, I would recommend that an investor buy this stock. I found Nissan to be a good value based on the company's intrinsic value and other valuation ratios. Nissan seems to be in better financial shape than the automotive industry on a whole. .
Through the last twelve months Nissan has had a P/E ratio of 9.9. This shows that the company is trading at 9.9 times earnings per share, which are 1.39 (for the most previous quarter). The automotive industry's P/E is 10.7. Nissan is slightly undervalued compared to the rest of the industry. The S&P 500 index's P/E ratio came in at 21.2 for the most recent quarter. I believe this clearly shows that Nissan is undervalued compared to one of the most prominent indexes in the market. Nissan is also showing higher profitability than the industry average. The firm's ROA is 5.2% for fiscal year end. This number is slightly above the industry average of 3.4%, and the S&P 500 average of 4.7%. Nissan is making a higher profit per dollar of their assets than both the industry and the S&P 500. According to these two ratios, Nissan is outperforming both the automobile industry and the S&P 500.
Nissan made great progress this past year in terms of their debt and expenses. Two years ago Nissan had long-term debt of $15.62 billion. This number has been reduced $12.1 billion as reported in year-end financial statements. Nissan has also cut short-term debt from $12.42 billion (two years ago) to $10.71 billion. Nissan is showing that they are extremely confident in their growth prospects in North America. The company is building a new $930 million manufacturing plant in Canton, Mississippi. The plant is scheduled to begin production this summer. Nissan has also begun a $1 billion investment over the next 3 years, which will triple engine production at its Decherd, Tennessee plant. These large investments show that Nissan is confident that unit sales will continue to grow.
Ford Motor Company 3. ... Nissan 6. ... Chrysler Dodge Jeep Mercedes-Benz Ford Motor Company Ford Motor Company offers seven brands of automobiles in the United States. ... Acura Honda Nissan Nissan offers two brands of automobiles in the United States. ... (Although this analysis is only covering the United States.) ...
Some of General Motor's competitors in the auto industry are Ford Motor Company and Daimler/Chrysler. ... Competitors BMW, British Aerospace, Chrysler, Daimler-Benz, Fiat, Ford, Honda, Hyundai, Kia, Motors, Mazda, Mitsubishi, Nissan, PSA Peugeot Citroen, Renault, Suzuki, Toyota, Volkswagen and Volvo. ... SWOT Analysis Strengths Every organization has some strength. ... Whether these strengths are adequate is an issue for analysis. ... How badly these weaknesses will affect the company is a matter of analysis. ...
Consumers also have choices between Toyota and General Motors hybrid EV cars or electric battery cars from Chevy, Nissan, and Tesla. ... Internal Analysis Tesla Motors tangibles are divided by their outstanding market share, supercharging stations and their production facility in Fremont, CA. ... Tesla Motors has an outstanding strategy of outsourcing secondary components to keep lower costs. ... The increase in high demand for Tesla models is a result of the strong and growing brand equity of Tesla Motors. ... Targeting a niche market can be both beneficial and hurtful to the company. ...
.0 EXTERNAL ANALYSIS 1.1 Industry Characteristics and trends 1.1.1 Definition of the market Volkswagen AG. is a German automaker that operates in the global automotive industry as a manufacturer and distributor. ... And finally the exit barriers are high due to the large amount of investment is required. 1.3 Competitors Analysis The major competitors in the U.S. small car market were the top five brands, Chevrolet, Ford, Saturn, Toyota, Nissan, and Dodge. ... Table Competitor Analysis Main competitor Market Share and growth (%) Product Business directions, objective and Strateg...
Ford Motor Company Industry Analysis The automobile industry began with Henry Ford's production of the Model T in the early 1900's. ... Some of the other major examples of consolidation are Nissan selling off a controlling 37% interest to Renault; General Motor;s 49% ownership of Isuzu; and Ford;s 33% majority of Mazda. ... Firm Analysis General History of Ford: Ford Motor Company's first car was sold on July 23, 1903. ... Ford's finance subsidiary, Ford Motor Credit, was formed in 1959 and is the number one auto finance company worldwide. ... 33% stake in Mazda; 81% of...
Ford Motor Company versus Toyota Motor Company After completing an analysis of both Ford Motor Company and Toyota Motor Company, it was clear that both companies come from different backgrounds and have several diverse characteristics. ... Kiichiro Toyoda founded Toyota Motor Company in 1937. ... Other foreign manufacturers include: Honda, Nissan, Hyundai, and Kia. ... Ford Motor Company has had a fluctuating net income for the past five years. ... These brands provide a number of advantages to Ford Motor Company. ...
The profit of a business unit or a company is allocated to different products within the business unit or the company. ... DAIHATSU MOTORS Daihatsu Motors case shows that managers at all departments and all levels worked intensively to achieve the target cost goals. ... Value analysis was performed and quality and costs were balanced to reduce costs at both the design and mass manufacturing stage. ... This also causes problems with suppliers who must meet the tight standards set by the company. ... The example of Nissan substantiates the statement (Kato, 1995). ...
XM wants to provide quality service to people on the move, but they do not produce vehicles; so they have been partnering with the automobile and trucking corporations like Freightliner, General Motors, and SAAB. ... XM is challenging the traditional radio communications companies for a part of the existing market. ... Some companies think the slogan is disparaging and inappropriate to be heard on local radio. ... (XMSR.com) Extending Their Presence Among Car Companies Another part of XM's Growth Strategy was extending their presence among car companies. ... [XM] helps enhance...
During the last couple of years, car companies seem to have different ideas about the effectiveness of motor racing. Not too long ago, the three large Detroit car manufacturers (Ford, General Motors and Chrysler) used "Win on Sunday, Sell on Monday " as a motto. ... The last motive is the high entry barrier that manufacturers have when entering into motor sports. Due to the high cost involved in motor sports, many car companies only have one chance to be successful because they are only present with a factory sponsored team in one form of motor racing. ... Keeping in mind the above factors, it...
