Sumitomo Corporation (8053.T) stock analysis

In our weekly check, Sumitomo Corporation is graded C (A to F). Of 25 checks on debt, profit, cash flow and trend: 16 pass, warnings: 5, red flags: 4.

About Sumitomo Corporation

Sumitomo Corporation is an Industrials company (Conglomerates) based in Japan, listed on JPX as 8053.T.

What our checks show for 8053.T

Red flags

• Net debt is 5.4x a year of EBITDA (debt/equity 1.04). That limits room in a downturn and raises refinancing risk.
• The stock has fallen as much as 76% from a peak. Would you have held through that?
• Recovering from its deepest fall took about 13.7 years.
• Return on capital (ROCE) is only 4.5%.

Warning signs

• Operating profit covers interest only 3.8 times: a weak year could make the payments hard.
• Analysts expect only about 3.2% a year of growth in revenue.
• Revenue grew only 3.2% a year over the last 3 years.
• The net margin is only 8.3%: little room if costs rise.
• The price swings a lot: 36.8% annual volatility. Expect large ups and downs.

Strengths

• The gross margin is 20.6% and has risen by 2.2 points: pricing power is holding.
• Operating cash flow is 1.21x net profit: the profit arrives as real cash.
• The dividend takes 29% of profit: there is a cushion.
• A large company: market value $51.08 billion.
• Beta 0.62: the stock usually moves less than the market.
• Actively traded: about 10.6 million shares a day.

Next earnings report: 2026-11-01

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Questions

What grade does Sumitomo Corporation (8053.T) have?

In our weekly check, Sumitomo Corporation is graded C (A to F). Of 25 checks on debt, profit, cash flow and trend: 16 pass, warnings: 5, red flags: 4. The grade is a risk check, not a buy or sell recommendation.

What are the main risks of 8053.T stock?

This week's biggest flags for Sumitomo Corporation: High debt, Deep past fall, Slow recovery after falls. In total 9 of 25 checks show a warning or a red flag.

What does Sumitomo Corporation do?

Sumitomo Corporation is an Industrials company (Conglomerates) based in Japan, listed on JPX as 8053.T.

When does Sumitomo Corporation report earnings next?

The next earnings report is expected on 2026-11-01. We re-run the checks every week, so the grade can change after it.

The grade is a risk check, not a price forecast, and not investment advice. In our 10-year test (S&P 500, 2016-2026), stocks we graded A or B fell more than 30% 2-3 times less often than D or F, without a lower average return.

Updated 2026-10-24

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