Sumitomo Mitsui (SMFG) AI Stock Analysis

Sumitomo Mitsui

(NYSE:SMFG)

Select Model

Rating:80Outperform

Price Target:$30.00▲(23.97% Upside)

Action:reiterated

Date:08/17/26

Sumitomo Mitsui (SMFG) earns a strong overall score, primarily driven by exceptional profitability growth, robust recent cash flows, and a firmly bullish technical trend. The stock's reasonable valuation and steady dividend yield further enhance its profile, effectively mitigating concerns around historical cash flow volatility and standard industry leverage.

Positive Factors

Diversified financial modelSMFG’s broad mix of banking, consumer finance, leasing, securities and investment services diversifies earnings across customer segments and revenue streams. This breadth can support resilience when conditions weaken in one business and provides multiple avenues for cross-selling and long-term growth.

Negative Factors

Revenue and margin durabilityA sharp latest-period revenue contraction and lower margins make the recent earnings trajectory less dependable despite solid absolute profitability. Sustained pressure could reduce operating leverage, constrain reinvestment and weaken the conversion of revenue growth into durable net income across the next several quarters.

Sumitomo Mitsui (SMFG) vs. SPDR S&P 500 ETF (SPY)

Market Cap: $93.76B
Dividend Yield: 2.97%
Average Volume (3M): 1.39M
Price to Earnings (P/E): 14.5
Beta (1Y): 1.12
Revenue Growth: 7.19%
EPS Growth: 41.88%
Country: US
Employees: 122,970
Sector: Financial
Sector Strength: 68
Industry: Banks - Diversified

Sumitomo Mitsui Business Overview & Revenue Model

Company Description

Sumitomo Mitsui Financial Group, Inc., established in Tokyo, Japan, in 2002, is a global financial powerhouse offering a wide array of banking and financial services. Its extensive operations reach across Japan, the Americas, Europe, the Middle East,...

How the Company Makes Money

SMFG makes money primarily by earning interest income and fee-based income across its banking and non-banking financial subsidiaries. (1) Net interest income: Through SMBC and related entities, SMFG takes deposits and other funding and lends to consu...

Sumitomo Mitsui Financial Statement Overview

Summary

Robust financial profile characterized by consistent net income expansion, massive asset accumulation, and a recent surge in free cash flow, slightly offset by historical cash flow volatility and higher banking leverage.

Income Statement

85Very Positive

Balance Sheet

75Positive

Cash Flow

78Positive

Financial statement breakdown
Breakdown	TTM	Mar 2026	Mar 2026	Mar 2025	Mar 2024	Mar 2023
Income Statement
Total Revenue	9.68T	9.66T	10.82T	8.77T	5.78T	3.80T
Gross Profit	4.83T	4.72T	5.87T	4.16T	3.51T	3.15T
EBITDA	1.95T	1.98T	2.68T	1.64T	1.37T	1.17T
Net Income	1.39T	1.18T	1.68T	962.95B	805.84B	706.63B
Balance Sheet
Total Assets	305.91T	306.28T	329.94T	295.24T	270.43T	257.70T
Cash, Cash Equivalents and Short-Term Investments	84.95T	103.77T	90.83T	117.94T	75.91T	74.79T
Total Debt	58.32T	58.30T	58.66T	34.26T	46.16T	32.12T
Total Liabilities	290.60T	291.44T	313.93T	280.44T	257.64T	245.51T
Stockholders Equity	15.17T	14.70T	15.85T	14.66T	12.68T	12.10T
Cash Flow
Free Cash Flow	0	4.60T	7.34T	250.98B	-6.19T	1.26T
Operating Cash Flow	0	4.97T	7.54T	642.86B	-5.90T	1.55T
Investing Cash Flow	0	-4.51T	-21.91T	-918.90B	5.93T	-2.41T
Financing Cash Flow	0	-480.15B	6.83T	280.69B	-357.78B	-485.34B

Sumitomo Mitsui Technical Analysis

Technical Analysis SentimentNegative

Last Price24.20

Price Trends

50DMA25.59Negative

100DMA25.36Negative

200DMA23.39Positive

Market Momentum

MACD-0.43Negative

RSI41.76Neutral

STOCH59.31Neutral

Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For SMFG, the sentiment is Negative. The current price of 24.20 is below the 20-day moving average (MA) of 24.69, below the 50-day MA of 25.59, and above the 200-day MA of 23.39, indicating a neutral trend. The MACD of -0.43 indicates Negative momentum. The RSI at 41.76 is Neutral, neither overbought nor oversold. The STOCH value of 59.31 is Neutral, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Negative sentiment for SMFG.

Sumitomo Mitsui Risk Analysis

Sumitomo Mitsui disclosed 30 risk factors in its most recent earnings report. Sumitomo Mitsui reported the most risks in the "Finance & Corporate" category.

Finance & Corporate - Financial and accounting risks. Risks related to the execution of corporate activity and strategy

Latest Risks Added

0 New Risks

Sumitomo Mitsui Peers Comparison

Overall Rating

UnderperformOutperform

Sector (68)

Financial Indicators

SMFG against its peers
Name	Overall Rating	Market Cap	P/E Ratio	ROE	Dividend Yield	Revenue Growth	EPS Growth
SMFG	80Outperform	$155.37B	14.48	10.89%	2.97%	7.19%	41.88%
JPM	69Neutral	$895.92B	14.11	17.91%	1.82%	8.74%	18.04%
MUFG	68Neutral	$246.24B	14.52	12.34%	3.11%	7.56%	43.28%
Sector *	68Neutral	$18.00B	11.42	9.92%	3.81%	9.73%	1.22%
C	66Neutral	$205.72B	11.75	9.15%	2.01%	4.73%	44.35%
HSBC	65Neutral	$293.14B	11.03	14.16%	4.38%	-1.12%	62.58%
BAC	60Neutral	$346.20B	11.74	10.69%	2.32%	-1.02%	14.91%

* Financial Sector Average

Performance Comparison

SMFG and its peers over the selected period
Ticker	Company Name	Price	Change	% Change
SMFG	Sumitomo Mitsui Financial	24.20	7.85	48.01%
BAC	Bank of America	50.01	-2.43	-4.64%
C	Citigroup Inc	122.64	22.54	22.52%
HSBC	HSBC Holdings plc	85.42	18.05	26.79%
JPM	JPMorgan Chase & Co.	337.04	33.54	11.05%
MUFG	Mitsubishi Ufj Financial	21.56	6.39	42.12%

Sumitomo Mitsui Corporate Events

Sumitomo Mitsui Financial Group Issues 6.95% Perpetual Subordinated Notes to Strengthen Capital

Sep 10, 2026

Sumitomo Mitsui Financial Group, Inc. is a major Japanese banking and financial services holding company headquartered in Tokyo, operating globally through lending, capital markets and other financial products. Its securities are listed in the United...

Sumitomo Mitsui Financial Group Details New Senior Callable U.S. Dollar Notes in July SEC Filing

Jul 7, 2026

Sumitomo Mitsui Financial Group, Inc., the Japanese banking and financial services group, has filed a Form 6-K for July 2026 with the U.S. Securities and Exchange Commission, detailing documentation tied to its shelf registration on Form F-3. The fil...

Sumitomo Mitsui Financial Group Approves Dividend, Two-for-One Stock Split and Board Slate at 24th AGM

Jun 26, 2026

Sumitomo Mitsui Financial Group held its 24th Ordinary General Meeting of Shareholders on June 26, 2026, reporting business and financial results for the fiscal year from April 1, 2025 to March 31, 2026. The consolidated and non-consolidated financia...

Sumitomo Mitsui Files June 2026 Form 6-K with Audited Japanese GAAP Results

Jun 25, 2026

Sumitomo Mitsui Financial Group, Inc. has filed a Form 6-K for June 2026 with the U.S. Securities and Exchange Commission, incorporating its latest Japanese GAAP consolidated financial statements into an existing shelf registration on Form F-3. The f...

Glossary

BuyA stock rated as a "Buy" is expected to perform better than the overall market or a specific benchmark over the near-to-medium term. This rating suggests the stock is likely to deliver higher returns compared to other stocks in the same sector or market index. Note: This is not investment advice; please consult a financial advisor before making investment decisions.

HoldA stock rated as a "Hold" is expected to perform in line with the overall market or a specific benchmark. This rating indicates that the stock is neither particularly compelling nor unfavorable for investment. Note: This is not investment advice; please consult a financial advisor before making investment decisions.

SellA stock rated as a "Sell" is expected to perform worse than the overall market or a specific benchmark over the near-to-medium term. This rating suggests the stock may deliver lower returns compared to other stocks in the same sector or market index. Note: This is not investment advice; please consult a financial advisor before making investment decisions.

Disclaimer

This AI Analyst Stock Report is automatically generated by our AI systems using advanced algorithms and publicly available financial, technical, and market data. While the information provided aims to be accurate and insightful, it is intended for informational purposes only and should not be considered financial advice. Any content created by an AI (Artificial Intelligence) system may contain inaccuracies and/or contain errors. Investing in stocks carries inherent risks, and past performance is not indicative of future results. This report does not account for your personal financial circumstances, objectives, or risk tolerance. Always conduct your own research or consult with a qualified financial advisor before making investment decisions. The analysis and recommendations provided are based on historical and current data and may not fully reflect future market conditions or unexpected developments. Neither the creators of this report nor its affiliated entities guarantee the accuracy, completeness, or reliability of the information presented. Use this report at your own discretion and risk.

Date of analysis: Aug 17, 2026

Sumitomo Mitsui AI Stock Analysis