Honda Motor Co Ltd ADR (HMC)vsFerrari NV (RACE)
HMC
Honda Motor Co Ltd ADR
$26.70
-4.40%
CONSUMER CYCLICAL · Cap: $34.64B
RACE
Ferrari NV
$346.99
+2.22%
CONSUMER CYCLICAL · Cap: $65.14B
Smart Verdict
WallStSmart Research — data-driven comparison
Honda Motor Co Ltd ADR generates 302501% more annual revenue ($21.80T vs $7.20B). RACE leads profitability with a 22.2% profit margin vs -1.9%. HMC appears more attractively valued with a PEG of 3.45. RACE earns a higher WallStSmart Score of 50/100 (C-).
HMC
Hold39
out of 100
Grade: F
RACE
Buy50
out of 100
Grade: C-
Intrinsic Value Comparison
Multi-model valuation · Graham Formula
Intrinsic value data unavailable for HMC.
Margin of Safety
-50.1%
Fair Value
$243.88
Current Price
$346.99
$103.11 premium
Key Strengths & Concerns
Side-by-side fundamental analysis
Key Strengths
Reasonable price relative to book value
Generating 235.6B in free cash flow
Every $100 of equity generates 39 in profit
Large-cap with strong market position
Keeps 22 of every $100 in revenue as profit
Strong operational efficiency at 29.5%
Areas to Watch
Elevated debt levels
Weak financial health signals
Expensive relative to growth rate
ROE of -3.7% — below average capital efficiency
Premium valuation, high expectations priced in
Trading at 13.1x book value
3.2% revenue growth
1.3% earnings growth
Comparative Analysis Report
WallStSmart ResearchBull Case : HMC
The strongest argument for HMC centers on Price/Book, Free Cash Flow.
Bull Case : RACE
The strongest argument for RACE centers on Return on Equity, Market Cap, Profit Margin. Profitability is solid with margins at 22.2% and operating margin at 29.5%.
Bear Case : HMC
The primary concerns for HMC are Debt/Equity, Piotroski F-Score, PEG Ratio.
Bear Case : RACE
The primary concerns for RACE are P/E Ratio, Price/Book, Revenue Growth.
Key Dynamics to Monitor
HMC profiles as a turnaround stock while RACE is a value play — different risk/reward profiles.
RACE carries more volatility with a beta of 0.59 — expect wider price swings.
HMC is growing revenue faster at 8.6% — sustainability is the question.
HMC generates stronger free cash flow (235.6B), providing more financial flexibility.
Bottom Line
RACE scores higher overall (50/100 vs 39/100), backed by strong 22.2% margins. Both earn "Buy" and "Hold" ratings respectively — the choice depends on your investment horizon and risk tolerance.
This analysis is generated from publicly available financial data. Not financial advice.
Honda Motor Co Ltd ADR
CONSUMER CYCLICAL · AUTO MANUFACTURERS · USA
Honda Motor Co., Ltd. develops, manufactures, and distributes motorcycles, automobiles, electrical products, and other products in Japan, North America, Europe, Asia, and internationally. The company is headquartered in Tokyo, Japan.
Visit Website →Ferrari NV
CONSUMER CYCLICAL · AUTO MANUFACTURERS · USA
Ferrari NV designs, designs, produces and sells high performance sports cars. The company is headquartered in Maranello, Italy.
Compare with Other AUTO MANUFACTURERS Stocks
Want to dig deeper into these stocks?