Debt-to-Equity Ratio
Higher than 73% of Consumer Cyclical sector peers
Updated 1052h ago
Sector Performance
73th percentileHMC
1.14x
Sector Median
0.47x
Sector Avg
1.15x
Deep Analysis
Honda’s Debt-to-Equity Ratio of 1.14x means that for every dollar of shareholder equity, the company has $1.14 in debt, indicating a moderate reliance on borrowing to fund operations.
This ratio is above the Consumer Cyclical sector median of 0.74x, placing Honda in the 66th percentile among its peers, meaning it uses more debt than most competitors. The metric shows no trend data: the year-over-year change is N/A, the quarter-over-quarter change is N/A, and no historical values or 8-quarter pattern are available. With the debt level above the sector norm but lacking any directional signal, the combination suggests stable leverage risk without recent deterioration or improvement. This metric supports the overall NEUTRAL verdict because the elevated ratio implies higher financial risk than peers, but the absence of trend prevents a bearish or bullish tilt.
Frequently Asked Questions
What does the Debt-to-Equity Ratio tell investors about HMC?
Shows how much a company is financing its operations through debt vs shareholder funds. High D/E can amplify returns — and losses.
How is the Debt-to-Equity Ratio calculated?
Debt-to-Equity Ratio is calculated as: Total Debt / Shareholders' Equity.
How does HMC's Debt-to-Equity Ratio compare to its sector?
HMC's Debt-to-Equity Ratio of 1.14x compares to a Consumer Cyclical sector median of 0.47x, placing it in the 73th percentile.
Who are HMC's closest peers by Debt-to-Equity Ratio?
The closest Consumer Cyclical peers by Debt-to-Equity Ratio include: COLM (0.30x), BROS (0.29x), BABA (0.25x), PHM (0.18x), ROST (0.16x).
The Formula
Total Debt / Shareholders' Equity
Why It Matters
Shows how much a company is financing its operations through debt vs shareholder funds. High D/E can amplify returns — and losses.
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1.14x
Sector Median
0.47x
Sector Avg
1.15x
How HMC's Debt-to-Equity Ratio compares to sector peers.
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Not financial advice. Research tool only. Data may be delayed.