Sumitomo Mitsui (SMFG) AI Stock Analysis

• Market Cap: $83.45B
• Dividend Yield: 2.56%
• Average Volume (3M): 1.81M
• Price to Earnings (P/E): 9.8
• Beta (1Y): 1.09
• Revenue Growth: 8.69%
• EPS Growth: 50.61%
• Country: US
• Employees: 120,000
• Sector: Financial
• Sector Strength: 84
• Industry: Banks - Diversified
• EPS (TTM): 0.34
• Shares Outstanding: 6,474,075,700
• 10 Day Avg. Volume: 3,342,172
• 30 Day Avg. Volume: 1,805,558
• PEG Ratio: N/A
• Price to Book (P/B): N/A
• Price to Sales (P/S): 11.72
• Price to Cash Flow (P/CF): N/A
• P/FCF Ratio: 0.00
• 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: N/A
• Price Target Upside: N/A
• Rating Consensus: N/A
• Number of Analyst Covering: 0

Sumitomo Mitsui Financial Group maintains a strong financial position with robust revenue growth and profitability. The upward trend in stock price enhances its appeal, despite the lack of detailed technical indicators. The reasonable P/E ratio and steady dividend yield suggest a well-rounded investment, although past cash flow volatility poses a risk.

Sumitomo Mitsui Business Overview & Revenue Model

Company Description

Sumitomo Mitsui Financial Group, Inc., together with its subsidiaries, provides commercial banking, leasing, securities, consumer finance, and other services in Japan, the Americas, Europe, the Middle East, Asia, and Oceania. It operates through four segments: Wholesale Business Unit, Retail Business Unit, Global Business Unit, and Global Markets Business Unit. The Wholesale Business Unit segment offers financing, investment management, risk hedging, and settlement services, as well as financial solutions related to mergers and acquisition, and other advisory services primarily for large, mid, and small-sized corporate clients; various leasing services, including equipment, and operating and leveraged leasing; and digital services, such as robotic process automation and electronic contract services. The Retail Business Unit segment offers wealth management, settlement, consumer finance, and housing loan products and services, as well as business and asset succession services to high-net-worth customers. The Global Business Unit segment offers loans, deposits, clearing services, trade finance, project finance, loan syndication, derivatives, and cash management services; underwriting services; and leasing services related to the construction machinery, transportation equipment, industrial machinery, medical equipment, and aircraft leasing. The Global Markets Business Unit segment offers solutions through foreign exchange products, derivatives, bonds, stocks, and other marketable financial products. It also undertakes asset liability management operations. The company also offers credit card, internet banking, system development and engineering, data processing, management consulting and economic research, and investment advisory and investment trust management services. Sumitomo Mitsui Financial Group, Inc. was incorporated in 2002 and is headquartered in Tokyo, Japan.

How the Company Makes Money

SMFG generates revenue through its diverse portfolio of financial services. The primary source of income is interest income from its lending activities, which includes personal loans, mortgages, and corporate loans. The company also earns significant fees and commissions from its investment banking and securities operations, offering services like underwriting, advisory, and brokerage. Additionally, SMFG derives income from asset management and insurance products, leveraging its expertise to manage client investments and provide various insurance solutions. Furthermore, its leasing and consumer finance arms contribute to its earnings by offering leasing solutions and credit card services. Strategic partnerships and alliances, both domestically and internationally, enable SMFG to expand its reach and enhance its service offerings, further driving its revenue growth.

Sumitomo Mitsui Financial Statement Overview

Summary

Sumitomo Mitsui's financial health is strong with robust growth in revenue and profitability. The balance sheet shows prudent financial management with low leverage and growing equity. Cash flow improvements highlight efficient cash management, although past volatility poses a risk.

Income Statement

Sumitomo Mitsui shows strong revenue growth, with a significant increase from 3,785.5 billion yen in 2023 to 4,433.4 billion yen in 2024, indicating a healthy growth trajectory. The Gross Profit Margin remains robust, reflecting efficient management. However, the absence of EBITDA data for 2024 limits a full analysis of operational efficiency. Net Profit Margin improved from the previous year, showcasing enhanced profitability.

Balance Sheet

The company's balance sheet is solid with a low Debt-to-Equity Ratio, reflecting conservative leverage. Stockholders' Equity has grown, enhancing financial stability. However, the Equity Ratio remains modest, suggesting a balanced but cautious capital structure.

Cash Flow

Cash flow performance is impressive, with a significant turnaround in Free Cash Flow from negative to positive, indicating improved operational efficiency. The Operating Cash Flow to Net Income Ratio is strong, suggesting effective cash conversion. However, volatility in operating cash flows over the years suggests potential fluctuations in cash flow stability.

Breakdown
TTM	Mar 2024	Mar 2023	Mar 2022	Mar 2021	Mar 2020
Income Statement		Total Revenue
4.61T	4.43T	3.79T	3.42T	3.17T	3.68T
	Gross Profit
4.61T	4.43T	3.79T	3.42T	3.17T	3.68T
	EBIT
1.81T	1.67T	1.34T	788.92B	973.50B	345.32B
	EBITDA
1.81T	1.96T	1.37T	1.17T	899.42B	0.00
	Net Income Common Stockholders
1.09T	962.95B	805.84B	706.63B	512.81B	703.88B
Balance Sheet		Cash, Cash Equivalents and Short-Term Investments
7.96T	10.00T>	73.21T	72.19T	69.66T	59.41T
	Total Assets
10.00T>	10.00T>	10.00T>	10.00T>	10.00T>	10.00T>
	Total Debt
15.28T	34.26T	29.38T	32.12T	30.36T	26.23T
	Net Debt
7.32T	-43.89T	-46.53T	-42.67T	-42.21T	-35.53T
	Total Liabilities
10.00T>	10.00T>	10.00T>	10.00T>	10.00T>	10.00T>
	Stockholders Equity
5.62T	14.66T	12.68T	12.10T	11.83T	10.72T
Cash Flow		Free Cash Flow
281.76B	4.47T	-6.19T	1.26T	18.47T	6.84T
	Operating Cash Flow
281.76B	4.86T	-5.90T	1.55T	18.80T	7.09T
	Investing Cash Flow
0.00	-918.90B	5.93T	-2.41T	-7.68T	-3.01T
	Financing Cash Flow
0.00	8.09T	-357.78B	-485.34B	-562.58B	-1.02T

Sumitomo Mitsui Technical Analysis

• Technical Analysis Sentiment: Negative
• Last Price: 13.11
• 50DMA: Negative
• 100DMA: Negative
• 200DMA: Negative
• MACD: Positive
• RSI: Neutral
• STOCH: Neutral

Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For SMFG, the sentiment is Negative. The current price of 13.11 is below the 20-day moving average (MA) of 14.85, below the 50-day MA of 15.05, and below the 200-day MA of 13.98, indicating a bearish trend. The MACD of -0.77 indicates Positive momentum. The RSI at 36.62 is Neutral, neither overbought nor oversold. The STOCH value of 29.27 is Neutral, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Negative sentiment for SMFG.

Sumitomo Mitsui Peers Comparison

Name	Overall Rating	Market Cap	P/E Ratio	ROE	Dividend Yield	Revenue Growth	EPS Growth
HSBC	81 Outperform	$171.96B	7.99	13.74%	6.57%	6.79%	8.57%
SMFG	78 Outperform	$83.45B	9.80	8.86%	2.56%	8.69%	50.61%
MUFG	70 Outperform	$130.44B	10.59	9.70%	3.06%	13.21%	-12.06%
BAC	70 Neutral	$273.39B	11.19	9.24%	2.84%	13.06%	4.94%
WFC	68 Neutral	$204.11B	11.23	11.05%	2.48%	3.22%	16.51%
C	65 Neutral	$116.02B	10.37	6.04%	3.58%	8.20%	49.26%
Sector *	64 Neutral	$13.34B	9.25	9.42%	4.85%	16.07%	-8.44%