NYSE:SMFG

Stock Analysis Report

Sumitomo Mitsui Financial Group

Executive Summary

Sumitomo Mitsui Financial Group, Inc., together with its subsidiaries, provides commercial banking, leasing, securities, consumer finance, and other services primarily in Japan.

Snowflake

Fundamentals

Excellent balance sheet average dividend payer.


Similar Companies

Share Price & News

How has Sumitomo Mitsui Financial Group's share price performed over time and what events caused price changes?


Latest Share Price and Events


Market Performance


7 Day Return

-3.7%

NYSE:SMFG

-2.6%

US Banks

-1.0%

US Market


1 Year Return

-16.5%

NYSE:SMFG

-14.2%

US Banks

-0.4%

US Market

SMFG underperformed the Banks industry which returned -14.2% over the past year.

SMFG underperformed the Market in United States of America which returned -0.4% over the past year.


Share holder returns

SMFGIndustryMarket
7 Day-3.7%-2.6%-1.0%
30 Day-7.5%-5.5%-3.3%
90 Day-6.6%-3.5%0.4%
1 Year-13.3%-16.5%-11.8%-14.2%1.8%-0.4%
3 Year6.3%-3.7%42.2%32.4%39.4%30.4%
5 Year-7.7%-19.5%53.3%36.7%54.2%37.1%

Price Volatility Vs. Market

How volatile is Sumitomo Mitsui Financial Group's share price compared to the market and industry in the last 5 years?


Simply Wall St News

No news available

Valuation

Is Sumitomo Mitsui Financial Group undervalued based on future cash flows and its price relative to the stock market?

8.87x

Price to Earnings (PE) ratio


Intrinsic Value Based on Future Cash Flows

Sumitomo Mitsui Financial Group's share price is above the future cash flow value, it's not available at a moderate discount (< 20%).

Sumitomo Mitsui Financial Group's share price is above the future cash flow value, it's not available at a substantial discount (< 40%).


Price Based on Earnings

Sumitomo Mitsui Financial Group is good value based on earnings compared to the US Banks industry average.

Sumitomo Mitsui Financial Group is good value based on earnings compared to the United States of America market.


Price Based on Expected Growth

Sumitomo Mitsui Financial Group is poor value based on expected growth next year.


Price Based on Value of Assets

Sumitomo Mitsui Financial Group is good value based on assets compared to the US Banks industry average.


Next Steps

Future Growth

How is Sumitomo Mitsui Financial Group expected to perform in the next 1 to 3 years based on estimates from 11 analysts?

1.9%

Forecasted annual earnings growth


Earnings and Revenue Growth Estimates


Future Annual Growth Analysis

Sumitomo Mitsui Financial Group's revenue is expected to grow by 2% yearly, however this is not considered high growth (20% yearly).

Sumitomo Mitsui Financial Group's earnings are expected to grow by 1.9% yearly, however this is not considered high growth (20% yearly).

Sumitomo Mitsui Financial Group's revenue growth is positive but not above the United States of America market average.

Sumitomo Mitsui Financial Group's earnings growth is positive but not above the United States of America market average.

Sumitomo Mitsui Financial Group's earnings growth is positive but not above the low risk savings rate of 2.7%.


Earnings per Share Growth Estimates


Future Return on Equity

Sumitomo Mitsui Financial Group is not expected to efficiently use shareholders’ funds in the future (Return on Equity less than 20%).


Next Steps

Past Performance

How has Sumitomo Mitsui Financial Group performed over the past 5 years?

-3.4%

Historical annual earnings growth


Earnings and Revenue History


Past Earnings Growth Analysis

Sumitomo Mitsui Financial Group's year on year earnings growth rate was negative over the past 5 years and the most recent earnings are below average.

Sumitomo Mitsui Financial Group's 1-year earnings growth is negative, it can't be compared to the 5-year average.

Sumitomo Mitsui Financial Group's 1-year earnings growth is negative, it can't be compared to the US Banks industry average.


Return on Equity

Sumitomo Mitsui Financial Group has not efficiently used shareholders’ funds last year (Return on Equity less than 20%).


Return on Assets

Sumitomo Mitsui Financial Group used its assets less efficiently than the US Banks industry average last year based on Return on Assets.


Return on Capital Employed

Unable to establish if Sumitomo Mitsui Financial Group improved its use of capital last year versus 3 years ago (Return on Capital Employed) due to insufficient past data.


Next Steps

Financial Health

How is Sumitomo Mitsui 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

Sumitomo Mitsui Financial Group has an acceptable proportion of non-loan assets held.

Sumitomo Mitsui Financial Group has a low allowance for bad loans.

Sumitomo Mitsui Financial Group's liabilities are made up of primarily low risk sources of funding.

Sumitomo Mitsui Financial Group's level of assets compared to its equity is moderate (i.e. an appropriate level of borrowing to fund lending).

Loans at Sumitomo Mitsui Financial Group are broadly funded by customer deposits.

Sumitomo Mitsui Financial Group has an acceptable level of bad loans (less than 2%).


Next Steps

Dividend

What is Sumitomo Mitsui Financial Group's current dividend yield, its reliability and sustainability?

5.76%

Expected Dividend Yield


Dividend Yield and Payments Analysis

Sumitomo Mitsui Financial Group's pays a higher dividend yield than the bottom 25% of dividend payers in United States of America (1.49%).

Sumitomo Mitsui Financial Group's dividend is above the markets top 25% of dividend payers in United States of America (3.84%).

Dividends per share have been volatile in the past 10 years (annual drop of over 20%).

Dividends per share have increased over the past 10 years.


Current Payout to Shareholders

Dividends paid are well covered by earnings (2.2x coverage).


Future Payout to Shareholders

Insufficient estimate data to determine if a dividend will be paid in 3 years and that it will be sustainable.


Next Steps

Management

What is the CEO of Sumitomo Mitsui Financial Group's salary, the management and board of directors tenure and is there insider trading?

1.0yrs

Average management tenure


CEO

Jun Ohta (61yo)

0.3yrs

Tenure

JP¥100,000,000

Compensation

Mr. Jun Ohta has been Group CEO, President at Sumitomo Mitsui Financial Group, Inc. since April 1, 2019 and serves as its Officer in charge of Public Relations Department, Corporate Planning Department, Fi ...


CEO Compensation Analysis

Jun's remuneration is lower than average for companies of similar size in United States of America.

Jun's compensation has been consistent with company performance over the past year, both up more than 20%.


Management Age and Tenure

1.0yrs

Average Tenure

58yo

Average Age

The average tenure for the Sumitomo Mitsui Financial Group management team is less than 2 years, this suggests a new team.


Board Age and Tenure

2.2yrs

Average Tenure

63yo

Average Age

The average tenure for the Sumitomo Mitsui Financial Group board of directors is less than 3 years, this suggests a new board.


Insider Trading

No 3 month open market individual insider trading information.


Ownership Breakdown


Management Team

  • Kohei Ohashi

    SVP (IR Department)

  • Masahiko Oshima (59yo)

    Deputy President

    • Tenure: 1.3yrs
  • Katsunori Tanizaki (62yo)

    Senior Managing Executive Officer & Director

    • Tenure: 4.3yrs
  • Jun Ohta (61yo)

    President

    • Tenure: 0.3yrs
    • Compensation: ¥100.00m
  • Nobuaki Kurumatani (62yo)

    Deputy President

  • Toru Nakashima (56yo)

    Senior Managing Corporate Executive Officer

    • Tenure: 0.6yrs
  • Toshikazu Yaku (57yo)

    Deputy President

    • Tenure: 2.3yrs
  • Haruyuki Nagata (56yo)

    Senior Managing Corporate Executive Officer

    • Tenure: 0.6yrs
  • Hiroshi Munemasa (57yo)

    Senior Managing Corporate Executive Officer & Head of Global Market Business Unit

  • Takeshi Mikami

    Executive Officer & GM of Financial Accounting Dept.


Board Members

  • Masayuki Matsumoto (75yo)

    Outside Director

    • Tenure: 2.2yrs
  • Katsunori Tanizaki (62yo)

    Senior Managing Executive Officer & Director

    • Tenure: 4.2yrs
  • Katsuyoshi Shinbo (64yo)

    Outside Director

    • Tenure: 2.2yrs
  • Jun Ohta (61yo)

    President

    • Tenure: 5.2yrs
    • Compensation: ¥100.00m
  • Toru Nakashima (56yo)

    Senior Managing Corporate Executive Officer

    • Tenure: 0.2yrs
  • Toshikazu Yaku (57yo)

    Deputy President

    • Tenure: 2.2yrs
  • Kitayama Teisuke (73yo)

    Chairman of Sumitomo Mitsui Banking Corporation

    • Compensation: ¥128.00m
  • Takeshi Kunibe (65yo)

    Chairman of the Board

    • Tenure: 0.3yrs
    • Compensation: ¥143.00m
  • Haruyuki Nagata (56yo)

    Senior Managing Corporate Executive Officer

    • Tenure: 0.2yrs
  • Yoshinobu Tsutsui (65yo)

    Outside Director

    • Tenure: 2.2yrs

Company Information

Sumitomo Mitsui Financial Group, Inc.'s company bio, employee growth, exchange listings and data sources


Key Information

  • Name: Sumitomo Mitsui Financial Group, Inc.
  • Ticker: SMFG
  • Exchange: NYSE
  • Founded: 2002
  • Industry: diversified banks
  • Sector: banks
  • Market Cap: JP¥4.727t
  • Listing Market Cap: JP¥44.464b
  • Shares outstanding: 1.37b
  • Website: Click here

Number of Employees


Location

  • Sumitomo Mitsui Financial Group, Inc.
  • 1-2, Marunouchi 1-chome
  • Chiyoda-ku
  • Tokyo
  • 100-0005
  • Japan

Listings

TickerExchangePrimary SecuritySecurity TypeCountryCurrencyListed on
SMFN.FOTCPK (Pink Sheets LLC)YesCommon StockUSUSDDec 2002
8316TSE (The Tokyo Stock Exchange)YesCommon StockJPJPYDec 2002
XMFDB (Deutsche Boerse AG)YesCommon StockDEEURDec 2002
SMFGNYSE (New York Stock Exchange)SPONSORED ADRUSUSDFeb 2003
XMFADB (Deutsche Boerse AG)SPONSORED ADRDEEURFeb 2003

Biography

Sumitomo Mitsui Financial Group, Inc., together with its subsidiaries, provides commercial banking, leasing, securities, consumer finance, and other services primarily in Japan. It operates through four se ...


Company Analysis and Financial Data Status

All financial data provided by Standard & Poor's Capital IQ.
DataLast Updated (UTC time)
Company Analysis2019/08/17 23:57
End of Day Share Price2019/08/16 00:00
Earnings2019/06/30
Annual Earnings2019/03/31


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.