Toyota shares soared Thursday after Nikkei reported the company aims to double its return on equity target to 20%, citing an unnamed executive.

U.S.-traded shares of Toyota Motor surged Thursday following a report from Nikkei that the carmaker is aiming for a 20% return on equity.

Toyota Motor Corp. surged nearly 9% in Thursday’s premarket trading on the NYSE, driven by reports of the company’s ambitious plan to double its return on equity (ROE) target to 20% by March 2025. If gains hold,

Key Takeaways U.S.-listed shares of Honda jumped Monday morning after the Japanese automaker and Nissan announced plans to merge.The sides signed a memorandum of understanding Monday, with plans to finalize details in June 2025 and merge in August 2026.

The Japanese automakers are in talks to consolidate their resources in an effort to compete against Tesla and Chinese electric vehicle makers.

The proposed deal aims to unify operations under a joint holding company, led by Honda, while maintaining the distinct identities of each brand, according to Honda's president, Toshihiro Mibe. If finalized, the merger would position the combined entity to better compete with market leaders Toyota and Volkswagen.