Sumitomo Realty & Development Co (8830) AI Stock Analysis

• Market Cap: ¥3.81T
• Dividend Yield: 0.97%
• Average Volume (3M): 1.51M
• Price to Earnings (P/E): 19.9
• Beta (1Y): 1.08
• Revenue Growth: 0.49%
• EPS Growth: 12.19%
• Country: JP
• Employees: 12,898
• Sector: Real Estate
• Sector Strength: 53
• Industry: Real Estate - Services
• EPS (TTM): 47.91
• Shares Outstanding: 936,000,000
• 10 Day Avg. Volume: 1,825,970
• 30 Day Avg. Volume: 1,508,313
• PEG Ratio: 0.82
• Price to Book (P/B): 0.61
• Price to Sales (P/S): 1.30
• P/FCF Ratio: 15.10
• 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: ¥7,700.00
• Price Target Upside: 6.15% Upside
• Rating Consensus: Hold
• Number of Analyst Covering: 1
• EPS Forecast (FY): N/A
• Revenue Forecast (FY): N/A

• Rating: 76 Outperform
• Price Target: ¥8,559.00 ▲(17.99% Upside)

Sumitomo Realty & Development Co's overall stock score is driven by strong financial performance and positive technical indicators, despite some valuation concerns. The company's robust cash flow and stable equity position support its financial health, while technical analysis suggests strong momentum. However, potential overbought conditions and a moderate valuation limit the score.

Positive Factors

Revenue Growth

Consistent revenue growth indicates strong market demand and effective business strategies, supporting long-term financial stability and expansion.

Cash Flow Management

Efficient cash flow management ensures liquidity and financial flexibility, enabling the company to invest in growth opportunities and manage debt effectively.

Profit Margins

Stable profit margins reflect effective cost management and pricing strategies, contributing to sustained profitability and competitive positioning.

Negative Factors

High Leverage

High leverage can increase financial risk, potentially impacting the company's ability to finance operations and invest in growth during economic downturns.

Industry Risks

The real estate sector's inherent risks, such as market volatility and regulatory changes, can affect long-term profitability and financial stability.

Debt Management

While the equity ratio improvement is positive, the high debt levels necessitate careful management to avoid financial strain and maintain creditworthiness.

Sumitomo Realty & Development Co Business Overview & Revenue Model

Company Description

Sumitomo Realty & Development Co., Ltd. (Ticker: 8830) is a leading real estate company based in Japan, specializing in the development, management, and leasing of residential, commercial, and office properties. The company operates in various sectors including real estate development, property management, and investment, offering a diverse portfolio of services that cater to both individual and corporate clients. It is recognized for its innovative approach to urban development and sustainable building practices.

How the Company Makes Money

Sumitomo Realty & Development generates revenue primarily through several key streams. The main source of income comes from the leasing of commercial and residential properties, which provides a stable and recurring revenue base. Additionally, the company earns revenue from real estate development projects, including residential condominiums and office buildings, where it typically sells units or space upon completion. Furthermore, property management services contribute to its earnings by managing properties for third-party owners. Significant partnerships with local governments and private entities also enhance its project pipeline and revenue opportunities, while market trends such as urbanization and increased demand for sustainable buildings positively influence its financial performance.

Sumitomo Realty & Development Co Financial Statement Overview

Summary

Sumitomo Realty & Development Co exhibits solid financial health with consistent revenue and profit growth, strong margins, and effective cash flow management. The high leverage typical of the real estate industry presents some risks, but the company maintains a stable equity position and generates strong returns for shareholders.

Income Statement

Sumitomo Realty & Development Co has demonstrated consistent revenue growth, with a notable increase of 4.9% from 2024 to 2025. Gross profit and net profit margins have remained stable, with the gross profit margin at 34.6% and net profit margin at 18.9% in 2025. EBIT and EBITDA margins have also shown strength, indicating effective cost management and profitability.

Balance Sheet

The company's balance sheet reflects a high debt-to-equity ratio of 1.80 in 2025, which is typical for the real estate sector but poses potential risks. However, the return on equity (ROE) is strong at 8.8%, and the equity ratio has improved to 32.2%, indicating a stable capital structure and prudent financial management.

Cash Flow

Operating cash flow remains robust, with a positive free cash flow growth rate of 100.9% from 2024 to 2025, reflecting efficient capital expenditure management. The operating cash flow to net income ratio of 1.32 in 2025 indicates healthy cash generation relative to earnings.

Breakdown	TTM	Dec 2025	Dec 2024	Dec 2023	Dec 2022	Dec 2021
Income Statement
Total Revenue	991.83B	1.01T	967.69B	939.90B	939.43B	917.47B
Gross Profit	355.61B	351.28B	332.35B	314.45B	302.44B	287.91B
EBITDA	349.71B	369.12B	344.34B	305.91B	294.53B	277.06B
Net Income	190.92B	191.68B	177.17B	161.93B	150.45B	141.39B
Balance Sheet
Total Assets	6.72T	6.72T	6.68T	6.37T	5.81T	5.67T
Cash, Cash Equivalents and Short-Term Investments	47.79B	99.02B	103.91B	185.12B	151.39B	188.34B
Total Debt	3.89T	3.89T	3.96T	3.94T	3.56T	3.56T
Total Liabilities	4.49T	4.55T	4.63T	4.57T	4.17T	4.17T
Stockholders Equity	2.23T	2.17T	2.05T	1.80T	1.63T	1.50T
Cash Flow
Free Cash Flow	0.00	87.66B	43.64B	-284.23B	13.41B	-129.48B
Operating Cash Flow	0.00	253.17B	232.03B	165.11B	192.97B	225.95B
Investing Cash Flow	0.00	-143.62B	-310.69B	-489.80B	-209.98B	-336.68B
Financing Cash Flow	0.00	-116.85B	-3.65B	355.56B	-21.92B	102.09B

Sumitomo Realty & Development Co Technical Analysis

• Technical Analysis Sentiment: Positive
• Last Price: 7254.00
• 50DMA: Positive
• 100DMA: Positive
• 200DMA: Positive
• MACD: Positive
• RSI: Neutral
• STOCH: Neutral

Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For JP:8830, the sentiment is Positive. The current price of 7254 is above the 20-day moving average (MA) of 3974.68, above the 50-day MA of 3733.57, and above the 200-day MA of 3117.78, indicating a bullish trend. The MACD of 80.56 indicates Positive momentum. The RSI at 66.52 is Neutral, neither overbought nor oversold. The STOCH value of 71.10 is Neutral, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Positive sentiment for JP:8830.

Sumitomo Realty & Development Co Peers Comparison

Name	Overall Rating	Market Cap	P/E Ratio	ROE	Dividend Yield	Revenue Growth	EPS Growth
8804	78 Outperform	¥759.16B	12.91	10.73%	2.94%	-19.09%	16.31%
8830	76 Outperform	¥3.81T	19.88	8.82%	0.97%	0.49%	12.19%
3003	74 Outperform	¥1.36T	12.63	12.91%	3.25%	45.15%	19.80%
1766	74 Outperform	¥200.19B	11.87	―	2.33%	6.06%	40.37%
Sector *	65 Neutral	$2.17B	12.19	3.79%	4.94%	3.15%	1.96%
3231	65 Neutral	¥922.70B	13.78	8.38%	3.68%	3.52%	-17.58%
8848	58 Neutral	¥217.62B	18.62	22.14%	1.49%	2.50%	-71.61%

Sumitomo Realty & Development Co Corporate Events

Sumitomo Realty Reports Progress on ¥30 Billion Share Buyback Program

Sumitomo Realty & Development Co., Ltd. has reported progress on its ongoing share repurchase program, buying back 391,500 shares of common stock on the Tokyo Stock Exchange between December 1 and December 31, 2025, for a total of approximately ¥2.88 billion. These purchases form part of a broader board-approved buyback plan, authorized in November 2025, allowing repurchases of up to 10 million shares or ¥30 billion through March 31, 2026; as of December 31, 2025, the company has cumulatively repurchased 939,000 shares for about ¥6.82 billion, signaling continued capital return to shareholders and potential support for its share price and capital efficiency metrics.

The most recent analyst rating on (JP:8830) stock is a Hold with a Yen7700.00 price target. To see the full list of analyst forecasts on Sumitomo Realty & Development Co stock, see the JP:8830 Stock Forecast page.

Sumitomo Realty Announces Strategic Share Repurchase Plan

Sumitomo Realty & Development Co., Ltd. has announced a share repurchase plan, leveraging increased core business income and proceeds from selling listed shares. This strategic move is part of their current Medium-term Management Plan, aiming to enhance shareholder returns while continuing to invest in growth areas such as redevelopment projects, human capital, and digital initiatives.

The most recent analyst rating on (JP:8830) stock is a Buy with a Yen7624.00 price target. To see the full list of analyst forecasts on Sumitomo Realty & Development Co stock, see the JP:8830 Stock Forecast page.