Toyota Motor Corp (TM): Today's Featured Automotive Laggard

Editor's Note: TheStreet ratings do not represent the views of TheStreet's staff or its contributors. Ratings are established by computer based on metrics for performance (which includes growth, stock performance, efficiency and valuation) and risk (volatility and solvency). Companies with poor cash flow or high debt levels tend to earn lower ratings in our model.

Toyota Motor ( TM) pushed the Automotive industry lower today making it today's featured Automotive laggard. The industry as a whole closed the day up 0.2%. By the end of trading, Toyota Motor fell $1.06 (-1.1%) to $94.83 on average volume. Throughout the day, 558,332 shares of Toyota Motor exchanged hands as compared to its average daily volume of 401,700 shares. The stock ranged in price between $94.15-$94.94 after having opened the day at $94.37 as compared to the previous trading day's close of $95.89. Other companies within the Automotive industry that declined today were: Honda Motor ( HMC), down 3.1%, Orbital Corporation ( OBT), down 3%, Tata Motors ( TTM), down 2.6%, and General Motors ( GM), down 2.2%.
  • EXCLUSIVE OFFER: Jim Cramer's Protégé, Dave Peltier, only buys Stocks Under $10 that he thinks could potentially double. See what he's trading today with a 14-day FREE pass.

Toyota Motor Corporation engages in the design, manufacture, assembly, and sale of passenger cars, minivans, and commercial vehicles and related parts primarily in Japan, North America, Europe, and Asia. Toyota Motor has a market cap of $151.83 billion and is part of the consumer goods sector. The company has a P/E ratio of 44, above the S&P 500 P/E ratio of 17.7. Shares are up 2.8% year to date as of the close of trading on Friday. Currently there are two analysts that rate Toyota Motor a buy, no analysts rate it a sell, and none rate it a hold.

TheStreet Ratings rates Toyota Motor as a buy. The company's strengths can be seen in multiple areas, such as its robust revenue growth, compelling growth in net income, good cash flow from operations, solid stock price performance and impressive record of earnings per share growth. We feel these strengths outweigh the fact that the company shows low profit margins.

On the positive front, Accuride ( ACW), up 10.2%, American Axle & Mfg Holdings ( AXL), up 5.2%, Spartan Motors ( SPAR), up 2.9%, and Fuel Systems Solutions ( FSYS), up 2.2%, were all gainers within the automotive industry with Tesla Motors ( TSLA) being today's featured automotive industry leader.

For investors not wanting singular stock exposure, ETFs may be of interest. Investors who are bullish on the automotive industry could consider Consumer Discretionary Sel Sec SPDR ( XLY) while those bearish on the automotive industry could consider ProShares Ultra Sht Consumer Goods ( SZK).

It's Official: Action Alerts PLUS beats the S&P 500 with Dividends Reinvested! Cramer and Link were up 16.72% in 2012. Were you? See what they are trading for 14-days FREE.
null

If you liked this article you might like

Your Guide to Making a Lot of Money on the Driverless Car Boom

Tesla Headlines This Lineup of 12 Amazing New Cars for 2018

Stocks Dad Would Have Loved, And Why He Was Right

Honda Investing $267 Million, Adding 300 Jobs in U.S. for New Accord Model

Here Are 7 Eco-Friendly Cars to be Featured at Frankfurt Auto Show