Mitsubishi Estate (MITEY) AI Stock Analysis

• Market Cap: $26.90B
• Dividend Yield: 0.58%
• Average Volume (3M): 1.74K
• Price to Earnings (P/E): 20.9
• Beta (1Y): 0.28
• Revenue Growth: 3.80%
• EPS Growth: 12.18%
• Country: US
• Employees: 11,045
• Sector: Real Estate
• Sector Strength: 53
• Industry: Real Estate - Diversified
• EPS (TTM): 0.45
• Shares Outstanding: 1,250,838,700
• 10 Day Avg. Volume: 5,217
• 30 Day Avg. Volume: 1,739
• PEG Ratio: 1.12
• Price to Book (P/B): 1.20
• Price to Sales (P/S): 1.94
• P/FCF Ratio: -25.60
• Enterprise Value/Market Cap: 1.48
• Enterprise Value/Revenue: 0.02
• Enterprise Value/Gross Profit: 0.09
• Enterprise Value/Ebitda: 0.09
• 1Y Price Target: $20.50
• Price Target Upside: -5.88% Downside
• Rating Consensus: Moderate Buy
• Number of Analyst Covering: 0

• Rating: 74 Outperform
• Price Target: $20.50 ▼(-5.88% Downside)

Mitsubishi Estate is well-positioned financially, with strong revenue growth and a solid capital structure. The technical analysis supports a stable outlook, while the valuation appears fair. However, the negative Free Cash Flow due to high capital expenditures is a risk factor to monitor.

Mitsubishi Estate Business Overview & Revenue Model

Company Description

Mitsubishi Estate Co., Ltd. engages in the real estate activities in Japan and internationally. The company is involved in the development, leasing, property management, and sale of office buildings; planning, development, and tenant leasing of retail facilities/outlets; investment, development, operational management, and asset management of logistics facilities; operation of 16 hotels under the Royal Park Hotels brand in Japan and the Marunouchi Hotel in the Marunouchi area; and operation of Takamatsu Airport, Miyako Shimojishima Airport Terminal, Mt. Fuji Shizuoka Airport, and seven airports in Hokkaido. It also engages in the development and rebuilding, redevelopment, purchasing and sale, brokerage, and management of condominiums; and rental of apartments. In addition, the company provides real estate investment trust, as well as private placement funds management services. Further, it offers architectural design and engineering services, including construction, civil engineering, and urban and regional development planning and consulting. Additionally, the company provides real estate problem-solving solutions, such as real estate brokerage, condominium and office building leasing management support, and real estate appraisal. Mitsubishi Estate Co., Ltd. was founded in 1890 and is headquartered in Tokyo, Japan.

How the Company Makes Money

Mitsubishi Estate generates revenue through multiple channels, primarily from leasing and managing office and commercial properties. The company's core revenue streams include rental income from its extensive portfolio of office buildings and shopping centers, which are strategically located in major urban areas. Additionally, Mitsubishi Estate earns income from residential developments through sales and rentals of apartments and condominiums. The company also engages in large-scale urban development projects, which can provide significant returns through the sale of developed properties and increased property values. Partnerships with local governments and private entities for urban renewal and infrastructure projects further contribute to its revenue. Moreover, investment in overseas real estate markets has been a growing area for revenue diversification, allowing the company to tap into global real estate trends.

Mitsubishi Estate Financial Statement Overview

Summary

Mitsubishi Estate shows strong financial performance with consistent revenue and profit growth, a solid balance sheet, and efficient cash flow management. However, significant capital expenditures leading to negative Free Cash Flow are a point of concern.

Income Statement

Mitsubishi Estate has demonstrated consistent revenue growth over the past years, with a notable increase in Total Revenue from 1,507 billion yen in 2024 to 1,579 billion yen in 2025. The Gross and Net Profit Margins have remained stable, indicating strong profitability. EBIT and EBITDA margins also reflect efficient cost management. The overall upward trajectory in revenues and profits underscores a robust performance in the real estate sector.

Balance Sheet

The company's balance sheet shows a healthy Equity Ratio, suggesting a solid capital structure. The Debt-to-Equity Ratio indicates moderate leverage, which is typical in the real estate industry, but it is well-managed. Return on Equity has improved, reflecting efficient earnings generation relative to equity. The financial stability and strong equity base support the company's growth initiatives.

Cash Flow

Mitsubishi Estate's cash flow is characterized by strong Operating Cash Flow, which covers its capital expenditures. However, Free Cash Flow is negative, which may indicate significant investments or capital expenditures. The Operating Cash Flow to Net Income Ratio is healthy, suggesting good cash conversion efficiency. While the cash flow reflects aggressive investment strategies, it remains an area to monitor closely.

Breakdown	TTM	Dec 2025	Dec 2024	Dec 2023	Dec 2022	Dec 2021
Income Statement
Total Revenue	1.61T	1.58T	1.50T	1.38T	1.35T	1.21T
Gross Profit	430.22B	417.96B	392.27B	397.04B	374.76B	317.76B
EBITDA	419.93B	469.56B	375.79B	393.33B	373.10B	316.52B
Net Income	195.40B	189.36B	168.43B	165.34B	155.17B	135.66B
Balance Sheet
Total Assets	7.98T	8.00T	7.58T	6.87T	6.49T	6.07T
Cash, Cash Equivalents and Short-Term Investments	190.27B	1.32T	278.70B	945.00B	861.92B	670.85B
Total Debt	3.47T	3.34T	3.14T	2.87T	2.74T	2.52T
Total Liabilities	5.30T	5.26T	4.96T	4.49T	4.26T	4.01T
Stockholders Equity	2.51T	2.56T	2.40T	2.16T	2.00T	1.85T
Cash Flow
Free Cash Flow	0.00	-119.69B	-144.15B	-16.61B	-49.02B	-112.43B
Operating Cash Flow	0.00	324.12B	307.25B	269.91B	280.09B	207.41B
Investing Cash Flow	0.00	-361.50B	-362.02B	-312.05B	-313.78B	-297.30B
Financing Cash Flow	0.00	12.87B	100.43B	30.46B	90.97B	50.42B

Mitsubishi Estate Technical Analysis

• Technical Analysis Sentiment: Neutral
• Last Price: 21.78
• 50DMA: Negative
• 100DMA: Positive
• 200DMA: Positive
• MACD: Positive
• RSI: Neutral
• STOCH: Positive

Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For MITEY, the sentiment is Neutral. The current price of 21.78 is below the 20-day moving average (MA) of 22.39, below the 50-day MA of 21.99, and above the 200-day MA of 18.00, indicating a neutral trend. The MACD of -0.06 indicates Positive momentum. The RSI at 44.51 is Neutral, neither overbought nor oversold. The STOCH value of 5.39 is Positive, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Neutral sentiment for MITEY.

Mitsubishi Estate Peers Comparison

Name	Overall Rating	Market Cap	P/E Ratio	ROE	Dividend Yield	Revenue Growth	EPS Growth
REG	77 Outperform	$26.03B	33.34	5.99%	3.89%	5.66%	2.98%
MITEY	74 Outperform	$26.90B	20.93	7.99%	0.58%	3.80%	12.18%
AVB	74 Outperform	$26.30B	22.71	9.77%	3.78%	6.44%	37.67%
EQR	68 Neutral	$23.71B	23.76	9.20%	4.43%	4.49%	5.87%
Sector *	65 Neutral	$2.17B	12.19	3.79%	4.94%	3.15%	1.96%
WY	64 Neutral	$17.27B	62.29	2.85%	3.50%	-6.57%	-62.32%
IRM	63 Neutral	$30.18B	744.14	-35.81%	2.90%	10.72%	-81.96%