Hino Motors (7205) AI Stock Analysis

• Market Cap: $220.43B
• Dividend Yield: N/A
• Average Volume (3M): 4.37M
• Price to Earnings (P/E): ―
• Beta (1Y): 0.81
• Revenue Growth: 6.11%
• EPS Growth: -710.91%
• Country: JP
• Employees: 34,072
• Sector: Industrials
• Sector Strength: 72
• Industry: Auto - Manufacturers
• EPS (TTM): 23.61
• Shares Outstanding: 574,580,900
• 10 Day Avg. Volume: 3,824,310
• 30 Day Avg. Volume: 4,372,886
• PEG Ratio: N/A
• Price to Book (P/B): N/A
• Price to Sales (P/S): N/A
• P/FCF Ratio: N/A
• Enterprise Value/Market Cap: 2.69
• Enterprise Value/Revenue: 0.35
• Enterprise Value/Gross Profit: 2.00
• Enterprise Value/Ebitda: -9.63
• 1Y Price Target: $374.47
• Price Target Upside: -2.86% Downside
• Rating Consensus: Hold
• Number of Analyst Covering: 2

• Rating: 43 Neutral
• Price Target: ¥372.00 ▼(-3.50% Downside)

Hino Motors' overall stock score is primarily impacted by its weak financial performance and poor valuation metrics. The company's high leverage and net losses are significant concerns. Technical analysis provides some mixed signals, but the negative P/E ratio and lack of dividend yield weigh heavily on the stock's attractiveness.

Hino Motors Business Overview & Revenue Model

Company Description

Hino Motors, Ltd. manufactures and sells large commercial vehicles under the Hino brand worldwide. It offers trucks and buses; and light commercial vehicles and passenger vehicles, as well as automotive and industrial diesel engines, vehicle parts, and others. The company was founded in 1910 and is headquartered in Hino, Japan. Hino Motors, Ltd. is a subsidiary of Toyota Motor Corporation.

How the Company Makes Money

Hino Motors generates revenue through the sale of its commercial vehicles, including trucks and buses, which are the core products of its business. The company operates in various regions across the globe, including Asia, North America, and Europe, allowing it to tap into diverse markets for vehicle sales. In addition to new vehicle sales, Hino Motors earns income from offering spare parts and after-sales services, which contribute to a recurring revenue stream. The company also benefits from its association with Toyota Motor Corporation, which enhances its brand credibility and provides synergies in research and development, manufacturing, and distribution. Hino's strategic partnerships and joint ventures in different regions further bolster its market presence and financial performance.

Hino Motors Financial Statement Overview

Summary

Hino Motors is facing a challenging financial period with significant net losses and high leverage. Despite some revenue growth, the company struggles with profitability and cash flow generation. The balance sheet shows high debt levels, indicating potential risks in financial stability.

Income Statement

Hino Motors has shown inconsistent profitability over the years, with a net income loss in recent periods. The gross profit margin for 2025 is approximately 17.4%, showing adequate operational profitability. However, a significant net loss in 2025 results in a negative net profit margin. Revenue growth from 2024 to 2025 was 11.9%, indicating some top-line improvement.

Balance Sheet

The company's balance sheet reflects high leverage, with a debt-to-equity ratio of approximately 2.37 in 2025, indicating significant financial risk. The equity ratio is about 12.1%, suggesting a moderate level of equity financing relative to total assets. Return on equity is negative due to net losses, highlighting challenges in generating returns for shareholders.

Cash Flow

Hino Motors faces cash flow difficulties with negative free cash flow in recent periods, though there was a minimal improvement in operating cash flow in 2025. The free cash flow to net income ratio is negative, suggesting inefficiencies in converting income into cash. The operating cash flow to net income ratio is significantly positive in 2025, due to a high level of non-cash expenses.

Breakdown	TTM	Dec 2024	Dec 2023	Dec 2022	Dec 2021	Dec 2020
Income Statement
Total Revenue	1.70T	1.70T	1.52T	1.51T	1.46T	1.50T
Gross Profit	295.71B	295.71B	233.58B	239.66B	250.51B	212.83B
EBITDA	-61.58B	-117.73B	111.18B	-25.44B	26.32B	67.00B
Net Income	-217.75B	-217.75B	17.09B	-117.66B	-84.73B	-7.49B
Balance Sheet
Total Assets	1.48T	1.48T	1.46T	1.36T	1.26T	1.23T
Cash, Cash Equivalents and Short-Term Investments	193.60B	193.60B	76.95B	82.15B	66.25B	56.19B
Total Debt	422.47B	422.47B	389.68B	305.78B	170.99B	182.14B
Total Liabilities	1.23T	1.23T	1.00T	928.33B	742.35B	626.62B
Stockholders Equity	178.47B	178.47B	392.05B	367.91B	458.17B	554.25B
Cash Flow
Free Cash Flow	0.00	-60.86B	-186.21B	-108.06B	45.21B	49.41B
Operating Cash Flow	0.00	1.13B	-110.41B	-40.80B	106.71B	108.43B
Investing Cash Flow	0.00	-4.60B	39.24B	-60.26B	-62.18B	-56.21B
Financing Cash Flow	0.00	29.74B	55.64B	114.21B	-39.15B	-38.41B

Hino Motors Technical Analysis

• Technical Analysis Sentiment: Negative
• Last Price: 385.50
• 50DMA: Positive
• 100DMA: Negative
• 200DMA: Negative
• MACD: Positive
• RSI: Neutral
• STOCH: Neutral

Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For JP:7205, the sentiment is Negative. The current price of 385.5 is below the 20-day moving average (MA) of 391.99, above the 50-day MA of 382.39, and below the 200-day MA of 439.64, indicating a neutral trend. The MACD of 0.60 indicates Positive momentum. The RSI at 47.30 is Neutral, neither overbought nor oversold. The STOCH value of 22.87 is Neutral, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Negative sentiment for JP:7205.

Hino Motors Peers Comparison

Name	Overall Rating	Market Cap	P/E Ratio	ROE	Dividend Yield	Revenue Growth	EPS Growth
Sector *	63 Neutral	$10.84B	15.52	7.40%	2.00%	2.86%	-14.57%
7205	43 Neutral	$220.43B	―	-72.36%	―	6.11%	-710.91%
MMTOF	―	$4.08B	50.09	1.30%	3.59%	―	―
ISUZF	―	$9.48B	10.57	9.10%	5.44%	―	―
MZDAF	―	$4.81B	37.75	1.11%	4.78%	―	―
NSANF	―	$8.49B	12.42	-15.23%	5.64%	―	―
7222	61 Neutral	¥169.45B	28.00		1.03%	26.05%	―

Hino Motors Corporate Events

Hino Motors Sets Record Date for Shareholder Meeting on Business Integration

Hino Motors has announced the establishment of a record date for an extraordinary general meeting of shareholders, set for September 30, 2025. This meeting, scheduled for November 2025, will address the business integration with Mitsubishi Fuso Truck and Bus Corporation, a move that could significantly impact the company’s strategic direction and market positioning.

The most recent analyst rating on (JP:7205) stock is a Hold with a Yen372.00 price target. To see the full list of analyst forecasts on Hino Motors stock, see the JP:7205 Stock Forecast page.

Hino Motors to Transfer Hamura Plant to Toyota

Hino Motors has announced the incorporation of a new subsidiary, Toyota Motor Hamura, Inc., as part of a strategic move to transfer its Hamura Plant to Toyota Motor Corporation. This transfer, scheduled for April 1, 2026, involves the establishment of the new company, which will initially be wholly owned by Hino Motors before the shares are transferred to Toyota. The move is part of a broader business integration strategy and is contingent upon regulatory approvals.

The most recent analyst rating on (JP:7205) stock is a Hold with a Yen372.00 price target. To see the full list of analyst forecasts on Hino Motors stock, see the JP:7205 Stock Forecast page.

Hino Motors Reports Strong Profit Recovery Despite Sales Decline

Hino Motors announced the completion of an independent auditor’s review of its consolidated financial statements for the first quarter ending March 31, 2026. Despite a decline in net sales by 11.4% compared to the previous year, the company reported a significant increase in operating and ordinary income, highlighting a strong recovery in profitability. The results indicate a positive shift in financial health, with comprehensive income showing a substantial rise, which could strengthen Hino Motors’ position in the market.

The most recent analyst rating on (JP:7205) stock is a Hold with a Yen380.00 price target. To see the full list of analyst forecasts on Hino Motors stock, see the JP:7205 Stock Forecast page.

Hino Motors Shows Strong Profit Growth Despite Sales Decline

Hino Motors reported its financial results for the first quarter of the fiscal year ending March 31, 2026, showing a decline in net sales by 11.4% compared to the previous year. However, the company experienced significant growth in operating and ordinary income, with increases of 165.4% and 279.5%, respectively. This indicates improved operational efficiency and profitability despite the drop in sales. The equity ratio also improved from 12.1% to 14.6%, reflecting a stronger financial position. These results suggest a positive outlook for stakeholders, with the company maintaining its financial health and operational effectiveness.

The most recent analyst rating on (JP:7205) stock is a Hold with a Yen420.00 price target. To see the full list of analyst forecasts on Hino Motors stock, see the JP:7205 Stock Forecast page.

Hino Motors Announces Change in Parent Company Status Amid Business Integration

Hino Motors announced that Toyota Motor Corporation, which currently holds a 50.2% voting stake in Hino, will transition from being its parent company to a major shareholder following a business integration with Mitsubishi Fuso Truck and Bus Corporation, effective April 1, 2026. This integration will result in the formation of a new holding company, impacting Hino’s operational dynamics and its relationship with Toyota. Despite the close ties and financial support from Toyota, Hino maintains a significant level of independence through its HINO brand, which represents the majority of its sales.

The most recent analyst rating on (JP:7205) stock is a Hold with a Yen420.00 price target. To see the full list of analyst forecasts on Hino Motors stock, see the JP:7205 Stock Forecast page.

Hino Motors Transfers Hamura Plant to Toyota to Boost Competitiveness

Hino Motors has announced the transfer of its Hamura Plant to Toyota Motor Corporation as part of a strategic move to enhance competitiveness in the commercial vehicle industry. This transfer is aligned with Hino’s business integration with Mitsubishi Fuso Truck and Bus Corporation, aiming to optimize role-sharing with Toyota and contribute to a sustainable mobility society. The Hamura Plant, with its long history of manufacturing expertise, will continue to play a crucial role in Toyota’s mission to produce high-quality vehicles.

The most recent analyst rating on (JP:7205) stock is a Hold with a Yen420.00 price target. To see the full list of analyst forecasts on Hino Motors stock, see the JP:7205 Stock Forecast page.