# Toyota Motor Corporation (TM) fundamentals

Data as of 2026-09-08. NYSE, United States. Sector: Consumer Cyclical / Automobiles. Price $197.11, market value $233.4 billion.

## Valuation
- **P/E (trailing): 8.9×** (5-yr avg 7.6×, 3-yr avg 0.1×). Toyota Motor Corporation trades at 8.9× trailing earnings, close to its own five-year average of 7.6×. The Consumer Cyclical median in the September 2026 study was 19.5×. Forward P/E is 12.5×, higher than trailing, so analysts expect earnings to fall.
- **Price / sales: 0.0×**. Each dollar of revenue is priced at 0.0×, a low multiple typical of thin-margin businesses or out-of-favour stocks.
- **Price / book: 0.0×**. The shares trade below book value, which can signal a bargain or a balance sheet the market doubts.
- **EV / EBITDA: 3.1×**. Enterprise value is 3.1× operating earnings before depreciation, the multiple that ignores how the company is financed; below 8× is inexpensive for most sectors.
- **Free-cash-flow yield: -523.9%** (5-yr avg -197.7%). Free cash flow is negative: the business is consuming cash, which is normal for heavy investment phases but a warning otherwise.
- **Earnings yield: 11.2%**. The inverse of the P/E: 11.2% of the price is earned each year.

## Profitability
- **Gross margin: 16.8%**. Toyota Motor Corporation keeps 16.8% of revenue after the direct cost of what it sells, a thin margin typical of retail, distribution and commodity businesses.
- **Operating margin: 7.1%**. 7.1% of revenue is left after running the business.
- **Net margin: 7.6%**. 7.6% of each dollar of sales reaches the bottom line.
- **Return on equity: 9.6%**. 9.6% on shareholders' equity is weak; the business earns little on the capital its owners have in it.
- **Return on invested capital: 4.4%**. Return on all capital, debt included, is 4.4%: close to or below the cost of capital, so growth may not create value.
- **Return on assets: 4.2%**. Each dollar of assets produces 4.2% of profit.

## Growth
- **Revenue growth (1 yr): 5.5%** (3-yr 10.9%/yr, 5-yr 195.2%/yr). Revenue grew 5.5% over the last year, against 195.2% a year compounded over five years: growth is slowing.
- **EPS growth (1 yr): -17.9%** (5-yr 385.0%/yr). Earnings per share fell 17.9%, slower than revenue, so margins compressed.

## Financial health
- **Debt to equity: 1.08**. Debt is 1.08 times equity, a leveraged balance sheet that needs steady cash flow to service.
- **Net debt / EBITDA: 3.1×**. It would take 3.1 years of operating earnings to repay net borrowings, above the 3× level most lenders treat as comfortable.
- **Interest coverage: 10.8×**. Operating profit covers interest 10.8× over, a safe margin.
- **Current ratio: 1.27** (quick 1.12). Current assets cover the next year's liabilities 1.27 times.
- **Altman Z-score: 1.23**. A Z-score of 1.23 is in the distress zone, a signal to examine the balance sheet closely.
- **Piotroski F-score: 6/9**. 6 of 9 checks pass: mixed.

## Dividends
- **Dividend yield: 3.18%** ($6.27 per share, trailing). Toyota Motor Corporation yields 3.18%, a modest yield more typical of a growth-oriented payer.
- **Payout ratio: 32%**. 32% of earnings goes out as dividends, leaving room to keep raising it.
- **Consecutive years of increases: 3**. 3 straight years of increases.
- **Dividend growth (5 yr): 6.7%/yr** (1-yr 7.2%). The dividend has grown 6.7% a year over five years.

## Price and momentum
- **Total return (1 yr): -0.3%** (YTD -7.9%, 3-mo 11.3%). The shares are down 0.3% over twelve months including dividends.
- **From 52-week high: -20.8%** (18.7% above the low). Trading 21% below its 52-week high.
- **200-day average: below**. The price sits below its 200-day moving average, the usual definition of a downtrend.
- **RSI (14-day): 61**. An RSI of 61 is neutral.
- **Beta (1 yr): 0.91** (volatility 26%). Beta of 0.91 against the S&P 500: the shares move roughly with the market.

Live score and charts: https://foliofundamentals.com/analyzer?s=TM · Page: https://foliofundamentals.com/stocks/tm

Not investment advice.