Honda
HMC
#411
Rank
$41.55 B
Marketcap
$24.50
Share price
1.66%
Change (1 day)
-10.49%
Change (1 year)

P/E ratio for Honda (HMC)

P/E ratio as of December 2022 (TTM): 7.55

According to Honda's latest financial reports and stock price the company's current price-to-earnings ratio (TTM) is 7.54824. At the end of 2020 the company had a P/E ratio of 12.2.

P/E ratio history for Honda from 2001 to 2022

PE ratio at the end of each year

Year P/E ratio Change
202012.26.58%
201911.461%
20187.097.87%
20176.57-49.26%
201612.9-0.36%
201513.035.34%
20149.60

P/E ratio for similar companies or competitors

Company P/E ratio P/E ratio differencediff. Country
9.77 29.45%๐Ÿ‡ฏ๐Ÿ‡ต Japan
6.34-16.04%๐Ÿ‡บ๐Ÿ‡ธ USA
-38.6-611.52%๐Ÿ‡บ๐Ÿ‡ธ USA
-15.4-304.47%๐Ÿ‡ฎ๐Ÿ‡ณ India

How to read a P/E ratio?

The Price/Earnings ratio measures the relationship between a company's stock price and its earnings per share. A low but positive P/E ratio stands for a company that is generating high earnings compared to its current valuation and might be undervalued. A company with a high negative (near 0) P/E ratio stands for a company that is generating heavy losses compared to its current valuation.

Companies with a P/E ratio over 30 or a negative one are generaly seen as "growth stocks" meaning that investors typically expect the company to grow or to become profitable in the future.
Companies with a positive P/E ratio bellow 10 are generally seen as "value stocks" meaning that the company is already very profitable and unlikely to strong growth in the future.