Skip to Content
Morningstar

Honda: Fair Value Estimate Under Review

""

We are placing the fair value estimates for Honda’s 7267 Tokyo Stock Exchange shares and its New York Stock Exchange American Depository Receipt shares under review due to the company’s upcoming 3-1 stock split on the TSE. Honda has previously said the first day of trading with the split will be on Oct. 2, so we expect our TSE fair value estimate to change to JPY 1,700 per share from JPY 5,100 per share absent any additional impact of time value of money or other modeling adjustments. The ADR ratio will change to three TSE shares equal to one ADR from 1:1 currently. We plan to remove the under-review status on Oct. 2 after the NYSE opens that day.

The author or authors do not own shares in any securities mentioned in this article. Find out about Morningstar’s editorial policies.

More in Stocks

About the Author

David Whiston

Strategist
More from Author

David Whiston, CFA, CPA, CFE, is a strategist for Morningstar Research Services LLC, a wholly owned subsidiary of Morningstar, Inc. He covers the automotive industry, including dealerships, parts manufacturers, and automakers. He has covered the automotive industry since joining Morningstar in 2007.

Before Morningstar, Whiston spent four years in PricewaterhouseCoopers’ New York real estate audit practice and one year in its Chicago office working on real estate acquisition due diligence.

Whiston holds a bachelor’s degree in business administration with a concentration in accounting from the University of Richmond. He also holds a master’s degree in business administration with concentrations in finance, economics, and organizational behavior from the University of Chicago Booth School of Business. He holds the Chartered Financial Analyst® designation, and he is a Certified Public Accountant and a Certified Fraud Examiner. In 2012, he ranked first in the specialty retailers and services industry in The Wall Street Journal’s annual “Best on the Street” analysts survey. He ranked first in the same industry in 2011.

Sponsor Center