56 | 0.55 | 0.62 |
| Net Debt / EBITDA | 8.96 | 8.96 | -0.05 | 2.36 | 2.54 | 1.86 | 1.91 | 2.26 | 2.20 | 1.99 | 2.16 |
| Debt / FCF | — | 15.23 | — | 37.01 | 2.55 | 3.56 | 7.64 | 12.53 | 28.76 | 10.94 | 18.99 |
| Interest Coverage | -4.96 | -4.96 | 25.00 | 28.54 | 25.36 | 52.44 | 5007.45 | 3587.38 | 75.10 | 86.97 | 81.75 |
HMC Liquidity & Efficiency
Short-term solvency ratios and asset-utilisation metrics
A current ratio of 1.28x means Honda Motor Co., Ltd. can comfortably meet its short-term obligations, though there is limited excess liquidity. The current ratio has declined from 1.43x to 1.28x over the past 3 years.
| Metric | TTM | FY 2026 | FY 2025 | FY 2024 | FY 2023 | FY 2022 | FY 2021 | FY 2020 | FY 2019 | FY 2018 | FY 2017 |
|---|---|---|---|---|---|---|---|---|---|---|---|
| Current Ratio | 1.28 | 1.28 | 1.36 | 1.43 | 1.44 | 1.47 | 1.33 | 1.26 | 1.23 | 1.23 | 1.21 |
| Quick Ratio | 1.03 | 1.03 | 1.07 | 1.13 | 1.11 | 1.15 | 1.06 | 0.99 | 0.96 | 0.96 | 0.96 |
| Cash Ratio | 0.50 | 0.50 | 0.55 | 0.62 | 0.61 | 0.65 | 0.53 | 0.49 | 0.44 | 0.44 | 0.42 |
| Asset Turnover | — | 0.69 | 0.70 | 0.69 | 0.69 | 0.61 | 0.60 | 0.73 | 0.78 | 0.79 | 0.74 |
| Inventory Turnover | 7.59 | 7.59 | 6.89 | 6.56 | 6.26 | 6.03 | 6.75 | 7.59 | 7.93 | 7.88 | 7.97 |
| Days Sales Outstanding | — | 68.65 | 65.91 | 67.87 | 63.89 | 64.98 | 22.22 | 61.41 | 63.06 | 62.76 | 68.91 |
HMC Shareholder Yields
Earnings, FCF, buyback, and dividend yields — total returns to shareholders
Honda Motor Co., Ltd. returns 18.3% to shareholders annually — split between a 5.3% dividend yield and 12.9% buyback yield.
Dividends
Full dividend history and growth charts are on the Dividend History page
| Metric | TTM | FY 2026 | FY 2025 | FY 2024 | FY 2023 | FY 2022 | FY 2021 | FY 2020 | FY 2019 | FY 2018 | FY 2017 |
|---|---|---|---|---|---|---|---|---|---|---|---|
| Dividend Yield | 5.3% | 100.0% | 5.4% | 100.0% | 100.0% | 100.0% | 100.0% | 100.0% | 100.0% | 100.0% | 100.0% |
| Payout Ratio | — | — | 0.3% | 21.8% | 32.8% | 26.6% | 22.1% | 43.2% | 31.8% | 16.4% | 26.3% |
Total Shareholder Return Metrics
| Metric | TTM | FY 2026 | FY 2025 | FY 2024 | FY 2023 | FY 2022 | FY 2021 | FY 2020 | FY 2019 | FY 2018 | FY 2017 |
|---|---|---|---|---|---|---|---|---|---|---|---|
| Earnings Yield | — | — | 1978.6% | 1820.1% | 1449.7% | 1454.7% | 1260.8% | 1158.2% | 1276.6% | 1701.1% | 1130.5% |
| FCF Yield | 10.1% | 1712.6% | — | 227.9% | 3330.4% | 2531.4% | 999.6% | 961.0% | 351.8% | 666.7% | 454.0% |
| Buyback Yield | 12.9% | 100.0% | 11.2% | 0.0% | 0.0% | 100.0% | 0.0% | 100.0% | 100.0% | 100.0% | 0.0% |
| Total Shareholder Yield | 18.3% | 100.0% | 16.6% | 100.0% | 100.0% | 100.0% | 100.0% | 100.0% | 100.0% | 100.0% | 100.0% |
| Shares Outstanding | — | $1.3B | $1.6B | $1.6B | $1.7B | $1.7B | $1.7B | $1.8B | $1.8B | $1.8B | $1.8B |
Peer Comparison
Compare HMC with 10 similar companies in its peer group
| Company | Market Cap | P/E | EV/EBITDA | P/FCF | Gross Margin | Op Margin | ROE | ROIC | Debt/EBITDA |
|---|---|---|---|---|---|---|---|---|---|
 HMCYou | $34B | -12.6 | 14.8 | 9.9 | 16.5% | -1.9% | -3.6% | -2.0% | 14.4 |
 TM | $227B | 9.0 | 10.3 | 61.8 | 16.7% | 7.4% | 10.5% | 4.3% | 6.6 |
 F | $55B | -6.8 | 23.4 | 4.4 | 12.2% | 1.4% | -20.2% | 1.0% | 19.7 |
 GM | $71B | 24.2 | 10.3 | 6.5 | 10.9% | 1.6% | 4.2% | 1.3% | 7.4 |
 STLA | $18B | -0.6 | — | — | -2.7% | -14.5% | -38.6% | -25.3% | — |
 TSLA | $1.5T | 370.8 | 142.3 | 241.6 | 18.0% | 4.6% | 4.8% | 4.5% | 0.8 |
 RIVN | $20B | -5.4 | — | — | 2.7% | -66.5% | -65.4% | -36.7% | — |
 LCID | $2B | -0.4 | — | — | -92.8% | -258.7% | -117.6% | -98.7% | — |
 ALV | $9B | 12.4 | 7.1 | 12.4 | 19.2% | 10.1% | 30.3% | 19.4% | 1.6 |
 BWA | $15B | 56.1 | 8.2 | 12.6 | 18.7% | 9.2% | 4.9% | 12.9% | 2.0 |
 LEA | $7B | 17.1 | 6.2 | 13.4 | 8.2% | 4.4% | 8.9% | 9.7% | 2.5 |
| Consumer Cyclical Median | — | 21.2 | 12.2 | 15.6 | 36.2% | 2.0% | 5.3% | 5.2% | 4.8 |
Peer selection based on competitive and market overlap. Compare multiple stocks →
Download Financial Ratios Data
Includes 30+ ratios · 30 years · Updated daily
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HMC — Frequently Asked Questions
Quick answers to the most common questions about buying HMC stock.
What is Honda Motor Co., Ltd.'s P/E ratio?
Honda Motor Co., Ltd.'s current P/E ratio is -12.6x. The historical average is 0.1x.
What is Honda Motor Co., Ltd.'s EV/EBITDA?
Honda Motor Co., Ltd.'s current EV/EBITDA is 14.8x. This enterprise value multiple compares the company's total value (equity + debt - cash) to its EBITDA. The historical average is 2.8x.
What is Honda Motor Co., Ltd.'s ROE?
Honda Motor Co., Ltd.'s return on equity (ROE) is -3.6%. The historical average is 10.2%.
Is HMC stock overvalued?
Based on historical data, Honda Motor Co., Ltd. is trading at a P/E of -12.6x. Compare with industry peers and growth rates for a complete picture.
What is Honda Motor Co., Ltd.'s dividend yield?
Honda Motor Co., Ltd.'s current dividend yield is 5.34%.
What are Honda Motor Co., Ltd.'s profit margins?
Honda Motor Co., Ltd. has 16.5% gross margin and -1.9% operating margin.
How much debt does Honda Motor Co., Ltd. have?
Honda Motor Co., Ltd.'s Debt/EBITDA ratio is 14.4x, indicating high leverage. A ratio above 4x may signal elevated financial risk.