Toyota Motor Corporation (TM, Financial) is contemplating the production of its next-generation RAV4 SUVs in the United States. This strategic move is in response to tariff-related challenges impacting international trade dynamics. Originally, the automotive giant planned to supply the U.S. market with these vehicles from its facilities in Canada and Japan.
However, in light of potential tariff repercussions, the company is now evaluating the feasibility of manufacturing in Kentucky as an alternative. Despite this possible shift in production geography, insiders indicate that Toyota intends to maintain its current production levels in Canada, ensuring stability in its North American manufacturing footprint. This consideration forms part of Toyota's broader strategy to adapt to a changing global trade environment while mitigating potential cost implications.
Wall Street Analysts Forecast
Based on the one-year price targets offered by 2 analysts, the average target price for Toyota Motor Corp (TM, Financial) is $218.15 with a high estimate of $227.12 and a low estimate of $209.17. The average target implies an upside of 23.68% from the current price of $176.38. More detailed estimate data can be found on the Toyota Motor Corp (TM) Forecast page.
Based on the consensus recommendation from 3 brokerage firms, Toyota Motor Corp's (TM, Financial) average brokerage recommendation is currently 2.3, indicating "Outperform" status. The rating scale ranges from 1 to 5, where 1 signifies Strong Buy, and 5 denotes Sell.
Based on GuruFocus estimates, the estimated GF Value for Toyota Motor Corp (TM, Financial) in one year is $200.63, suggesting a upside of 13.75% from the current price of $176.38. GF Value is GuruFocus' estimate of the fair value that the stock should be traded at. It is calculated based on the historical multiples the stock has traded at previously, as well as past business growth and the future estimates of the business' performance. More detailed data can be found on the Toyota Motor Corp (TM) Summary page.
