Mitsubishi Estate Co., Ltd.

DB:MES Stock Report

Market Cap: €15.9b

Mitsubishi Estate Valuation

Is MES undervalued compared to its fair value, analyst forecasts and its price relative to the market?

Valuation Score

3/6

Valuation Score 3/6

  • Below Fair Value

  • Significantly Below Fair Value

  • Price-To-Earnings vs Peers

  • Price-To-Earnings vs Industry

  • Price-To-Earnings vs Fair Ratio

  • Analyst Forecast

Share Price vs Fair Value

What is the Fair Price of MES when looking at its future cash flows? For this estimate we use a Discounted Cash Flow model.

Below Fair Value: MES (€12.9) is trading above our estimate of fair value (€4.36)

Significantly Below Fair Value: MES is trading above our estimate of fair value.

Key Valuation Metric

Which metric is best to use when looking at relative valuation for MES?

Key metric: As MES is profitable we use its Price-To-Earnings Ratio for relative valuation analysis.

The above table shows the Price to Earnings ratio for MES. This is calculated by dividing MES's market cap by their current earnings.
What is MES's PE Ratio?
PE Ratio14.7x
EarningsJP¥176.91b
Market CapJP¥2.60t

Price to Earnings Ratio vs Peers

How does MES's PE Ratio compare to its peers?

The above table shows the PE ratio for MES vs its peers. Here we also display the market cap and forecasted growth for additional consideration.
CompanyForward PEEstimated GrowthMarket Cap
Peer Average13.8x
FC9 FCR Immobilien
13.8x8.8%€101.7m
8830 Sumitomo Realty & Development
12.6x5.4%JP¥2.3t
1925 Daiwa House Industry
10.1x4.0%JP¥3.0t
8801 Mitsui Fudosan
18.6x11.2%JP¥3.4t
MES Mitsubishi Estate
14.7x5.4%€2.6t

Price-To-Earnings vs Peers: MES is expensive based on its Price-To-Earnings Ratio (14.7x) compared to the peer average (13.8x).

Price to Earnings Ratio vs Industry

How does MES's PE Ratio compare vs other companies in the DE Real Estate Industry?

4 CompaniesPrice / EarningsEstimated GrowthMarket Cap
GTY Gateway Real Estate
0.4xn/aUS$93.63m
ADJ Adler Group
0.05xn/aUS$47.99m
AAA A.A.A. Allgemeine Anlageverwaltung
2.6xn/aUS$47.44m
N9H Global Connectivity
0.2xn/aUS$2.04m
No more companies available in this PE range
MES 14.7xIndustry Avg. 18.6xNo. of Companies4PE01224364860+
4 CompaniesEstimated GrowthMarket Cap
No more companies

Price-To-Earnings vs Industry: MES is good value based on its Price-To-Earnings Ratio (14.7x) compared to the European Real Estate industry average (18.6x).

Price to Earnings Ratio vs Fair Ratio

What is MES's PE Ratio compared to its Fair PE Ratio? This is the expected PE Ratio taking into account the company's forecast earnings growth, profit margins and other risk factors.

MES PE Ratio vs Fair Ratio.
Fair Ratio
Current PE Ratio14.7x
Fair PE Ratio20.6x

Price-To-Earnings vs Fair Ratio: MES is good value based on its Price-To-Earnings Ratio (14.7x) compared to the estimated Fair Price-To-Earnings Ratio (20.6x).

Analyst Price Targets

What is the analyst 12-month forecast and do we have any statistical confidence in the consensus price target?

The above table shows the analyst MES forecast and predictions for the stock price in 12 month’s time.
DateShare PriceAverage 1Y Price TargetDispersionHighLow1Y Actual priceAnalysts
Current€12.90
€18.16
+40.8%
12.8%€21.86€14.35n/a10
Jan ’26€13.20
€18.16
+37.6%
12.8%€21.86€14.35n/a10
Dec ’25€13.00
€18.87
+45.1%
10.4%€22.02€15.20n/a10
Nov ’25€13.70
€19.64
+43.3%
9.4%€22.14€15.37n/a10
Oct ’25€14.40
€19.64
+36.4%
9.4%€22.14€15.37n/a10
Sep ’25€15.20
€19.36
+27.3%
8.4%€21.76€16.17n/a10
Aug ’25€14.10
€18.80
+33.3%
8.0%€20.96€15.57n/a10
Jul ’25€14.30
€18.58
+29.9%
8.1%€20.61€15.31n/a10
Jun ’25€15.20
€19.02
+25.2%
8.4%€21.80€16.50n/a10
May ’25€16.90
€18.45
+9.2%
11.6%€22.47€15.18n/a11
Apr ’25€16.50
€15.58
-5.6%
14.2%€20.26€12.89n/a11
Mar ’25€14.40
€14.02
-2.7%
7.3%€15.92€12.25n/a11
Feb ’25€12.40
€13.85
+11.7%
6.9%€16.19€12.45n/a11
Jan ’25€12.10
€13.76
+13.7%
7.8%€16.61€12.78€13.2012
Dec ’24€12.00
€13.09
+9.1%
8.7%€15.96€11.67€13.0012
Nov ’24€12.00
€13.31
+10.9%
10.0%€16.29€11.41€13.7013
Oct ’24€12.10
€12.96
+7.1%
12.8%€16.30€10.15€14.4013
Sep ’24€11.70
€12.59
+7.6%
12.1%€16.17€10.06€15.2013
Aug ’24€10.90
€12.95
+18.8%
11.4%€16.56€10.96€14.1013
Jul ’24€10.70
€12.95
+21.0%
11.4%€16.56€10.96€14.3013
Jun ’24€11.10
€13.50
+21.6%
11.2%€17.21€11.72€15.2013
May ’24€11.10
€13.77
+24.0%
13.6%€18.76€11.60€16.9012
Apr ’24€10.80
€14.97
+38.6%
12.6%€19.66€12.78€16.5012
Mar ’24€11.40
€15.20
+33.3%
11.2%€19.73€12.89€14.4013
Feb ’24€11.90
€15.87
+33.3%
11.8%€20.34€13.29€12.4013
Jan ’24€12.10
€15.99
+32.1%
9.9%€19.83€13.81€12.1013

Analyst Forecast: Target price is more than 20% higher than the current share price and analysts are within a statistically confident range of agreement.

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Company Analysis and Financial Data Status

DataLast Updated (UTC time)
Company Analysis2025/01/08 01:37
End of Day Share Price 2025/01/08 00:00
Earnings2024/09/30
Annual Earnings2024/03/31

Data Sources

The data used in our company analysis is from S&P Global Market Intelligence LLC. The following data is used in our analysis model to generate this report. Data is normalised which can introduce a delay from the source being available.

PackageDataTimeframeExample US Source *
Company Financials10 years
  • Income statement
  • Cash flow statement
  • Balance sheet
Analyst Consensus Estimates+3 years
  • Forecast financials
  • Analyst price targets
Market Prices30 years
  • Stock prices
  • Dividends, Splits and Actions
Ownership10 years
  • Top shareholders
  • Insider trading
Management10 years
  • Leadership team
  • Board of directors
Key Developments10 years
  • Company announcements

* example for US securities, for non-US equivalent regulatory forms and sources are used.

Unless specified all financial data is based on a yearly period but updated quarterly. This is known as Trailing Twelve Month (TTM) or Last Twelve Month (LTM) Data. Learn more here.

Analysis Model and Snowflake

Details of the analysis model used to generate this report is available on our Github page, we also have guides on how to use our reports and tutorials on Youtube.

Learn about the world class team who designed and built the Simply Wall St analysis model.

Industry and Sector Metrics

Our industry and section metrics are calculated every 6 hours by Simply Wall St, details of our process are available on .

Analyst Sources

Mitsubishi Estate Co., Ltd. is covered by 30 analysts. 10 of those analysts submitted the estimates of revenue or earnings used as inputs to our report. Analysts submissions are updated throughout the day.

AnalystInstitution
Takashi HashimotoBarclays
Yasuharu SugimuraBNP Paribas Securities (Asia)
Takumi KasaiBofA Global Research