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Mitsubishi UFJ Financial Group Inc (JP:8306)
:8306
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Mitsubishi UFJ Financial Group (8306) AI Stock Analysis

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JP:8306

Mitsubishi UFJ Financial Group

(8306)

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Neutral 69 (OpenAI - 5.2)
Rating:69Neutral
Price Target:
¥4,036.00
▲(7.51% Upside)
Action:Reiterated
Date:08/17/26
The score is driven primarily by improving financial performance (stronger revenue and margins) but capped by high leverage and especially volatile operating/free cash flow. Technicals add meaningful support with a strong uptrend and healthy momentum. Valuation and dividend yield are reasonable but not strong enough to materially lift the overall score.
Positive Factors
Revenue and Profit Growth
Strong revenue expansion alongside higher net margins indicates improving operating performance. If sustained, this provides a stronger earnings base and supports profitability across the group's banking and financial-services franchise.
Negative Factors
High and Rising Leverage
Although leverage is common in banking, MUFG's high and rising debt increases sensitivity to funding costs, liquidity conditions, and asset-quality deterioration. Adverse credit or funding trends could pressure earnings and capital flexibility.
Read all positive and negative factors
Positive Factors
Negative Factors
Revenue and Profit Growth
Strong revenue expansion alongside higher net margins indicates improving operating performance. If sustained, this provides a stronger earnings base and supports profitability across the group's banking and financial-services franchise.
Read all positive factors

Mitsubishi UFJ Financial Group (8306) vs. iShares MSCI Japan ETF (EWJ)

Mitsubishi UFJ Financial Group Business Overview & Revenue Model

Company Description
Mitsubishi UFJ Financial Group, Inc. (MUFG) operates as the overarching bank holding company for MUFG Bank, Ltd., delivering a broad spectrum of financial services globally, including in Japan, the United States, Europe, and the Asia/Oceania regio...
How the Company Makes Money
MUFG primarily makes money through its banking and financial services businesses. A core earnings driver is net interest income: it takes deposits and other funding, extends loans and other interest-earning assets (e.g., corporate and consumer loa...

Mitsubishi UFJ Financial Group Earnings Call Summary

Earnings Call Date:Nov 14, 2025
(Q2-2025)
|
% Change Since: |
Next Earnings Date:Nov 16, 2026
Earnings Call Sentiment Positive
The earnings call presented a strong performance for MUFG in the first half of FY'24, with record high net operating profits and net income, significant progress towards annual targets, and successful expense management. However, challenges in the treasury business, increased G&A expenses, and FX fluctuations were noted. Overall, the highlights significantly outweigh the lowlights.
Positive Updates
Record High Net Operating Profits
For the first half of FY'24, net operating profits were JPY1,305.3 billion, up by JPY219.5 billion year-on-year, marking the third consecutive year of record high first half profits.
Negative Updates
Decline in Treasury Business Profits
Global markets business group's profits in the treasury business decreased due to the limited decline in US interest rates.
Read all updates
Q2-2025 Updates
Negative
Record High Net Operating Profits
For the first half of FY'24, net operating profits were JPY1,305.3 billion, up by JPY219.5 billion year-on-year, marking the third consecutive year of record high first half profits.
Read all positive updates
Company Guidance
During the financial results briefing for the first half of the fiscal year ending March 31, 2025, Mitsubishi UFJ Financial Group (MUFG) provided updated performance metrics and revised targets. The Group recorded net operating profits of JPY1,305.3 billion, a year-on-year increase of JPY219.5 billion, marking its third consecutive year of record high first-half profits. Net income reached JPY1,258.1 billion, the highest since MUFG's establishment, and surpassed JPY1 trillion for the first time in the first half. Excluding changes in financial results closing dates for Morgan Stanley and Krungsri, profits increased by JPY391.5 billion. The Group achieved 83% progress towards its JPY1.5 trillion target set for the year. Key profit drivers included strong customer segment performance and gains on the sale of equity holdings. MUFG revised its net income target upwards by JPY250 billion to JPY1,750 billion and increased its annual dividend forecast to JPY60, alongside a JPY300 billion share repurchase plan. The Group's CET1 ratio stood at 11.2%, with a commitment to maintaining a target range of 9.5% to 10.5% while focusing on shareholder returns and intrinsic profit growth.

Mitsubishi UFJ Financial Group Financial Statement Overview

Summary
Income statement strength (Score 78) shows meaningful revenue growth and improving profitability into 2026, but balance-sheet risk (Score 62) is elevated due to high leverage and rising total debt. Cash flow quality is the main drag (Score 50) given large year-to-year volatility in operating/free cash flow, reducing confidence in cash-based earnings quality.
Income Statement
78
Positive
Balance Sheet
62
Positive
Cash Flow
50
Neutral
BreakdownTTMMar 2026Mar 2026Mar 2025Mar 2024Mar 2023
Income Statement
Total Revenue14.54T13.44T12.43T10.89T8.43T5.25T
Gross Profit8.57T7.64T7.03T5.38T5.38T4.37T
EBITDA3.71T3.77T2.97T2.41T1.90T1.85T
Net Income2.69T2.43T1.86T1.49T1.12T1.13T
Balance Sheet
Total Assets10.00T>10.00T>10.00T>10.00T>10.00T>10.00T>
Cash, Cash Equivalents and Short-Term Investments81.91T10.00T>10.00T>10.00T>10.00T>10.00T>
Total Debt71.83T78.35T67.30T61.23T62.41T46.73T
Total Liabilities10.00T>10.00T>10.00T>10.00T>10.00T>10.00T>
Stockholders Equity22.70T22.27T20.52T19.59T17.23T17.02T
Cash Flow
Free Cash Flow0.007.63T-450.29B-10.31T13.03T9.46T
Operating Cash Flow0.007.94T6.42B-9.84T13.43T9.84T
Investing Cash Flow0.00-18.89T-186.95B3.99T-10.68T-2.20T
Financing Cash Flow0.00-8.72T-861.12B8.31B-977.14B-1.08T

Mitsubishi UFJ Financial Group Technical Analysis

Technical Analysis Sentiment
Positive
Last Price3754.00
Price Trends
50DMA
3486.74
Positive
100DMA
3218.04
Positive
200DMA
2911.21
Positive
Market Momentum
MACD
8.22
Positive
RSI
52.40
Neutral
STOCH
35.07
Neutral
Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For JP:8306, the sentiment is Positive. The current price of 3754 is above the 20-day moving average (MA) of 3566.45, above the 50-day MA of 3486.74, and above the 200-day MA of 2911.21, indicating a bullish trend. The MACD of 8.22 indicates Positive momentum. The RSI at 52.40 is Neutral, neither overbought nor oversold. The STOCH value of 35.07 is Neutral, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Positive sentiment for JP:8306.

Mitsubishi UFJ Financial Group Peers Comparison

Overall Rating
UnderperformOutperform
Sector (68)
Financial Indicators
Name
Overall Rating
Market Cap
P/E Ratio
ROE
Dividend Yield
Revenue Growth
EPS Growth
73
Outperform
¥2.24T4.4626.86%2.63%23.11%103.05%
69
Neutral
¥40.02T15.1711.49%2.29%11.03%48.61%
68
Neutral
¥20.27T14.9011.34%1.68%5.93%59.55%
68
Neutral
¥25.52T15.3110.37%2.19%10.65%46.42%
68
Neutral
$18.00B11.429.92%3.81%9.73%1.22%
64
Neutral
¥4.61T0.33404.11%3.19%6.38%8.32%
58
Neutral
¥11.59T19.725.71%2.17%39.22%43.01%
* Financial Sector Average
Performance Comparison
Ticker
Company Name
Price
Change
% Change
JP:8306
Mitsubishi UFJ Financial Group
3,608.00
1,405.74
63.83%
JP:7182
Japan Post Bank Co
3,301.00
1,478.17
81.09%
JP:8411
Mizuho Financial Group
8,340.00
3,557.94
74.40%
JP:8604
Nomura Holdings
1,611.50
588.68
57.55%
JP:8473
SBI Holdings
3,405.00
41.28
1.23%
JP:8316
Sumitomo Mitsui Financial Group
6,794.00
2,865.75
72.95%

Mitsubishi UFJ Financial Group Corporate Events

MUFG Capital Ratios Strengthen Under Basel 3 in First Quarter 2026
Aug 14, 2026
Mitsubishi UFJ Financial Group reported improved Basel 3 risk-based capital metrics for the quarter ended June 30, 2026, with its consolidated total capital ratio rising to 17.44% and Tier 1 and Common Equity Tier 1 ratios increasing to 15.60% and...
MUFG Confirms Reviewed Q1 Results and Sticks to ¥2.7 Trillion Profit Target
Aug 6, 2026
Mitsubishi UFJ Financial Group reported that its Japanese GAAP quarterly consolidated financial statements for the three months ended June 30, 2026 have completed an interim review by a Japanese audit firm, with no changes from figures announced o...
MUFG Delivers Strong First-Quarter Earnings and Confirms FY2027 Profit Target
Aug 3, 2026
Mitsubishi UFJ Financial Group reported strong results for the quarter ended June 30, 2026, with ordinary income rising 20.1% year-on-year to ¥3.91 trillion and profits attributable to owners of the parent climbing 48.2% to ¥809.4 billio...
Mitsubishi UFJ Financial Group Delivers Strong Profit Growth in Fiscal 2026
Jul 7, 2026
Mitsubishi UFJ Financial Group reported a strong performance for the fiscal year ended March 31, 2026, with total revenue rising to ¥11.87 trillion from ¥10.84 trillion and net income attributable to the group climbing to ¥1.73 tril...
MUFG Completes ¥100 Billion Share Buyback on Tokyo Market
Jun 26, 2026
Mitsubishi UFJ Financial Group has completed a share repurchase program authorized by its board in May, buying back 31,967,100 common shares through market purchases on the Tokyo Stock Exchange. The total outlay reached approximately ¥100 bil...
MUFG Revises Securities Disclosure in 2026 Consolidated Results
Jun 24, 2026
Mitsubishi UFJ Financial Group, Inc. has issued corrections to its consolidated summary report for the fiscal year ended March 31, 2026, prepared under Japanese GAAP. The revisions relate to selected financial information on securities, specifical...
MUFG Reports Progress on ¥100 Billion Share Repurchase Program
Jun 1, 2026
Mitsubishi UFJ Financial Group, Inc., a major global financial group based in Tokyo, offers a wide range of services including commercial banking, trust banking, securities, credit cards, consumer finance, asset management, and leasing. With a lar...
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