Mitsubishi UFJ (MUFG) AI Stock Analysis

• Market Cap: $210.12B
• Dividend Yield: 2.48%
• Average Volume (3M): 2.65M
• Price to Earnings (P/E): 16.6
• Beta (1Y): 1.22
• 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: 76.55
• Enterprise Value/Revenue: 1.31
• Enterprise Value/Gross Profit: 2.28
• Enterprise Value/Ebitda: 6.24
• 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: 77 Outperform
• Price Target: $21.00 ▲(32.83% Upside)

Mitsubishi UFJ's strong financial performance and positive earnings call are the primary drivers of its stock score. While technical indicators show moderate bullish momentum, high leverage and cash flow challenges are areas to watch. The stock is fairly valued with a modest dividend yield.

Positive Factors

Diversified global business mix

MUFG’s wide product set across retail, corporate lending, securities, cards and asset management creates multiple durable revenue streams. This diversification reduces dependence on any single cycle or geography, supports cross-selling, and sustains fee and interest income over multi-quarter horizons.

Record profits and upgraded guidance

Three consecutive years of record first-half profits and an upward revision to full-year profit targets indicate structural improvement in core earnings power. Higher earnings plus announced buybacks/dividends point to stronger cash generation and disciplined capital allocation over the medium term.

Healthy operating margins and ROE

Robust gross and net margins alongside a near-9% ROE show efficient cost management and effective use of equity capital. These profitability metrics are durable indicators of competitive operating economics and capacity to generate shareholder returns over coming quarters.

Negative Factors

High leverage on balance sheet

A high debt-to-equity ratio increases sensitivity to interest-rate moves and economic stress, limiting strategic flexibility. In prolonged volatility or credit tightening, elevated leverage can pressure capital ratios and constrain lending or buyback programs over a multi-month horizon.

Negative free cash flow due to capex

Negative free cash flow driven by heavy capital expenditures reduces liquidity available for discretionary uses. Even with strong reported profits, sustained negative FCF can force trade-offs between investment, dividends and balance-sheet repair over the next several quarters.

Rising overseas credit costs and FX exposure

Higher credit costs abroad and material FX swings (yen impacts) create earnings volatility and raise expected loss levels in growth markets. These structural exposures can depress returns and require higher capital buffers, weighing on multi-quarter profitability resilience.

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 generates revenue primarily through its diverse financial services portfolio. Key revenue streams include interest income from loans and advances made to businesses and consumers, fees and commissions from investment banking activities, asset management, and advisory services. The bank also earns income from trading and investment activities, including proprietary trading and capital markets transactions. Significant partnerships and global presence allow MUFG to tap into various markets, increasing its customer base and transaction volumes. Additionally, MUFG benefits from synergies within its various business lines, which enhances operational efficiency and profitability.

Mitsubishi UFJ Financial Statement Overview

Summary

Mitsubishi UFJ demonstrates strong financial health with robust revenue growth and profitability metrics. The balance sheet is solid, though high leverage is a concern. Cash flow management needs improvement due to high capital expenditures affecting free cash flow.

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	Dec 2025	Dec 2024	Dec 2023	Dec 2022	Dec 2021
Income Statement
Total Revenue	12.25T	12.43T	10.89T	8.43T	5.25T	5.33T
Gross Profit	7.06T	7.03T	5.38T	5.38T	4.37T	4.04T
EBITDA	2.58T	2.97T	2.41T	1.90T	1.85T	1.40T
Net Income	1.90T	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	94.09T	10.00T>	10.00T>	10.00T>	10.00T>	10.00T>
Total Debt	77.54T	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	20.88T	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: Positive
• Last Price: 15.81
• 50DMA: Positive
• 100DMA: Positive
• 200DMA: Positive
• MACD: Positive
• RSI: Neutral
• STOCH: Negative

Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For MUFG, the sentiment is Positive. The current price of 15.81 is below the 20-day moving average (MA) of 17.93, below the 50-day MA of 16.70, and above the 200-day MA of 14.97, indicating a bullish trend. The MACD of 0.51 indicates Positive momentum. The RSI at 67.67 is Neutral, neither overbought nor oversold. The STOCH value of 82.58 is Negative, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Positive sentiment for MUFG.

Mitsubishi UFJ Peers Comparison

Name	Overall Rating	Market Cap	P/E Ratio	ROE	Dividend Yield	Revenue Growth	EPS Growth
HSBC	78 Outperform	$306.48B	18.78	8.66%	4.14%	-9.54%	-22.46%
MUFG	77 Outperform	$210.12B	16.61	9.01%	2.48%	-1.09%	8.53%
SMFG	76 Outperform	$137.98B	14.19	9.84%	2.54%	-0.66%	23.90%
SAN	72 Outperform	$185.33B	11.91	13.08%	1.85%	-15.34%	16.71%
WFC	71 Outperform	$288.04B	14.75	11.85%	1.80%	-4.37%	26.41%
Sector *	68 Neutral	$18.00B	11.42	9.92%	3.81%	9.73%	1.22%
C	66 Neutral	$210.11B	16.83	6.72%	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.