Sumitomo Electric Industries (TSE:5802) Margin of Safety % (DCF Earnings Based): -88.41% (As of Jun. 25, 2026)


TSE:5802 Sumitomo Electric Industries Ltd TSE:5802
74 GF Score
Price 円12,225.00
GF Value 円2,919.34
Valuation Significantly Overvalued
! 4 Warning Signs
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What is Sumitomo Electric Industries Margin of Safety % (DCF Earnings Based)?

Sumitomo Electric Industries TSE:5802 -2.94% 74 Margin of Safety % (DCF Earnings Based) is -88.41% as of Jun. 25, 2026. GuruFocus rates TSE:5802 with a GF Score™ of 74/100 and a GF Value™ of 円2,919.34 (Significantly Overvalued). The stock has 4 warning signs investors should review.

Margin of Safety % (DCF Earnings Based) = (Intrinsic Value: DCF (Earnings Based) - Current Price) / Intrinsic Value: DCF (Earnings Based).

Note: Discounted Earnings model is only suitable for predictable companies (Business Predictability Rank higher than 1-Star). If the company's Predictability Rank is 1-Star or Not Rated, result may not be accurate due to the low predictability of business and the data will not be stored into our database.

As of today (2026-06-25), Sumitomo Electric Industries's Predictability Rank is 2-Stars. Sumitomo Electric Industries's intrinsic value calculated from the Discounted Earnings model is 円6488.43 and current share price is 円12225.00. Consequently,

Sumitomo Electric Industries's Margin of Safety % (DCF Earnings Based) using Discounted Earnings model is -88.41%.

TSE:5802 vs ORLY, AZO: Margin of Safety % (DCF Earnings Based) Comparison

For the Auto Parts subindustry, Sumitomo Electric Industries's Margin of Safety % (DCF Earnings Based), along with its competitors' market caps and Margin of Safety % (DCF Earnings Based) data, can be viewed below:

* Competitive companies are chosen from companies within the same industry, with headquarter located in same country, with closest market capitalization; x-axis shows the market cap, and y-axis shows the term value; the bigger the dot, the larger the market cap. Note that "N/A" values will not show up in the chart.

Sumitomo Electric Industries Margin of Safety % (DCF Earnings Based) vs Vehicles & Parts Industry

For the Vehicles & Parts industry and Consumer Cyclical sector, Sumitomo Electric Industries's Margin of Safety % (DCF Earnings Based) distribution charts can be found below:

* The bar in red indicates where Sumitomo Electric Industries's Margin of Safety % (DCF Earnings Based) falls into.


TSE:5802
74GF Score
Sumitomo Electric Industries Ltd TSE:5802
Margin of Safety % (DCF Earnings Based) is just one metric. See GF Score™, valuation, warning signs, and more.
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Sumitomo Electric Industries Margin of Safety % (DCF Earnings Based) Calculation

Sumitomo Electric Industries's Margin of Safety % (DCF Earnings Based) for today is calculated as

Margin of Safety % (DCF Earnings Based)=(Intrinsic Value: DCF (Earnings Based)-Current Price)/Intrinsic Value: DCF (Earnings Based)
=(6488.43-12225.00)/6488.43
=-88.41 %

* For Operating Data section: All numbers are indicated by the unit behind each term and all currency related amount are in USD.
* For other sections: All numbers are in millions except for per share data, ratio, and percentage. All currency related amount are indicated in the company's associated stock exchange currency.

The intrinsic value is calculated from the Discounted Earnings model with default parameters. The calculation method is the same as Discounted Cash Flow model except earnings are used in the calculation instead of free cash flow.

What does a Margin of Safety % (DCF Earnings Based) of -88.41% mean?
Sumitomo Electric Industries (TSE:5802) has a Margin of Safety % (DCF Earnings Based) of -88.41% as of Jun. 25, 2026. Margin of Safety % (DCF Earnings Based) is the percent difference between the current price and the intrinsic DCF Earnings price. View historical data on Sumitomo Electric Industries.
Is Sumitomo Electric Industries' Margin of Safety % (DCF Earnings Based) too high?
Sumitomo Electric Industries' current Margin of Safety % (DCF Earnings Based) is -88.41%. Overall, Sumitomo Electric Industries has a GF Score™ of 74/100 and is considered Significantly Overvalued, reflecting its overall financial health beyond just this single metric.
How does Sumitomo Electric Industries' Margin of Safety % (DCF Earnings Based) compare to ORLY and AZO?
Sumitomo Electric Industries' Margin of Safety % (DCF Earnings Based) of -88.41% can be compared against companies in the Vehicles & Parts industry. See the competitive comparison table and distribution chart on this page for a detailed peer-by-peer breakdown.
What is a good Margin of Safety % (DCF Earnings Based) for a Vehicles & Parts company?
A good Margin of Safety % (DCF Earnings Based) depends on the Vehicles & Parts industry context. However, Margin of Safety % (DCF Earnings Based) should not be evaluated in isolation — investors should consider it alongside profitability, growth, and financial strength metrics. Use the industry distribution chart on this page to see where any company falls relative to its peers.
What does a high Margin of Safety % (DCF Earnings Based) mean?
A high Margin of Safety % (DCF Earnings Based) can signal that a stock is expensive relative to its fundamentals. Margin of Safety % (DCF Earnings Based) is the percent difference between the current price and the intrinsic DCF Earnings price. View historical data on Sumitomo Electric Industries. Sumitomo Electric Industries's current Margin of Safety % (DCF Earnings Based) is -88.41%. However, context matters — high-growth companies often justify higher valuations. Always evaluate alongside other metrics like GF Score™ and GF Value™.
Is Sumitomo Electric Industries stock overvalued right now?
Based on GuruFocus' analysis, Sumitomo Electric Industries (TSE:5802) is currently considered Significantly Overvalued. The stock's GF Value™ is 円2,919.34, compared to a current price of 円12,225.00 — trading 318.8% above its estimated fair value. The current Margin of Safety % (DCF Earnings Based) is -88.41%. Sumitomo Electric Industries' overall GF Score™ is 74/100 with 4 warning signs to review. Investors should evaluate multiple metrics — including profitability, growth, and financial strength — before making a decision.
How is Margin of Safety % (DCF Earnings Based) calculated?
Margin of Safety % (DCF Earnings Based) is calculated from a company's financial statements. For Sumitomo Electric Industries (TSE:5802), the current Margin of Safety % (DCF Earnings Based) is -88.41% as of Jun. 25, 2026. GuruFocus calculates this using data sourced from SEC filings and annual reports. See the calculation section and 30-year financial data on this page for the full breakdown.

Is Sumitomo Electric Industries (TSE:5802) Overvalued in 2026?

Based on GuruFocus' analysis, Sumitomo Electric Industries stock appears to be overvalued. The current stock price of 円12,225.00 is trading 318.8% above its estimated GF Value™ of 円2,919.34. GuruFocus considers Sumitomo Electric Industries to be Significantly Overvalued.

Key valuation signals for TSE:5802:

  • Margin of Safety % (DCF Earnings Based): -88.41%
  • GF Value™: 円2,919.34 vs. price of 円12,225.00 (318.8% above fair value)
  • GF Score™: 74/100 with 4 warning signs

No single metric tells the full story. See the TSE:5802 stock analysis page for a complete view including 30-year financials, guru trades, and insider activity.

Sumitomo Electric Industries Business Description

Address 4-5-33, Kitahama, Chuo-ku, Osaka, JPN, 541-0041
Sumitomo Electric Industries Ltd manufactures and sells electric wires and cables, and other products. The company operates through five segments. The Automotive related business covers wire harnesses, anti-vibration rubber, hoses, electrical parts, and traffic control systems. The Electronics related business provides electronic wires, flexible printed circuits, fluoropolymer products, and metal components. The Environment and Energy related business handles power transmission equipment, substation systems, vacuum and beam equipment, and conductive products. The Industrial Materials business includes steel wire, tools, optical components, and sintered parts. The Information and Communication business offers fiber optic cables, communication equipment, and optical devices.
74GF Score

Get the complete analysis for TSE:5802

Margin of Safety % (DCF Earnings Based) is just one metric. See GF Value™, 30-year financials, guru trades, warning signs, and more.

円12,225.00
Price
円2,919.34
GF Value