Toyota defies skeptics as stock hits best week since 2009

Detroit – toyota motor Stocks posted their best week since 2009 on Friday as the automaker laid out strong plans for an all-electric future and the company’s heir, Akio Toyoda, became the leader of the Japanese company’s board. bottom.

Toyota shares on the New York Stock Exchange closed Friday at $164.35 a share, down 2.3% on the day but still up 10.6% for the week. The five-day rally was the biggest week since April 2009, when the stock rose 14.5%.

Such a rise is not typical for stocks. For a relatively well-performing but mediocre stock, this is just the third weekly double-digit gain in more than 20 years. The company’s stock is up 20% through 2023.

of positive rise The year comes after recent supply chain problems eased for the auto industry, including Toyota, and the founder’s grandson, Toyoda, announced transition plans. From CEO to Chairman He has led automakers for over 13 years.

Toyoda stepped down as chief executive on April 1 and was succeeded by Koji Sato, a move that has come under fire from some environmental groups and investors. Not going all-in on EVs We also continue to produce hybrid and plug-in hybrid vehicles such as the Prius and Prius Prime.

Toyota executives Increased investment in EVsargue that such cars and trucks are a solution, not a solution, to meeting tightening global emissions standards and achieving carbon neutrality.

To address skeptics of its strategy, the automaker offered a rare opportunity to look behind the curtain at its future plans in Japan this week.

JP Morgan analyst Akira Kishimoto said in an investor note this week, “Historically, management has rarely shared details of the technology it is developing, and the new I sensed their commitment to securing competitiveness through this,” he said in an investor note.

Ahead of Wednesday’s annual meeting, Toyota outlined plans for a new generation of EVs to compete with industry leaders Tesla and BYD, which is based in China. The company said it plans to launch next-generation EVs from 2026, including vehicles with the much-touted “solid-state battery” by 2027 or 2028.

All-solid-state batteries are lighter, have higher energy density, lower cost, and longer range than current lithium-ion powered EVs.

Takeo Kato, president of Toyota’s battery-electric vehicle plant, said Toyota is targeting a range of 1,000 kilometers, or 620 miles. for EVs. The facility aims to produce about 1.7 million vehicles by 2030.

UBS analyst Kohei Takahashi said, “The strategic focus on differentiation (in terms of technology and business model) rather than the scale of 2025-30 and the company’s development of technology towards this goal. We believe ‘s strong ability will be a plus in the long term,” he said Tuesday. In an investor note.

Following the announcement, Toyota shareholders on Wednesday approved and rejected the company’s new management team. shareholder proposal Call on Toyota to review its climate-related lobbying and vote in line with the company’s recommendations.

—CNBC Michael Bloom and Lim Fujie contributed to this report.