We transfer five Japanese banks to a new coverage analyst with minor tweaks to our earnings forecasts that do not change our fair value estimates for the Tokyo-listed shares. Our fair value estimates for Mitsubishi UFJ Financial Group's, or MUFG, and Mizuho Financial Group's ADRs rise by 9% each to $12.25 and $4.61, respectively, due to 9% appreciation in the Japanese yen against the US dollar.
SMTH in 2021 became the first major Japanese bank to commit to reducing its equity holdings, which are a drag on capital, to zero in coming years.
In a scenario in which Japanese interest rates rise, SMTH has less operational gearing given its higher weighting of fees in the revenue mix.
|
Metric
|
8309
|
STT
|
BK
|
|---|---|---|---|
Price/Earnings (Normalized) | 21.47 | 11.29 | 13.40 |
Price/Book Value | 0.79 | 1.18 | 1.45 |
Price/Sales | 1.99 | 2.26 | 3.12 |
Price/Cash Flow | 17.15 | 9.04 | 10.81 |
|
Metric
|
8309
|
STT
|
BK
|
|---|---|---|---|
Quick Ratio | — | — | — |
Current Ratio | — | — | — |
Interest Coverage | — | — | — |
|
Metric
|
8309
|
STT
|
BK
|
|---|---|---|---|
Return on Assets (Normalized) | 0.14% | 0.79% | 1.02% |
Return on Equity (Normalized) | 3.45% | 11.01% | 11.87% |
Return on Invested Capital (Normalized) | — | — | — |
|
1-Day Chart
|
Name
|
Price
|
Morningstar Rating for Stocks
|
Capital Allocation
|
Economic Moat
|
Market Cap
|
|---|---|---|---|---|---|---|
| BNP Paribas ADR
BNPQY
| Gdplrdsv | Sgwlk | $79.9 Bil | |||
| Intesa Sanpaolo ADR
ISNPY
| Vlxfjksmm | Khy | $77.2 Bil | |||
| PNC Financial Services Group Inc
PNC
| Mlbrdvqq | Bnlxqs | $72.8 Bil | |||
| U.S. Bancorp
USB
| Cjzdmykkhk | Gln | $71.0 Bil | |||
| Itau Unibanco Holding SA ADR
ITUB
| Hqcvjnfr | Bkhf | $61.8 Bil | |||
| Truist Financial Corp
TFC
| Cygsvvrr | Wyrbst | $56.9 Bil | |||
| Mizuho Financial Group Inc ADR
MFG
| Pcjprsc | Ydsb | $49.2 Bil | |||
| Lloyds Banking Group PLC ADR
LYG
| Skwjddpnj | Bywyvwt | $49.0 Bil | |||
| NatWest Group PLC ADR
NWG
| Xvyzdcsh | Kywt | $38.5 Bil | |||
| Deutsche Bank AG
DB
| Hjfmn | Fmmn | $33.9 Bil |
United States