UBS upgrades Honda to Neutral on ‘dwindled’ downside risk

UBS upgraded Honda (HMC) to Neutral from Sell with a price target of 1,300 yen, down from 1,400 yen. The analyst believes the potential negative impact from battery electric vehicles has been factored in by the 30% selloff in the shares since the March peak. Near-term downside risk in Honda shares “has dwindled,” the analyst tells investors in a research note. UBS adds that the details of the reported business integration between Honda and Nissan are unclear and not factored into its model.