Mitsubishi UFJ (MUFG) AI Stock Analysis

• Market Cap: $188.62B
• Dividend Yield: 2.48%
• Average Volume (3M): 2.65M
• Price to Earnings (P/E): 13.6
• Beta (1Y): 1.23
• Revenue Growth: -1.09%
• EPS Growth: 8.53%
• Country: US
• Employees: 140,000
• Sector: Financial
• Sector Strength: 70
• Industry: Banks - Diversified
• EPS (TTM): N/A
• Shares Outstanding: 11,867,711,000
• 10 Day Avg. Volume: 3,064,395
• 30 Day Avg. Volume: 2,651,626
• PEG Ratio: 0.45
• Price to Book (P/B): 1.16
• Price to Sales (P/S): 1.91
• P/FCF Ratio: -52.84
• Enterprise Value/Market Cap: 89.95
• Enterprise Value/Revenue: 1.36
• Enterprise Value/Gross Profit: 2.36
• Enterprise Value/Ebitda: 6.43
• 1Y Price Target: N/A
• Price Target Upside: N/A
• Rating Consensus: N/A
• Number of Analyst Covering: 0
• EPS Forecast (FY): N/A
• Revenue Forecast (FY): N/A

• Rating: 69 Neutral
• Price Target: $19.00 ▲(20.18% Upside)
• Action: Downgraded Date: 03/12/26
• Date: Action: Downgraded 03/12/26

The score is driven primarily by strong financial performance (healthy revenue growth and profitability) tempered by leverage and weak free cash flow. Technical indicators are currently bearish, which pulls the score down, while a reasonable P/E and dividend yield provide valuation support.

Positive Factors

Strong profitability and margins

Sustained double-digit revenue growth and high gross/net margins indicate durable operating efficiency and pricing power across banking, asset management and securities businesses. Strong margins support internal capital generation, resilience to credit stress and capacity to fund strategic initiatives over months.

Robust operating cash generation

Operating cash flow materially exceeds accounting profits, reflecting high-quality earnings and strong customer deposit and fee cash flows. This provides liquidity to cover funding needs, support lending and maintain distributions even if investment or market income fluctuates over the medium term.

Access to U.S. capital markets for funding

Regular issuance and legal filings for multi-tranche U.S. dollar notes demonstrates deep funding channels and investor access. Diversified global funding reduces reliance on any single market, supporting balance sheet liquidity and enabling strategic deployment of capital over a multi-quarter horizon.

Negative Factors

High leverage ratio

A debt-to-equity ratio at this level increases sensitivity to market and funding shocks and leaves less room for risk-taking. High leverage can raise funding costs, pressure regulatory capital ratios during stress, and constrain strategic flexibility over several quarters.

Negative free cash flow

Persistent negative free cash flow indicates capital expenditures or other outflows exceed cash from operations. Over time this can erode liquidity buffers, force reliance on external funding and limit capacity for buybacks, higher dividends or opportunistic investments.

Exposure to macro and credit headwinds

An operating environment with rising bankruptcies, uneven growth and policy uncertainty raises credit costs and transactional activity volatility. For a large universal bank, this translates to higher provisioning needs and uneven fee income, pressuring profitability and capital over the medium term.

Mitsubishi UFJ Business Overview & Revenue Model

Company Description

Mitsubishi UFJ Financial Group, Inc. operates as the bank holding company for MUFG Bank, Ltd. that provides various financial services in Japan, the United States, Europe, Asia/Oceania, and internationally. It operates through Digital Service Business Group; Retail & Commercial Banking Business Group; Japanese Corporate & Investment Banking Business Group; Asset Management & Investor Services Business Group; Global Corporate & Investment Banking Business Group; Global Commercial Banking Business Group; and Global Markets Business Group segments. The company offers commercial banking, trust banking, and securities products and services to retail, and small and medium-sized enterprise customers. It also provides M&As and real estate-related services; digital-based financial services; credit cards; and trust banking and securities products and services, as well as engages in the lending, fund settlement, and foreign exchange businesses. In addition, it offers corporate, investment, and transaction banking services for large corporate and financial institutions; asset management and administration services for corporations and pension funds; loans, deposits, fund transfers, and investments services for retail, small and medium-sized enterprise, as well as corporate customers; fixed income instruments, currencies, equities, and other investment products; originates and distributes of financial products; and provides treasury services. Mitsubishi UFJ Financial Group, Inc. was founded in 1880 and is headquartered in Tokyo, Japan.

How the Company Makes Money

MUFG makes money primarily by earning interest income and fee-based income across its banking, trust, and securities-related businesses, supplemented by trading/markets activities and other financial services. 1) Net interest income (lending and deposits): A major revenue driver is the spread between interest earned on loans and investment securities and interest paid on deposits and other funding. MUFG extends credit to retail and corporate customers (including large corporates and SMEs), provides mortgages and other consumer lending through banking subsidiaries, and invests in securities portfolios; earnings depend on loan volumes, credit quality, funding costs, and the interest-rate environment. 2) Fees and commissions (non-interest income): MUFG generates fee income from a broad range of services, including transaction banking (payments, cash management, trade finance), settlement and remittances, deposit and account-related services, advisory and underwriting activities (e.g., capital markets-related services conducted through securities operations), asset/wealth management and investment product distribution, and fiduciary/trust services such as custody, asset administration, and trustee functions. These fees are generally linked to customer activity levels, assets under management/administration, and capital markets conditions. 3) Markets and securities-related income: Through capital markets and securities activities, MUFG can earn revenue from client-driven trading, market-making, and related services, as well as investment and valuation gains/losses on certain financial instruments. Results in this area are influenced by market volatility, client demand, and risk management. 4) Credit-related and other financial services income: MUFG also earns from consumer finance and other specialized financial businesses within the group. Profitability in these areas typically reflects loan growth, net interest margins, fee structures, and credit costs (provisions for potential loan losses). Key factors affecting earnings include the level and shape of interest rates (which influence margins), credit performance and provisioning, customer transaction volumes, capital markets activity, and regulatory capital/liquidity requirements. Specific partnership details: null.

Mitsubishi UFJ Financial Statement Overview

Summary

Strong income statement performance (revenue up 14.12% YoY with robust margins), supported by a solid but leveraged balance sheet (debt-to-equity 4.36). Cash flow is mixed: operating cash flow is strong versus net income, but negative free cash flow points to pressure from heavy spending.

Income Statement

Mitsubishi UFJ has shown a strong revenue growth trend over the past years, with a notable increase of 14.12% in the latest annual report. The gross profit and net profit margins are robust at 56.53% and 14.99% respectively, indicating efficient cost management and profitability. EBIT and EBITDA margins are healthy, reflecting stable operational performance.

Balance Sheet

The company maintains a solid equity position with an equity ratio of 4.97%, although high leverage is evident with a debt-to-equity ratio of 4.36. The return on equity of 9.08% is competitive within the industry, showing effective utilization of shareholder funds. However, the high debt levels could pose financial risks in volatile markets.

Cash Flow

Cash flow management presents mixed results. The operating cash flow to net income ratio is 3.44, showing strong cash generation capability. However, the free cash flow has been negative, indicating heavy capital expenditures impacting cash reserves. The free cash flow to net income ratio is -2.42, suggesting potential liquidity challenges.

Breakdown	TTM	Mar 2026	Mar 2025	Mar 2024	Mar 2023	Mar 2022
Income Statement
Total Revenue	12.51T	12.43T	10.89T	8.43T	5.25T	5.33T
Gross Profit	7.20T	7.03T	5.38T	5.38T	4.37T	4.04T
EBITDA	2.64T	2.97T	2.41T	1.90T	1.85T	1.40T
Net Income	1.93T	1.86T	1.49T	1.12T	1.13T	777.02B
Balance Sheet
Total Assets	10.00T>	10.00T>	10.00T>	10.00T>	10.00T>	10.00T>
Cash, Cash Equivalents and Short-Term Investments	10.00T>	10.00T>	10.00T>	10.00T>	10.00T>	10.00T>
Total Debt	75.71T	89.40T	61.23T	62.41T	46.73T	18.09T
Total Liabilities	10.00T>	10.00T>	10.00T>	10.00T>	10.00T>	10.00T>
Stockholders Equity	21.38T	20.52T	19.59T	17.23T	17.02T	16.80T
Cash Flow
Free Cash Flow	0.00	-450.29B	-10.31T	13.03T	9.46T	34.51T
Operating Cash Flow	0.00	6.42B	-9.84T	13.43T	9.84T	34.90T
Investing Cash Flow	0.00	-186.95B	3.99T	-10.68T	-2.20T	-10.14T
Financing Cash Flow	0.00	-861.12B	8.31B	-977.14B	-1.08T	-436.07B

Mitsubishi UFJ Technical Analysis

• Technical Analysis Sentiment: Negative
• Last Price: 15.81
• 50DMA: Negative
• 100DMA: Negative
• 200DMA: Positive
• MACD: Positive
• RSI: Neutral
• STOCH: Neutral

Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For MUFG, the sentiment is Negative. The current price of 15.81 is below the 20-day moving average (MA) of 17.48, below the 50-day MA of 18.08, and above the 200-day MA of 15.76, indicating a neutral trend. The MACD of -0.48 indicates Positive momentum. The RSI at 34.60 is Neutral, neither overbought nor oversold. The STOCH value of 25.93 is Neutral, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Negative sentiment for MUFG.

Mitsubishi UFJ Peers Comparison

Name	Overall Rating	Market Cap	P/E Ratio	ROE	Dividend Yield	Revenue Growth	EPS Growth
SMFG	74 Outperform	$123.59B	2.09	9.58%	2.54%	-0.66%	23.90%
SAN	72 Outperform	$157.25B	10.97	13.89%	1.85%	-15.34%	16.71%
HSBC	71 Outperform	$262.14B	12.28	11.88%	4.14%	-9.54%	-22.46%
MUFG	69 Neutral	$188.62B	13.57	9.01%	2.48%	-1.09%	8.53%
Sector *	68 Neutral	$18.00B	11.42	9.92%	3.81%	9.73%	1.22%
WFC	61 Neutral	$239.45B	13.89	11.78%	1.80%	-4.37%	26.41%
C	58 Neutral	$191.59B	21.83	6.71%	1.94%	-0.62%	105.57%

Mitsubishi UFJ Corporate Events

Mitsubishi UFJ Files Form 6-K Backing $3 Billion Senior Notes Issuance in U.S. Market

On January 14, 2026, Mitsubishi UFJ Financial Group, Inc. filed a Form 6-K with the U.S. Securities and Exchange Commission, incorporating legal opinions that support a new multi-tranche U.S. dollar senior notes issuance under its existing Form F-3 shelf registration. The filing includes Japanese and U.S. counsel opinions confirming that $350 million in senior callable floating rate notes due 2032, $1.15 billion in 4.505% senior callable fixed-to-fixed reset rate notes due 2032, and $1.5 billion in 5.057% senior callable fixed-to-fixed reset rate notes due 2037 will constitute valid and binding obligations of the company once issued and paid for, underscoring MUFG’s ongoing use of U.S. capital markets to fund its operations and maintain financial flexibility for global stakeholders.

The most recent analyst rating on (MUFG) stock is a Buy with a $20.00 price target. To see the full list of analyst forecasts on Mitsubishi UFJ stock, see the MUFG Stock Forecast page.

Mitsubishi UFJ Files September 2025 Half-Year Financial Review and Capital Update

On December 29, 2025, MUFG filed a Form 6-K with the U.S. Securities and Exchange Commission, providing a financial review and unaudited condensed consolidated financial statements for the six months ended September 30, 2025, along with updated information on its capitalization and indebtedness and related Inline XBRL materials. The filing outlines MUFG’s operating and risk environment for the period, noting a moderately expanding global economy alongside persistent inflation concerns, rate cuts and cautious policy easing by major central banks, Japan’s mixed growth and inflation dynamics, and rising corporate bankruptcies, factors that frame the group’s performance, capital adequacy, liquidity and market risk profile for investors and other stakeholders.

The most recent analyst rating on (MUFG) stock is a Buy with a $17.50 price target. To see the full list of analyst forecasts on Mitsubishi UFJ stock, see the MUFG Stock Forecast page.