Sumitomo Corporation

OTCPK:SSUM.F Stock Report

Market Cap: US$25.7b

Sumitomo Valuation

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

Valuation Score

5/6

Valuation Score 5/6

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

Below Fair Value: SSUM.F ($20.55) is trading below our estimate of fair value ($23.11)

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

Key Valuation Metric

Which metric is best to use when looking at relative valuation for SSUM.F?

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

The above table shows the Price to Earnings ratio for SSUM.F. This is calculated by dividing SSUM.F's market cap by their current earnings.
What is SSUM.F's PE Ratio?
PE Ratio11.2x
EarningsJP¥355.22b
Market CapJP¥3.97t

Price to Earnings Ratio vs Peers

How does SSUM.F's PE Ratio compare to its peers?

The above table shows the PE ratio for SSUM.F vs its peers. Here we also display the market cap and forecasted growth for additional consideration.
CompanyForward PEEstimated GrowthMarket Cap
Peer Average28x
WSO Watsco
41.3x11.6%US$19.8b
FERG Ferguson Enterprises
23.4x8.8%US$40.3b
AER AerCap Holdings
7x-9.6%US$17.5b
FAST Fastenal
40.5x7.6%US$46.9b
SSUM.F Sumitomo
11.2x10.2%US$4.0t

Price-To-Earnings vs Peers: SSUM.F is good value based on its Price-To-Earnings Ratio (11.2x) compared to the peer average (27.2x).

Price to Earnings Ratio vs Industry

How does SSUM.F's PE Ratio compare vs other companies in the US Trade Distributors Industry?

1 CompanyPrice / EarningsEstimated GrowthMarket Cap
BYU BAIYU Holdings
0.8xn/aUS$8.44m
No more companies available in this PE range
SSUM.F 11.2xIndustry Avg. 17.1xNo. of Companies8PE01020304050+
1 CompanyEstimated GrowthMarket Cap
No more companies

Price-To-Earnings vs Industry: SSUM.F is good value based on its Price-To-Earnings Ratio (11.2x) compared to the US Trade Distributors industry average (17.1x).

Price to Earnings Ratio vs Fair Ratio

What is SSUM.F'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.

SSUM.F PE Ratio vs Fair Ratio.
Fair Ratio
Current PE Ratio11.2x
Fair PE Ratio27x

Price-To-Earnings vs Fair Ratio: SSUM.F is good value based on its Price-To-Earnings Ratio (11.2x) compared to the estimated Fair Price-To-Earnings Ratio (27x).

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 SSUM.F forecast and predictions for the stock price in 12 month’s time.
DateShare PriceAverage 1Y Price TargetDispersionHighLow1Y Actual priceAnalysts
CurrentUS$20.55
US$26.51
+29.0%
13.6%US$33.70US$22.62n/a10
Nov ’25US$21.29
US$26.85
+26.1%
13.3%US$34.22US$22.97n/a10
Oct ’25US$22.73
US$28.43
+25.1%
12.7%US$36.22US$24.31n/a11
Sep ’25US$21.95
US$30.52
+39.1%
12.5%US$35.96US$24.14n/a11
Aug ’25US$24.30
US$29.63
+22.0%
9.4%US$34.71US$26.70n/a10
Jul ’25US$25.00
US$27.33
+9.3%
10.1%US$32.57US$22.55n/a10
Jun ’25US$25.94
US$26.62
+2.6%
13.0%US$33.15US$22.18n/a10
May ’25US$26.19
US$25.16
-3.9%
9.9%US$29.37US$20.23n/a10
Apr ’25US$24.00
US$24.54
+2.2%
10.1%US$27.74US$20.47n/a10
Mar ’25US$23.69
US$23.94
+1.1%
11.8%US$27.97US$20.65n/a10
Feb ’25US$22.90
US$23.28
+1.6%
7.9%US$27.10US$21.00n/a10
Jan ’25US$21.50
US$23.49
+9.3%
9.7%US$27.99US$20.29n/a10
Dec ’24US$21.36
US$22.27
+4.3%
10.6%US$27.23US$19.68n/a10
Nov ’24US$19.52
US$21.47
+10.0%
10.4%US$26.71US$19.30US$21.2910
Oct ’24US$19.88
US$21.82
+9.8%
10.1%US$27.05US$19.55US$22.7310
Sep ’24US$21.07
US$21.86
+3.8%
11.4%US$27.36US$17.92US$21.9510
Aug ’24US$20.68
US$22.70
+9.8%
11.4%US$28.76US$18.84US$24.3010
Jul ’24US$21.29
US$20.88
-1.9%
16.1%US$27.78US$15.97US$25.0010
Jun ’24US$19.31
US$18.79
-2.7%
10.5%US$22.25US$16.51US$25.949
May ’24US$18.30
US$18.51
+1.1%
10.0%US$22.55US$16.73US$26.199
Apr ’24n/a
US$19.33
0%
10.5%US$23.71US$17.59US$24.009
Mar ’24US$17.45
US$18.14
+3.9%
12.6%US$22.77US$14.69US$23.699
Feb ’24US$17.81
US$18.93
+6.3%
12.8%US$24.06US$15.52US$22.9010
Jan ’24US$16.31
US$18.04
+10.6%
13.8%US$23.21US$14.98US$21.5010
Dec ’23US$15.73
US$16.32
+3.7%
12.1%US$20.14US$13.88US$21.3610
Nov ’23US$12.52
US$15.00
+19.8%
10.9%US$18.99US$13.09US$19.5210

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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