Japanese carmakers turn the corner

Article Excerpt

Thanks to a better supply of computer chips, controlling a variety of vehicle functions such as power steering and braking, Toyota and Honda are once again increasing their production. They are also benefitting from the low value of the Japanese yen, which makes their products more affordable in other countries. Moreover, both are ramping up their production of electric vehicles to meet rising demand. TOYOTA MOTOR CO. ADRs $147 is a buy. The stock (New York symbol TM; Conservative Growth Portfolio, Manufacturing & Industry sector; ADRs outstanding: 1.4 billion; Market cap: $205.8 billion; Price-to-sales ratio: 0.8; Dividend yield: 2.9%; TSINetwork Rating: Above Average; www.toyota.com) gives you exposure to the world’s largest automaker. Toyota’s sales in its fiscal 2023 second quarter, ended September 30, 2022, rose 10.3%, to 2.15 million vehicles from 1.95 million a year earlier. Revenue in Japanese yen improved 22.2% from a year earlier. However, revenue in U.S. dollars fell 15.3%, to $58.1 billion from $68.6 billion, on a sharp rise in the U.S….