Japanese stock alert

JAP

CLOSING UPDATE: Sumitomo Mitsui Financial decreases 1.1%, led Bank sector lower 20 June 2018 16:37 JST

NEWS BITES - JAPAN

This is an end of day Alert, produced after today's Japan market close. It concludes the BSS News Bites intra-day Alert series (summaries below).

Sumitomo Mitsui Financial, the 2nd largest bank by market capitalisation in the Japan's, has decreased 1.1% to trade at JPY4,416.0 vs. the Bank sector which weakened 41.2 points (or 0.5%) to 8,953.0. Representing a weighting of about 15.2% of the sector, the stock accounted for 36.9% of today's loss. Trading volume was 1.2 times average at the end of the day. Compared with the Nikkei 225 Index which rose 276.9 points (or 1.2%) in the day, this represented a relative price change of -2.4%.

Technical indicators complementing today's significant downtrend:

+ The negative 23.87 MACD (Moving Average Convergence Divergence) indicator suggests a bearish signal.

+ The price dropped 3.0% in the last week and tumbled 6.0% in the last month.

Fundamental measures by comparison with the sector average [in brackets] indicate:

Overvaluation:

+ Price to Book of 0.8 [0.6]

+ Dividend yield of 3.6% [6.1%]

Note

Sumitomo Mitsui Financial today is at a discount of 15.7% to the 12-month high of JPY5,239.09 on 15 Jan, 2018. It is at a premium of 15.3% to the 12-month low of JPY3,830.62 on 29 Aug, 2017.

Bullish Signals:

Net profit margin has averaged 15.4% in the last 3 years. This is considered superior and suggests a high margin of safety.

As per the Du Pont analysis, Return on Equity of 10.9% is better than sector average of 5.4%.

Fundamental measures by comparison with the sector average [in brackets] indicate:

Undervaluation:

Return on Equity 10.9% [5.4%]

Return on Assets 0.4% [0.3%]

TODAY'S ALERTS

Afternoon Alert: Sumitomo Mitsui Financial drops 2.0% on robust volume

20 June 2018 13:00 JST

Sumitomo Mitsui Financial Group Inc. (TO:8316) traded on heavy volume of 1.7 times average so far today while the price dropped JPY90.0 (or 2.0%) to trade at JPY4,376.0.

Morning Alert: Sumitomo Mitsui Financial drops 2.1% on robust volume

20 June 2018 11:11 JST

Sumitomo Mitsui Financial Group Inc. (TO:8316) traded on heavy volume of 1.7 times average so far today while the price dropped JPY94.0 (or 2.1%) to trade at JPY4,372.0.

RECENT ALERT

Afternoon Alert: Sumitomo Mitsui Financial down 2.0% in 2 days

18 June 2018 12:58 JST

Sumitomo Mitsui Financial Group Inc. (TO:8316) extended its slide on Monday, shedding an additional JPY52.0 (or 1.1%) to trade at JPY4,476.0. Trading volume was 1.1 times average so far today. The shares have fallen JPY93.0 (or 2.0%) over the past two trading days vs. the Nikkei 225 Index which has fallen 0.3% in the same period.

Sumitomo Mitsui Financial Group Inc. (TO:8316; TYO:8316; T:8316; JP:8316)

ISIN: JP3890350006

Source: www.BuySellSignals.com