Mitsubishi (TSE:8058) - Share price, News & Analysis

8058 fundamental analysis
Snowflake Score
Valuation	3/6
Future Growth	0/6
Past Performance	4/6
Financial Health	4/6
Dividends	4/6

8058 Stock Overview

Rewards

Trading at 11.5% below our estimate of its fair value

Earnings grew by 443.3% over the past year

Risk Analysis

Earnings are forecast to decline by an average of 8.4% per year for the next 3 years

Debt is not well covered by operating cash flow

Unstable dividend track record

Mitsubishi Competitors

Sumitomo

TSE:8053

JP¥2.3t

Apple

NasdaqGS:AAPL

US$2.3t

Microsoft

NasdaqGS:MSFT

US$1.9t

Chevron

NYSE:CVX

US$339.2b

Price History & Performance

Summary of all time highs, changes and price drops for Mitsubishi
Historical stock prices
Current Share Price	JP¥4,492.00
52 Week High	JP¥4,749.00
52 Week Low	JP¥2,903.00
Beta	0.68
1 Month Change	3.43%
3 Month Change	18.71%
1 Year Change	52.61%
3 Year Change	58.00%
5 Year Change	102.53%
Change since IPO	242.90%

Shareholder Returns

	8058	JP Trade Distributors	JP Market
7D	4.6%	1.0%	-0.3%
1Y	52.6%	20.0%	-3.7%

Return vs Industry: 8058 exceeded the JP Trade Distributors industry which returned 20% over the past year.

Return vs Market: 8058 exceeded the JP Market which returned -3.7% over the past year.

Price Volatility

Is 8058's price volatile compared to industry and market?
8058 volatility
8058 Average Weekly Movement	4.6%
Trade Distributors Industry Average Movement	4.0%
Market Average Movement	4.5%
10% most volatile stocks in JP Market	8.9%
10% least volatile stocks in JP Market	2.5%

Stable Share Price: 8058 is not significantly more volatile than the rest of JP stocks over the past 3 months, typically moving +/- 5% a week.

Volatility Over Time: 8058's weekly volatility (5%) has been stable over the past year.

About the Company

Founded	Employees	CEO	Website
1950	n/a	Katsuya Nakanishi	https://www.mitsubishicorp.com

Mitsubishi Corporation engages in the natural gas, industrial materials, petroleum and chemicals, mineral resources, industrial infrastructure, automotive and mobility, food and consumer industry, power solution, and urban development businesses worldwide. The company’s Natural Gas segment is involved in the natural gas/oil exploration, production, and development, as well as liquified natural gas businesses. Its Industrial Materials segment invests in, develops, and trades in carbon, steel products, and performance materials for the automobile and mobility, construction, and finance industries.

Mitsubishi Fundamentals Summary

How do Mitsubishi's earnings and revenue compare to its market cap?
8058 fundamental statistics
Market Cap	JP¥6.52t
Earnings (TTM)	JP¥937.53b
Revenue (TTM)	JP¥17.26t

7.1x

P/E Ratio

0.4x

P/S Ratio

Is 8058 overvalued?

See Fair Value and valuation analysis

Earnings & Revenue

Key profitability statistics from the latest earnings report
8058 income statement (TTM)
Revenue	JP¥17.26t
Cost of Revenue	JP¥15.11t
Gross Profit	JP¥2.15t
Other Expenses	JP¥1.21t
Earnings	JP¥937.53b

Last Reported Earnings

Mar 31, 2022

Next Earnings Date

n/a

Earnings per share (EPS)	634.95
Gross Margin	12.46%
Net Profit Margin	5.43%
Debt/Equity Ratio	71.8%

How did 8058 perform over the long term?

See historical performance and comparison

Dividends

3.3%

Current Dividend Yield

24%

Payout Ratio

Valuation

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

Valuation Score

3/6

Valuation Score 3/6

Below Fair Value
Significantly Below Fair Value
PE vs Industry
PE vs Market
PEG Ratio
PB vs Industry

11.5%

Undervalued compared to fair value

Share Price vs. Fair Value

Below Fair Value: 8058 (¥4492) is trading below our estimate of fair value (¥5076.08)

Significantly Below Fair Value: 8058 is trading below fair value, but not by a significant amount.

Price To Earnings Ratio

PE vs Industry: 8058 is good value based on its Price-To-Earnings Ratio (7.1x) compared to the JP Trade Distributors industry average (7.8x).

PE vs Market: 8058 is good value based on its Price-To-Earnings Ratio (7.1x) compared to the JP market (12.2x).

Price to Earnings Growth Ratio

PEG Ratio: 8058's earnings are forecast to decline next year, so we can't calculate its PEG ratio.

Price to Book Ratio

PB vs Industry: 8058 is overvalued based on its Price-To-Book Ratio (1x) compared to the JP Trade Distributors industry average (0.6x).

Future Growth

How is Mitsubishi forecast to perform in the next 1 to 3 years based on estimates from 8 analysts?

Future Growth Score

0/6

Future Growth Score 0/6

Earnings vs Savings Rate
Earnings vs Market
High Growth Earnings
Revenue vs Market
High Growth Revenue
Future ROE

-8.4%

Forecasted annual earnings growth

Earnings and Revenue Growth Forecasts

Analyst Future Growth Forecasts

Earnings vs Savings Rate: 8058's earnings are forecast to decline over the next 3 years (-8.4% per year).

Earnings vs Market: 8058's earnings are forecast to decline over the next 3 years (-8.4% per year).

High Growth Earnings: 8058's earnings are forecast to decline over the next 3 years.

Revenue vs Market: 8058's revenue is expected to decline over the next 3 years (-4.3% per year).

High Growth Revenue: 8058's revenue is forecast to decline over the next 3 years (-4.3% per year).

Earnings per Share Growth Forecasts

Future Return on Equity

Future ROE: 8058's Return on Equity is forecast to be low in 3 years time (9.7%).

Past Performance

How has Mitsubishi performed over the past 5 years?

Past Performance Score

4/6

Past Performance Score 4/6

Quality Earnings
Growing Profit Margin
Earnings Trend
Accelerating Growth
Earnings vs Industry
High ROE

-0.5%

Historical annual earnings growth

Earnings and Revenue History

Quality Earnings: 8058 has high quality earnings.

Growing Profit Margin: 8058's current net profit margins (5.4%) are higher than last year (1.3%).

Past Earnings Growth Analysis

Earnings Trend: 8058's earnings have declined by 0.5% per year over the past 5 years.

Accelerating Growth: 8058's earnings growth over the past year (443.3%) exceeds its 5-year average (-0.5% per year).

Earnings vs Industry: 8058 earnings growth over the past year (443.3%) exceeded the Trade Distributors industry 38.2%.

Return on Equity

High ROE: 8058's Return on Equity (12.8%) is considered low.

Financial Health

How is Mitsubishi's financial position?

Financial Health Score

4/6

Financial Health Score 4/6

Short Term Liabilities
Long Term Liabilities
Debt Level
Reducing Debt
Debt Coverage
Interest Coverage

Financial Position Analysis

Short Term Liabilities: 8058's short term assets (¥9,531.0B) exceed its short term liabilities (¥7,317.8B).

Long Term Liabilities: 8058's short term assets (¥9,531.0B) exceed its long term liabilities (¥6,737.0B).

Debt to Equity History and Analysis

Debt Level: 8058's net debt to equity ratio (50.1%) is considered high.

Reducing Debt: 8058's debt to equity ratio has reduced from 92.9% to 71.8% over the past 5 years.

Debt Coverage: 8058's debt is not well covered by operating cash flow (18.7%).

Interest Coverage: 8058 earns more interest than it pays, so coverage of interest payments is not a concern.

Balance Sheet

Dividend

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

Dividend Score

3/6

Dividend Score 3/6

Notable Dividend
High Dividend
Stable Dividend
Growing Dividend
Earnings Coverage
Future Dividend Coverage

3.34%

Current Dividend Yield

Dividend Yield vs Market

Notable Dividend: 8058's dividend (3.34%) is higher than the bottom 25% of dividend payers in the JP market (1.66%).

High Dividend: 8058's dividend (3.34%) is low compared to the top 25% of dividend payers in the JP market (3.74%).

Stability and Growth of Payments

Stable Dividend: 8058's dividend payments have been volatile in the past 10 years.

Growing Dividend: 8058's dividend payments have increased over the past 10 years.

Earnings Payout to Shareholders

Earnings Coverage: With its low payout ratio (23.6%), 8058's dividend payments are well covered by earnings.

Cash Payout to Shareholders

Cash Flow Coverage: With its reasonably low cash payout ratio (33.5%), 8058's dividend payments are well covered by cash flows.

Discover strong dividend paying companies

Management

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

0.6yrs

Average management tenure

CEO

Katsuya Nakanishi (61 yo)

0.083

Tenure

Mr. Katsuya Nakanishi served as Executive Vice President and Group CEO of Power Solution Group at Mitsubishi Corporation since 2019 until April 1, 2022 and serves as its Chief Executive Officer & President...

Leadership Team

Experienced Management: 8058's management team is not considered experienced ( 0.6 years average tenure), which suggests a new team.

Board Members

Experienced Board: 8058's board of directors are considered experienced (5.4 years average tenure).

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.

Data	Last Updated (UTC time)
Company Analysis	2022/05/25 00:00
End of Day Share Price	2022/05/25 00:00
Earnings	2022/03/31
Annual Earnings	2022/03/31