The average revenue per vehicle sold for Toyota (NYSE:TM) has risen from $27,000 in 2019 to $30,000 in 2021. Trefis expects the metric to grow to over $32,000 by 2023.
Toyota has been prioritizing sales of higher-end models and trims, as the industry contends with rising costs and component shortages. The company’s new models and an increasing preference for SUVs could also drive average prices higher.
We think Toyota stock is undervalued at current levels. We value TM stock at $213 per share, about 27% ahead of the current market price.
|S&P 500 Return||-2%||-7%||99%|
|Trefis Multi-Strategy Portfolio||-1%||-9%||259%|
 Month-to-date and year-to-date as of 4/18/2022
 Cumulative total returns since the end of 2016