Sumitomo Metal Mining Co (5713) AI Stock Analysis

• Market Cap: ¥993.30B
• Dividend Yield: 3.04%
• Average Volume (3M): 1.60M
• Price to Earnings (P/E): 60.3
• Beta (1Y): 1.30
• Revenue Growth: 10.24%
• EPS Growth: -71.82%
• Country: JP
• Employees: 7,496
• Sector: Basic Materials
• Sector Strength: 71
• Industry: Industrial Materials
• EPS (TTM): -47.78
• Shares Outstanding: 290,814,030
• 10 Day Avg. Volume: 1,784,700
• 30 Day Avg. Volume: 1,599,093
• PEG Ratio: -0.20
• Price to Book (P/B): 0.85
• Price to Sales (P/S): 0.00
• P/FCF Ratio: -131.77
• Enterprise Value/Market Cap: N/A
• Enterprise Value/Revenue: N/A
• Enterprise Value/Gross Profit: N/A
• Enterprise Value/Ebitda: N/A
• 1Y Price Target: ¥3,468.71
• Price Target Upside: -4.05% Downside
• Rating Consensus: Moderate Sell
• Number of Analyst Covering: 3

• Rating: 58 Neutral
• Price Target: ¥3,847.00 ▲(6.42%Upside)

The overall stock score is primarily influenced by operational challenges and high valuation concerns. The technical analysis indicates strong momentum, yet potential overbought conditions could pose short-term risks. The financial performance reflects significant room for improvement in profitability and cash flow management, while the high P/E ratio underscores valuation concerns.

Sumitomo Metal Mining Co Business Overview & Revenue Model

Company Description

Sumitomo Metal Mining Co., Ltd. is a Japan-based company primarily engaged in the metal mining and smelting business. It operates in three main sectors: mineral resources, smelting and refining, and materials. The company is involved in the extraction and processing of non-ferrous metals, such as copper, gold, and nickel, as well as the manufacture of advanced materials used in electronics and battery technologies. Sumitomo Metal Mining's operations span from mining sites to production facilities, providing a comprehensive approach to metal production and processing.

How the Company Makes Money

Sumitomo Metal Mining Co. generates revenue primarily through its three core business segments: mineral resources, smelting and refining, and materials. The mineral resources segment involves the exploration and extraction of valuable metals like gold, copper, and nickel, which are sold to global markets. The smelting and refining segment processes raw materials into refined metals, which are then sold to various industries including electronics and manufacturing. The materials segment focuses on producing advanced materials, such as battery components and semiconductor materials, which are increasingly in demand due to growth in technology sectors. Strategic partnerships and collaborations with other mining and technology companies also play a significant role in enhancing its market reach and operational efficiency, contributing to its revenue streams.

Sumitomo Metal Mining Co Financial Statement Overview

Summary

Sumitomo Metal Mining Co is experiencing operational and profitability challenges, with declining margins and profit growth. The balance sheet is stable with a strong equity base, though increasing debt levels pose potential risks. Cash flow management needs improvement, particularly in managing capital expenditures to enhance free cash flow generation.

Income Statement

Sumitomo Metal Mining Co experienced a decline in profitability, with a negative EBIT margin indicating operational challenges. The net profit margin decreased considerably as net income dropped sharply from the previous year. The company faced revenue growth challenges, showing only modest growth in recent years. However, EBITDA remains positive, suggesting some operational efficiency.

Balance Sheet

The company maintains a strong equity position with a high equity ratio, reflecting stability in its capital structure. However, there is a noticeable increase in total debt, which raises potential leverage concerns. Return on equity has decreased, indicating reduced profitability from shareholders' investments.

Cash Flow

Operating cash flow has stabilized, but free cash flow growth has turned negative, indicating stress in cash generation after capital expenditures. While the operating cash flow to net income ratio has improved, the company needs to manage its capital expenditures more effectively to ensure sustainable cash flow generation.

Breakdown	Mar 2025	Mar 2024	Mar 2023	Mar 2022	Mar 2021
Income Statement
Total Revenue	1.59T	1.45T	1.42T	1.26T	926.12B
Gross Profit	58.51B	166.13B	250.11B	257.79B	150.88B
EBITDA	107.80B	170.31B	255.35B	350.24B	166.05B
Net Income	16.49B	58.60B	160.59B	281.04B	94.60B
Balance Sheet
Total Assets	3.07T	3.02T	2.71T	2.27T	1.89T
Cash, Cash Equivalents and Short-Term Investments	159.71B	151.02B	221.28B	263.32B	162.37B
Total Debt	560.30B	530.29B	457.26B	331.23B	360.43B
Total Liabilities	1.02T	1.05T	918.60B	711.34B	663.02B
Stockholders Equity	1.85T	1.78T	1.63T	1.45T	1.11T
Cash Flow
Free Cash Flow	32.50B	82.60B	-10.53B	102.92B	51.05B
Operating Cash Flow	149.64B	210.68B	120.38B	159.49B	91.52B
Investing Cash Flow	-125.73B	-298.89B	-185.50B	9.80B	-32.39B
Financing Cash Flow	-19.34B	7.09B	49.34B	-129.62B	-55.76B

Sumitomo Metal Mining Co Technical Analysis

• Technical Analysis Sentiment: Positive
• Last Price: 3615.00
• 50DMA: Positive
• 100DMA: Positive
• 200DMA: Positive
• MACD: Negative
• RSI: Neutral
• STOCH: Negative

Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For JP:5713, the sentiment is Positive. The current price of 3615 is above the 20-day moving average (MA) of 3436.35, above the 50-day MA of 3320.04, and above the 200-day MA of 3530.64, indicating a bullish trend. The MACD of 85.92 indicates Negative momentum. The RSI at 62.87 is Neutral, neither overbought nor oversold. The STOCH value of 81.63 is Negative, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Positive sentiment for JP:5713.

Sumitomo Metal Mining Co Peers Comparison

Name	Overall Rating	Market Cap	P/E Ratio	ROE	Dividend Yield	Revenue Growth	EPS Growth
5715	82 Outperform	¥88.79B	4.80	14.23%	0.82%	6.88%	19.15%
1515	80 Outperform	€123.20B	13.52	6.29%	3.41%	17.91%	37.76%
Sector *	70 Neutral	¥175.70B	11.17	6.37%	3.52%	3.93%	6.03%
5711	69 Neutral	¥299.38B	8.79	5.00%	4.36%	27.35%	14.36%
5714	68 Neutral	$284.36B	10.49	6.92%	3.14%	-5.37%	-2.62%
5727	65 Neutral	$92.52B	24.83	6.35%	1.54%	13.48%	-24.74%
5713	58 Neutral	¥993.30B	60.26	0.90%	3.04%	10.24%	-71.82%

Sumitomo Metal Mining Co Corporate Events

Sumitomo Metal Mining Announces Share Repurchase Status

Sumitomo Metal Mining Co., Ltd. announced the status of its share repurchase program, revealing that it has repurchased 1,047,000 common shares at a total cost of 3,501,183,800 yen between June 1, 2025, and June 30, 2025. This move is part of a broader strategy approved by the Board of Directors to repurchase up to 8,300,000 shares, aiming to enhance shareholder value and optimize capital structure, with the total repurchase period extending until September 22, 2025.

The most recent analyst rating on (JP:5713) stock is a Sell with a Yen3100.00 price target. To see the full list of analyst forecasts on Sumitomo Metal Mining Co stock, see the JP:5713 Stock Forecast page.

Sumitomo Metal Mining Announces Share Repurchase Plan

Sumitomo Metal Mining Co., Ltd. announced the repurchase of 1,547,400 of its own common shares for approximately 5 billion yen, as part of a broader plan to buy back up to 8.3 million shares by September 2025. This move is likely aimed at enhancing shareholder value and optimizing the company’s capital structure, reflecting a strategic approach to bolster its market positioning.

The most recent analyst rating on (JP:5713) stock is a Buy with a Yen4800.00 price target. To see the full list of analyst forecasts on Sumitomo Metal Mining Co stock, see the JP:5713 Stock Forecast page.

Sumitomo Metal Mining Announces Dividend of Surplus

Sumitomo Metal Mining Co., Ltd. has announced a resolution to pay dividends of surplus, with a record date of March 31, 2025, and an effective date of June 27, 2025. The proposed dividend per share is 55.00 yen, reflecting the company’s financial strategy to maintain a consolidated equity ratio greater than 50% and a payout ratio of 35% or more. This decision aligns with their 2021 3-Year Business Plan, considering future business development and financial performance, resulting in an expected annual dividend of 104.00 yen per share for the fiscal year.

The most recent analyst rating on (JP:5713) stock is a Buy with a Yen4800.00 price target. To see the full list of analyst forecasts on Sumitomo Metal Mining Co stock, see the JP:5713 Stock Forecast page.

Sumitomo Metal Mining Introduces Restricted Share Compensation Plan

Sumitomo Metal Mining Co., Ltd. has announced the introduction of a restricted share-based compensation plan for its directors, aimed at aligning their interests with shareholders and enhancing corporate value. The plan, pending shareholder approval, will grant restricted shares based on performance indicators, encouraging directors to contribute to the company’s sustainable growth and value-sharing with stakeholders.

The most recent analyst rating on (JP:5713) stock is a Buy with a Yen4800.00 price target. To see the full list of analyst forecasts on Sumitomo Metal Mining Co stock, see the JP:5713 Stock Forecast page.

Sumitomo Metal Mining Announces Share Repurchase Plan

Sumitomo Metal Mining Co., Ltd. has announced a decision by its Board of Directors to repurchase up to 8.3 million of its own shares, representing 3.02% of outstanding shares, for a total of up to 15 billion yen. This move is part of the company’s 3-Year Business Plan 2027, aimed at enhancing shareholder returns and improving capital efficiency, potentially strengthening its market position and delivering value to stakeholders.

Sumitomo Metal Mining Unveils Ambitious 3-Year Business Plan

Sumitomo Metal Mining Co., Ltd. has announced its 3-Year Business Plan 2027, which outlines strategic initiatives to enhance corporate value and achieve its long-term vision of becoming a world leader in the non-ferrous metals industry. The plan focuses on increasing productivity in key mining operations, expanding development projects in metals and battery recycling, and strengthening its management base through sustainability and governance improvements. The company has set ambitious financial targets, including a significant increase in profit before tax and capital expenditures, alongside a revised dividend policy to enhance shareholder returns.

Sumitomo Metal Mining Revises Dividend Policy for Greater Stability

Sumitomo Metal Mining Co., Ltd. has announced changes to its dividend policy, increasing the minimum dividend on equity (DOE) ratio from 1.5% to 2.5% to ensure more stable shareholder returns despite market fluctuations. This adjustment reflects the company’s strategy to mitigate the impact of volatile non-ferrous metal prices and exchange rates on its business performance, aiming to enhance medium- to long-term corporate value.

Sumitomo Metal Mining Faces Impairment Loss and Adjusts Executive Compensation

Sumitomo Metal Mining Co., Ltd. reported a significant impairment loss in its battery materials business, leading to a notable discrepancy between its forecasted and actual consolidated operating results for the fiscal year ended March 31, 2025. Despite an increase in net sales, profits were adversely affected by the strengthening yen and the impairment loss, resulting in lower-than-expected earnings. In response to these financial challenges, certain corporate officers have opted to return a portion of their compensation. The company’s dividend forecast remains unchanged, indicating a commitment to shareholder returns despite the financial setbacks.

Sumitomo Metal Mining Faces Profit Decline Amid Market Challenges

Sumitomo Metal Mining Co., Ltd. reported a challenging financial year ending March 31, 2025, with a notable decline in profits despite a rise in net sales. The company’s profit before tax and profit attributable to owners of the parent decreased significantly by 67.2% and 71.9%, respectively, compared to the previous year. This downturn reflects broader market challenges and impacts on the company’s operational efficiency. However, the company has announced an increase in dividends per share, indicating a commitment to returning value to shareholders. Looking ahead, Sumitomo Metal Mining forecasts a recovery in profits for the next fiscal year, signaling potential improvements in market conditions and operational strategies.