Honda Reports Decline in Profits Amid EV Market Challenges

An update from Honda Motor Company ( (HMC) ) is now available.

Honda Motor Co., Ltd. reported a decrease in consolidated sales revenue by 1.5% to ¥10,632.6 billion for the six months ending September 30, 2025, primarily due to negative foreign currency translation effects. Despite a 3.7% increase in motorcycle unit sales, operating profit fell by 41% due to changes in the electric vehicle market environment and tariff impacts. The company’s overall profit before income taxes and profit attributable to owners of the parent also saw significant declines. The motorcycle business showed growth with a 6.1% increase in sales revenue, while the automobile segment experienced a decline in unit sales.

The most recent analyst rating on (HMC) stock is a Buy with a $35.00 price target. To see the full list of analyst forecasts on Honda Motor Company stock, see the HMC Stock Forecast page.

Spark’s Take on HMC Stock

According to Spark, TipRanks’ AI Analyst, HMC is a Outperform.

Honda Motor Company’s overall stock score reflects a strong financial foundation and attractive valuation, which are offset by technical indicators suggesting potential short-term challenges. The upward revision of profit forecasts and a solid dividend yield are positive, but ongoing issues in the automobile segment and external challenges like tariffs and currency effects weigh on the outlook.

To see Spark’s full report on HMC stock, click here.

More about Honda Motor Company

Honda Motor Co., Ltd. is a leading company in the automotive and motorcycle industry, known for manufacturing automobiles, motorcycles, and power equipment. The company has a significant market presence globally, with a focus on innovation in the electric vehicle sector.

Average Trading Volume: 860,790

Technical Sentiment Signal: Buy

Current Market Cap: $41.13B

Find detailed analytics on HMC stock on TipRanks’ Stock Analysis page.