Honda Motor Co (NYSE:HMC) Stock

Honda Motor Co

Incorporated in 1948, Honda Motor was originally a motorcycle manufacturer. Today, the firm makes automobiles, motorcycles, and power products such as boat engines, generators, and lawnmowers. Including joint ventures, Honda sold 4.1 million light vehicles and 18.8 million motorcycles in fiscal 2024, and consolidated sales were JPY 20.4 trillion. Automobiles constitute 66% of revenue and motorcycles 16%, with the rest split between power products and financial services. Honda also makes robots and private jets.

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U.S. President Donald Trump has announced his intention to impose a 25% tariff on auto imports, alongside chips and pharmaceuticals, causing a stir in international trade.

Trump Announces 25% Tariff On Auto Imports, Chips And Pharmaceuticals, Shaking Global Trade: Nvidia, Apple, TSMC And Others In Focus

Honda. Image Via Shutterstock

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Honda Motor Co. is willing to resume merger negotiations with Nissan Motor Co. if CEO Makoto Uchida steps down. 

Honda Open To Reviving Nissan Merger Talks If CEO Uchida Steps Down, Creating Fourth-Largest Global Automaker

Honda’s Performance

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Honda Motor Company Ltd. (NYSE: HMC) shares are moving higher Friday following the company&#39;s release of its fiscal third-quarter financial results and the announcement that it terminated merger discussions with Nissan Motor Co., Ltd.

Honda Shares Are Up Today: What&#39;s Going On?

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U.S. President Donald Trump has announced his intention to impose a 25% tariff on auto imports, alongside chips and&nbsp;pharmaceuticals, causing a stir in international trade.
What Happened: Trump disclosed on Tuesday his plan to implement auto tariffs &#8220;in the neighborhood of 25%&#8221;. These tariffs are anticipated to take effect as early as April 2, following a report from his cabinet members outlining options for import duties, according to a&nbsp;Reuters report&nbsp;today. 
The President also announced that sectoral tariffs on pharmaceuticals and semiconductor chips would start at &#8220;25% or higher&#8221; and rise substantially during the course of a year. He did not specify a date for announcing those duties, stating that he wanted to allow drug and chip manufacturers time to establish U.S. factories and avoid tariffs.
Trump also declared that he anticipated some of the world&#8217;s largest companies would announce new investments in the U.S. within the next few weeks.
Following this announcement, Asian stocks retreated after a five-day rally due to increasing trade tensions and geopolitical uncertainty. The MSCI Asia Pacific Index dipped slightly, driven by declines in stocks from Hong Kong and Japan, particularly Japanese automakers like Toyota Motor Corp (NYSE:<a class="ticker" href="https://www.benzinga.com/stock/TM#NYSE">TM</a>) and Honda Motors (NYSE:<a class="ticker" href="https://www.benzinga.com/stock/HMC#NYSE">HMC</a>). However, semiconductor stocks rose in China.
Meanwhile, Tesla Inc&#8216;s (NASDAQ:<a class="ticker" href="https://www.benzinga.com/stock/TSLA#NASDAQ">TSLA</a>) Chinese rivals NIO Inc. (NYSE:<a class="ticker" href="https://www.benzinga.com/stock/NIO#NYSE">NIO</a>), Li Auto Inc. (NASDAQ:<a class="ticker" href="https://www.benzinga.com/stock/LI#NASDAQ">LI</a>), and BYD (OTC:<a class="ticker" href="https://www.benzinga.com/stock/BYDDF#OTC">BYDDF</a>) ended mixed on Wednesday. 
SEE ALSO:<a href="https://www.benzinga.com/markets/cryptocurrency/25/02/43805107/vivek-ramaswamy-foresees-bitcoin-as-a-more-common-corporate-treasury-holding-as-era-of-easy-money-ends"> Vivek Ramaswamy Foresees Bitcoin As A &#8216;More Common&#8217; Corporate Treasury Holding As Era Of Easy Money Ends</a>
Why It Matters: Trump has consistently expressed his dissatisfaction with what he perceives as the unfair treatment of U.S. automotive exports in international markets. A 25% auto import tariff would heavily impact the global auto industry, which is already facing uncertainty due to Trump&#8217;s tariff policies. Notably, Trump, during his first term, threatened to impose a similar 25% car tariff but ultimately refrained from doing so.
Last week, Trump was considering imposing a tariff of up to <a href="https://www.benzinga.com/25/02/43660030/trump-tariff-threats-put-pressure-on-taiwan-semiconductor-could-push-advanced-packaging-capacity-to-us">100% on Taiwanese semiconductors </a>to make the U.S. self-reliant. On this, Stephen Ezell,&nbsp; vice president for global innovation policy at the&nbsp;Information Technology and Innovation Foundation (ITIF) told CNA, &#8220;It would have a very significant and very deleterious impact on the business models of companies like Apple Inc. (NASDAQ:<a class="ticker" href="https://www.benzinga.com/stock/AAPL#NASDAQ">AAPL</a>) and Nvidia Corp.(NASDAQ:<a class="ticker" href="https://www.benzinga.com/stock/NVDA#NASDAQ">NVDA</a>) that rely on TSMC (NYSE:<a class="ticker" href="https://www.benzinga.com/stock/TSM#NYSE">TSM</a>) (for their chip manufacture.&#8221;
Previously, Kevin O&#8217;Leary, a Shark Tank investor, voiced his frustration over Canada&#8217;s trade situation with the U.S. suggesting that <a href="https://www.benzinga.com/startups/25/02/43729940/trumps-tariffs-could-raise-taxes-by-1-trillion-kevin-oleary-calls-it-the-beginning-of-a-negotiation">Trump&#8217;s tariffs could raise taxes by $1 trillion</a>. These developments underscore the potential economic implications of Trump&#8217;s tariff policies.
<ul>
<li>READ MORE: <a href="https://www.benzinga.com/tech/25/02/43805175/elon-musks-tesla-prepares-for-india-expansion-engineer-confirms-hiring-push-we-are-looking-for-motivated-talent-to-help-us">Elon Musk&#8217;s Tesla Prepares For India Expansion, Engineer Confirms Hiring Push: &#8216;We Are Looking For Motivated Talent To Help Us…&#8217;</a></li>
</ul>
Image via Shutterstock
Disclaimer:&nbsp;This content was partially produced with the help of AI tools and was reviewed and published by Benzinga editors.

Honda Motor Co. (NYSE:<a class="ticker" href="https://www.benzinga.com/stock/HMC#NYSE">HMC</a>) is willing to resume merger negotiations with Nissan Motor Co. (OTC:<a class="ticker" href="https://www.benzinga.com/stock/NSANY#OTC">NSANY</a>) if CEO Makoto Uchida steps down. 
What Happened: The potential combination would create the world&#8217;s fourth-largest automaker, though previous talks collapsed over Honda&#8217;s demand for full ownership rather than an equal partnership, <a href="https://www.ft.com/content/bddf8c35-5594-49f1-9855-674ba449514b">reported</a> Financial Time, citing sources.
Uchida, who faces pressure to depart after the failed $58 billion deal, has expressed willingness to leave before his planned 2026 exit if asked, though he prefers to stay until Nissan&#8217;s recovery. 
The company faces mounting challenges, having burned through ¥506 billion ($6.6 billion) in the first nine months of its fiscal year despite holding ¥1.2 trillion ($15.65 billion) in net cash.
See Also: <a href="https://www.benzinga.com/news/25/02/43767326/after-being-punched-for-driving-a-cybertruck-this-tesla-owner-is-leaving-1-bills-on-other-cybertrucks-to-spread-the-love">After Being &#8216;Punched For Driving A Cybertruck,&#8217; This Tesla Owner Is Leaving $1 Bills On Other Cybertrucks To &#8216;Spread The Love&#8217;</a>
Why It Matters: While Foxconn has expressed <a href="https://www.benzinga.com/markets/equities/25/02/43685566/apple-supplier-foxconn-considers-buying-nissan-shares-but-only-if-an-ev-deal-is-in-place">interest in acquiring Nissan shares</a>, other potential investors including KKR &amp; Co. and U.S. automakers are evaluating opportunities. Renault (OTC:<a class="ticker" href="https://www.benzinga.com/stock/RNLSY#OTC">RNLSY</a>), which owns 36% of Nissan, is exploring options to sell its stake at a premium. 
Mizuho Financial Group, Nissan&#8217;s main bank, is actively seeking funding solutions involving private equity groups to support the automaker&#8217;s liquidity needs.
The top three automakers by global sales are Toyota Motor Corp. (NYSE:<a class="ticker" href="https://www.benzinga.com/stock/TM#NYSE">TM</a>), Volkswagen AG (OTC:<a class="ticker" href="https://www.benzinga.com/stock/VWAGY#OTC">VWAGY</a>), and Stellantis NV (NYSE:<a class="ticker" href="https://www.benzinga.com/stock/STLA#NYSE">STLA</a>), followed by Ford Motor Co. (NYSE:<a class="ticker" href="https://www.benzinga.com/stock/F#NYSE">F</a>) and General Motors Co. (NYSE:<a class="ticker" href="https://www.benzinga.com/stock/GM#NYSE">GM</a>), according <a href="https://www.statista.com/statistics/316786/global-market-share-of-the-leading-automakers/">to</a> data from Statista.
Price Action: Honda Motor&#8217;s stock is trading at 1,427 Japanese Yen ($9.41) on the Tokyo Exchange, up 0.25% as of 10:34 AM local time on Tuesday, after initially dipping to 1,410 Japanese Yen ($9.29). Meanwhile, Nissan Motor&#8217;s stock is up 5.28%, trading at 446 Japanese Yen ($2.94).
Read Next: 
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<li><a href="https://www.benzinga.com/markets/cryptocurrency/25/02/43759418/robert-kiyosaki-predicts-wall-street-crash-and-layoffs-prepare-for-market-crash-depression-and-war">Robert Kiyosaki Predicts Wall Street Crash and Layoffs: &#8216;Prepare for Market Crash, Depression and War&#8217;</a></li>
</ul>
Image Via Shutterstock
Disclaimer:&nbsp;This content was partially produced with the help of AI tools and was reviewed and published by Benzinga editors.

Honda Motor Company Ltd. (NYSE:<a class="ticker" href="https://www.benzinga.com/stock/HMC#NYSE">HMC</a>) shares are moving higher Friday following the company's third-quarter financial results and the announcement that it terminated <a href="https://www.benzinga.com/25/02/43695619/honda-calls-off-nissan-merger-reports-89-sales-growth-maintains-profit-outlook-despite-lower-eps">merger discussions </a>with Nissan Motor Co., Ltd.
What To Know: Honda reported earnings per share of ¥169.69 ($1.11) for the nine-month period, down from ¥176.78 in the same period a year ago, despite sales increasing 8.9% to ¥16.3 trillion. The company raised its full-year FY25 sales guidance by ¥600 billion to ¥21.6 trillion.
Key takeaways include:
<ul>
<li>Honda reported an operating profit of ¥1,139.9 billion for the nine months ended December 31, 2024, with a 7.0% operating margin.</li>
<li>Motorcycle sales exceeded 15.5 million units, while automobile sales fell by 297,000 units due to weak performance in Asia, particularly China.</li>
<li>Fiscal year 2025 forecasts remain unchanged, with a projected operating profit of ¥1,420.0 billion and profit for the year of ¥950.0 billion.</li>
<li>Honda revised its automobile sales guidance downward to 3.75 million units, while motorcycle sales guidance was adjusted upward to reflect record expectations.</li>
<li>The company has acquired ¥184.9 billion in shares as part of a ¥1.1 trillion buyback plan.</li>
</ul>
Honda also confirmed it terminated merger discussions with Nissan. They companies were reportedly in disagreement over the proposed structure, which included shifting from a joint holding company to making Honda the parent company and Nissan a subsidiary. Instead, both companies will continue collaborating through a strategic partnership focused on electrification and intelligent vehicles.
Following the termination of the merger talks, Nissan may see new investment opportunities. Reports indicate that private equity firm KKR &amp; Co. Inc. is planning to invest in Nissan, while Foxconn Technology Group has expressed interest in acquiring Renault's stake in Nissan as part of its broader EV manufacturing strategy.
HMC Price Action: Honda shares were up 2.56% at $28.67 at the time of writing, according to<a href="https://pro.benzinga.com/dashboard?new_user=False&amp;backend=google-oauth2"> Benzinga Pro.</a>
<figure class="wp-block-image size-large is-resized"><a href="https://bzresearch.myclickfunnels.com/benzinga-pro-content-webinar-registration/?utm_source=BZprocontent021425&amp;t=be2bearmibe3na1"><img loading="lazy" decoding="async" width="1024" height="528" src="https://editorial-assets.benzinga.com/wp-content/uploads/2025/02/14113628/Screenshot-2025-02-14-at-11.36.07-1024x528.png" alt="" class="wp-image-783536" style="width:473px;height:auto" srcset="https://editorial-assets.benzinga.com/wp-content/uploads/2025/02/14113628/Screenshot-2025-02-14-at-11.36.07-1024x528.png 1024w,https://editorial-assets.benzinga.com/wp-content/uploads/2025/02/14113628/Screenshot-2025-02-14-at-11.36.07-300x155.png 300w,https://editorial-assets.benzinga.com/wp-content/uploads/2025/02/14113628/Screenshot-2025-02-14-at-11.36.07-768x396.png 768w,https://editorial-assets.benzinga.com/wp-content/uploads/2025/02/14113628/Screenshot-2025-02-14-at-11.36.07-1536x792.png 1536w,https://editorial-assets.benzinga.com/wp-content/uploads/2025/02/14113628/Screenshot-2025-02-14-at-11.36.07.png 1543w" sizes="(max-width: 1024px) 100vw, 1024px" /></a></figure>
Read Next:
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<li>US Retail Sales Fall More Than Expected In January, Raise Growth Concerns</li>
</ul>
Image via Flickr.

Honda Shares Are Up Today: What's Going On?

WIIM

Honda Motor shares are trading higher on possible continued strength after reporting better-than-expected Q3 financial results yesterday. Additionally, the stock may be moving higher after announcing it called off its merger talks with Nissan.

Honda Motor Company, Ltd. (NYSE:<a class="ticker" href="https://www.benzinga.com/stock/HMC#NYSE">HMC</a>) shares are trading higher on Thursday. The company reported results for nine months and <a href="https://global.honda/en/newsroom/news/2025/c250213aeng.html" target="_blank" rel="noreferrer noopener">disclosed </a>the termination of business integration talks with Nissan Motor Co., Ltd. (OTC:<a class="ticker" href="https://www.benzinga.com/stock/NSANY#OTC">NSANY</a>).
The company disclosed the cancellation of the previously inked memorandum of understanding (MOU) for business <a target="_blank" href="https://www.benzinga.com/markets/asia/25/02/43517930/nissan-ceo-seeks-to-end-honda-merger-talks-report" rel="noreferrer noopener">integration with Nissan Motor.</a>
Notably, last December, both companies confirmed their merger plans at a joint press conference and said they aim for a&nbsp;<a target="_blank" href="https://www.benzinga.com/24/12/42653466/honda-nissan-plan-to-merge-in-the-face-of-chinese-ev-competition" rel="noreferrer noopener">completion date of August 2026</a>.
The companies were considering including&nbsp;Mitsubishi Motors in the new consolidated company. If successful, the merger would have created the world&#8217;s third-largest automobile group based on global sales volume.&nbsp;
Since signing the MOU, both companies&#8217; management teams, including their CEOs, have evaluated the market environment, integration objectives, and post-merger strategies.
They also conducted consultations with key stakeholders before making the decision to discontinue the discussions.
During discussions, Honda proposed shifting from the initially outlined joint holding company—where it would appoint the majority of directors and the CEO—to a structure in which Honda would become the parent company and Nissan the subsidiary through a share exchange.
However, both companies determined that, given the need for rapid decision-making and execution in an increasingly volatile market driven by electrification, it was best to terminate the MOU.
Moving forward, Nissan and Honda plan to collaborate through a strategic partnership focused on intelligence and electrified vehicles.
With the termination of the deal, the private equity firm KKR &amp; Co. Inc. (NYSE:<a class="ticker" href="https://www.benzinga.com/stock/KKR#NYSE">KKR</a>) is reportedly planning to invest in&nbsp;Nissan, as <a target="_blank" href="https://www.bloomberg.com/news/articles/2025-02-13/kkr-is-said-to-consider-nissan-investment-after-honda-talks-end?srnd=homepage-asia&amp;sref=TBDibEcD" rel="noreferrer noopener">per </a>Bloomberg.
Also, Foxconn Technology Group confirmed Wednesday it would consider acquiring Renault&#8217;s stake in&nbsp;Nissan as part of a broader strategy to expand its&nbsp;<a target="_blank" href="https://www.benzinga.com/markets/equities/25/02/43685566/apple-supplier-foxconn-considers-buying-nissan-shares-but-only-if-an-ev-deal-is-in-place" rel="noreferrer noopener">electric vehicle manufacturing business</a>.
HMC Results: In a separate release, Honda reported nine-month EPS of JPY169.69 (Japanese yen) ($1.1142), lower than JPY176.78 in the comparable period, while sales of<a href="https://www.benzinga.com//node/43689697"> JPY16.3 trillion rose 8.9% year over year.</a>
The company maintained its guidance for an operating profit of JPY1.420 trillion and a profit attributable to owners of the parent company of JPY950 billion.
Meanwhile, Honda raised the guidance for FY25 sales by JPY600 <a target="_blank" href="https://www.benzinga.com/calendars/guidance" rel="noreferrer noopener">billion to JPY21.600 trillion</a>.
Price Action: HMC shares are up 2.56% at $28.29 at the last check Thursday.
Read Next:
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<li><a href="https://www.benzinga.com/25/01/43261142/honda-eyes-launching-ev-in-north-america-priced-below-30000-report" target="_blank" rel="noreferrer noopener">Honda&#8217;s Sub-$30,000 EV To Take On Tesla Model 3 In North America By 2026</a></li>
</ul>
Image Via Shutterstock.

Earnings

Large Cap

Media

Honda Calls Off Nissan Integration, Reports 8.9% Sales Growth: Details

<h2>Nissan Motor Co., Ltd. ("Nissan") and Honda Motor Co., Ltd. ("Honda") , today agreed to terminate the MOU signed on December 23 last year for consideration of a business integration between the two companies.</h2>
https://global.honda/en/newsroom/news/2025/c250213aeng.html

Earlier Nissan, Honda Announced Termination Of MOU For Consideration Of Business Integration

Foxconn Technology Group, also known as Hon Hai Precision (OTC:<a class="ticker" href="https://www.benzinga.com/stock/HNHPF#OTC">HNHPF</a>)  Apple Inc.&#8216;s primary iPhone manufacturer, confirmed Wednesday it would consider acquiring Renault&#8217;s stake in Nissan Motor Co. (OTC:<a class="ticker" href="https://www.benzinga.com/stock/NSANY#OTC">NSANY</a>) as part of a broader strategy to expand its <a href="https://www.benzinga.com/general/entertainment/25/02/43566305/deal-dispatch-pharmchem-forgoes-banker-to-run-sale-tgi-fridays-sells-19-restaurants-for-3-1-million">electric vehicle manufacturing business</a>.
What Happened: Chairman Young Liu revealed the company has held discussions about acquiring Nissan shares, though emphasized that any potential stake purchase would be contingent on securing EV manufacturing partnerships with either Nissan or Renault, <a href="https://www.ft.com/content/f6a9cfb0-edba-4336-a2c1-e67238c5ccea">reported</a> the Financial Times. 
&#8220;If [taking a stake] is necessary for co-operation, we will consider it, but buying shares is not our main goal,&#8221; Liu said.
The Taiwanese contract manufacturer is targeting an <a href="https://www.benzinga.com/markets/asia/25/02/43517930/nissan-ceo-seeks-to-end-honda-merger-talks-report">announcement of a cooperation deal</a> within two months, with Renault, Nissan, and Honda Motor Co. (NYSE:<a class="ticker" href="https://www.benzinga.com/stock/HMC#NYSE">HMC</a>) among potential partners. The news sent Nissan shares down 6.3% in Tokyo trading.
See Also: <a href="https://www.benzinga.com/markets/equities/25/02/43683937/teslas-400-million-armored-cybertruck-deal-under-fire-as-short-seller-jim-chanos-questions-elon-musks-doge-role-in-cutting-wasteful-government-spending">Tesla&#8217;s $400 Million Armored Cybertruck Deal Under Fire As Short Seller Jim Chanos Questions Elon Musk&#8217;s DOGE Role In Cutting &#8216;Wasteful Government Spending&#8217;</a>
Why It Matters: This development comes as Renault looks to divest half of its 36% stake in Nissan, currently held in a French trust, following their alliance restructuring in 2023.
Former Nissan executive and current Foxconn EV division chief strategy officer Jun Seki reportedly met with Renault CEO Luca De Meo in December to discuss the potential share acquisition.
The talks emerge amid broader industry shifts, with Nissan <a href="https://www.benzinga.com/markets/asia/25/02/43517930/nissan-ceo-seeks-to-end-honda-merger-talks-report">recently ending merger discussions</a> with Honda that would have created the world&#8217;s fourth-largest automotive group.
Nissan faces mounting pressure from Chinese competition and has announced plans to cut 9,000 jobs and reduce production capacity by 20% as part of its turnaround strategy.
For Foxconn, securing a deal with either Renault or Nissan would mark its first partnership with a traditional automaker outside Taiwan, potentially accelerating its expansion into EV contract manufacturing beyond its current partnerships with startups.
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Disclaimer: This content was partially produced with the help of AI tools and was reviewed and published by Benzinga editors.
Photo courtesy: Flickr

Short Sellers

HNHPF

Apple Supplier Foxconn Considers Buying Nissan Shares, But Only If An EV Deal Is In Place

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DDOG

DKNG

DNOW

DXCM

EEFT

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ELME

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FBRT

FROG

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Hannon Armstrong Sustainable Infrastructure Capital

HASI

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Earnings Scheduled For February 13, 2025

Honda Motor Co (NYSE:<a class="ticker" href="https://www.benzinga.com/stock/HMC#NYSE">HMC</a>) reported quarterly earnings of $1.31 per share. This is a 23.58 percent increase over earnings of $1.06 per share from the same period last year. The company reported quarterly sales of $36.317 billion which beat the analyst consensus estimate of $34.098 billion by 6.51 percent. This is a 0.46 percent decrease over sales of $36.486 billion the same period last year.

Earnings Beats

Honda Motor Co Q3 2025 GAAP EPS $1.31 Up From $1.06 YoY, Sales $36.317B Beat $34.098B Estimate

Over the weekend, the Consumer Financial Protection Bureau&#8217;s (CFPB) operations were unexpectedly suspended. This followed DOGE lead Elon Musk&#8217;s apparent call for the agency&#8217;s dissolution in an X post on Saturday, where he wrote &#8220;CFPB RIP.&#8221; The decision is expected to benefit financial firms facing ongoing enforcement actions.
What Happened: Shortly after Musk&#8217;s post, the CFPB&#8217;s acting director, Russell Vought, who also recently became the Director of the United States Office of Management and Budget, took action.
Vought halted all pending CFPB investigations and supervisory activities. He then informed the Federal Reserve that the CFPB would not be requesting its next round of funding, citing the agency&#8217;s current $711.6 million balance as &#8220;excessive in the current fiscal environment.&#8221;
<figure class="wp-block-embed is-type-rich is-provider-twitter wp-block-embed-twitter"> 
<div class="wp-block-embed__wrapper">
<blockquote class="twitter-tweet" data-width="500" data-dnt="true">Pursuant to the Consumer Financial Protection Act, I have notified the Federal Reserve that CFPB will not be taking its next draw of unappropriated funding because it is not &quot;reasonably necessary&quot; to carry out its duties. The Bureau&#39;s current balance of $711.6 million is in fact…
&mdash; Russ Vought (@russvought) <a href="https://twitter.com/russvought/status/1888423503537360986?ref_src=twsrc%5Etfw">February 9, 2025</a></blockquote>
<script async src="https://platform.twitter.com/widgets.js" charset="utf-8"></script></div>
</figure>
<h3 class="wp-block-heading">Companies With Recent Enforcement Actions By CFPB</h3>
According to the CFPB <a href="https://www.consumerfinance.gov/enforcement/actions/#:~:text=Early%20Warning%20Services%2C%20LLC;%20Bank,of%20dollars%20in%20consumer%20losses.">website</a>, it took recent actions on some listed companies like Equifax Inc. (NYSE:<a class="ticker" href="https://www.benzinga.com/stock/EFX#NYSE">EFX</a>), Honda Motor Co. (NYSE:<a class="ticker" href="https://www.benzinga.com/stock/HMC#NYSE">HMC</a>), Block Inc. (NYSE:<a class="ticker" href="https://www.benzinga.com/stock/XYZ#NYSE">XYZ</a>), and others.
<ul>
<li>The Bureau, in a release dated Jan. 17, said that Equifax violated the Fair Credit Reporting Act and Honda Motor&#8217;s American Honda Finance Corporation furnished inaccurate consumer reporting information. In a release dated Jan. 16, CFPB issued an order against Jack Dorsey&#8217;s Block for failing to provide effective customer service for Cash App, citing the failure to provide live telephone agents.</li>
</ul>
<ul>
<li>Capital One Financial Corp. (NYSE:<a class="ticker" href="https://www.benzinga.com/stock/COF#NYSE">COF</a>): The Bureau alleged that the firm&#8217;s representations for its 360 Savings account were false or misleading for a period ranging from December 2020 to at least August 2024.</li>
</ul>
<ul>
<li>Walmart Inc. (NYSE:<a class="ticker" href="https://www.benzinga.com/stock/WMT#NYSE">WMT</a>): CFPB alleged that Walmart and Branch Messenger Inc. engaged in unfair, abusive, and deceptive practices by requiring Walmart Spark drivers to use Branch accounts for payment, often without consent, and misrepresenting the Branch account&#8217;s features.</li>
</ul>
<ul>
<li>Rocket Companies Inc. (NYSE:<a class="ticker" href="https://www.benzinga.com/stock/RKT#NYSE">RKT</a>): The company allegedly violated the Real Estate Settlement Procedures Act by giving things of value to real estate brokerages, including referrals, in exchange for referrals of real estate settlement business to Rocket Mortgage and Amrock.</li>
</ul>
<ul>
<li>The Bureau also filed a lawsuit on Dec. 20, 2024, against Early Warning Services LLC., Bank of America Corp. (NYSE:<a class="ticker" href="https://www.benzinga.com/stock/BAC#NYSE">BAC</a>), JPMorgan Chase &amp; Co. (NYSE:<a class="ticker" href="https://www.benzinga.com/stock/JPM#NYSE">JPM</a>), and Wells Fargo &amp; Co. (NYSE:<a class="ticker" href="https://www.benzinga.com/stock/WFC#NYSE">WFC</a>), alleging their failure to adequately protect the Zelle network from fraud and other vulnerabilities, leading to consumer losses totaling hundreds of millions of dollars.</li>
</ul>
See Also: <a href="https://www.benzinga.com/government/regulations/24/12/42479974/us-lenders-file-joint-lawsuit-against-consumer-finance-watchdog-for-capping-overdraft-fees-wells-fargo-jpmorgan-citigroup-stocks-in-focus">US Lenders File Joint Lawsuit Against Consumer Finance Watchdog For Capping Overdraft Fees: Wells Fargo, JPMorgan, Citigroup Stocks In Focus</a>
Why It Matters: Tesla Inc&#8216;s (NASDAQ:<a class="ticker" href="https://www.benzinga.com/stock/TSLA#NASDAQ">TSLA</a>) CEO, Musk, who is charged with cutting wasteful federal spending via the Department of Government Efficiency, in an X <a href="https://x.com/elonmusk/status/1861644897490751865">post</a> dated Nov. 27, 2024 had said, &#8220;Delete CFPB. There are too many duplicative regulatory agencies.&#8221; 
The co-founder and CEO of Coinbase Global Inc. (NASDAQ:<a class="ticker" href="https://www.benzinga.com/stock/COIN#NASDAQ">COIN</a>) Brian Armstrong supported Musk and said &#8220;CFPB is unconstitutional&#8221; and the U.S. already has Department of Justice to prosecute fraud.
<figure class="wp-block-embed is-type-rich is-provider-twitter wp-block-embed-twitter"> 
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<blockquote class="twitter-tweet" data-width="500" data-dnt="true">100% the right call The CFPB is unconstitutional on the face of it. And even if it wasn't, it should be deleted as we already have DOJ to prosecute fraud, and (many) other financial services regulators. It's an activist organization that has done enormous harm to the country. <a href="https://t.co/GlbETlnsZt">https://t.co/GlbETlnsZt</a>
&mdash; Brian Armstrong (@brian_armstrong) <a href="https://twitter.com/brian_armstrong/status/1888385895163953554?ref_src=twsrc%5Etfw">February 9, 2025</a></blockquote>
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</figure>
However, Sen. Chris Van Hollen (D-Md.) in an X post said &#8220;The CFPB is protected by law and we will fight to ensure it can continue to fight for consumers.&#8221;
<figure class="wp-block-embed is-type-rich is-provider-twitter wp-block-embed-twitter"> 
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<blockquote class="twitter-tweet" data-width="500" data-dnt="true">This is the richest man on earth bragging about destroying an agency that's returned BILLIONS of dollars to working Americans who were cheated by big corporations. Well guess what &#8211; the CFPB is protected by law and we will fight to ensure it can continue to fight for consumers. <a href="https://t.co/TDoof9dtGd">pic.twitter.com/TDoof9dtGd</a>
&mdash; Senator Chris Van Hollen (@ChrisVanHollen) <a href="https://twitter.com/ChrisVanHollen/status/1888358187503661399?ref_src=twsrc%5Etfw">February 8, 2025</a></blockquote>
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</figure>
Also, Eric Feigl-Ding, the chairman of the Department of Public Health at New England Complex Systems Institute said that CFPB was &#8220;murdered by the richest man on Earth and his oligarchs.&#8221;
<figure class="wp-block-embed is-type-rich is-provider-twitter wp-block-embed-twitter"> 
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<blockquote class="twitter-tweet" data-width="500" data-dnt="true">CFPB, the agency to help the poor fight corrupt banks and bad corporations, is dead (website and X account at least)… murdered by the richest man on Earth and his oligarchs. <a href="https://t.co/uruaia9wkX">pic.twitter.com/uruaia9wkX</a>
&mdash; Eric Feigl-Ding (@DrEricDing) <a href="https://twitter.com/DrEricDing/status/1888780098058457180?ref_src=twsrc%5Etfw">February 10, 2025</a></blockquote>
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</figure>
In December 2024, financial industry groups, including American Credit Unions, the Consumer Bankers Association, the American Bankers Association, and the Mississippi Bankers Association filed a <a href="https://www.benzinga.com/government/regulations/24/12/42479974/us-lenders-file-joint-lawsuit-against-consumer-finance-watchdog-for-capping-overdraft-fees-wells-fargo-jpmorgan-citigroup-stocks-in-focus">joint lawsuit</a> against the CFPB over its new rule capping overdraft fees. The CFPB estimated the cap will save consumers up to $5 billion annually, or $225 per household.
Read Next:
<ul>
<li><a href="https://www.benzinga.com/general/market-summary/25/02/43521806/deepseeks-hedge-fund-owner-had-multiple-top-projects-before-creating-the-firm-that-fueled-1-trillion-market-cap-erosion-of-ai-stocks">DeepSeek&#8217;s Hedge Fund Owner Had Multiple Top Projects Before Creating The Firm That Fueled $1 Trillion Market Cap Erosion Of AI Stocks</a></li>
</ul>
Photo courtesy: Shutterstock

Government

Politics

JPMorgan, BofA, Equifax, And Others May Get Relief After CFPB Dissolution: Maryland Senator Says He Will Ensure It Continues To 'Fight For Consumers'

<h2 class="wp-block-heading">New On The Block</h2>
PharmChem, Inc. (OTC:<a class="ticker" href="https://www.benzinga.com/stock/PCHM#OTC">PCHM</a>), the go-to name for drug-detecting sweat patches, is officially exploring strategic alternatives (i.e., mergers, acquisitions, or an outright sale). So far, the board of directors expressed confidence that it can handle things solo as opposed to hiring a banker. For interested suitors, a <a href="https://www.benzinga.com/topic/mergers-and-acquisitions">data room officially opened</a>.
Other auction block items this week:
<ul>
<li>Ontario Teachers&#8217; Pension Plan tapped Lazard to run a sale process for compliance software firm Mitratech. Reuters estimates that the transaction could hover around $4 billion.</li>
<li>Recall how Paysafe (NYSE:<a class="ticker" href="https://www.benzinga.com/stock/PSFE#NYSE">PSFE</a>) went public <a href="https://www.benzinga.com/news/20/12/18678982/paysafe-goes-public-again-in-spac-deal-what-investors-should-know">via a SPAC in 2020</a>. Today, it&#8217;s for sale, according to <a href="https://www.bloomberg.com/news/articles/2025-02-06/paysafe-is-said-to-weigh-sale-after-getting-takeover-interest?srnd=phx-deals">Bloomberg</a>. The firm, backed by billionaire Bill Foley, is receiving takeover interest.</li>
<li>Switzerland-based Bank J. Safra Sarasin is weighing a takeover offer for Denmark&#8217;s Saxo Bank, per <a href="https://www.bloomberg.com/news/articles/2025-02-03/safra-sarasin-is-said-to-explore-deal-for-denmark-s-saxo-bank?srnd=phx-deals">Bloomberg</a>.</li>
</ul>
<h2 class="wp-block-heading">Updates From The Block</h2>
<ul>
<li>Veritas Capital is circling Wall Street data provider Dun &amp; Bradstreet (NYSE:<a class="ticker" href="https://www.benzinga.com/stock/DNB#NYSE">DNB</a>), per <a href="https://www.bloomberg.com/news/articles/2025-02-07/veritas-is-said-in-talks-to-acquire-data-firm-dun-bradstreet?srnd=phx-deals">Bloomberg</a>. Dun &amp; Bradstreet boasts a $4.9 billion market cap.</li>
<li>Bausch + Lomb (NYSE:<a class="ticker" href="https://www.benzinga.com/stock/BLCO#NYSE">BLCO</a>) considered &#8220;a full separation&#8221; from Bausch Health Companies Inc. After engaging with potential buyers, that process did not result in a deal. Full separation remains the goal, the company confirmed. Full-year 2024 earnings will be posted on Feb. 19.</li>
<li>KKR &amp; Co Inc (NYSE:<a class="ticker" href="https://www.benzinga.com/stock/KKR#NYSE">KKR</a>) is adamant about buying Japanese tech group Fuji Soft. The private equity firm upped its offer to around $4.3 billion to outbid a rival firm, Bain Capital.</li>
<li>Bain has another deal in the works, should the Fuji Soft one not work out. The firm is close to buying the pharma unit of Mitsubishi Chemical Group (TYO:<a class="ticker" href="https://www.benzinga.com/stock/TYO:4188#TYO">4188</a>). The price tag is expected to be north of $3.3 billion, according <a href="https://www.bloomberg.com/news/articles/2025-02-06/bain-is-said-to-near-3-billion-deal-for-mitsubishi-pharma-unit?srnd=phx-deals">to</a> Bloomberg.</li>
</ul>
<h2 class="wp-block-heading">Off The Block</h2>
<ul>
<li>Meanwhile, Bain Capital <a href="https://www.plasticsnews.com/news/hillenbrand-sells-majority-stake-milacron-bain-capital-287m">agreed</a> to buy a 51% stake in Milacron, a provider of plastic processing equipment and services. Hillenbrand (NYSE:<a class="ticker" href="https://www.benzinga.com/stock/HI#NYSE">HI</a>) sold the stake for $287 million. </li>
<li>Riverwood Capital agreed to <a href="https://en.globes.co.il/en/article-riverwood-capital-buys-israeli-ai-pricing-co-quicklizard-1001501462">buy</a> Munich-based Quicklizard (TASE: QLRD), a pricing platform for retailers and brands, for roughly $52 million.</li>
<li>TPG <a href="https://www.benzinga.com/25/02/43537313/why-altus-power-stock-is-gaining-today">agreed to buy</a> Altus Power (NYSE:<a class="ticker" href="https://www.benzinga.com/stock/AMPS#NYSE">AMPS</a>), an owner of commercial-scale solar in the U.S., for around $2.2 billion.</li>
<li>Another solar-related deal: Turn/River Capital agreed to buy Austin, Texas-based SolarWinds (NYSE:<a class="ticker" href="https://www.benzinga.com/stock/SWI#NYSE">SWI</a>) for $4.4 billion — a 35% premium to the stock&#8217;s closing price on Thursday, Feb. 6.</li>
<li>Montreal-basedValsoft, a software firm backed by Coatue Management and Viking Global Investors, acquired VHL Sistemas, a Brazilian provider of cloud-based notary management software.</li>
<li>BCI, a Canadian asset management, agreed to buy Luxembourg-based investment BBGI Global Infrastructure (LSE: BBGIB). Reuters reported that the deal cost around 1 billion pounds ($1.24 billion).</li>
<li>EP Global Commerce, backed by billionaire Daniel Kretinsky, <a href="https://www.bloomberg.com/news/articles/2025-02-06/czech-billionaire-kretinsky-seeks-to-take-metro-private-again?srnd=phx-deals">purchased</a> Düsseldorf, Germany-based Metro at a 2 billion euro ($2.76 billion) valuation. </li>
<li>Databricks, valued at $62 billion, <a href="https://www.infoworld.com/article/3817328/databricks-acquires-bladebridge-to-aid-data-warehouse-migrations.html">acquired</a> BladeBridge and its talent to bolster enterprise data warehouse migrations.</li>
<li>JD.com, Inc. (NASDAQ:<a class="ticker" href="https://www.benzinga.com/stock/JD#NASDAQ">JD</a>) reportedly revived its interest in buying Düsseldorf, Germany-based Ceconomy AG. The Chinese e-commerce giant last showed interest in the <a href="https://www.benzinga.com/trading-ideas/movers/25/02/43496221/jd-coms-stock-dips-as-ceconomy-deal-heats-up-in-germany-is-the-e-commerce-king-eyeing-expansion">German retailer in 2023</a>.</li>
<li>Nissan Motor Co. (OTC:<a class="ticker" href="https://www.benzinga.com/stock/NSANY#OTC">NSANY</a>) CEO Makoto Uchida informed Honda Motor Co. (NYSE:<a class="ticker" href="https://www.benzinga.com/stock/HMC#NYSE">HMC</a>) CEO Toshihiro Mibe of his intention to terminate discussions <a href="https://www.benzinga.com/markets/asia/25/02/43517930/nissan-ceo-seeks-to-end-honda-merger-talks-report">on a potential merger</a>.</li>
<li>Brookfield completed its $1.7 billion acquisition of Houston-based Chemelex, a provider of electric thermal and sensing solutions. Goldman Sachs advised nVent Electric (NYSE:<a class="ticker" href="https://www.benzinga.com/stock/NVT#NYSE">NVT</a>) on the sell side.</li>
<li>Court Square Capital Partners and WindRose Health Investors completed a $1.1 billion buyout of Frisco, Texas-based infusion company Soleo Health. H.I.G. Capital.</li>
</ul>
<h2 class="wp-block-heading">Bankruptcy Block</h2>
Judge Christopher Lopez has rejected a deal that would have facilitated a second auction attempt for Alex Jones&#8216; media company, Infowars. This ruling, as reported by <a href="https://www.npr.org/2025/02/05/g-s1-46738/infowars-alex-jones-onion-bankruptcy-judge-sandy-hook">NPR</a>, provides another temporary reprieve for Jones, but delays the Sandy Hook families' efforts to collect the $1.3 billion in defamation damages awarded nearly seven years ago.
Lopez explained he couldn&#8217;t approve the deal because Infowars&#8217; parent company, Free Speech Systems (FSS), is no longer in bankruptcy. That means, he rules, its assets cannot be sold—only Jones&#8217; ownership stake in the company can be auctioned. And yet, the judge also blocked <a href="https://www.benzinga.com/media/24/11/41982446/jokes-on-jones-onion-backed-by-families-of-sandy-hook-victims-buys-info-wars">a previous offer</a> from satirical website The Onion, which had partnered with the Connecticut families to bid on Infowars. 
Moving forward, Lopez emphasized that any asset sale must be a straightforward cash deal. With this latest decision, the path to recovering damages—and potentially dismantling Jones' platform—remains uncertain.
TGI Fridays has sold 19 more restaurants as part of its ongoing Chapter 11 bankruptcy proceedings.&nbsp;Fremont, California-based Yadav Enterprises, an operator of 340 restaurants across six brands, is <a href="https://www.restaurantbusinessonline.com/financing/tgi-fridays-sells-19-restaurants-out-bankruptcy">buying</a> 16 stores for $3 million in debt. Sugarloaf Hospitality, a firm owned by former TGI Fridays CEO Ray Blanchette, is acquiring three locations for $100,000.
<h2 class="wp-block-heading">Notes From The Block</h2>
Scale Vs. Scope: This week, Bain Capital pointed out a trend in the media sector.
Media deals are becoming &#8220;predominantly cross-industry.&#8221; According to Bain&#8217;s <a href="https://www.bain.com/insights/media-and-entertainment-m-and-a-report-2025/">analysis</a>, using data from Dealogic, more than half of all media industry M&amp;A for the first three quarters of 2024 involved either a target or acquirer outside of their industry.
Here are a few callouts, cited by Bain partners Nicole Magoon, Matt Keith and Alex Egan:
<ul>
<li>The majority of Walt Disney Co (NYSE:<a class="ticker" href="https://www.benzinga.com/stock/DIS#NYSE">DIS</a>) transactions used to be &#8220;scale&#8221; (i.e., Pixar in 2006 and 21st Century Fox in 2019); today, there&#8217;s an &#8220;increasing emphasis on scope deals.&#8221; For example, last year, Disney invested in Epic Games, <a href="https://www.benzinga.com/analyst-ratings/analyst-color/24/09/41052867/disneys-streaming-surge-epic-games-deal-among-key-growth-drivers-says-analyst">the maker of Fortnite</a>.</li>
<li>Sony Group Corp (NYSE:<a class="ticker" href="https://www.benzinga.com/stock/SONY#NYSE">SONY</a>) <a href="https://www.benzinga.com/general/entertainment/24/06/39313096/sony-steps-into-theater-business-with-alamo-drafthouse-purchase">purchased the theater-dinner chain</a> Alamo Drafthouse.</li>
<li>Companies are also doing deals for evergreen IP: Sony Music bought half of Michael Jackson's <a href="https://www.benzinga.com/general/entertainment/24/08/40515995/michael-jacksons-1-5b-catalog-lands-court-approval-for-sale-thriller-for-sony">publishing and recorded music catalog</a>.</li>
<li>Pophouse Entertainment acquired Kiss's catalog as well as <a href="https://www.benzinga.com/general/entertainment/24/04/38116031/sealed-with-a-kiss-rock-band-sells-legacy-for-300m-who-did-gene-simmons-get-into-bed-with">the band members' likenesses</a>. </li>
<li>Private equity funds have invested in smaller production studios with a track record of quality IP. For example, Redbird bought All3Media, seeking an enduring advantage in the video space.</li>
</ul>
Is there risk? &#8220;Acquirers in cross-sector media M&amp;A quickly learn that such deals require a different type of diligence,&#8221; the Bain partners say. &#8220;For one thing, an acquirer is likely to be less familiar with the target's industry. Also, the revenue synergies inherent in scope deals are harder to realize and underwrite than cost synergies.&#8221;
For last week&#8217;s <a href="https://www.benzinga.com/news/global/25/01/43402048/deal-dispatch-sage-and-silvus-are-up-for-sale-mrbeast-secures-20b-for-tiktok">Deal Dispatch, click here</a>.
Now Read:
<ul>
<li><a href="https://www.benzinga.com/real-estate/25/02/43535187/gwyneth-paltrow-sells-la-home-for-22m-heres-a-look-at-actor-turned-business-moguls-pricy-property-portfolio">Gwyneth Paltrow Sells LA Home For $22M. Here&#8217;s A Look At Actor-Turned-Business-Mogul&#8217;s Pricy Property Portfolio</a></li>
</ul>
Image created using a photo from Shutterstock.

Entertainment

Asset Sales

AMPS

BLCO

GRAB

PCHM

PSFE

Sony Group Corporation American Depositary Shares

SONY

TYO:4188

Deal Dispatch: PharmChem Forgoes Banker To Run Sale, TGI Fridays Sells 19 Restaurants For $3.1 Million

Nissan Motor Co. (OTC:<a class="ticker" href="https://www.benzinga.com/stock/NSANY#OTC">NSANY</a>) CEO Makoto Uchida has informed Honda Motor Co. (NYSE:<a class="ticker" href="https://www.benzinga.com/stock/HMC#NYSE">HMC</a>) CEO Toshihiro Mibe of his intention to terminate discussions on a potential merger, Asahi <a href="https://www.asahi.com/ajw/articles/15613735">reported</a> Thursday. 
Nissan&#8217;s stock rose 2.09% to 395 Japanese Yen ($2.59) on the Tokyo exchange, while Honda fell 4.10% to 1,438 Japanese Yen ($9.44). 
Read Next: 
<ul>
<li><a href="https://www.benzinga.com/news/earnings/25/02/43511849/strategy-q4-earnings-bitcoin-treasury-company-spends-205b-on-btc-shares-inch-higher-despite-revenue-miss">Strategy Q4 Earnings: Bitcoin Treasury Company Spends $20.5B On BTC, Shares Inch Higher Despite Revenue Miss</a></li>
</ul>
Image Via Shutterstock

Asia

Nissan CEO Seeks To End Honda Merger Talks: Report

<a href="https://www.sec.gov/Archives/edgar/data/715153/000119312525020499/d878946d6k.htm" title="https://www.sec.gov/Archives/edgar/data/715153/000119312525020499/d878946d6k.htm">https://www.sec.gov/Archives/edgar/data/715153/000119312525020499/d878946d6k.htm</a>

Honda Motor Reports On Integration Of Management Between Nissan Motor & Honda Says Nissan & Co Are In Stage Of Advancing Various Discussions

President Donald Trump's announced tariffs on Canada, Mexico and China could impact many sectors and see retailers and companies raising prices on consumers to offset<a href="https://www.benzinga.com/markets/25/02/43423288/trumps-tariffs-are-here-heres-what-will-get-more-expensive-from-canada-china-and-mexico"> the higher prices.</a>
Here's a look at the sectors and stocks that could be hurt the most by Trump's tariffs and retaliatory efforts by the three countries back on the U.S.
What Happened: Trump <a href="https://www.benzinga.com/government/regulations/25/02/43427091/as-trump-imposes-tariffs-on-americas-3-largest-trading-partners-this-macro-strategist-call">announced 25% tariffs </a>on imports from Canada and Mexico along with a 10% tariffs on items imported from China. Trump and Mexican President Claudia Sheinbaum announced Monday the U.S. tariffs on Mexico have been paused for one month. 
Canada fought back with retaliatory measures on U.S. imports.
Trump said he spoke with Canadian Prime Minister Justin Trudeau and plans to speak to the leader again at 3 p.m. ET Monday.
The tariffs were met with anger in Canada where sports fans booed the playing of &#8220;The Star-Spangled Banner,&#8221; the U.S. national anthem, at NBA and NHL sporting events over the weekend, as reported by <a href="https://deadline.com/2025/02/u-s-national-anthem-booed-nhl-nba-games-canada-tariffs-1236276207/">Deadline</a>.
NBA and NHL games involving teams from both countries typically play national anthems ahead of games.
Goods and Sectors Impacted: Here's a look at the top imports from Canada, Mexico and China that will be impacted if the tariffs stick.
Beer and Spirits: One of the companies that <a href="https://www.benzinga.com/news/global/24/11/42220682/trump-tariffs-on-mexico-could-affect-beer-why-your-modelo-corona-could-cost-more-next-year">could be hit hardest</a> by the tariff news is Constellation Brands Inc (NYSE:<a class="ticker" href="https://www.benzinga.com/stock/STZ#NYSE">STZ</a>), an alcohol company that holds the exclusive U.S. license for several of the top imported beer brands in America. Constellation imports brands like Modelo, Corona and Pacifico from Mexico, where they are brewed by Grupo Modelo, which is a unit of Anheuser-Busch InBev (NYSE:<a class="ticker" href="https://www.benzinga.com/stock/BUD#NYSE">BUD</a>).
Modelo is the top imported beer in the U.S., with Corona ranking second. Heineken and Dos Equis XX, which are imported by Heineken USA, a unit of Heineken NV (OTC:<a class="ticker" href="https://www.benzinga.com/stock/HEINY#OTC">HEINY</a>), ranked third and fourth on the list of top imported beers. Dos Equis is manufactured in Mexico and imported to the U.S.
Constellation stock is down around 40% since it was flagged as a company to see pressure from tariffs back in November.
The U.S. is also a large importer of tequila, a sector that could be hit hard by tariffs on Mexico.
Read Also: <a href="https://www.benzinga.com/trading-ideas/24/12/42536470/costco-warns-that-tariffs-raise-prices-trump-team-says-trade-policies-will-make-life-affordable">Costco Warns That Tariffs Raise Prices, Trump Team Says Trade Policies Will &#8216;Make Life Affordable&#8217;</a>
Automotive: Several automotive companies like Ford Motor Co (NYSE:<a class="ticker" href="https://www.benzinga.com/stock/F#NYSE">F</a>), General Motors Co (NYSE:<a class="ticker" href="https://www.benzinga.com/stock/GM#NYSE">GM</a>) and Honda Motor Co Ltd (NYSE:<a class="ticker" href="https://www.benzinga.com/stock/HMC#NYSE">HMC</a>) <a href="https://www.benzinga.com/government/regulations/24/12/42688941/are-us-vehicles-under-30000-a-thing-of-the-past-trumps-mexico-tariff-plans-could-change-auto-market">have sub-$30,000 vehicles</a> that are partially or fully built in Mexico and Canada. Tariffs on these countries could quickly make these sub-$30,000 vehicles cost more for consumers and eliminate options in the popular starting price point.
Avocados: American imports over 80% of its avocados from Mexico, which could lead to higher prices ahead of Super Bowl Sunday on Feb. 9, as <a href="https://nypost.com/2025/02/02/us-news/whats-going-to-get-hit-by-trumps-tariffs-avocados-modelo-and-iphones/">reported </a>by the New York Post. Stocks that could be impacted by higher avocado costs are Mission Produce Inc (NASDAQ:<a class="ticker" href="https://www.benzinga.com/stock/AVO#NASDAQ">AVO</a>), Calavo Growers, Inc. (NASDDAQ: CVGW) and Limoneira Co (NASDAQ:<a class="ticker" href="https://www.benzinga.com/stock/LMNR#NASDAQ">LMNR</a>).
Fruits and Vegetables: Canada is the largest supplier of cherry tomatoes for the U.S., which could see higher produce costs for consumers and restaurants.
Smartphones: China is one of the largest exporters of smartphones to the U.S., accounting for an estimated 87% of production according to the report. The iPhone from Apple Inc (NASDAQ:<a class="ticker" href="https://www.benzinga.com/stock/AAPL#NASDAQ">AAPL</a>) has 95% of production assembled in China as of 2023.
Toys: The Toy Association industry group estimates that 75% of all imported toys come from China, making the sector one area that could be significantly hit by higher tariffs. Hasbro Inc (NASDAQ:<a class="ticker" href="https://www.benzinga.com/stock/HAS#NASDAQ">HAS</a>) and Mattel Inc (NASDAQ:<a class="ticker" href="https://www.benzinga.com/stock/MAT#NASDAQ">MAT</a>) are two stocks that could see pressure with the tariffs impacting one of their key sectors. &nbsp;
Clothing: Imported clothes from e-commerce companies including Shein and PDD Holdings &#8211; ADR (NASDAQ:<a class="ticker" href="https://www.benzinga.com/stock/PDD#NASDAQ">PDD</a>) brand Temu will see higher prices with the tariff on China. Canadian clothing companies Aritzia and Lululemon Athletica (NASDAQ:<a class="ticker" href="https://www.benzinga.com/stock/LULU#NASDAQ">LULU</a>) will also be impacted by the tariff news. 
The footwear portion of the clothing sector could see the biggest impact with the Footwear Distributors &amp; Retailers of America estimating that 99% of shoes sold in the U.S. are imported. Nike Inc (NYSE:<a class="ticker" href="https://www.benzinga.com/stock/NKE#NYSE">NKE</a>) could be among the companies hit hardest by the tariff news.
Construction: The American Iron and Steel Institute estimates that 25% of American steel comes from Canada and 12% comes from Mexico, which means steel prices could go up. Canadian lumber is also a large export to the U.S., which makes up around 30% of all lumber the country uses. Other construction items like drywall, lime and gypsum come from Mexico, which will put more pressure on homebuilders. The tariffs could lead to home prices going up and putting further pressure on the sector.
Oil: The U.S. is a large importer<a href="https://www.benzinga.com/news/global/24/12/42300450/trump-told-trudeau-canada-could-avoid-tariffs-by-becoming-51st-state-a-look-at-sectors-trade-war-could-impact"> of Canadian oil.</a> While oil will only see a 10% tariff compared to the 25% on other Canadian goods, the sector could likely see a large impact. Companies like Suncor Energy Inc (NYSE:<a class="ticker" href="https://www.benzinga.com/stock/SU#NYSE">SU</a>), Enbridge (NYSE:<a class="ticker" href="https://www.benzinga.com/stock/ENB#NYSE">ENB</a>), Canadian Natural Resources (NYSE:<a class="ticker" href="https://www.benzinga.com/stock/CNQ#NYSE">CNQ</a>) and TC Pipelines (NYSE:<a class="ticker" href="https://www.benzinga.com/stock/TRP#NYSE">TRP</a>)&nbsp;could face significant impacts from the tariffs and a potential blow to the sector.
Transportation: Railway company Canadian Pacific Kansas City Limited (NYSE:<a class="ticker" href="https://www.benzinga.com/stock/CP#NYSE">CP</a>) and trucking companies Old Dominion Freight Line (NASDAQ:<a class="ticker" href="https://www.benzinga.com/stock/ODFL#NASDAQ">ODFL</a>) and Knight-Swift Transportation Holdings (NYSE:<a class="ticker" href="https://www.benzinga.com/stock/KNX#NYSE">KNX</a>) could be impacted by the tariffs and negative impact on trade between the United States and Canada.
Retailers: Dollar stores and discount retailers like Dollar Tree (NASDAQ:<a class="ticker" href="https://www.benzinga.com/stock/DLTR#NASDAQ">DLTR</a>) could be<a href="https://www.benzinga.com/news/global/24/12/42402629/trump-to-change-dollar-stores-for-good-dollar-tree-exec-says-prepared-to-act"> impacted by the tariffs.</a> Executives warned of the potential impact in late 2024 with the goal of offsetting the higher prices with new product sizes and negotiating lower costs with suppliers. The company also said it would consider stopping the sale of several items due to the planned tariffs.
Price Actions on Monday at publication: The iShares MSCI Canada Index Fund (NYSE:<a class="ticker" href="https://www.benzinga.com/stock/EWC#NYSE">EWC</a>) is down 1.46% to $40.62.
The iShares MSCI Mexico ETF (NYSE:<a class="ticker" href="https://www.benzinga.com/stock/EWW#NYSE">EWW</a>) is up 2.12% to $50.02.
The iShares MSCI China ETF (NASDAQ:<a class="ticker" href="https://www.benzinga.com/stock/MCHI#NASDAQ">MCHI</a>) is down 0.29% to $48.27.
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Shares of US auto stocks are trading lower following US tariffs on Canada, Mexico and China.

Legal

President Trump Says He Will Put 25% Tariff On Canada And Mexico

Honda Executive Says It Is Increasing Investments To Retool Three Auto Plans In Ohio By $300M

Honda Motor Co's (NYSE:<a class="ticker" href="https://www.benzinga.com/stock/HMC#NYSE">HMC</a>) short percent of float has risen 35.0% since its last report. The company recently reported that it has 4.12 million shares sold short, which is 0.27% of all regular shares that are available for trading. Based on its trading volume, it would take traders 2.41 days to cover their short positions on average.
<h3>Why Short Interest Matters</h3>
Short interest is the number of shares that have been sold short but have not yet been covered or closed out. <a href="https://www.benzinga.com/money/how-to-short-a-stock/">Short selling</a> is when a trader sells shares of a company they do not own, with the hope that the price will fall. Traders make money from short selling if the price of the stock falls and they lose if it rises.
Short interest is important to track because it can act as an indicator of market sentiment towards a particular stock. An increase in short interest can signal that investors have become more bearish, while a decrease in short interest can signal they have become more bullish.
See Also: <a href="https://www.benzinga.com/short-interest">List of the most shorted stocks</a>
<h3>Honda Motor Co Short Interest Graph (3 Months)</h3>
<img src="https://www.benzinga.com/files/images/story/2025/1738162973_0.png" alt="short_fig" />
As you can see from the chart above the percentage of shares that are sold short for Honda Motor Co has grown since its last report. This does not mean that the stock is going to fall in the near-term but traders should be aware that more shares are being shorted.
<h3>Comparing Honda Motor Co's Short Interest Against Its Peers</h3>
Peer comparison is a popular technique amongst analysts and investors for gauging how well a company is performing. A company's peer is another company that has similar characteristics to it, such as industry, size, age, and financial structure. You can find a company's peer group by reading its 10-K, proxy filing, or by doing your own similarity analysis.
According to <a href="https://pro.benzinga.com/">Benzinga Pro</a>, Honda Motor Co's peer group average for short interest as a percentage of float is 7.91%, which means the company has less short interest than most of its peers.
Did you know that increasing short interest can actually be bullish for a stock? <a href="https://www.benzinga.com/money/how-to-make-money-on-a-short-squeeze/">This post by Benzinga Money explains how you can profit from it.</a>
This article was generated by Benzinga's automated content engine and was reviewed by an editor.

Short Ideas

How Is The Market Feeling About Honda Motor Co?

Despite falling 4.51% over the last five days, Elon Musk&#8216;s Tesla Inc. (NASDAQ:<a class="ticker" href="https://www.benzinga.com/stock/TSLA#NASDAQ">TSLA</a>) has surged 108.50% over the last year, making it over four times more expensive as compared to the industry average according to <a href="https://pro.benzinga.com/dashboard">Benzinga Pro</a> data.
What Happened: With a price-to-earnings ratio of nearly 117.647 based on forward earnings, Tesla&#8217;s stock is significantly overvalued compared to its peers, whose average P/E ratio is only 26.7795. This implies that Tesla&#8217;s stock is over 4.39 times more expensive than the industry average.
Compared to other automobile stocks, Tesla shares are the most expensive and it has the highest ratio of forward price-to-earnings.
<figure class="wp-block-table is-style-stripes"> 
<table>
<tbody>
<tr>
<td>Automobile Stocks</td>
<td>Forward P/E</td>
</tr>
<tr>
<td>Tesla Inc (NASDAQ:<a class="ticker" href="https://www.benzinga.com/stock/TSLA#NASDAQ">TSLA</a>)</td>
<td>117.647</td>
</tr>
<tr>
<td>Toyota Motor Corporation (NYSE:<a class="ticker" href="https://www.benzinga.com/stock/TM#NYSE">TM</a>)</td>
<td>9.66</td>
</tr>
<tr>
<td>General Motors Company (NYSE:<a class="ticker" href="https://www.benzinga.com/stock/GM#NYSE">GM</a>)</td>
<td>5.05</td>
</tr>
<tr>
<td>Honda Motor (NYSE:<a class="ticker" href="https://www.benzinga.com/stock/HMC#NYSE">HMC</a>)</td>
<td>6.78</td>
</tr>
<tr>
<td>Ford Motor Company (NYSE:<a class="ticker" href="https://www.benzinga.com/stock/F#NYSE">F</a>)</td>
<td>6.18</td>
</tr>
<tr>
<td>Li Auto Inc (NASDAQ:<a class="ticker" href="https://www.benzinga.com/stock/LI#NASDAQ">LI</a>)</td>
<td>15.36</td>
</tr>
<tr>
<td>Average</td>
<td>26.7795</td>
</tr>
</tbody>
</table>
</figure>
See Also: <a href="https://www.benzinga.com/analyst-ratings/analyst-color/25/01/43289930/tesla-q4-earnings-preview-2025-delivery-growth-fsd-model-y-refresh-new-vehicles-among-key-topics">Tesla Q4 Earnings Preview: 2025 Delivery Growth, FSD, Model Y Refresh, New Vehicles Among Key Topics</a>
Why It Matters: Following the U.S. presidential election on Nov. 5, Tesla shares experienced a remarkable surge, climbing 58.32% according to <a href="https://pro.benzinga.com/dashboard">Benzinga Pro</a>. This growth far exceeded the 6.01% gain seen by the Invesco QQQ Trust ETF (NASDAQ:<a class="ticker" href="https://www.benzinga.com/stock/QQQ#NASDAQ">QQQ</a>), which tracks the Nasdaq 100 index.
Although Tesla has a history of missing revenue estimates, which has happened in four of the last five quarters and six of the last ten quarters, this post-election surge has significantly improved the investment picture, turning a period of mixed performance into a highly profitable one for Tesla shareholders.
<figure class="wp-block-image size-large"><a href="https://pro.benzinga.com/dashboard"><img loading="lazy" decoding="async" width="1024" height="550" src="https://editorial-assets.benzinga.com/wp-content/uploads/2025/01/29025347/TSLA-QQQ-Shares-1024x550.png" alt="" class="wp-image-755028" srcset="https://editorial-assets.benzinga.com/wp-content/uploads/2025/01/29025347/TSLA-QQQ-Shares-1024x550.png 1024w,https://editorial-assets.benzinga.com/wp-content/uploads/2025/01/29025347/TSLA-QQQ-Shares-300x161.png 300w,https://editorial-assets.benzinga.com/wp-content/uploads/2025/01/29025347/TSLA-QQQ-Shares-768x412.png 768w,https://editorial-assets.benzinga.com/wp-content/uploads/2025/01/29025347/TSLA-QQQ-Shares-1536x825.png 1536w,https://editorial-assets.benzinga.com/wp-content/uploads/2025/01/29025347/TSLA-QQQ-Shares.png 1920w" sizes="(max-width: 1024px) 100vw, 1024px" /></a></figure>
<figure class="wp-block-table is-style-stripes"> 
<table>
<tbody>
<tr>
<td>Performance</td>
<td>Invesco QQQ Trust ETF</td>
<td>Tesla Stock</td>
</tr>
<tr>
<td>Since Nov. 5</td>
<td>6.01%</td>
<td>58.32%</td>
</tr>
<tr>
<td>One Year</td>
<td>21.88%</td>
<td>108.50%</td>
</tr>
<tr>
<td>Five Year</td>
<td>138.19%</td>
<td>817.89%</td>
</tr>
</tbody>
</table>
</figure>
As there was skepticism around the development of its full-self-drive feature, Musk released a video ahead of its fourth-quarter earnings showcasing how the company&#8217;s cars can now <a href="https://www.benzinga.com/markets/equities/25/01/43295163/elon-musk-says-unsupervised-full-self-driving-begins-as-tesla-can-now-drive-itself-from-factory-to-loading-docks">drive themselves</a> from the factory to the loading docks.
<figure class="wp-block-embed is-type-rich is-provider-twitter wp-block-embed-twitter"> 
<div class="wp-block-embed__wrapper">
<blockquote class="twitter-tweet" data-width="500" data-dnt="true">Unsupervised full self-driving begins <a href="https://t.co/5rujaGTncb">https://t.co/5rujaGTncb</a>
&mdash; Elon Musk (@elonmusk) <a href="https://twitter.com/elonmusk/status/1884467091899593076?ref_src=twsrc%5Etfw">January 29, 2025</a></blockquote>
<script async src="https://platform.twitter.com/widgets.js" charset="utf-8"></script></div>
</figure>
Tesla is <a href="https://www.benzinga.com/analyst-ratings/analyst-color/25/01/43289930/tesla-q4-earnings-preview-2025-delivery-growth-fsd-model-y-refresh-new-vehicles-among-key-topics">projected</a> to report fourth-quarter revenue of $27.13 billion, up from last year&#8217;s $25.17 billion, according to <a href="https://pro.benzinga.com/dashboard">Benzinga Pro</a> data. Earnings per share (EPS) are expected to rise to $0.74 from $0.71.
Also, the automaker&#8217;s fourth-quarter deliveries reached a record 495,570 vehicles, with production at 459,445. However, this positive news is overshadowed by the company&#8217;s overall 2024 performance. Total deliveries fell to 1.79 million, compared to 1.81 million in 2023, representing the first annual decline in Tesla&#8217;s history.
TSLA has a consensus ‘hold' with a price target of $308.4, according to the 34 analysts <a href="https://www.benzinga.com/quote/TSLA/analyst-ratings">tracked by Benzinga</a>. The high target is $550, and the low is $24.86. Recent ratings by Wedbush, Piper Sandler, and Barclays suggest a $458.33 target, implying a 15.55% upside.
<figure class="wp-block-image size-large"><a href="https://www.benzinga.com/quote/TSLA/analyst-ratings"><img loading="lazy" decoding="async" width="1024" height="384" src="https://editorial-assets.benzinga.com/wp-content/uploads/2025/01/29025123/TSLA-ANR-1024x384.png" alt="" class="wp-image-755024" srcset="https://editorial-assets.benzinga.com/wp-content/uploads/2025/01/29025123/TSLA-ANR-1024x384.png 1024w,https://editorial-assets.benzinga.com/wp-content/uploads/2025/01/29025123/TSLA-ANR-300x112.png 300w,https://editorial-assets.benzinga.com/wp-content/uploads/2025/01/29025123/TSLA-ANR-768x288.png 768w,https://editorial-assets.benzinga.com/wp-content/uploads/2025/01/29025123/TSLA-ANR.png 1060w" sizes="(max-width: 1024px) 100vw, 1024px" /></a></figure>
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Photo courtesy: Shutterstock

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Elon Musk's Tesla Is Over 4X More Expensive Than Industry Average Despite Weak Delivery Volumes In 2024

Japanese automaker Honda Motor Co. (NYSE:<a class="ticker" href="https://www.benzinga.com/stock/HMC#NYSE">HMC</a>) will reportedly launch a new EV in North America priced below $30,000 as early as 2026.
What Happened: The vehicle will be produced locally and rolled out as part of the company&#8217;s Honda 0 series lineup, according <a href="https://asia.nikkei.com/Business/Automobiles/Electric-vehicles/Honda-plans-sub-30-000-EV-model-for-North-America">to</a> a report by Nikkei Asia.
Last year, Honda said it would launch the <a href="https://www.benzinga.com/news/24/01/36570124/honda-showcases-two-new-electric-vehicle-concepts-at-ces-anticipating-grand-2026-north-american-laun">0 series for global markets starting from North America</a> in 2026. The company did not divulge price points then. 
The Japanese automaker aims to have electric vehicles and fuel-cell electric vehicles account for 100% of its global sales by 2040.
Competition From Bigshot: The Tesla Model 3 is currently among the affordable but popular EV variants in the U.S. The base version of the Model 3 starts at $42,490 in the U.S.
In Tesla's last quarterly report, the company said that its plans for new vehicles, <a href="https://www.benzinga.com/25/01/43214246/researcher-expects-teslas-vehicle-deliveries-to-remain-flat-in-2025-contrary-to-musks-20-30-growth-prediction">including more affordable ones</a>, remain "on track" for the start of production in the first half of 2025. The company said these vehicles will be produced on the same manufacturing lines as its current lineup.
Tesla CEO&nbsp;Elon Musk also said in October that he expects vehicle sales to grow by&nbsp;<a href="https://www.benzinga.com/tech/25/01/42802658/tesla-ceo-elon-musks-20-to-30-sales-growth-target-for-2025-is-not-realistic-says-analyst" target="_blank" rel="noreferrer noopener">20%-30% in 2025</a>, possibly on the back of these new vehicle models. However, it is unclear if the affordable vehicle will be priced below $30,000 or retain the form factor of Tesla&#8217;s remaining lineup. 
Check out more of Benzinga&#8217;s Future Of Mobility coverage by&nbsp;<a href="https://www.benzinga.com/topic/mobility" target="_blank" rel="noreferrer noopener">following this link.</a>
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Photo courtesy: Shutterstock

Honda's Sub-$30,000 EV To Take On Tesla Model 3 In North America By 2026

Press Releases

INVESTIGATION ALERT: The Schall Law Firm Announces it is Investigating Claims Against Honda Motor Co., Ltd. and Encourages Investors to Contact the Firm

Honda Motor Co., Ltd. Files Annual Report on Form 20-F for Fiscal Year Ended March 31, 2024

Honda Motor Co., Ltd. (HMC:NYSE) announced its consolidated financial results for the fiscal first quarter ended June 30, 2024

Dividends

Honda Motor Co., Ltd. (HMC:NYSE) announced its consolidated financial results for the fiscal first half year ended September 30, 2024

Honda Motor Co., Ltd. (HMC:NYSE) announced its consolidated financial results for the fiscal third quarter ended December 31, 2024

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