SUMITOMO MITSUI-SPONS ADR (SMFG) Stock Fundamental Analysis
USA - New York Stock Exchange - NYSE:SMFG - US86562M2098 - ADR
21.05 USD
+0.13 (+0.62%)
21.05 USD
0 (0%)
We assign a fundamental rating of 3 out of 10 to SMFG. SMFG was compared to 383 industry peers in the Banks industry. Both the profitability and financial health of SMFG have multiple concerns. SMFG is quite expensive at the moment. It does show a decent growth rate.
1. Profitability
1.1 Basic Checks
- In the past year SMFG was profitable.
- SMFG had a negative operating cash flow in the past year.
- Each year in the past 5 years SMFG has been profitable.
- Of the past 5 years SMFG 4 years had a positive operating cash flow.
1.2 Ratios
- SMFG has a worse Return On Assets (0.45%) than 80.94% of its industry peers.
- SMFG has a Return On Equity (9.14%) which is in line with its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 0.45% | ||
| ROE | 9.14% | ||
| ROIC | N/A |
ROA(3y)0.34%
ROA(5y)0.3%
ROE(3y)6.98%
ROE(5y)6.22%
ROIC(3y)N/A
ROIC(5y)N/A
1.3 Margins
- The Profit Margin of SMFG (24.73%) is comparable to the rest of the industry.
- SMFG's Profit Margin has improved in the last couple of years.
- The Operating Margin and Gross Margin are not available for SMFG so they could not be analyzed.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| OM | N/A | ||
| PM (TTM) | 24.73% | ||
| GM | N/A |
OM growth 3YN/A
OM growth 5YN/A
PM growth 3Y3.63%
PM growth 5Y4.49%
GM growth 3YN/A
GM growth 5YN/A
2. Health
2.1 Basic Checks
- SMFG does not have a ROIC to compare to the WACC, probably because it is not profitable.
- Compared to 1 year ago, SMFG has less shares outstanding
- The number of shares outstanding for SMFG has been increased compared to 5 years ago.
- Compared to 1 year ago, SMFG has a worse debt to assets ratio.
2.2 Solvency
- SMFG has a Debt/Equity ratio of 4.18. This is a high value indicating a heavy dependency on external financing.
- The Debt to Equity ratio of SMFG (4.18) is worse than 95.04% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 4.18 | ||
| Debt/FCF | N/A | ||
| Altman-Z | N/A |
ROIC/WACCN/A
WACC4.27%
2.3 Liquidity
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Current Ratio | N/A | ||
| Quick Ratio | N/A |
3. Growth
3.1 Past
- The Earnings Per Share has grown by an impressive 21.79% over the past year.
- SMFG shows quite a strong growth in Earnings Per Share. Measured over the last years, the EPS has been growing by 12.06% yearly.
- The Revenue has been growing slightly by 1.27% in the past year.
- The Revenue has been growing slightly by 6.09% on average over the past years.
EPS 1Y (TTM)21.79%
EPS 3Y20.82%
EPS 5Y12.06%
EPS Q2Q%59.91%
Revenue 1Y (TTM)1.27%
Revenue growth 3Y14.42%
Revenue growth 5Y6.09%
Sales Q2Q%-44.39%
3.2 Future
- Based on estimates for the next years, SMFG will show a quite strong growth in Earnings Per Share. The EPS will grow by 15.43% on average per year.
- Based on estimates for the next years, SMFG will show a small growth in Revenue. The Revenue will grow by 5.30% on average per year.
EPS Next Y32.06%
EPS Next 2Y20.25%
EPS Next 3Y15.43%
EPS Next 5YN/A
Revenue Next Year6.67%
Revenue Next 2Y5.51%
Revenue Next 3Y5.3%
Revenue Next 5YN/A
3.3 Evolution
- When comparing the EPS growth rate of the last years to the growth rate of the upcoming years, we see that the growth is accelerating.
- The Revenue growth rate is stable: in the next years the growth will be about the same than in the last years.
4. Valuation
4.1 Price/Earnings Ratio
- The Price/Earnings ratio is 15.36, which indicates a correct valuation of SMFG.
- Based on the Price/Earnings ratio, SMFG is valued a bit more expensive than 68.67% of the companies in the same industry.
- Compared to an average S&P500 Price/Earnings ratio of 27.21, SMFG is valued a bit cheaper.
- With a Price/Forward Earnings ratio of 12.66, SMFG is valued correctly.
- Based on the Price/Forward Earnings ratio, SMFG is valued a bit more expensive than 63.19% of the companies in the same industry.
- SMFG's Price/Forward Earnings ratio indicates a rather cheap valuation when compared to the S&P500 average which is at 25.98.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 15.36 | ||
| Fwd PE | 12.66 |
4.2 Price Multiples
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | N/A | ||
| EV/EBITDA | N/A |
4.3 Compensation for Growth
- The low PEG Ratio(NY), which compensates the Price/Earnings for growth, indicates a rather cheap valuation of the company.
- SMFG's earnings are expected to grow with 15.43% in the coming years. This may justify a more expensive valuation.
PEG (NY)0.48
PEG (5Y)1.27
EPS Next 2Y20.25%
EPS Next 3Y15.43%
5. Dividend
5.1 Amount
- SMFG has a Yearly Dividend Yield of 2.90%.
- SMFG's Dividend Yield is comparable with the industry average which is at 2.61.
- SMFG's Dividend Yield is rather good when compared to the S&P500 average which is at 1.81.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 2.9% |
5.2 History
- The dividend of SMFG decreases each year by -10.63%.
- SMFG has been paying a dividend for at least 10 years, so it has a reliable track record.
Dividend Growth(5Y)-10.63%
Div Incr Years0
Div Non Decr Years0
5.3 Sustainability
- SMFG pays out 34.25% of its income as dividend. This is a sustainable payout ratio.
DP34.25%
EPS Next 2Y20.25%
EPS Next 3Y15.43%
SUMITOMO MITSUI-SPONS ADR / SMFG FAQ
What is the fundamental rating for SMFG stock?
ChartMill assigns a fundamental rating of 3 / 10 to SMFG.
What is the valuation status for SMFG stock?
ChartMill assigns a valuation rating of 3 / 10 to SUMITOMO MITSUI-SPONS ADR (SMFG). This can be considered as Overvalued.
How profitable is SUMITOMO MITSUI-SPONS ADR (SMFG) stock?
SUMITOMO MITSUI-SPONS ADR (SMFG) has a profitability rating of 3 / 10.
What are the PE and PB ratios of SUMITOMO MITSUI-SPONS ADR (SMFG) stock?
The Price/Earnings (PE) ratio for SUMITOMO MITSUI-SPONS ADR (SMFG) is 15.36 and the Price/Book (PB) ratio is 1.4.
What is the expected EPS growth for SUMITOMO MITSUI-SPONS ADR (SMFG) stock?
The Earnings per Share (EPS) of SUMITOMO MITSUI-SPONS ADR (SMFG) is expected to grow by 32.06% in the next year.