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8306

Mitsubishi UFJ Financial GroupTSE:8306 Stock Report

Market Cap

JP¥8.2t

7D

-3.6%

1Y

55.4%

Updated

26 Oct, 2021

Data

Company Financials +
8306 fundamental analysis
Snowflake Score
Valuation4/6
Future Growth1/6
Past Performance5/6
Financial Health5/6
Dividends5/6

8306 Overview

Mitsubishi UFJ Financial Group, Inc., a bank holding company, provides financial services in Japan, the United States, and Asia/Oceania.

Mitsubishi UFJ Financial Group Competitors

Sumitomo Mitsui Financial Group

TSE:8316

JP¥5.2t

Mizuho Financial Group

TSE:8411

JP¥3.9t

JAPAN POST BANKLtd

TSE:7182

JP¥3.4t

Aozora Bank

TSE:8304

JP¥309.1b

Price History & Performance

Summary of all time highs, changes and price drops for Mitsubishi UFJ Financial Group
Historical stock prices
Current Share PriceJP¥640.20
52 Week HighJP¥404.80
52 Week LowJP¥688.90
Beta0.95
1 Month Change-5.37%
3 Month Change9.49%
1 Year Change55.43%
3 Year Change-6.51%
5 Year Change19.87%
Change since IPO-47.53%

Recent News & Updates

Shareholder Returns

8306JP BanksJP Market
7D-3.6%-2.7%-0.5%
1Y55.4%25.4%23.2%

Return vs Industry: 8306 exceeded the JP Banks industry which returned 23.7% over the past year.

Return vs Market: 8306 exceeded the JP Market which returned 21.4% over the past year.

Price Volatility

Is 8306's price volatile compared to industry and market?
8306 volatility
8306 Beta0.95
Industry Beta0.81
Market Beta1

Stable Share Price: 8306 is not significantly more volatile than the rest of JP stocks over the past 3 months, typically moving +/- 3% a week.

Volatility Over Time: 8306's weekly volatility (3%) has been stable over the past year.

About the Company

FoundedEmployeesCEOWebsite
1880148,100Hironori Kamezawahttps://www.mufg.jp

Mitsubishi UFJ Financial Group, Inc., a bank holding company, provides financial services in Japan, the United States, and Asia/Oceania. The company’s Retail & Commercial Banking Business Group segment offers commercial banking, trust banking, and securities products and services to retail, and small and medium-sized enterprise customers. Its Japanese Corporate & Investment Banking Business Group segment provides transaction banking, investment banking, trust banking, and securities services, as well as advanced financial solutions for large corporations.

Mitsubishi UFJ Financial Group Fundamentals Summary

How do Mitsubishi UFJ Financial Group's earnings and revenue compare to its market cap?
8306 fundamental statistics
Market CapJP¥8.22t
Earnings (TTM)JP¥1.32t
Revenue (TTM)JP¥4.73t

6.2x

P/E Ratio

0.5x

P/B Ratio

Earnings & Revenue

Key profitability statistics from the latest earnings report
8306 income statement (TTM)
RevenueJP¥4.73t
Cost of RevenueJP¥0
Gross ProfitJP¥4.73t
ExpensesJP¥3.41t
EarningsJP¥1.32t

Last Reported Earnings

Jun 30, 2021

Next Earnings Date

Nov 15, 2021

Earnings per share (EPS)102.61
Gross Margin100.00%
Net Profit Margin27.86%
Debt/Equity Ratio471.1%

How did 8306 perform over the long term?

See historical performance and comparison

Dividends

4.2%

Current Dividend Yield

24%

Payout Ratio

Valuation

Is Mitsubishi UFJ Financial Group undervalued compared to its fair value and its price relative to the market?

>50%

Undervalued compared to fair value


Share Price vs. Fair Value

Below Fair Value: 8306 (¥640.2) is trading below our estimate of fair value (¥1357.71)

Significantly Below Fair Value: 8306 is trading below fair value by more than 20%.


Price To Earnings Ratio

PE vs Industry: 8306 is good value based on its PE Ratio (6.2x) compared to the JP Banks industry average (7.4x).

PE vs Market: 8306 is good value based on its PE Ratio (6.2x) compared to the JP market (14.3x).


Price to Earnings Growth Ratio

PEG Ratio: 8306 is poor value based on its PEG Ratio (8.6x)


Price to Book Ratio

PB vs Industry: 8306 is overvalued based on its PB Ratio (0.5x) compared to the JP Banks industry average (0.2x).


Future Growth

How is Mitsubishi UFJ Financial Group forecast to perform in the next 1 to 3 years based on estimates from 10 analysts?

0.7%

Forecasted annual earnings growth


Earnings and Revenue Growth Forecasts


Analyst Future Growth Forecasts

Earnings vs Savings Rate: 8306's forecast earnings growth (0.7% per year) is above the savings rate (0.02%).

Earnings vs Market: 8306's earnings (0.7% per year) are forecast to grow slower than the JP market (10.3% per year).

High Growth Earnings: 8306's earnings are forecast to grow, but not significantly.

Revenue vs Market: 8306's revenue is expected to decline over the next 3 years (-1.1% per year).

High Growth Revenue: 8306's revenue is forecast to decline over the next 3 years (-1.1% per year).


Earnings per Share Growth Forecasts


Future Return on Equity

Future ROE: 8306's Return on Equity is forecast to be low in 3 years time (5.6%).


Past Performance

How has Mitsubishi UFJ Financial Group performed over the past 5 years?

3.4%

Historical annual earnings growth


Earnings and Revenue History

Quality Earnings: 8306 has high quality earnings.

Growing Profit Margin: 8306's current net profit margins (27.9%) are higher than last year (2.6%).


Past Earnings Growth Analysis

Earnings Trend: 8306's earnings have grown by 3.4% per year over the past 5 years.

Accelerating Growth: 8306's earnings growth over the past year (1238.6%) exceeds its 5-year average (3.4% per year).

Earnings vs Industry: 8306 earnings growth over the past year (1238.6%) exceeded the Banks industry 24.6%.


Return on Equity

High ROE: 8306's Return on Equity (7.5%) is considered low.


Financial Health

How is Mitsubishi UFJ Financial Group's financial position? (This company is analysed differently as a bank or financial institution)


Financial Position Analysis


Debt to Equity History and Analysis


Balance Sheet


Financial Institutions Analysis

Asset Level: 8306's Assets to Equity ratio (19.8x) is moderate.

Allowance for Bad Loans: 8306 has a low allowance for bad loans (81%).

Low Risk Liabilities: 65% of 8306's liabilities are made up of primarily low risk sources of funding.

Loan Level: 8306 has an appropriate level of Loans to Assets ratio (29%).

Low Risk Deposits: 8306's Loans to Deposits ratio (47%) is appropriate.

Level of Bad Loans: 8306 has an appropriate level of bad loans (1.2%).


Dividend

What is Mitsubishi UFJ Financial Group current dividend yield, its reliability and sustainability?

4.22%

Current Dividend Yield


Dividend Yield vs Market

Notable Dividend: 8306's dividend (4.22%) is higher than the bottom 25% of dividend payers in the JP market (1.33%).

High Dividend: 8306's dividend (4.22%) is in the top 25% of dividend payers in the JP market (3.07%)


Stability and Growth of Payments

Stable Dividend: 8306's dividends per share have been stable in the past 10 years.

Growing Dividend: 8306's dividend payments have increased over the past 10 years.


Current Payout to Shareholders

Dividend Coverage: With its low payout ratio (24.4%), 8306's dividend payments are well covered by earnings.


Future Payout to Shareholders

Future Dividend Coverage: Insufficient data to determine if a dividend will be paid in 3 years and that it will be covered by earnings.


Next Steps

Management

How experienced are the management team and are they aligned to shareholders interests?

2.0yrs

Average management tenure


CEO

Hironori Kamezawa (60 yo)

1.5yrs

Tenure

JP¥224,000,000

Compensation

Mr. Hironori Kamezawa serves as Director at Morgan Stanley since May 20 2021. He is President and Group Chief Executive Officer at Mitsubishi UFJ Financial Group, Inc. since April 1, 2020 and has been its...


CEO Compensation Analysis

Compensation vs Market: Hironori's total compensation ($USD1.97M) is about average for companies of similar size in the JP market ($USD2.67M).

Compensation vs Earnings: Hironori's compensation has increased by more than 20% in the past year.


Leadership Team

Experienced Management: 8306's management team is considered experienced (2 years average tenure).


Board Members

Experienced Board: 8306's board of directors are not considered experienced ( 1 years average tenure), which suggests a new board.


Ownership

Who are the major shareholders and have insiders been buying or selling?


Insider Trading Volume

Insider Buying: Insufficient data to determine if insiders have bought more shares than they have sold in the past 3 months.


Ownership Breakdown

Dilution of Shares: Shareholders have not been meaningfully diluted in the past year.


Top Shareholders

Company Information

Mitsubishi UFJ Financial Group, Inc.'s employee growth, exchange listings and data sources


Key Information

  • Name: Mitsubishi UFJ Financial Group, Inc.
  • Ticker: 8306
  • Exchange: TSE
  • Founded: 1880
  • Industry: Diversified Banks
  • Sector: Banks
  • Market Cap: JP¥8.216t
  • Shares outstanding: 12.83b
  • Website: https://www.mufg.jp

Number of Employees


Location

  • Mitsubishi UFJ Financial Group, Inc.
  • 7-1, Marunouchi 2-chome
  • Chiyoda-ku
  • Tokyo
  • 100-8330
  • Japan

Listings


Company Analysis and Financial Data Status

All financial data provided by Standard & Poor's Capital IQ.
DataLast Updated (UTC time)
Company Analysis2021/10/26 16:13
End of Day Share Price2021/10/26 00:00
Earnings2021/06/30
Annual Earnings2021/03/31


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.