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Mitsui & Co (JP:8031)
:8031
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Mitsui & Co (8031) AI Stock Analysis

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JP:8031

Mitsui & Co

(OTC:8031)

Rating:79Outperform
Price Target:
¥3,746.00
▲(10.96% Upside)
Mitsui & Co's strong financial performance and strategic investments underpin its solid stock score. The company's robust cash flow and reasonable valuation further enhance its attractiveness. However, challenges in profitability and a cautious outlook due to lower commodity prices and market conditions slightly temper the overall score.

Mitsui & Co (8031) vs. iShares MSCI Japan ETF (EWJ)

Mitsui & Co Business Overview & Revenue Model

Company DescriptionMitsui & Co., Ltd. operates as a general trading company worldwide. The company engages in the manufacture, export, and import of iron and steel products; automotive components; operation of steel processing service centers; trading of automotive, electrical, special, and stainless steel; manufacture, repair, and fabrication of wind turbine towers and flanges; gas distribution businesses; and coal mining, power generation, ferrous alloy, infrastructure maintenance, and water pumping activities. It also explores, develops, and produces oil, natural gas, and LNG; trades in petroleum products, crude oil, coal, uranium, and LNG; offers FPSO/FSO, fright car, truck, and locomotive leasing services; sells electric power facilities; and develops railway and transportation infrastructures. The company engages in logistics businesses; wholesale, retail, rental, and finance of construction and mining equipment; multimodal transportation, warehousing, and rolling stock leasing; sale, purchase, and leasing of aircraft and aero engines; leasing and financing activities; and development, process, and marketing of underground resources, and recycling of surface resources. It also provides electric-arc-furnace, construction materials processing, construction flat-rolled steel, shapes, bars, wire rods, and steel structure materials; methanol, ammonia, chlor-alkali, industrial, gas, and basic chemicals; salt; performance, advanced, specialty, and living, and environmental materials; agrochemicals and fertilizers, and animal and human nutrition products; refined sugar, oils and fats, proteins, grains, and food and beverage products; contract food services; and healthcare products. The company offers mobile communications; commodity derivative trading; venture investment and asset management services; real estate development, management, leasing, and brokerage services; and ship charter operation services. Mitsui & Co., Ltd. was incorporated in 1947 and is headquartered in Tokyo, Japan.
How the Company Makes MoneyMitsui & Co. generates revenue through a diversified model comprising trading, investments, and services across multiple sectors. The company trades commodities such as metals, minerals, and energy products, benefiting from fluctuations and demands in global markets. It also makes significant investments in infrastructure projects, energy development, and manufacturing, earning returns through equity stakes, dividends, and interests. Additionally, Mitsui provides logistical, financial, and consulting services to various industries, further adding to its revenue streams. Strategic partnerships and joint ventures also play a crucial role in enhancing Mitsui's earnings by facilitating access to new markets and technologies.

Mitsui & Co Earnings Call Summary

Earnings Call Date:Aug 05, 2025
(Q1-2026)
|
% Change Since: |
Next Earnings Date:Nov 04, 2025
Earnings Call Sentiment Neutral
The earnings call presented a mixed picture with notable achievements in cash flow and strategic investments, but faced significant challenges with profit decline and issues in the mineral and metal resources and renewable energy segments.
Q1-2026 Updates
Positive Updates
Increase in Core Operating Cash Flow (COCF)
Core operating cash flow increased by JPY0.5 billion year-over-year to JPY216.3 billion, showing good progress against the business plan.
Successful Investments and Strategic Initiatives
Investments such as making ITC Antwerp a wholly owned subsidiary and the start of investing in Blue Point, the low-carbon ammonia project, are progressing well, aligning with the medium-term management plan.
Strong Performance in Chemicals Segment
The chemicals segment saw an increase of JPY12.7 billion in profit to JPY30.9 billion, thanks to a valuation gain on ITC Antwerp and higher demand in Europe for crop protection.
Positive Outlook for Energy Segment
Despite a decrease in production volume, the energy segment is expected to contribute more in the upcoming quarters due to higher gas prices and strong performance in LNG projects.
Steady Progress in Key Strategic Initiatives
Multiple investments for growth are contributing to earnings, particularly in the areas of industrial business solutions, global energy transition, and wellness ecosystem creation.
Negative Updates
Significant Decline in Overall Profit
Profit for the quarter decreased by JPY84.5 billion year-over-year to JPY191.6 billion, primarily due to the absence of gains from asset sales recorded in the previous fiscal year.
Decreased Performance in Mineral and Metal Resources
Profit in the mineral and metal resources segment decreased by JPY29 billion to JPY51.5 billion, mainly due to lower iron ore and metallurgical coal prices.
Challenges in Renewable Energy Sector
The renewable energy business, particularly the mainstream business, is facing headwinds with slow progress in turnaround efforts and challenges in construction costs and FX impacts.
Loss in Metallurgical Coal Business
The metallurgical coal business experienced a loss in Q1 due to cost increases and decreased mining volume.
Company Guidance
During the call, MITSUI & CO., LTD. provided detailed guidance for the fiscal year ending March 31, 2026. Core operating cash flow (COCF) for Q1 increased by JPY0.5 billion year-over-year (YoY) to JPY216.3 billion, while profit declined by JPY84.5 billion YoY to JPY191.6 billion due to the absence of gains from asset sales recorded in the previous fiscal year. The company reported cash inflows totaling JPY270 billion, with JPY54 billion from asset recycling, and cash outflows for investments and loans amounting to JPY208 billion. Investments included ITC Antwerp, which became a wholly owned subsidiary, and the Blue Point low-carbon ammonia project. The energy and innovation segments are expected to contribute more significantly from Q2 onwards, with the full-year forecast showing potential upsides in these areas. MITSUI emphasized its strategic focus on industrial business solutions, global energy transition, and wellness ecosystem creation, while maintaining a shareholder returns policy consistent with previous announcements. The company aims to achieve the MTMP final year target with a net D/E ratio of 0.45x and a shareholder equity increase of JPY0.1 trillion to JPY7.6 trillion.

Mitsui & Co Financial Statement Overview

Summary
Mitsui & Co exhibits strong overall financial health with consistent revenue growth and efficient cash flow management. While profitability has faced some challenges in the latest year, the company's solid balance sheet and healthy equity ratio provide a stable foundation for future growth. Continued focus on improving operational efficiency and profitability could further enhance financial performance.
Income Statement
85
Very Positive
Mitsui & Co has shown strong revenue growth, with a significant increase from 2021 to 2025. The gross profit margin remains robust, indicating efficient cost management. However, there is some fluctuation in EBIT, suggesting volatility in operational efficiency. The net profit margin has slightly decreased in the latest year compared to prior years, indicating some pressure on profitability.
Balance Sheet
78
Positive
The debt-to-equity ratio is moderate, suggesting a balanced approach to leveraging. The equity ratio is strong, showing a healthy asset base financed by equity. Return on equity shows a generally positive trend, although it has decreased in the most recent year, indicating a need for improved profitability.
Cash Flow
82
Very Positive
Mitsui & Co's operating cash flow has been stable, with a slight increase over the years. The free cash flow growth rate is positive, reflecting efficient capital management. The operating cash flow to net income ratio is strong, indicating good cash generation relative to reported earnings.
BreakdownTTMDec 2025Dec 2024Dec 2022Dec 2021Dec 2020
Income Statement
Total Revenue14.66T14.66T13.32T14.31T11.76T8.01T
Gross Profit1.29T1.29T1.32T1.40T1.14T811.47B
EBITDA782.72B1.65T1.28T1.23T1.08T553.18B
Net Income900.34B900.34B1.06T1.13T914.72B335.46B
Balance Sheet
Total Assets16.81T16.81T16.90T15.38T14.92T12.52T
Cash, Cash Equivalents and Short-Term Investments1.92T1.92T902.72B2.16T2.13T1.49T
Total Debt4.84T4.84T4.78T5.04T4.88T4.75T
Total Liabilities9.05T9.05T9.13T8.82T9.13T7.69T
Stockholders Equity7.55T7.55T7.54T6.37T5.61T4.57T
Cash Flow
Free Cash Flow671.37B671.37B569.65B819.47B621.37B557.01B
Operating Cash Flow1.02T1.02T864.42B1.05T806.90B772.70B
Investing Cash Flow-162.73B-161.99B-427.55B-178.34B-181.19B-322.47B
Financing Cash Flow-748.86B-749.60B-1.01T-634.68B-614.33B-486.96B

Mitsui & Co Technical Analysis

Technical Analysis Sentiment
Positive
Last Price3376.00
Price Trends
50DMA
3102.41
Positive
100DMA
2971.41
Positive
200DMA
2983.45
Positive
Market Momentum
MACD
78.86
Negative
RSI
66.72
Neutral
STOCH
67.04
Neutral
Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For JP:8031, the sentiment is Positive. The current price of 3376 is above the 20-day moving average (MA) of 3254.30, above the 50-day MA of 3102.41, and above the 200-day MA of 2983.45, indicating a bullish trend. The MACD of 78.86 indicates Negative momentum. The RSI at 66.72 is Neutral, neither overbought nor oversold. The STOCH value of 67.04 is Neutral, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Positive sentiment for JP:8031.

Mitsui & Co Peers Comparison

Overall Rating
UnderperformOutperform
Sector (65)
Financial Indicators
Name
Overall Rating
Market Cap
P/E Ratio
ROE
Dividend Yield
Revenue Growth
EPS Growth
79
Outperform
¥9.57T11.9310.69%2.96%0.76%-22.37%
65
Neutral
$2.63B16.5215.18%3.64%2.55%45.29%
$80.11B12.3617.06%2.42%
$37.83B10.9214.30%2.77%
$86.18B16.458.85%2.95%
$33.56B8.2513.26%3.17%
$27.78B11.3514.15%2.95%
* Industrials Sector Average
Performance Comparison
Ticker
Company Name
Price
Change
% Change
JP:8031
Mitsui & Co
3,376.00
435.26
14.80%
ITOCF
Itochu
58.54
9.99
20.58%
MARUF
Marubeni
23.14
7.03
43.64%
MSBHF
Mitsubishi
22.95
2.95
14.75%
SSUMF
Sumitomo
28.00
5.32
23.46%
TYHOF
Toyota Tsusho
26.96
8.71
47.73%

Mitsui & Co Corporate Events

Mitsui & Co. Reports Decline in Q1 2025 Financial Performance
Aug 1, 2025

Mitsui & Co., Ltd. reported a decline in financial performance for the three-month period ended June 30, 2025, with significant decreases in revenue, profit before income taxes, and comprehensive income compared to the previous year. Despite the downturn, the company maintains a stable financial position with consistent equity ratios and is set to hold an investor relations meeting to discuss these results further.

The most recent analyst rating on (JP:8031) stock is a Hold with a Yen3500.00 price target. To see the full list of analyst forecasts on Mitsui & Co stock, see the JP:8031 Stock Forecast page.

Mitsui Completes Treasury Stock Disposal for Director Remuneration
Jul 29, 2025

Mitsui & Co., Ltd. has completed the pay-in procedures for the disposal of 259,000 shares of treasury stock, valued at 738,150,000 yen, for restricted stock-based remuneration linked to tenure and performance. This move aligns with the company’s strategy to incentivize its directors, excluding external directors, and could potentially enhance its operational efficiency and stakeholder alignment.

The most recent analyst rating on (JP:8031) stock is a Hold with a Yen3500.00 price target. To see the full list of analyst forecasts on Mitsui & Co stock, see the JP:8031 Stock Forecast page.

Mitsui & Co. Announces Disposal of Treasury Stock for Incentive Programs
Jul 3, 2025

Mitsui & Co., Ltd. announced the disposal of treasury stock as part of its restricted stock-based remuneration systems, aimed at incentivizing directors and executive committee members to enhance corporate value and performance. The initiative involves tenure-linked and performance-linked stock systems, with a total of 259,000 shares being disposed of to eligible directors, reflecting a strategic move to align management interests with long-term company goals.

The most recent analyst rating on (JP:8031) stock is a Hold with a Yen3500.00 price target. To see the full list of analyst forecasts on Mitsui & Co stock, see the JP:8031 Stock Forecast page.

Mitsui & Co. Expands Investment in Australian Iron Ore Project
Jun 30, 2025

Mitsui & Co., Ltd. has announced a capital increase in its wholly owned subsidiaries to facilitate the acquisition of an interest in the Rhodes Ridge iron ore project in Australia. This strategic move, expected to be completed by March 2026, positions Mitsui to strengthen its foothold in the iron ore industry, with the financial impact already accounted for in its business plan.

The most recent analyst rating on (JP:8031) stock is a Hold with a Yen3500.00 price target. To see the full list of analyst forecasts on Mitsui & Co stock, see the JP:8031 Stock Forecast page.

Glossary
BuyA stock rated as a "Buy" is expected to perform better than the overall market or a specific benchmark over the near-to-medium term. This rating suggests the stock is likely to deliver higher returns compared to other stocks in the same sector or market index. Note: This is not investment advice; please consult a financial advisor before making investment decisions.
HoldA stock rated as a "Hold" is expected to perform in line with the overall market or a specific benchmark. This rating indicates that the stock is neither particularly compelling nor unfavorable for investment. Note: This is not investment advice; please consult a financial advisor before making investment decisions.
SellA stock rated as a "Sell" is expected to perform worse than the overall market or a specific benchmark over the near-to-medium term. This rating suggests the stock may deliver lower returns compared to other stocks in the same sector or market index. Note: This is not investment advice; please consult a financial advisor before making investment decisions.

Disclaimer

This AI Analyst Stock Report is automatically generated by our AI systems using advanced algorithms and publicly available financial, technical, and market data. While the information provided aims to be accurate and insightful, it is intended for informational purposes only and should not be considered financial advice. Any content created by an AI (Artificial Intelligence) system may contain inaccuracies and/or contain errors. Investing in stocks carries inherent risks, and past performance is not indicative of future results. This report does not account for your personal financial circumstances, objectives, or risk tolerance. Always conduct your own research or consult with a qualified financial advisor before making investment decisions. The analysis and recommendations provided are based on historical and current data and may not fully reflect future market conditions or unexpected developments. Neither the creators of this report nor its affiliated entities guarantee the accuracy, completeness, or reliability of the information presented. Use this report at your own discretion and risk.Date of analysis: Aug 18, 2025