Sumitomo Mitsui (SMFG) AI Stock Analysis

• Market Cap: $134.77B
• Dividend Yield: 2.54%
• Average Volume (3M): 1.86M
• Price to Earnings (P/E): 14.3
• Beta (1Y): 1.18
• Revenue Growth: -0.66%
• EPS Growth: 23.90%
• Country: US
• Employees: 120,000
• Sector: Financial
• Sector Strength: 70
• Industry: Banks - Diversified
• EPS (TTM): 0.56
• Shares Outstanding: 6,429,012,700
• 10 Day Avg. Volume: 2,084,777
• 30 Day Avg. Volume: 1,855,674
• PEG Ratio: 0.29
• Price to Book (P/B): 0.62
• Price to Sales (P/S): 0.94
• P/FCF Ratio: 1.97
• Enterprise Value/Market Cap: -35.33
• Enterprise Value/Revenue: -0.49
• Enterprise Value/Gross Profit: -0.99
• Enterprise Value/Ebitda: -2.44
• 1Y Price Target: $32.21
• Price Target Upside: 80.55% Upside
• Rating Consensus: Moderate Buy
• Number of Analyst Covering: 1
• EPS Forecast (FY): 1.55
• Revenue Forecast (FY): $29.27B

• Rating: 76 Outperform
• Price Target: $23.00 ▲(28.92% Upside)

Sumitomo Mitsui Financial Group's strong financial performance and positive technical indicators are the primary drivers of its stock score. The company's solid revenue growth, profitability, and robust cash flow generation support its financial stability. While the stock shows bullish momentum, caution is advised due to potential overbought conditions. The valuation is fair, with a reasonable P/E ratio and a decent dividend yield.

Positive Factors

Cash Generation

Efficient cash generation supports financial stability and provides flexibility for investments, debt reduction, or shareholder returns.

Revenue Growth

Strong revenue growth indicates expanding business operations and market presence, enhancing long-term profitability and competitive position.

Project Financing

Involvement in large-scale project financing showcases SMFG's capability to participate in significant industry trends, like the AI boom, boosting its market influence.

Negative Factors

Revenue Growth Decline

A decline in revenue growth can signal challenges in maintaining market share or adapting to market changes, potentially affecting long-term performance.

Moderate Leverage

While typical for banks, moderate leverage can limit financial flexibility, especially in volatile markets, impacting strategic initiatives.

Equity Ownership Increase

Increasing equity stakes in other firms can strain resources and may divert focus from core operations, affecting overall strategic execution.

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 multiple key streams: interest income from loans and advances made to customers, fees from various banking services, and revenue from investment activities. The company earns interest income primarily from its lending operations, which include corporate loans, consumer loans, and mortgages. Additionally, SMFG benefits from transaction fees related to payment processing, wealth management, and asset management services. The group also has significant investments in securities and other financial instruments that provide dividends and capital gains, contributing to its overall earnings. Strategic partnerships and collaborations with other financial institutions and corporations further enhance its service offerings and revenue potential.

Sumitomo Mitsui Financial Statement Overview

Summary

Sumitomo Mitsui Financial Group presents a solid financial profile with strong revenue growth and profitability. The balance sheet shows a healthy equity position and moderate leverage, typical for the banking sector. Cash flow generation is robust, supporting the company's financial stability and growth prospects.

Income Statement

Sumitomo Mitsui has demonstrated strong revenue growth, with a notable increase from 2024 to 2025. The gross profit margin is robust, indicating effective cost management. Net profit margin is healthy, reflecting profitability. EBIT and EBITDA margins are also strong, suggesting efficient operations.

Balance Sheet

The company maintains a solid equity base with a positive equity ratio, reflecting financial stability. The debt-to-equity ratio shows moderate leverage, which is typical for the banking sector. Return on equity is good, indicating effective use of equity to generate profits.

Cash Flow

Sumitomo Mitsui exhibits strong free cash flow growth, highlighting efficient cash generation. The operating cash flow to net income ratio is positive, indicating good cash profitability. Free cash flow to net income ratio is strong, reflecting the company's ability to convert net income into cash.

Breakdown	TTM	Dec 2025	Dec 2024	Dec 2023	Dec 2022	Dec 2021
Income Statement
Total Revenue	9.68T	9.66T	8.77T	5.78T	3.80T	3.57T
Gross Profit	4.83T	4.72T	4.16T	3.51T	3.15T	2.69T
EBITDA	1.95T	1.98T	1.64T	1.37T	1.17T	899.42B
Net Income	1.39T	1.18T	962.95B	805.84B	706.63B	512.81B
Balance Sheet
Total Assets	10.00T>	10.00T>	10.00T>	10.00T>	10.00T>	10.00T>
Cash, Cash Equivalents and Short-Term Investments	72.60T	10.00T>	10.00T>	75.91T	74.79T	10.00T>
Total Debt	58.32T	58.30T	34.26T	46.16T	32.12T	30.36T
Total Liabilities	10.00T>	10.00T>	10.00T>	10.00T>	10.00T>	10.00T>
Stockholders Equity	15.17T	14.70T	14.66T	12.68T	12.10T	11.83T
Cash Flow
Free Cash Flow	0.00	4.60T	250.98B	-6.19T	1.26T	18.47T
Operating Cash Flow	0.00	4.97T	642.86B	-5.90T	1.55T	18.80T
Investing Cash Flow	0.00	-4.51T	-918.90B	5.93T	-2.41T	-7.68T
Financing Cash Flow	0.00	-480.15B	280.69B	-357.78B	-485.34B	-562.58B

Sumitomo Mitsui Technical Analysis

• Technical Analysis Sentiment: Positive
• Last Price: 17.84
• 50DMA: Positive
• 100DMA: Positive
• 200DMA: Positive
• MACD: Negative
• RSI: Negative
• STOCH: Negative

Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For SMFG, the sentiment is Positive. The current price of 17.84 is below the 20-day moving average (MA) of 19.79, below the 50-day MA of 18.53, and above the 200-day MA of 16.14, indicating a bullish trend. The MACD of 0.61 indicates Negative momentum. The RSI at 78.15 is Negative, neither overbought nor oversold. The STOCH value of 92.34 is Negative, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Positive sentiment for SMFG.

Sumitomo Mitsui Peers Comparison

Name	Overall Rating	Market Cap	P/E Ratio	ROE	Dividend Yield	Revenue Growth	EPS Growth
HSBC	78 Outperform	$278.79B	17.26	8.66%	4.14%	-9.54%	-22.46%
MUFG	77 Outperform	$203.08B	16.29	9.01%	2.48%	-1.09%	8.53%
SMFG	76 Outperform	$134.77B	14.29	9.09%	2.54%	-0.66%	23.90%
WFC	73 Outperform	$280.16B	14.26	11.85%	1.80%	-4.37%	26.41%
SAN	72 Outperform	$178.66B	12.17	12.54%	1.85%	-15.34%	16.71%
Sector *	68 Neutral	$18.00B	11.42	9.92%	3.81%	9.73%	1.22%
C	60 Neutral	$201.13B	16.08	6.72%	1.94%	-0.62%	105.57%

Sumitomo Mitsui Corporate Events

Sumitomo Mitsui Files Interim Form 6-K with U.S. SEC

On December 29, 2025 (Eastern Standard Time), Sumitomo Mitsui Financial Group submitted an interim report on Form 6-K to the U.S. Securities and Exchange Commission, and on December 30, 2025 it notified the market of this filing. The submission, which includes unaudited consolidated interim financial statements prepared under IFRS, updates U.S. investors on the group’s financial position between its regular annual filings and reinforces its ongoing compliance and disclosure obligations in the U.S. capital markets, offering greater transparency for global stakeholders who follow the stock and its listed debt.

The most recent analyst rating on (SMFG) stock is a Buy with a $20.50 price target. To see the full list of analyst forecasts on Sumitomo Mitsui stock, see the SMFG Stock Forecast page.

Sumitomo Mitsui Financial Group Files Interim Form 6-K Detailing First-Half 2025/26 Performance

On December 24, 2025, Sumitomo Mitsui Financial Group filed a Form 6-K interim report for the six months ended September 30, 2025, incorporating it into its existing shelf registration in the U.S. market and providing a detailed review of its financial condition, operating results, capital and liquidity, and risk management. The filing outlines how the group’s performance over the period was shaped by a modest recovery in the Japanese economy in the first half of the fiscal year ending March 31, 2026—driven by stronger private consumption amid improving employment and income—offset late in the period by weaker residential investment and export headwinds from higher U.S. tariffs, underscoring the sensitivity of SMFG’s earnings and asset quality to macroeconomic trends at home and abroad.

The most recent analyst rating on (SMFG) stock is a Buy with a $20.50 price target. To see the full list of analyst forecasts on Sumitomo Mitsui stock, see the SMFG Stock Forecast page.

Sumitomo Mitsui Releases Interim Financial Results for September 2025

Sumitomo Mitsui Financial Group, Inc. has released its unaudited interim consolidated financial statements for the six months ended September 30, 2025. These statements, prepared in accordance with Japanese GAAP, highlight the company’s financial position and performance during this period. The report, published on November 28, 2025, shows a slight decrease in total assets from March 31, 2025, to September 30, 2025. This financial disclosure provides stakeholders with insights into the company’s operational health and strategic positioning within the financial industry.

The most recent analyst rating on (SMFG) stock is a Buy with a $20.50 price target. To see the full list of analyst forecasts on Sumitomo Mitsui stock, see the SMFG Stock Forecast page.