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

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 higher today making it today's featured automotive winner. The industry as a whole closed the day up 0.9%. By the end of trading, Toyota Motor rose $4.09 (3.5%) to $121.15 on average volume. Throughout the day, 851,578 shares of Toyota Motor exchanged hands as compared to its average daily volume of 657,500 shares. The stock ranged in a price between $120.41-$121.83 after having opened the day at $121.68 as compared to the previous trading day's close of $117.06. Other companies within the Automotive industry that increased today were: Motorcar Parts of America ( MPAA), up 12.6%, Federal-Mogul ( FDML), up 7.0%, Hyster-Yale Materials Handling ( HY), up 4.3% and Accuride ( ACW), up 4.1%.
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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 $197.4 billion and is part of the consumer goods sector. The company has a P/E ratio of 52.0, above the S&P 500 P/E ratio of 17.7. Shares are up 25.5% year to date as of the close of trading on Friday. Currently there are 2 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 impressive record of earnings per share growth, compelling growth in net income, solid stock price performance, notable return on equity and largely solid financial position with reasonable debt levels by most measures. We feel these strengths outweigh the fact that the company shows weak operating cash flow.

On the negative front, Tata Motors ( TTM), down 2.3%, Stoneridge ( SRI), down 2.0%, Tesla Motors ( TSLA), down 1.9% and Standard Motor Products ( SMP), down 1.8% , were all laggards within the automotive industry with Navistar International ( NAV) being today's automotive industry laggard.

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).

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