TM Relative Valuation
TM's fair value is calculated using relative valuation, based on historical P/E and P/S ranges and their premiums/discounts relative to a competitor average, adjusted by weights. If the market price exceeds this fair value range, TM is overvalued; if below, it's undervalued.
Historical Valuation
Toyota Motor Corp (TM) is now in the Undervalued zone, suggesting that its current forward PE ratio of 11.68 is considered Undervalued compared with the five-year average of 9.98. The fair price of Toyota Motor Corp (TM) is between 402.44 to 488.53 according to relative valuation methord. Compared to the current price of 198.27 USD , Toyota Motor Corp is Undervalued By 50.73%.
Relative Value
Fair Zone
402.44-488.53
Current Price：198.27
50.73%
Undervalued
11.68
PE
1Y
3Y
5Y
Trailing
Forward
10.42
EV/EBITDA
Toyota Motor Corp. (TM) has a current EV/EBITDA of 10.42. The 5-year average EV/EBITDA is 10.54. The thresholds are as follows: Strongly Undervalued below 8.03, Undervalued between 8.03 and 9.28, Fairly Valued between 11.79 and 9.28, Overvalued between 11.79 and 13.05, and Strongly Overvalued above 13.05. The current Forward EV/EBITDA of 10.42 falls within the Historic Trend Line -Fairly Valued range.
15.40
EV/EBIT
Toyota Motor Corp. (TM) has a current EV/EBIT of 15.40. The 5-year average EV/EBIT is 19.31. The thresholds are as follows: Strongly Undervalued below -6.77, Undervalued between -6.77 and 6.27, Fairly Valued between 32.35 and 6.27, Overvalued between 32.35 and 45.39, and Strongly Overvalued above 45.39. The current Forward EV/EBIT of 15.40 falls within the Historic Trend Line -Fairly Valued range.
0.77
PS
Toyota Motor Corp. (TM) has a current PS of 0.77. The 5-year average PS is 0.91. The thresholds are as follows: Strongly Undervalued below 0.20, Undervalued between 0.20 and 0.55, Fairly Valued between 1.27 and 0.55, Overvalued between 1.27 and 1.63, and Strongly Overvalued above 1.63. The current Forward PS of 0.77 falls within the Historic Trend Line -Fairly Valued range.
8.41
P/OCF
Toyota Motor Corp. (TM) has a current P/OCF of 8.41. The 5-year average P/OCF is 8.71. The thresholds are as follows: Strongly Undervalued below 4.55, Undervalued between 4.55 and 6.63, Fairly Valued between 10.79 and 6.63, Overvalued between 10.79 and 12.86, and Strongly Overvalued above 12.86. The current Forward P/OCF of 8.41 falls within the Historic Trend Line -Fairly Valued range.
17.41
P/FCF
Toyota Motor Corp. (TM) has a current P/FCF of 17.41. The 5-year average P/FCF is 20.30. The thresholds are as follows: Strongly Undervalued below -8.57, Undervalued between -8.57 and 5.86, Fairly Valued between 34.73 and 5.86, Overvalued between 34.73 and 49.17, and Strongly Overvalued above 49.17. The current Forward P/FCF of 17.41 falls within the Historic Trend Line -Fairly Valued range.
Toyota Motor Corp (TM) has a current Price-to-Book (P/B) ratio of 1.05. Compared to its 3-year average P/B ratio of 1.57 , the current P/B ratio is approximately -32.98% higher. Relative to its 5-year average P/B ratio of 1.38, the current P/B ratio is about -23.78% higher. Toyota Motor Corp (TM) has a Forward Free Cash Flow (FCF) yield of approximately 0.00%. Compared to its 3-year average FCF yield of -1.71%, the current FCF yield is approximately -100.00% lower. Relative to its 5-year average FCF yield of -1.53% , the current FCF yield is about -100.00% lower.
1.05
P/B
Median3y
1.57
Median5y
1.38
0.89
FCF Yield
Median3y
-1.71
Median5y
-1.53
Competitors Valuation Multiple
The average P/S ratio for TM's competitors is 0.27, providing a benchmark for relative valuation. Toyota Motor Corp Corp (TM) exhibits a P/S ratio of , which is -100.00% above the industry average. Given its robust revenue growth of 9.38%, this premium appears unsustainable.
P/S
P/E
EV/EBITDA
EV/EBIT
P/S
Revenue Growth
Market Cap
Performance Decomposition
1Y
3Y
5Y
Market capitalization of TM increased by 1.88% over the past 1 year. The primary factor behind the change was an increase in Margin Expansion from 4.38 to 7.86.
The secondary factor is the Revenue Growth, contributed 9.38%to the performance.
Overall, the performance of TM in the past 1 year is driven by Margin Expansion. Which is more sustainable.
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