F3/27 1Q Results: Upward Revision and Share Buyback Reflecting Consideration of Share Price Level

Research evidence excerpt

F3/27 1Q Results: Upward Revision and Share Buyback Reflecting Consideration of Share Price Level

Update

August 4, 2026 11:35 AM GMT

Morgan Stanley MUFG Securities Co., Ltd.+MToyota Motor (7203) | Japan Hiroto Segawa

Equity Analyst

F3/27 1Q Results: Upward Hiroto.Segawa@morganstanleymufg.comShinji Kakiuchi +81 3 6836-8403

Shinji.Kakiuchi@morganstanleymufg.com +81 3 6836-5416

Revision and Share Buyback Hayato Takashima

Hayato.Takashima@morganstanleymufg.com +81 3 6836-5414

Reflecting Consideration of

Share Price Level

AlphaSignals Earnings Reaction

Toyota Motor (7203.T, 7203 JT)

Unchanged In-line Modest revision higher Autos & Shared Mobility | Japan

Impact to our thesis Financial results versus consensus Direction of next 12-month

consensus EPS Stock Rating Equal-weight

Industry View In-Line

Source: Company data, Morgan Stanley Research Price target ¥3,200

Shr price, close (Aug 4, 2026) ¥2,919

Mkt cap, curr, basic (bn) ¥38,037.9

Key Takeaways Avg daily trading value (bn) ¥78.8

Apr-Jun OP and full-year guidance raise were both broadly in line with our

expectations.

However, as market expectations for buybacks had not been particularly high, our

overall impression is somewhat positive.

Although the share price reaction following the intraday announcement was

limited, we believe this was due more to weak sentiment across the broader auto

sector than to company-specific factors.

Toyota commented that demand for HEVs remains robust and that it plans to

expand production capacity for HEV batteries.

We estimate Toyota's HEV sales target for F3/31 at ~7mn units, implying growth

from slightly above 5mn units in F3/27.

Apr-Jun (1Q) results: Revenue totaled ¥13.5254tn (YoY +10%) and OP ¥1.0634tn.

OP was broadly in line with consensus expectations (approximately ¥1.1tn), with no