Should You Buy Toyota Motor Corp (TM) Today? Analysis, Price Targets, and 2026 Outlook.
Conclusion
Hold
Latest Price
218.890
1 Day change
-2.33%
52 Week Range
235.640
Analysis Updated At
2026/01/26
Toyota Motor Corp (TM) is not a strong buy at this moment for a beginner investor with a long-term strategy. While the company has shown strong financial performance in the latest quarter and has a positive medium to long-term outlook, the current technical indicators, options sentiment, and market conditions do not suggest an immediate entry point. The stock is better suited for monitoring until a more favorable entry point arises.
Technical Analysis
The stock's MACD is negative and expanding downward, indicating bearish momentum. RSI is neutral at 53.965, not signaling overbought or oversold conditions. Moving averages are bullish (SMA_5 > SMA_20 > SMA_200), but the pre-market price is below the pivot level of 226.631, suggesting potential downside risk. Support levels are at 219.77 and 215.531, while resistance levels are at 233.491 and 237.73.
Options Data
Neutral
Open Interest Put-Call Ratio
Bearish
Option Volume Put-Call Ratio
The put-call ratios indicate a bearish sentiment in the options market, with higher put volume compared to call volume. Implied volatility is moderate at 27.21, with an IV percentile of 57.43, suggesting options are not overly expensive.
Technical Summary
Sell
6
Buy
6
Positive Catalysts
Toyota's strong financial performance in Q2 2026, with revenue up 9.38% YoY and net income up 64.30% YoY.
Analyst upgrade from Hold to Buy by Erste Group, citing strong profitability and medium to long-term growth potential.
Elliott Investment Management increasing its stake in Toyota Industries, indicating confidence in the broader Toyota ecosystem.
Neutral/Negative Catalysts
U.S. auto sales are projected to decline in 2026, which could impact Toyota's revenue.
Elliott Investment Management urging shareholders to reject Toyota Motor's buyout proposal, creating potential uncertainty.
Stock trend analysis suggests a 70% chance of a -1.2% decline in the next day and a -5.04% decline in the next month.
Financial Performance
In Q2 2026, Toyota's revenue increased by 9.38% YoY to $83.95 billion. Net income surged by 64.30% YoY to $6.32 billion, and EPS grew by 68.97% YoY to 0.49. However, gross margin dropped by 25.34% YoY to 15.91%, indicating rising costs or pricing pressures.
Growth
Profitability
Efficiency
Analyst Ratings and Price Target Trends
Recent analyst activity includes an upgrade by Erste Group from Hold to Buy, citing Toyota's profitability, strong market position, and high demand for hybrid vehicles. This reflects a positive medium to long-term outlook for the company.
Wall Street analysts forecast TM stock price to rise over the next 12 months. According to Wall Street analysts, the average 1-year price target for TM is 0 USD with a low forecast of 0 USD and a high forecast of 0 USD. However, analyst price targets are subjective and often lag stock prices, so investors should focus on the objective reasons behind analyst rating changes, which better reflect the company's fundamentals.
Analyst Rating
0
Wall Street analysts forecast TM stock price to rise over the next 12 months. According to Wall Street analysts, the average 1-year price target for TM is 0 USD with a low forecast of 0 USD and a high forecast of 0 USD. However, analyst price targets are subjective and often lag stock prices, so investors should focus on the objective reasons behind analyst rating changes, which better reflect the company's fundamentals.
Buy
Hold
Sell
0
Current: 224.120
Low
0
Averages
0
High
0
0
Current: 224.120
Low
0
Averages
0
High
0
BofA
Buy
to
Neutral
downgrade
$68 -> $70
AI Analysis
2026-01-16
Reason
BofA
Price Target
$68 -> $70
AI Analysis
2026-01-16
downgrade
Buy
to
Neutral
Reason
BofA downgraded Taylor Morrison to Neutral from Buy with a price target of $70, up from $68. The firm is lowering its 2026 EPS estimates by 6%, noting that its 2026 EPS estimate is now about 18% below consensus. Taylor Morrison "screens attractively on valuation," but the firm sees the most downside risk compared to consensus EPS among builders on lower deliveries, the analyst tells investors.
Cormark
Stefan Ioannou
Market Perform
to
Buy
upgrade
$6.50
2025-12-18
Reason
Cormark
Stefan Ioannou
Price Target
$6.50
2025-12-18
upgrade
Market Perform
to
Buy
Reason
Cormark analyst Stefan Ioannou upgraded Trilogy Metals to Buy from Market Perform with a C$6.50 price target.
Unlock Full Analyst Thesis， Get the complete breakdown of rating reason for TM
