Honda (HMC) is our only hope America

I just filled up in Seattle and the cheapest regular gasoline I could find was $4.05 a gallon.  Which made me think no one is going to buy Ford's (F), GM may squeak by, but one automaker is going to blow them away, Honda Motor (NYSE:HMC) is the future.

If you haven't heard, Honda Motor Co. is coming out with hybrid cars starting early next year that will cost about $1,900 more than comparable gas-only models. The cost for the Detroit Three, according to industry analysts, could be lower market share as U.S. consumers continue their rapid shift to smaller, more fuel-efficient vehicles.

Honda has confirmed it will start selling a standalone hybrid model next year, along with a production version of the CR-Z concept, a new Civic hybrid and a hybrid version of the Jazz and these cars look good.

The new car will be a five-door hatchback with five seats, and Honda expects to sell 200,000 examples a year. It will be based on a new platform that will also be used as the basis for the forthcoming hybrid sports car based on the CR-Z.

Besides putting out amazing cars that will actually save us money on gas, Honda has been working on some amazing technologies:

All the while the best the American car companies can come up with is Eric Cartman in a box:

Fellow Masters, Honda trades at a P/E of 10, just try and calculate Ford's.  Today shares are at $32 and over the last 3 months they are up 5%.  Honda's recent analyst action has been good, all with target prices over $10 the current share price:

Honda Motor pays a quarterly dividend (20 cents) and over the last year their shares have held up better than most stocks on the NYSE or NASDAQ.  HMC is trading at a decent entry point and should stocks continue to fall, it will get even better. 

Next time you fill up at the pump, just think about Honda, then think of America's cardboard box dreams.  Like filling up your GM made Cadillac Escalade or Ford Explorer, $100 down the drain?  Which car company do you think will be around in 10 years? 

Box boy or Robot Man?

Discliamer: No positions in any of the securities mentioned in this publication.