Sumitomo Mitsui Financial Group, Inc.

SET:SMFG19 Stock Report

Market Cap: ฿3.2t

Sumitomo Mitsui Financial Group Valuation

Is SMFG19 undervalued compared to its fair value, analyst forecasts and its price relative to the market?

Valuation Score

2/6

Valuation Score 2/6

  • 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 SMFG19 when looking at its future cash flows? For this estimate we use a Discounted Cash Flow model.

Below Fair Value: SMFG19 (THB8.15) is trading below our estimate of fair value (THB11.12)

Significantly Below Fair Value: SMFG19 is trading below fair value by more than 20%.

Key Valuation Metric

Which metric is best to use when looking at relative valuation for SMFG19?

Key metric: As SMFG19 is profitable we use its Price-To-Earnings Ratio for relative valuation analysis.

The above table shows the Price to Earnings ratio for SMFG19. This is calculated by dividing SMFG19's market cap by their current earnings.
What is SMFG19's PE Ratio?
PE Ratio13.1x
EarningsJP¥1.07t
Market CapJP¥14.09t

Price to Earnings Ratio vs Peers

How does SMFG19's PE Ratio compare to its peers?

The above table shows the PE ratio for SMFG19 vs its peers. Here we also display the market cap and forecasted growth for additional consideration.
CompanyForward PEEstimated GrowthMarket Cap
Peer Average7.5x
SCB SCB X
9x5.0%฿387.2b
KBANK Kasikornbank
7.5x6.2%฿354.2b
BBL Bangkok Bank
6.4x3.6%฿280.6b
KTB Krung Thai Bank
7.2x6.0%฿283.7b
SMFG19 Sumitomo Mitsui Financial Group
13.1x8.4%฿14.1t

Price-To-Earnings vs Peers: SMFG19 is expensive based on its Price-To-Earnings Ratio (13.1x) compared to the peer average (7.5x).

Price to Earnings Ratio vs Industry

How does SMFG19's PE Ratio compare vs other companies in the Asian Banks Industry?

3 CompaniesPrice / EarningsEstimated GrowthMarket Cap
SMFG19 13.1xIndustry Avg. 8.6xNo. of Companies74PE0612182430+
3 CompaniesEstimated GrowthMarket Cap
No more companies

Price-To-Earnings vs Industry: SMFG19 is expensive based on its Price-To-Earnings Ratio (13.1x) compared to the Asian Banks industry average (8.6x).

Price to Earnings Ratio vs Fair Ratio

What is SMFG19'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.

SMFG19 PE Ratio vs Fair Ratio.
Fair Ratio
Current PE Ratio13.1x
Fair PE Ratio10.7x

Price-To-Earnings vs Fair Ratio: SMFG19 is expensive based on its Price-To-Earnings Ratio (13.1x) compared to the estimated Fair Price-To-Earnings Ratio (10.7x).

Analyst Price Targets

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

Analyst Forecast: Insufficient data to show price forecast.

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