Honda Motor Co., Ltd. (ADR) (HMC)

Like Toyota, Honda Motors is cleaning up on the continued supidity of US automakers. While Ford and GM continue to focus on gimmcks, marketing, labor negotiations and disturbing tendency toward self immolation, the Japanese keep listening to the market and the market is answering back with enthusiasm. Ford and GM's timid foray into hybrid vehicles, pales in comparison to the efficiencies now available to the Japanese automakers who spent the past decade retooling their entire production lines in anticipation of demand for hybrid and high mileage vehicles. As a result Toyota and Honda can now produce hybrids on the same production lines as their conventional vehicles, a factor that will continue to reap huge rewards for both companies. American car companies will not be able to turn a profit on hybrids until the do the same. Normally vulnerable to the weakening of the dollar, these companies have profit margin to spare and will have no trouble pricing their products within the reach of American consumers. American car companies may just become a thing of the past as the Japanese continue to eat their lunch.

Honda largely steered clear of the bigger, heavier, V-8 engine SUV craze, and is beginning to see the benefits of that decision. Honda is also making a foray into the ultra light jet market, and given their history of innovations (they actually beat Toyota to market with a hybrid car, the Insight), I'm liking their chances.

Taking Lynch's view: I own a 7-year old Honda minivan with 90K miles - it will last another 10 years. I own a 16-year old Honda motorcycle, a ST1100. Its the most dependable machine I've ever seen. It will last me till I die. I'll replace my 5-year old Dodge with a Honda Civic when the time comes. And I strongly suspect I'm not the only one who thinks like this ...

Honda, like Toyota, is poised to benefit from the cost of gasoline, having invested in new technologies coming on line over the next years.
HMC and Toyota make more hybrids in common production than any other competitors, and are investing in fuel cells, for the next generation.
but Honda also makes emergency generators, jet engines, and motorcycles, all over the world, products that will benefit through any economic cycle. it's continuing investment in technology and innovation will keep it a vital company for years to come.

In 20 to 25 years, my eyes can only see two real choices when it comes to buying a vehicle....Toyota and, of course, Honda.

These two companies have been firing on all cylinders since the mid 80's and they've been leaving the competition stalled on the side of the road. Honda seems to be a little more diversified when compared to Toyota, but they still do what they do, and do it well.

Other automakers need to start tuning their engines, and fast or they're going to end up in the junkyard. In most cases, many are already there.

Makes the most durable, efficient gasoline motors in the world right now.

Toyota comes close, but no cigar.

Honda has consumer credit in the automobile market. The cars are well priced, long lasting, good looking, and get great gas milage.

Where Honda really excells though is the small motor department. Honda's motorcycles have been gaining incredible traction over the last ten years with excellent design that attracts 'value' buyers who can't afford Harley's. Honda additionally makes the best outboard motor boat on the market, and doesn't rest on its laurels, like some doomed US auto makers.

Topping it off, it has rock solid financials and a bar none cost structure.

Hell, all you have to do is drive a car to know which companies are winning the battle of the beltway. Honda, alongside Toyota continues to innovate, and sets the indusrty standard for reliability, service, and quality, not to mention GAS MILEAGE! I look for increased competition from the smaller Asian imports, however Honda maintains the necessary competitive advantage thanks inpart to strong repeat buyers.

I am a big ASIMO fan, and love the ASIMO videos. Especially the free one Honda gives away to schools to teach children to safely cross the street (http://asimo.honda.com/SafetyVideo.aspx). And when I read Honda's policies on things Environmental, the company went up about 9 notches on my appreciation scale (http://corporate.honda.com/environmentology/index.aspx). So any time Honda is in the low $30's, I am interested.

The Civic and the Accord are flying out
of the new car lots - there were 8 being
picked up when I picked up mine. Honda makes great affordable cars with
great gas mileage. They also know
lots about customer service.

Great company, good buy point.

Honda is a great car company and they have room to gain market share worldwide. They are innovative, environmentally concious and driven to make great products. Try and find an American automaker like that - good luck.

Honda is still producing great vehicles that people really want to drive. With new US plants coming on line, their shipping costs ought to decline.

Very high quality products in all fields, autos, motorcycles, marine engines and coming soon a small jet plane. Expanding rapidly in Asian markets.Innovative research efforts in hybrid technologies and in the field of hydrogen powered autos.

Honda doesn't gloat in it's tv commercials which is too bad. Honda has the best resale, among the safest and fuel efficient cars. Honda also is making infroads into business jets and eventually in solar panels. This is a great 10 year stock!

Domestic cars bad. Foreign cars good

People want their fuel-efficient cars more than ever. Their PE is 12, and they have a 1% dividend yield, so they'd likely match the market even if their 22% earnings growth stopped dead.

Isn't there like a 10 year wait on the new Civic SI?

Honda's also got the most innovative pick-up (Ridgeline) and the best affordable sports car outside of Germany (S2000). Not to mention, Honda's got hands down the most gorgeous car outside of the Aston Martin Factory (the Element).

(Just kidding. The element looks like Picasso designed it).

quality rivaled only by toyota, economical, solid reputation in asia, N. America and growing fast in S. America. Moto business booming worldwide, first rate powertools and generators. As consumer spending increases in many foreign countries, Honda product sales will get a boost.

Toyota, rapidly rising to be the #1 carmaker in the world, might have been a better bet. But it's up over 25% in the past year, and there's something reassuring about choosing the #2 guy-- like Avis says, he tries harder. Besides, with the worsening oil/gas crunch, Toyota's still perfecting its gasoliine-electric hybrids-- a near term solution-- but Honda's got a better long-term playbook, with both biodiesels and fuel-cell powerplants nearly ready for market. And ask anyone-- Honda's are simply more fun to drive. That will continue to bear out.