Toyota Motor Corporation designs, manufactures, assembles, and sells passenger vehicles, minivans and commercial vehicles, and related parts and accessories in Japan, North America, Europe, Asia, Central and South America, Oceania, Africa, and the Middle East. It operates in Automotive, Financial Services, and All Other segments. The company offers subcompact and compact cars; mini-vehicles; mid-size, luxury, sports, and specialty cars; recreational and sport-utility vehicles; pickup trucks; minivans; trucks; and buses. It offers vehicles under the Toyota and Lexus brand names. Further, the company provides financial services, such as retail financing and leasing, wholesale financing, insurance, and credit cards. Additionally, it operates GAZOO.com, a web portal for automobile information, as well as engages in telecommunications and other businesses. The company was founded in 1933 and is headquartered in Toyota, Japan.

Toyota Motor Corporation демонстрирует смешанную фундаментальную картину. С одной стороны, P/E составляет 12.66, что ниже медианы отрасли, указывая на возможную недооцененность. Однако, другие мультипликаторы, такие как Price/Sales, Price/Book и Price/FCF, показывают переоцененность по сравнению с отраслевыми стандартами. Важно отметить, что чистая прибыль и маржа прибыли выше медианных значений, что позитивно сказывается на общей оценке. Тем не менее, показатели рентабельности (ROE, ROA, ROI) находятся ниже медианы отрасли, что вызывает опасения относительно эффективности использования капитала. Долговая нагрузка также выше, чем в среднем по отрасли, что может увеличить финансовые риски. Дивидендная доходность находится на уровне 1.50%, что соответствует ожиданиям, но не демонстрирует роста. В целом, несмотря на сильные позиции по выручке и чистой прибыли, слабые стороны в рентабельности и долговой нагрузке требуют осторожности при оценке компании.

Toyota Motor Corporation

A few years back, electric vehicles (EV) were one of the hottest themes in investing. Tesla’s success paved the way for many EV pure plays to go public, while legacy automakers committed billions of dollars to shift gears toward electric mobility. It was seen as the next big transformation in autos that would drive future revenue and earnings growth.
But the hype has faded. EVs have proved to be a costly transition, adoption has slowed, and things haven’t quite played out the way many had anticipated. In the United States, the EV market has struggled to hold momentum, partly due to weaker government support. The Trump administration rolled back incentives and regulations meant to boost EV sales. A key tax credit— worth up to $7,500 for qualifying EVs and plug-in hybrids— expired last September, removing an important demand driver. This has weakened the near-term case for EVs, even though they are still widely considered to be the future of transportation.
In response, many auto giants such as Ford F, General Motors GM and Stellantis STLA have reconsidered their EV strategies and taken write-off charges on related investments that no longer make business sense. The latest casualty is Honda HMC, which announced yesterday that it expects to take charges of up to $16 billion in the fiscal year ending March 31, 2026, as it pivots away from EVs.
Interestingly, Honda’s closest peer appears to have largely avoided this situation. That is the Japanese auto titan Toyota TM. The company did not go all in on EVs when the rest of the industry was aggressively investing in the technology, a decision that drew criticism at the time. But that cautious approach now seems to be paying off, as Toyota has not announced any EV write-downs so far.
Surprisingly though, the same automaker is now preparing to double down on EVs at a time when demand remains uncertain. Before discussing its strategy, let’s briefly look at how Ford, General Motors, Stellantis and Honda ended up taking write-offs on their EV bets.
$70B EV Reality Check for F, GM, STLA and HMC
Ford is moving away from its plans to manufacture large EVs. Instead of rolling out expensive, capital-heavy EVs into a reluctant market, Ford will now focus on profitable hybrids and internal combustion vehicles, while narrowing its EV efforts to smaller, lower-cost models. At the center of this shift is Ford’s new Universal EV Platform. Ford’s first vehicle built on the platform will be a midsize electric pickup. Notably, the company has even discontinued the fully electric version of its best-selling F-150 pickup. Ford announced $19.5 billion in EV-reset related charges.
General Motors also responded to slower-than-expected EV demand by selling its stake in the Ultium Cells Lansing plant and pivoting some assembly capacity from EVs back to internal combustion engine (ICE) vehicles. The company took $7.6 billion in charges in the second half of 2025 to reduce EV capacity.
Last month, Stellantis confirmed that it incurred around $25 billion in losses related to EV restructuring in the second half of 2025.Its RAM brand discontinued its planned all-electric pickup. The company is repositioning its North American strategy around conventional hybrids and extended-range electric vehicles (EREVs), which offer electric driving with longer range and reduce dependence on charging infrastructure.
Honda, as mentioned earlier, will be taking a massive hit of roughly $16 billion and is now projecting a full-year loss of 340-570 billion yen in fiscal 2026. It has canceled its highly anticipated 0 Series SUV and sedan just months before planned production, shifting its focus toward developing more competitive hybrid models while expanding its motorcycle business to strengthen profitability.
With that, the cumulative EV-restructuring losses for these four automakers come to roughly $70 billion.
Toyota Expands EV Push As Rivals Retreat
For years, Toyota prioritized hybrids over fully electric vehicles and was often viewed as one of the slowest legacy automakers to embrace BEV technology. Until the start of this year, the brand had only one EV offering in the U.S. market — the Toyota bZ.
That is now changing. Toyota is expanding its battery-electric lineup in the United States, with additions such as the Toyota Highlander EV, Toyota bZ Woodland and Toyota C???HR EV, per Autoblog. The new lineup spans multiple segments— from compact SUVs to more lifestyle-oriented crossovers— helping the company target a broader group of buyers.
Toyota views this expansion as a natural next step after the success of its hybrid strategy. Hybrid models have grown rapidly. That large base of hybrid customers could eventually become a pipeline of EV buyers.
The company is also trying to manage costs more efficiently. The company is also looking to control EV costs by leveraging its global operations and sourcing batteries from its new North Carolina plant. The Highlander EV will be Toyota’s first three-row electric SUV and also the first Toyota EV assembled in the United States.
At the same time, Toyota is rolling out updated EV models and offering pricing incentives to attract buyers now that the $7,500 federal EV tax credit is no longer available. With longer range, quicker charging and aggressive pricing, Toyota is betting its new EVs can appeal to mainstream buyers at a time when much of the industry is stepping back.
Last Word
In hindsight, Toyota’s reluctance to rush into EVs has saved it from the costly reset now facing several rivals. By holding back earlier, the company now appears to be in a better position to expand its EV push. Whether Toyota’s timing proves right remains to be seen, as EV demand is uneven and policy support uncertain. But if demand picks up again, that positioning could give Toyota an advantage as the next phase of the EV transition unfolds.
TM stock currently carries a Zacks Rank #3 (Hold). You can see the complete list of today’s Zacks #1 Rank (Strong Buy) stocks here.
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EV Write-Offs Rise, Yet One Auto Giant Is Doubling Down

For Immediate Releases
Chicago, IL – March 10, 2026 – Zacks.com announces the list of stocks featured in the Analyst Blog. Every day the Zacks Equity Research analysts discuss the latest news and events impacting stocks and the financial markets. Stocks recently featured in the blog include Visa Inc. (V), Chevron Corp. CVX, Toyota Motor Corp. TM and Friedman Industries, Inc. FRD.
Here are highlights from Tuesday’s Analyst Blog:
Top Stock Reports for Visa, Chevron and Toyota Motors
The Zacks Research Daily presents the best research output of our analyst team. Today's Research Daily features new research reports on 16 major stocks, including Visa Inc., Chevron Corp. and Toyota Motor Corp., as well as a micro-cap stock Friedman Industries, Inc. The Zacks microcap research is unique as our research content on these small and under-the-radar companies is the only research of its type in the country.
These research reports have been hand-picked from the roughly 70 reports published by our analyst team today.
You can see all of today’s research reports here >>>
Ahead of Wall Street
The daily 'Ahead of Wall Street' article is a must-read for all investors who would like to be ready for that day's trading action. The article comes out before the market opens, attempting to make sense of that morning's economic releases and how they will affect that day's market action. You can read this article for free on our home page and can actually sign up there to get an email notification as this article comes out each morning.
You can read today's AWS here >>> Pre-Markets Down as Middle East Tensions Remain
Today's Featured Research Reports
Shares of Visa have declined -5.7% over the past six months against the Zacks Financial Transaction Services industry’s decline of -17.6%. The company faces rising client incentives and expenses, which can affect margin growth. The Zacks analyst expects FY26 adjusted costs to rise 11%. Regulatory pressures and potential legislative changes pose additional risks to its fee structure. Regional softness warrants monitoring.
Nevertheless, Visa’s first-quarter fiscal 2026 earnings beat estimates. Its strong market position is underpinned by consistent volume-driven growth, acquisitions and technological leadership in digital payments. Expansion in cross-border volumes, rising transactions and investments in AI and stablecoin infrastructure enhance its prospects.
Total revenue rose 15% YoY in the first quarter, along with 12% cross-border growth. A robust financial position, with ample liquidity and shareholder returns, further supports long-term growth.
(You can read the full research report on Visa here >>>)
Chevron’s shares have gained +22.9% over the past six months against the Zacks Oil and Gas - Integrated - International industry’s gain of +31.8%. The company’s portfolio is strengthening, but risks keep the outlook balanced. The Hess acquisition adds high-quality assets in Guyana, the Bakken, and the Gulf of America, lifting long-term production visibility and free cash flow potential. Even with weak oil prices, free cash flow grew sharply in 2025, supported by cost discipline, asset quality, and steady operations.
Deepwater projects like Ballymore and Whale, along with a dominant Permian position, underpin medium-term growth, while ongoing efficiency gains are lowering breakevens. But execution and geopolitical risks remain, as seen at Tengiz, while Venezuela upside depends on policy clarity.
Downstream and chemicals face margin pressure, valuation is elevated versus peers, and energy transition progress trails Europe. Taken together, these factors support a Neutral view on CVX stock.
(You can read the full research report on Chevron here >>>)
Shares of Toyota Motor’s have outperformed the Zacks Automotive - Foreign industry over the past six months (+11.1% vs. -3.4%). The company’s surge in hybrid adoption is boosting its sales. Toyota Motor plans to significantly expand hybrid and plug-in hybrid production by 2028. Upbeat outlook for fiscal 2026 sales sparks optimism. Higher expected year-over-year sales are likely to boost the company’s top-line growth in fiscal 2026.
Toyota is taking initiatives to improve profits by lowering the level of sales needed to break even. However, material prices, forex rate and tariffs imposed by the U.S. government on vehicle and vehicle parts imports are expected to be a big hit on the operating profits in fiscal 2026.
High R&D expenses on advanced technologies and alternative fuels for the development of electric and autonomous vehicles are likely to limit the near-term margins. As such, the stock warrants a neutral stance.
(You can read the full research report on Toyota Motor here >>>)
Friedman Industries’ shares have underperformed the Zacks Metal Products - Procurement and Fabrication industry over the past six months (-15.2% vs. +22.5%). This microcap company with market capitalization of $130.72 million, have seen its results remain highly sensitive to steel pricing, inventory intensity and supplier concentration. Higher leverage and a larger cost base may pressure margins if spreads weaken. Despite these risks, valuation suggests potential upside if operational momentum is sustained.
Nevertheless, FRD’s investment case centers on scale expansion, portfolio diversification and improving operating leverage, balanced by steel-cycle risk. The 2025 buyout of Century Metals & Supplies broadens its product mix into coated, stainless and non-ferrous metals while expanding distribution across Florida and strengthening Latin American market access.
Combined with the Sinton processing facility, higher throughput and utilization are driving strong flat-roll growth, with shipments and pricing lifting profitability. The tubular segment returned to profitability, adding earnings diversification.
(You can read the full research report on Friedman Industries here >>>)
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Note: Sheraz Mian heads the Zacks Equity Research department and is a well-regarded expert of aggregate earnings. He is frequently quoted in the print and electronic media and publishes the weekly Earnings Trends and Earnings Previewreports. If you want an email notification each time Sheraz publishes a new article, please click here>>>
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Past performance is no guarantee of future results. Inherent in any investment is the potential for loss. This material is being provided for informational purposes only and nothing herein constitutes investment, legal, accounting or tax advice, or a recommendation to buy, sell or hold a security. No recommendation or advice is being given as to whether any investment is suitable for a particular investor. It should not be assumed that any investments in securities, companies, sectors or markets identified and described were or will be profitable. All information is current as of the date of herein and is subject to change without notice. Any views or opinions expressed may not reflect those of the firm as a whole. Zacks Investment Research does not engage in investment banking, market making or asset management activities of any securities. These returns are from hypothetical portfolios consisting of stocks with Zacks Rank = 1 that were rebalanced monthly with zero transaction costs. These are not the returns of actual portfolios of stocks. The S&P 500 is an unmanaged index. Visit https://www.zacks.com/performance for information about the performance numbers displayed in this press release.
Beyond Nvidia: AI's Second Wave Is Here
The AI revolution has already minted millionaires. But the stocks everyone knows about aren't likely to keep delivering the biggest profits. Little-known AI firms tackling the world's biggest problems may be more lucrative in the coming months and years.
See
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The views and opinions expressed herein are the views and opinions of the author and do not necessarily reflect those of Nasdaq, Inc.

The Zacks Analyst Blog Visa, Chevron, Toyota and Friedman

Monday, March 9, 2026
The Zacks Research Daily presents the best research output of our analyst team. Today's Research Daily features new research reports on 16 major stocks, including Visa Inc. (V), Chevron Corp. (CVX) and Toyota Motor Corp. (TM), as well as a micro-cap stock Friedman Industries, Inc. (FRD). The Zacks microcap research is unique as our research content on these small and under-the-radar companies is the only research of its type in the country.
These research reports have been hand-picked from the roughly 70 reports published by our analyst team today.
You can see all of today’s research reports here >>>
Ahead of Wall Street
The daily 'Ahead of Wall Street' article is a must-read for all investors who would like to be ready for that day's trading action. The article comes out before the market opens, attempting to make sense of that morning's economic releases and how they will affect that day's market action. You can read this article for free on our home page and can actually sign up there to get an email notification as this article comes out each morning.
You can read today's AWS here >>> Pre-Markets Down as Middle East Tensions Remain
Today's Featured Research Reports
Shares of Visa have declined -5.7% over the past six months against the Zacks Financial Transaction Services industry’s decline of -17.6%. The company faces rising client incentives and expenses, which can affect margin growth. The Zacks analyst expects FY26 adjusted costs to rise 11%. Regulatory pressures and potential legislative changes pose additional risks to its fee structure. Regional softness warrants monitoring.
Nevertheless, Visa’s first-quarter fiscal 2026 earnings beat estimates. Its strong market position is underpinned by consistent volume-driven growth, acquisitions and technological leadership in digital payments. Expansion in cross-border volumes, rising transactions and investments in AI and stablecoin infrastructure enhance its prospects.
Total revenue rose 15% YoY in the first quarter, along with 12% cross-border growth. A robust financial position, with ample liquidity and shareholder returns, further supports long-term growth.
(You can read the full research report on Visa here >>>)
Chevron’s shares have gained +22.9% over the past six months against the Zacks Oil and Gas - Integrated - International industry’s gain of +31.8%. The company’s portfolio is strengthening, but risks keep the outlook balanced. The Hess acquisition adds high-quality assets in Guyana, the Bakken, and the Gulf of America, lifting long-term production visibility and free cash flow potential. Even with weak oil prices, free cash flow grew sharply in 2025, supported by cost discipline, asset quality, and steady operations.
Deepwater projects like Ballymore and Whale, along with a dominant Permian position, underpin medium-term growth, while ongoing efficiency gains are lowering breakevens. But execution and geopolitical risks remain, as seen at Tengiz, while Venezuela upside depends on policy clarity.
Downstream and chemicals face margin pressure, valuation is elevated versus peers, and energy transition progress trails Europe. Taken together, these factors support a Neutral view on CVX stock.
(You can read the full research report on Chevron here >>>)
Shares of Toyota Motor’s have outperformed the Zacks Automotive - Foreign industry over the past six months (+11.1% vs. -3.4%). The company’s surge in hybrid adoption is boosting its sales. Toyota Motor plans to significantly expand hybrid and plug-in hybrid production by 2028. Upbeat outlook for fiscal 2026 sales sparks optimism. Higher expected year-over-year sales are likely to boost the company’s top-line growth in fiscal 2026.
Toyota is taking initiatives to improve profits by lowering the level of sales needed to break even. However, material prices, forex rate and tariffs imposed by the U.S. government on vehicle and vehicle parts imports are expected to be a big hit on the operating profits in fiscal 2026.
High R&D expenses on advanced technologies and alternative fuels for the development of electric and autonomous vehicles are likely to limit the near-term margins. As such, the stock warrants a neutral stance.
(You can read the full research report on Toyota Motor here >>>)
Friedman Industries’ shares have underperformed the Zacks Metal Products - Procurement and Fabrication industry over the past six months (-15.2% vs. +22.5%). This microcap company with market capitalization of $130.72 million, have seen its results remain highly sensitive to steel pricing, inventory intensity and supplier concentration. Higher leverage and a larger cost base may pressure margins if spreads weaken. Despite these risks, valuation suggests potential upside if operational momentum is sustained.
Nevertheless, FRD’s investment case centers on scale expansion, portfolio diversification and improving operating leverage, balanced by steel-cycle risk. The 2025 buyout of Century Metals & Supplies broadens its product mix into coated, stainless and non-ferrous metals while expanding distribution across Florida and strengthening Latin American market access.
Combined with the Sinton processing facility, higher throughput and utilization are driving strong flat-roll growth, with shipments and pricing lifting profitability. The tubular segment returned to profitability, adding earnings diversification.
(You can read the full research report on Friedman Industries here >>>)
Other noteworthy reports we are featuring today include Broadcom Inc. (AVGO), GSK plc (GSK) and Cheniere Energy Partners, L.P. (CQP).
Mark Vickery
Senior Editor
Note: Sheraz Mian heads the Zacks Equity Research department and is a well-regarded expert of aggregate earnings. He is frequently quoted in the print and electronic media and publishes the weekly Earnings Trends and Earnings Preview reports. If you want an email notification each time Sheraz publishes a new article, please click here>>>
Today's Must Read
Featured Reports
Strong Demand for Networking Products Aids Broadcom (AVGO)
Per the Zacks analyst, Broadcom is riding on robust demand for networking solutions. Strong adoption of custom AI accelerators among hyperscalers is driving top-line growth.
GSK Specialty Medicines Unit Aids Revenues Amid Generic Competition
Per the Zacks analyst, GSK's Specialty Medicines unit is witnessing increased sales growth, with sales rising in HIV, respiratory and oncology. However, softer Vaccines segment sales are a concern.
Domino's (DPZ) Banks on Digital Initiatives, High Costs Ail
Per the Zacks analyst, Domino's is likely to benefit from digital enhancements, the Hungry for MORE strategy and the DoorDash partnership. However, macroeconomic uncertainty and high costs are concern
Increasing Orders Aid Embraer (EMBJ) Amid Labor Shortage
Per the Zacks analyst, Embraer is likely to benefit from increasing orders for its commercial aircrafts. Yet labor shortage result in delays and likely impact operating results.
10x Genomics' (TXG) Innovation Strength Aids Growth Amid Funding Woes
Per the Zacks Analyst, 10x Genomics benefits from strong platform innovation and growing single-cell and spatial biology markets, though funding uncertainty and weak instrument demand weigh.
Growing Patient Days Aid Acadia Healthcare (ACHC), Costs Ail
Per the Zacks analyst, increasing patient days driven by strong demand will boost Acadia Healthcare's profits. However, escalating expenses remain a concern for the company.
Dividends, Buyback Aid Golar LNG (GLNG), Vessel Operating Costs High
The Zacks analyst is encouraged by the shareholder-friendly measures adopted by Golar GLNG. However, higher vessel operating expenses is likely to keep the bottom line under pressure.
New Upgrades
Long-Term Take-or-Pay LNG Contracts to Aid Cheniere Partners (CQP)
Cheniere Partners' long-term take-or-pay contracts covering a major portion of its LNG production ensure stable revenues. However, its significant long-term debt concerns the Zacks analyst.
Celestica (CLS) Rides on Healthy Demand, Strong Free Cash Flow
Per the Zacks analyst, strong demand for 400G switches and 800G switches in AI data centers will likely drive Celestica's top line. Efficient working capital management is driving free cash flow.
Strong Balance Sheet and NII Growth Aids Bank of Hawaii Financials
Per the Zacks analyst, Bank of Hawaii's strong balance sheet is supported by steady loan and deposit growth. Lower funding costs and asset repricing continue to drive its net interest income (NII).
New Downgrades
Weakness in Construction Materials Unit Hurts Carlisle (CSL)
Per the Zacks analyst, Carlisle is struggling with the poor performance of the Carlisle Construction Materials segment due to decline in new construction activities. High operating costs remain a woe.
Cost Pressures, Limited Pricing Gains Hurt Vishay's (VSH) Margins
Per the Zacks analyst, the ongoing cost pressures from expansion projects and limited pricing gains are negatively impacting Vishay's gross and adjusted EBITDA margins.
Limited Servicing Fee and Weak Liquidity Ail Navient (NAVI)
Per the Zacks analyst, declining Servicing revenues is hampering Navient's top-line growth. Also, weak liquidity makes capital distributions seem unsustainable.
5 Stocks Set to Double
Each was handpicked by a Zacks expert as the #1 favorite stock to gain +100% or more in the coming year. While not all picks can be winners, previous recommendations have soared +112%, +171%, +209% and +232%.
Most of the stocks in this report are flying under Wall Street radar, which provides a great opportunity to get in on the ground floor.
Today, See These 5 Potential Home Runs >>
Want the latest recommendations from Zacks Investment Research? Today, you can download 7 Best Stocks for the Next 30 Days. Click to get this free report
This article originally published on Zacks Investment Research (zacks.com).
The views and opinions expressed herein are the views and opinions of the author and do not necessarily reflect those of Nasdaq, Inc.

Top Stock Reports for Visa, Chevron & Toyota Motor

Key Points
Global diversification is the most realistic upside.
Margin stability matters more than expansion.
Energy and software add resilience, not transformation, yet.
When investors think about BYD Company Ltd's (OTC: BYDDY) future, the debate often swings between extremes -- unstoppable global dominance or margin collapse under relentless competition.
But the most likely outcome over the next three years isn't dramatic. It's evolutionary.
Will AI create the world's first trillionaire? Our team just released a report on the one little-known company, called an "Indispensable Monopoly" providing the critical technology Nvidia and Intel both need. Continue »
The base case for BYD in 2028 looks less like a moonshot and more like a maturation story.
A truly global EV manufacturer
One of the most significant potential upsides (and uncertainties) around BYD is whether its overseas expansion will be successful. Three years is enough time for BYD's overseas push to solidify. Factories in Southeast Asia, Europe, and Latin America should be up to speed, dealer networks should be more established, and brand familiarity should significantly improve outside China.
In this scenario, BYD derives roughly 35% to 45% of its revenue from overseas markets. China remains its largest base, but no longer its overwhelming dependency.
That evolution matters. A more geographically diversified revenue mix reduces regulatory risk, smooths demand cycles, and strengthens negotiating power with suppliers and governments.
Investors stop viewing BYD primarily as a "Chinese EV stock" and start evaluating it as a global industrial company.
Stable, not spectacular margins
In the base case, margins do not expand dramatically, but they stabilize.
In this scenario, China's EV market remains competitive, and pricing pressure doesn't disappear. However, BYD's cost structure, vertical integration, and scale enable it to defend operating margins in the low-to-mid teens.
That's not luxury-level profitability. But it's durable. It is building something that resembles a Toyota of the EV era -- efficient, reliable, and operationally disciplined.
For long-term investors, durability matters in long-term wealth creation.
Energy and software: incremental contributors
On the other hand, BYD's energy storage and battery segments grow steadily. Grid-scale storage projects expand globally, and the business becomes a meaningful secondary contributor to operating profit.
Software monetization progresses, but slowly and steadily. Advanced driver assistance and connected features begin contributing incremental revenue, though they remain supplementary rather than transformational.
Optionality still exists, but it hasn't yet dominated the income statement.
What might the stock reflect in the base case?
In this base case, BYD trades like a high-quality global manufacturer:
Steady earnings growth.
Solid free cash flow.
Moderate multiple.
Returns come from compounding, not rerating. The long-term story shifts from "How fast can it grow?" to "How consistently can it execute?"
What does it mean for investors?
The base case for BYD over the next three years is not explosive upside; it's sustainable operational proof.
If BYD stabilizes margins, diversifies geographically, and steadily grows adjacent businesses, it could emerge as one of the more durable industrial winners of the EV transition.
Not the flashiest. Not the highest margin. But steady, global, and hard to displace.
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The views and opinions expressed herein are the views and opinions of the author and do not necessarily reflect those of Nasdaq, Inc.

Where Could BYD Be in 3 Years? -- The Base Case

Key Points
Ferrari is a steady-growing and extremely profitable auto manufacturer.
Taiwan Semiconductor is growing fast and is a pick-and-shovel play for the entire tech industry.
BWX Technologies is a profitable and growing engineering company emerging as a leader in the SMR space.
Nobody, not even the greatest investors in history, can predict the future. All anyone can do is look at where a stock has been and infer where it's headed.
I can't tell you which stocks will 10X in the next 10 years but I can tell you about three great stocks that have the potential to. Each one has growing revenue, very high profitability, and smart management of its balance sheet.
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And even if one or all of these stocks don't 10X by 2036, I don't think you'll be disappointed looking back at your return on them in 10 years' time.
1. Let's go racing
Up first is one that might surprise you: Ferrari (NYSE: RACE).
The luxury car manufacturer known for building some of the most beautiful speed machines to grace the roads for the past several decades is also one of the most profitable companies in the auto industry.
It's up 81% over the past five years. And despite an 18% dip in the last year, Ferrari is still going strong based on its latest results and I expect further growth in the future.
For the whole of 2025, Ferrari brought in net revenue of 7.1 billion euros, up 7% year over year. Operating profit for the year totaled 2.1 billion euros, up 12% over 2024 and good for an operating margin of 29.5%.
That's far and away the best profit margin in the auto industry. Toyota, with the next highest profit margin in the industry, has an operating margin of 8.5% right now. General Motors is sitting at 1.57% and Volkswagen is at 4.62%.
The company's net profit came in at 1.6 billion euros for 2025, up 5% over 2024 and its diluted earnings per share (EPS) grew 6%. And in an industry that typically runs a high debt load, Ferrari has a manageable net debt position of 1.4 billion euros and a debt to equity ratio of 0.74. For comparison, Volkswagen carries a debt to equity ratio of 0.96 and General Motors is sitting at 2.08.
Ferrari's dip over the past few months looks far more like a "buy-the-dip" opportunity than the beginning of its decline. It's definitely worth a look.
2. The Taiwanese profit machine
Next is Taiwan Semiconductor Manufacturing (NYSE: TSM), which is the dominant player in the pure foundry semiconductor market with 72% market share and growing.
The company manufactures chips designed by many of the big players in the tech hardware industry like Nvidia, which has its Blackwell chips produced at Taiwan Semiconductor's factory in Arizona.
And like Ferrari, Taiwan Semiconductor's results speak for themselves. Only they speak even louder than Ferrari's.
Per Taiwan Semiconductor's full-year 2025 results, the company brought in net revenue of $122.4 billion, up 35.9% over 2024. It grew its gross profit margin and operating margin 3.8 percentage points and 5.1 percentage points over 2024 to 59.9% and 50.8% respectively. And Taiwan Semiconductor grew its diluted EPS 46.4% over 2024.
On the balance sheet side of the equation, Taiwan Semiconductor grew its operating cash flow 24.6%, its free cash flow 15.2%, and its cash and marketable securities reserve by 26.7%.
The only worrying metric was that its capital expenditures (capex) were up 33% over 2024, but that was still outpaced by its revenue growth. So ultimately, I don't think it's too concerning.
Just about every piece of technology we use today requires semiconductors, and artificial intelligence (AI) is especially hungry for them. Taiwan Semiconductor's high-end chips in particular have cornered the market.
That makes this one a pick-and-shovel play for not only AI but the entire tech industry. Give it a look if you're looking for a one-ticker industrywide play.
3. Chain reaction
Finally, I want to talk about BWX Technologies (NYSE: BWXT), a nuclear engineering company set to capitalize on the small modular reactor (SMR) trend. SMR are miniaturized nuclear reactors that could theoretically be used to power remote installations and data centers among other things.
But BWX has a long history of building pint-sized nuclear technology. Since it helped pioneer the reactor aboard the USS Nautilus, the world's first nuclear-powered submarine, BWX has produced over 400 naval nuclear reactors.
And while many of its competitors in the SMR space are on shoestring budgets, BWX bucks that trend.
For the whole of 2025, the company brought in $3.19 billion, up 18% over 2024. Its net income margin hit 15% and it grew its EPS 20% over 2024. BWX also saw its operating cash flow grow 17%.
BWX is a company on the rise in a nuclear industry experiencing a renaissance thanks to renewed interest both from the government and from big tech companies looking to meet the power needs of their AI data center projects. And with BWX's financial position as strong as it is, I think it's worth a look right now.
Should you buy stock in BWX Technologies right now?
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James Hires has positions in BWX Technologies and Toyota Motor. The Motley Fool has positions in and recommends BWX Technologies, Ferrari, Nvidia, and Taiwan Semiconductor Manufacturing. The Motley Fool recommends General Motors. The Motley Fool has a disclosure policy.
The views and opinions expressed herein are the views and opinions of the author and do not necessarily reflect those of Nasdaq, Inc.

3 Under-the-Radar Stocks That Can 10X by 2036

Key Points
Uber has worked closely with Joby over the past six years.
The two companies will launch their first aerial ride-hailing service in Dubai this year.
Over the past decade, electric vertical take-off and landing (eVTOL) aircraft have evolved from fanciful concept designs into commercially viable short-range aircraft. One of the first movers in this nascent market is Joby Aviation (NYSE: JOBY), which produces the S4 eVTOL.
The S4 carries a single pilot and four passengers, travels up to 100 miles on a single charge, and reaches a maximum speed of 200 miles per hour. It can travel faster than most of its competitors -- including Archer Aviation's (NYSE: ACHR) Midnight eVTOL -- because it uses tilt-rotor propellers, which alternate between lifting and cruising modes. The Midnight uses separate propellers for lifting and cruising, which increases its overall weight and drag.
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Joby has already attracted prominent investors and customers, including Toyota and Delta Air Lines (NYSE: DAL). However, its most important partner is arguably Uber (NYSE: UBER), which is using Joby's S4 eVTOLs to launch its new air taxi services. Let's see how Uber and Joby Aviation could kick-start the eVTOL revolution in the near future.
Why do Joby and Uber need each other?
Uber's relationship with Joby started just over six years ago. In January 2020, Uber invested $50 million in Joby's Series C financing round. In December 2020, Uber sold its Elevate aerial ride-hailing business to Joby and invested another $75 million in the eVTOL maker.
At the time, Elevate was researching potential air taxi routes, developing software for on-demand flights, and testing out a premium helicopter-hailing service in New York City. Uber divested its Elevate unit as part of a broader effort to streamline its business, and Joby acquired it to accelerate the development of its own aerial ride-hailing network.
Last August, Joby acquired Blade's passenger helicopter-hailing service to expand that fledgling platform. Shortly afterwards, Uber integrated Blade's helicopter rides into its ride-hailing app.
Uber, which served 202 million monthly active platform customers (MAPCs) at the end of 2025, plans to tether itself to Joby's top air taxi partners -- which already include Delta, Virgin Atlantic, and All Nippon Airways. In late February, Uber and Joby officially launched Uber Air, which aims to launch its first eVTOL flights in Dubai later this year. That would mark a significant commercial milestone for both companies.
In the U.S., the Federal Aviation Administration (FAA) hasn't fully approved Joby's S4, Archer's Midnight, and other eVTOLs for commercial flights yet. However, Joby expects the FAA to approve its first commercial flights this year -- and Delta has already been working with Joby and Uber to launch their first air taxi routes in New York and Los Angeles. Uber has even secured a spot as the official air taxi provider for the 2028 L.A. Olympics.
But is it the right time to buy Joby's stock?
From 2025 to 2027, analysts expect Joby's revenue to nearly quadruple, from $53 million to $210 million, as it ramps up production and Uber launches its first air taxi routes. But with a market cap of $9.9 billion, it's already valued at 47 times its 2027 sales.
That premium valuation might be justified if the FAA finally approves its first commercial flights and its partners rapidly expand their air taxi networks. However, it could quickly lose its luster if those approvals or flights are delayed, or it struggles to produce enough eVTOLs to meet that demand. It's also expected to remain unprofitable for the foreseeable future, and it will likely continue to dilute its investors through extensive secondary offerings.
I wouldn't rush to buy Joby's stock in this frothy market, but I wouldn't ignore it either. It's clearly establishing an early mover's advantage in the eVTOL market, which could grow exponentially over the next decade as these greener aircraft gradually replace conventional helicopters.
Should you buy stock in Joby Aviation right now?
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The views and opinions expressed herein are the views and opinions of the author and do not necessarily reflect those of Nasdaq, Inc.

The eVTOL Era is Beginning With Uber and Joby Aviation. Here's Everything Investors Need to Know.

Key Points
The U.S. stock market has underperformed many international stock markets year to date, due in part to concerns about how tariffs will affect the U.S. economy.
The Vanguard FTSE Pacific ETF provides heavy exposure to stocks in Japan, South Korea, and Australia; the fund has advanced 18% year to date.
The Vanguard FTSE Developed Markets ETF provides heavy exposure to stocks in Japan, the United Kingdom, and Canada; the fund has advanced 11% year to date.
Many experts believe President Trump's tariffs will hurt the U.S. economy. Several recent studies say U.S. businesses and consumers have borne most of the costs, and there is no reason to think that will change. While the Supreme Court recently struck down some of the duties, Trump has replaced them with a 10% global tariff.
Uncertainty about the economic impact has motivated some investors to move money from U.S. stocks into international markets. That's one reason the S&P 500 has essentially traded sideways this year, while the Vanguard FTSE Pacific ETF (NYSEMKT: VPL) has added 18% and the Vanguard FTSE Developed Markets ETF (NYSEMKT: VEA) has added 11%.
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While neither index fund beat the S&P 500 over the last decade, their outperformance may continue in the months ahead if Trump's trade policies continue to sow uncertainty about the U.S. economy.
1. Vanguard FTSE Pacific ETF
The Vanguard FTSE Pacific ETF tracks the performance of about 2,300 companies located in Asia-Pacific countries, especially Japan, South Korea, and Australia. The index fund is most heavily weighted toward three stock market sectors: industrials (20%), financials (20%), and consumer discretionary (15%).
The top five holdings are:
Samsung Electronics: 4.6%.
SK Hynix: 3%.
Toyota Motor: 2.1%.
Mitsubishi Financial Group: 1.7%.
Commonwealth Bank of Australia: 1.5%.
While the Vanguard FTSE Pacific ETF has beaten the S&P 500 by nearly 18 percentage points year to date, the index fund still underperformed by about 150 percentage points during the past decade. The primary reason it has done so well this year is exposure to Samsung and SK Hynix, the two largest memory chip manufacturers in the world.
Demand for artificial intelligence infrastructure has led to an unprecedented shortage in DRAM and NAND flash memory, causing prices to skyrocket. The International Data Corp. says the shortage could "persist well into 2027." But the cyclical nature of the memory chip industry will eventually become a headwind to Samsung and SK Hynix, at which point this index fund could underperform.
The Vanguard FTSE Pacific ETF has an expense ratio of 0.07%, meaning shareholders will pay $7 per year on every $10,000 invested. The average expense ratio among similar funds is 0.68%. All things considered, this index fund is a sensible option for investors seeking exposure to stocks in the Asia-Pacific region of the globe.
2. Vanguard FTSE Developed Markets ETF
The Vanguard FTSE Developed Markets ETF tracks the performance of nearly 3,900 companies in developed markets outside of the United States, especially Japan, the United Kingdom, and Canada. The index fund is most heavily weighted toward three stock market sectors: financials (24%), industrials (18%), and consumer discretionary (11%).
The top five holdings are:
ASML: 1.8%.
Samsung Electronics: 1.7%.
SK Hynix: 1.1%.
Roche Holding: 1%.
HSBC Holdings: 1%.
While the Vanguard FTSE Developed Markets ETF has beaten the S&P by nearly 11 percentage points year to date, the index fund underperformed by about 150 percentage points over the past decade. In fact, the returns in the Vanguard FTSE Developed Markets ETF were nearly identical to those in the Vanguard FTSE Pacific ETF during that period.
Once again, a big reason this index fund has outperformed in 2026 is its inclusion of Samsung and SK Hynix. However, it has not performed as well as the Vanguard FTSE Pacific ETF because it lacks the same level of exposure to those chipmakers.
In most years, the greater diversity of this index fund has been a positive thing. For instance, it outperformed the Vanguard FTSE Pacific ETF by 19 percentage points between 2021 and 2025, partly because of its cheaper expense ratio of 0.03%. All things considered, the Vanguard Developed Markets ETF is a good choice for investors seeking diverse exposure to non-U.S. stocks in stable economies.
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HSBC Holdings is an advertising partner of Motley Fool Money. Trevor Jennewine has no position in any of the stocks mentioned. The Motley Fool has positions in and recommends ASML and Vanguard FTSE Developed Markets ETF. The Motley Fool recommends HSBC Holdings and Roche Holding AG. The Motley Fool has a disclosure policy.
The views and opinions expressed herein are the views and opinions of the author and do not necessarily reflect those of Nasdaq, Inc.

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Key Points
Tesla plans to invest over $20 billion by 2026, marking its largest investment yet.
Tesla is focusing on autonomous vehicles and robotaxis as the next step for transportation.
Recent data shows that Teslas are already a popular choice for rideshare drivers.
While the staggering capital spending commitments in artificial intelligence (AI) by hyperscalers like Alphabet and Amazon have captured investor attention, Tesla's (NASDAQ: TSLA) massive ramp in spending is arguably much more significant.
Not only is the $20 billion-plus in capital spending planned for 2026 more than double what Tesla spent last year, but its nature highlights a fundamentally different vision of where the transportation market is heading. Here's why.
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Tesla's spending commitments change everything
The first point to note is that Tesla is not moving away from passenger electric vehicles (EVs). Yes, three of six factoriesit intends to invest in are for Optimus production, Semi truck manufacture, and a megafactory to build battery storage systems. However, the other three factory investments, a lithium refinery, a lower-cost lithium iron phosphate (LFP) battery factory (batteries ideal for lower cost models and Cybercab), and Cybercab production are explicitly to support EV growth.
These investments align with Tesla's vision for the EV market. While competitors such as Ford, General Motors, and Stellantis have scaled back their EV programs to focus on lower-cost models, Tesla remains committed to autonomous transportation as the future.
Why Tesla is already winning
CEO Elon Musk couldn't have been any clearer on the recentearnings callwhen arguing that "probably less than 5% of miles driven will be where somebody is actually driving the car themselves in the future, maybe as low as 1%."
As Musk isn't moving away from EVs, he's leading the movement to where the market will be, and that's why he argues that "we would expect over time to make far more Cybercabs than all of our other vehicles combined."
It's a bold vision that requires Tesla to secure regulatory approval for its robotaxis, launch its dedicated robotaxi, Cybercab, and then receive approval for commercially available autonomous full self-driving (FSD) software.
There is some evidence that supports Musk's vision of robotaxi EVs leading the market. For example, Insurify.com, a car insurance comparison site, lists the top 10 vehicles used for rideshare. As you can see below, the Tesla Model 3 is the most expensive car popularly used as a taxi, but its lower cost per mile puts it on the list.
Taking the argument further, these statistics equate to the Tesla Model 3 with a driver. However, a Cybercab could cost less than $30,000 to buy and will have a significantly lower cost per mile than a Tesla taxi with a driver, let alone an internal combustion engine (ICE) taxi with a driver.
Will Tesla's big bet work out?
The investment in lithium supports battery production, which in turn supports Cybercab production. Meanwhile, the evidence shows that EVs, specifically Tesla EVs, are already widely used as taxis. All of which suggests that if Tesla can achieve its regulatory aims, the cost-per-mile case for robotaxis will be compelling enough to secure the company's transportation vision.
While there's no guarantee it will all come to fruition, the massive upside potential is enough to encourage Tesla shareholders to believe in the stock.
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The views and opinions expressed herein are the views and opinions of the author and do not necessarily reflect those of Nasdaq, Inc.
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Tesla Makes Its Largest Investment Bet Yet in Its Own Vision

Key Points
The eVTOL maker tops its rivals in speed and energy efficiency.
It expects to launch its first commercial flights soon.
Joby Aviation (NYSE: JOBY), a developer of electric vertical take-off and landing (eVTOL) aircraft, hasn't generated impressive gains since its market debut four and a half years ago. However, I believe this eVTOL maker's stock could soar this year for three simple reasons.
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Why could Joby's stock take off?
First, Joby's S4 eVTOLs are faster and more energy-efficient than other eVTOLs because they use tilt-rotor propellers, which rotate between lifting and cruising modes. Other eVTOLs -- including Archer Aviation's (NYSE: ACHR) Midnight -- rely on separate propellers for lifting and cruising, making them heavier and increasing their drag. That key difference could help Joby pull ahead of Archer in the nascent eVTOL market and replace traditional helicopters.
Second, Joby has already attracted significant support from major investors and prominent customers, including Toyota (NYSE: TM), Delta Air Lines (NYSE: DAL), and the U.S. Air Force. Lastly, Joby acquired Uber's (NYSE: UBER) Elevate aerial ride-hailing division in 2020 and Blade's passenger helicopter-hailing service last year to support its future air taxi services. Once the FAA fully approves its first commercial flights, Joby will integrate its S4 flights into those aerial ride-hailing services as well as Delta's flight services.
Joby doesn't generate much revenue yet. But this year, it expects the FAA to approve its first commercial flights in the U.S. and launch its first air taxi flights in Dubai. Those catalysts could drive its stock higher, even if it still looks expensive at 47 times its projected 2027 sales.
Should you buy stock in Joby Aviation right now?
Before you buy stock in Joby Aviation, consider this:
The Motley Fool Stock Advisor analyst team just identified what they believe are the 10 best stocks for investors to buy now… and Joby Aviation wasn’t one of them. The 10 stocks that made the cut could produce monster returns in the coming years.
Consider when Netflix made this list on December 17, 2004... if you invested $1,000 at the time of our recommendation, you’d have $429,385!* Or when Nvidia made this list on April 15, 2005... if you invested $1,000 at the time of our recommendation, you’d have $1,165,045!*
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*Stock Advisor returns as of February 12, 2026.
Leo Sun has no position in any of the stocks mentioned. The Motley Fool has positions in and recommends Uber Technologies. The Motley Fool recommends Delta Air Lines. The Motley Fool has a disclosure policy.
The views and opinions expressed herein are the views and opinions of the author and do not necessarily reflect those of Nasdaq, Inc.

Bold Prediction: Joby Aviation Is About to Soar. Here's Why.

NIO Inc. NIO, a major Chinese electric vehicle (EV) maker, announced one of the biggest recalls in China’s auto industry. The company is recalling 246,229 electric vehicles because of a software problem that could affect safety. The recall affects three of the company’s popular models, including ES8, ES6 and EC6.
The issue involves software that controls the instrument cluster and the central control screen in these vehicles. In certain situations, the issue may cause both screens to suddenly go black while driving. When this happens, drivers may not be able to see important information, such as vehicle speed, warning messages and system alerts.
The recall covers vehicles manufactured between March 16, 2018 and Jan. 16, 2023. These vehicles are mainly built on the company’s first-generation NT 1.0 software platform. Newer vehicles that use updated software systems are not affected by this issue. The large number of vehicles involved makes this one of the most significant recalls for a domestic EV brand in China.
NIO plans to fix most of the affected vehicles remotely by sending software updates over-the-air (OTA). This means owners won’t need to bring their cars to a service center for the fix. The company will upgrade systems to newer software versions like Aspen 3.5.6 or Alder 2.1.0, which are designed to solve the screen blackout problem. If a vehicle cannot receive the update remotely, NIO will contact the owner and arrange a free offline repair.
Vehicles that already have the latest software installed do not need any updates. This recall highlights how important software has become in modern electric cars. As vehicles rely more on digital displays and computer systems, software problems can directly affect what the driver sees and how the car operates. NIO can fix most cars with OTA updates, showing how advanced these vehicles are, but it also highlights that stable software is essential for safety.
Overall, the recall shows how deeply modern electric vehicles depend on software for both performance and safety. While the issue is significant in scale, NIO’s use of OTA updates allows for a quicker and more convenient fix for most owners. The move also reflects the growing importance of software stability in today’s connected car industry.
Recent Recall Issues for Major Automakers
Toyota Motor TM announced a recall of about 162,000 pickup trucks in the United States, covering 2024-2025 Tundra and Tundra Hybrid models, because of a problem with their multimedia displays. The screens can freeze on a camera view or go completely dark, which may stop the rear-view image from showing when the truck is reversing. This poses a safety concern since drivers rely on that display to see what’s behind them, and Toyota says the defect could mean the vehicles don’t meet federal safety standards.
Ford F is recalling over 116,000 vehicles, including many built at its Kentucky plants, due to a fire risk linked to faulty engine block heaters. The defect can allow coolant to leak and create an electrical short when the engine block heater is plugged in, potentially causing a vehicle fire. Affected models include Ford Escapes (2013-2019), Ford Focuses (2013-2018) and Lincoln MKCs (2015-2016). Warning signs include coolant spots, loss of cabin heat, overheating, wiring smell, or smoke. Owners will be notified by mail, and dealers will replace the block heater for free once available.
The Zacks Rundown for NIO
Shares of NIO have gained 11% in the past six months compared with the industry’s growth of 11.8%.
Image Source: Zacks Investment Research
From a valuation standpoint, NIO trades at a forward price-to-sales ratio of 0.51, below the industry and its own five-year average. It carries a Value Score of D.
Image Source: Zacks Investment Research
See how the Zacks Consensus Estimate for NIO’s earnings has been revised over the past 90 days.
Image Source: Zacks Investment Research
NIO stock currently carries a Zacks Rank #2 (Buy). You can see the complete list of today’s Zacks #1 Rank (Strong Buy) stocks here.
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NIO Inc. (NIO) : Free Stock Analysis Report
The views and opinions expressed herein are the views and opinions of the author and do not necessarily reflect those of Nasdaq, Inc.