Report
David Whiston, CFA, CPA, CFE
EUR 101.80 For Business Accounts Only

Faulty Takata air bags will remain a storm cloud for Honda, and the company has no desire to merge.

We are not changing our moat or fair value estimate for Honda after incorporating its fourth-quarter fiscal 2017 results into our model. The company rebounded from the JPY 63.8 billion operating loss in fiscal 2016’s fourth quarter to post a JPY 138.1 billion operating profit to close out fiscal 2017. The prior year’s quarter had JPY 436 billion in repair accruals for the Takata airbag recall, so the absence of these charges played a key role in the improvement with a JPY 223.9 billion SG&A ...
Underlying
Honda Motor Co. Ltd.

Honda Motor is the parent company of a group mainly develop, manufacture and distribute motorcycles, automobiles, power products, and also provide financing for the sale of those products. Principal manufacturing facilities are located in Japan, the United States of America, Canada, Mexico, the United Kingdom, Turkey, China, India, Indonesia, Malaysia, Thailand, Vietnam, Argentina, and Brazil. Co.'s principal business segments are motorcycles, automobiles, financial services, and power products & other business. Co.'s principal automobile products include passenger cars such as "Legend," "Accord," "Inspire," "Civic," "Insight," "City," "Acura RL," "Acura TL," "Acura TSX," and "Acura CSX".

Provider
Morningstar
Morningstar

Morningstar, Inc. is a leading provider of independent investment research in North America, Europe, Australia, and Asia. The company offer an extensive line of products and services for individual investors, financial advisors, asset managers, and retirement plan providers and sponsors.

Morningstar provides data on approximately 530,000 investment offerings, including stocks, mutual funds, and similar vehicles, along with real-time global market data on more than 18 million equities, indexes, futures, options, commodities, and precious metals, in addition to foreign exchange and Treasury markets. Morningstar also offers investment management services through its investment advisory subsidiaries and had approximately $185 billion in assets under advisement and management as of June 30, 2016.

We have operations in 27 countries.

Analysts
David Whiston, CFA, CPA, CFE

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