This Day On The Street
Continue to site right-arrow
This account is pending registration confirmation. Please click on the link within the confirmation email previously sent you to complete registration.
Need a new registration confirmation email? Click here
Stocks Under $10 with 50-100% upside potential - 14 days FREE!

Bearish Yen Equals Bullish Future for Toyota, Japanese Exporters

Stocks in this article: TMC HMC CAJ SNE

It is also a plus for the shareholders of Japanese stocks.

For Toyota, quarterly sales growth is at 16.20%. Over the past five years it was a negative 3.20%. Much of that can be attributed to the yen making Japanese products much cheaper for foreign buyers, in addition to the rebound from the Great Recession. Toyota's shares recently traded up nearly 3% to over $121 and for the year to date are up 27.2% for 2013. Thanks to exports Toyota has been able to expand its operations throughout North America, including Kentucky and Mississippi.

It is much the same story for Honda, Canon and Sony.

Honda now has quarterly sales growth of 27.30%. For the past half decade it was a negative 3.80%. For Canon, quarterly sales growth is now 14.20%. The previous five years is was a negative 4.90%. Sony sales are now increasing quarterly at a 10.60% rate after declining by 5.20% for the last five years.

Honda shares are currently up 15 cents to $41 and are up near 11% for the year to date. Canon shares are currently off over 1% to around $32 and are down 18.1% for the year to date. Sony, flat at $17.36, is up nearly 52% on the year.

For 2011, according to the United States Trade Representative, Japan exported $128.8 billion in goods to the United States. It posted a huge surplus in trade as it imported just $66.2 billion in products from America. The biggest group of exports from Japan to the United States was in the motor vehicle division, $41 billion (almost one-third the total). Next was machinery at $31.2 billion.

With the Japanese yen decreasing in value and American economic growth increasing, there should be even more exports to the United States. The more the yen falls against the dollar, the more Japanese exporters will be selling to America.

At the time of publication the author had no position in any of the stocks mentioned.

This article was written by an independent contributor, separate from TheStreet's regular news coverage.

Jonathan Yates has written for numerous publications including Newsweek and The Washington Post. He is a former general counsel for general counsel for a publicly traded corporation. Much of his career was spent working on Capitol Hill for Members of Congress in both the House and Senate. He has degrees from Harvard University, Georgetown University Law Center and The Johns Hopkins University.
2 of 2

Select the service that is right for you!

Action Alerts PLUS
Try it NOW

Jim Cramer and Stephanie Link actively manage a real portfolio and reveal their money management tactics while giving advanced notice before every trade.

Product Features:
  • $2.5+ million portfolio
  • Large-cap and dividend focus
  • Intraday trade alerts from Cramer
  • Weekly roundups
TheStreet Quant Ratings
Try it NOW
Only $49.95/yr

Access the tool that DOMINATES the Russell 2000 and the S&P 500.

Product Features:
  • Buy, hold, or sell recommendations for over 4,300 stocks
  • Unlimited research reports on your favorite stocks
  • A custom stock screener
  • Upgrade/downgrade alerts
Stocks Under $10
Try it NOW

David Peltier, uncovers low dollar stocks with extraordinary upside potential that are flying under Wall Street's radar.

Product Features:
  • Model portfolio
  • Stocks trading below $10
  • Intraday trade alerts
  • Weekly roundups
Dividend Stock Advisor
Try it NOW

Jim Cramer's protege, David Peltier, identifies the best of breed dividend stocks that will pay a reliable AND significant income stream.

Product Features:
  • Diversified model portfolio of dividend stocks
  • Alerts when market news affect the portfolio
  • Bi-weekly updates with exact steps to take - BUY, HOLD, SELL
Real Money Pro
Try it NOW

All of Real Money, plus 15 more of Wall Street's sharpest minds delivering actionable trading ideas, a comprehensive look at the market, and fundamental and technical analysis.

Product Features:
  • Real Money + Doug Kass Plus 15 more Wall Street Pros
  • Intraday commentary & news
  • Ultra-actionable trading ideas
Options Profits
Try it NOW

Our options trading pros provide daily market commentary and over 100 monthly option trading ideas and strategies to help you become a well-seasoned trader.

Product Features:
  • 100+ monthly options trading ideas
  • Actionable options commentary & news
  • Real-time trading community
  • Options TV
To begin commenting right away, you can log in below using your Disqus, Facebook, Twitter, OpenID or Yahoo login credentials. Alternatively, you can post a comment as a "guest" just by entering an email address. Your use of the commenting tool is subject to multiple terms of service/use and privacy policies - see here for more details.
Submit an article to us!


DOW 18,030.21 +6.04 0.03%
S&P 500 2,081.88 -0.29 -0.01%
NASDAQ 4,773.4720 +8.0480 0.17%

Brokerage Partners

Rates from

  • Mortgage
  • Credit Cards
  • Auto

Free Newsletters from TheStreet

My Subscriptions:

After the Bell

Before the Bell

Booyah! Newsletter

Midday Bell

TheStreet Top 10 Stories

Winners & Losers

Register for Newsletters
Top Rated Stocks Top Rated Funds Top Rated ETFs