Sumitomo Realty & Development Co (FRA:RL2) Moat Score: 6/10 (As of Jul. 01, 2026)


FRA:RL2 Sumitomo Realty & Development Co Ltd FRA:RL2
79 GF Score
Price €19.90
GF Value €15.00
Valuation Significantly Overvalued
! 3 Warning Signs
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What is Sumitomo Realty & Development Co Moat Score?

Sumitomo Realty & Development Co FRA:RL2 79 Moat Score is 6 as of Jul. 01, 2026. GuruFocus rates FRA:RL2 with a GF Score™ of 79/100 and a GF Value™ of €15.00 (Significantly Overvalued). The stock has 3 warning signs investors should review. Among 1,873 Real Estate companies, Sumitomo Realty & Development Co ranks better than 99.68% on this metric.

Sumitomo Realty & Development Co has the Moat Score of 6, which implies that the company might have Narrow Moat - Strong narrow moat, clearly distinguishable but not wide.

Sumitomo Realty & Development Co has Narrow Moat: Sumitomo Realty & Development Co Ltd benefits from strong brand strength and significant regulatory barriers in real estate. Its durable cost advantages and established market presence provide a strong narrow moat.

Moat Score is a ranking system developed by GuruFocus to assess a company's ability to sustain a competitive advantage, rated on a scale from 0 to 10. It takes into account key factors such as market leadership, cost advantages, network effects, customer switching costs, and more.

The company's Moat Score is based on these criteria:

1. Market leadership and sustainable market share
2. Network effects and significant customer switching costs
3. Valuable intellectual property and patents
4. Strong brand strength and deep customer loyalty
5. Durable cost advantages (e.g., economies of scale, proprietary technology)
6. Significant regulatory barriers and exclusive licenses
7. Superior distribution network
8. Strong and sustainable pricing power
9. Consistent and impactful innovation and R&D capabilities

Based on the research, GuruFocus believes Sumitomo Realty & Development Co might have Narrow Moat - Strong narrow moat, clearly distinguishable but not wide.

Sumitomo Realty & Development Co  (FRA:RL2) Moat Score Explanation

The Moat Score ranges from 0 to 10, with 10 as the highest. GuruFocus divided Moat Score into following 8 categories:

Moat Score Moat Level
10Wide Moat - Exceptionally dominant and durable wide moat
8 - 9Wide Moat - Clear and robust wide moat
7Wide Moat - Entry-level wide moat, clearly possessing durable advantages
6Narrow Moat - Strong narrow moat, clearly distinguishable but not wide
5Narrow Moat - Solid narrow moat
4Narrow Moat - Discernible but modest moat
1 - 3No Moat - Very weak/transient advantages
0No Moat - No discernible moat

Sumitomo Realty & Development Co Moat Score Related Terms

FRA:RL2 vs CBRE, BEKE, JLL: Moat Score Comparison

For the Real Estate Services subindustry, Sumitomo Realty & Development Co's Moat Score, along with its competitors' market caps and Moat Score 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 Realty & Development Co Moat Score vs Real Estate Industry

For the Real Estate industry and Real Estate sector, Sumitomo Realty & Development Co's Moat Score distribution charts can be found below:

* The bar in red indicates where Sumitomo Realty & Development Co's Moat Score falls into.


FRA:RL2
79GF Score
Sumitomo Realty & Development Co Ltd FRA:RL2
Moat Score is just one metric. See GF Score™, valuation, warning signs, and more.
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Frequently Asked Questions Learn more about Moat Score →
What does a Moat Score of 6 mean?
Sumitomo Realty & Development Co (FRA:RL2) has a Moat Score of 6 as of Jul. 01, 2026. Moat Score is a ranking system developed by GuruFocus to assess a company's ability to sustain a competitive advantage, rated on a scale from 0 to 10. It takes into account key factors such as market leadership, cost advantages, network effects, customer switching costs, and more. According to the industry distribution chart, Sumitomo Realty & Development Co ranks #6 out of 1873 companies in the Real Estate industry, placing it in the top 0.3%.
Is Sumitomo Realty & Development Co's Moat Score too high?
Sumitomo Realty & Development Co's current Moat Score is 6. Based on the distribution chart, Sumitomo Realty & Development Co ranks #6 out of 1873 companies in the Real Estate industry, which is in the top quartile — a strong position relative to peers. Overall, Sumitomo Realty & Development Co has a GF Score™ of 79/100 and is considered Significantly Overvalued, reflecting its overall financial health beyond just this single metric.
How does Sumitomo Realty & Development Co's Moat Score compare to CBRE and BEKE?
According to the Real Estate industry distribution chart, Sumitomo Realty & Development Co ranks #6 out of 1873 companies for Moat Score. This places Sumitomo Realty & Development Co in the top 0% of its industry — outperforming the majority of peers. See the competitive comparison table and distribution chart on this page for a detailed peer-by-peer breakdown.
What is a good Moat Score for a Real Estate company?
A good Moat Score depends on the Real Estate industry context. However, Moat Score 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 Moat Score mean?
A high Moat Score can signal that a stock is expensive relative to its fundamentals. Moat Score is a ranking system developed by GuruFocus to assess a company's ability to sustain a competitive advantage, rated on a scale from 0 to 10. It takes into account key factors such as market leadership, cost advantages, network effects, customer switching costs, and more. Sumitomo Realty & Development Co's current Moat Score is 6. However, context matters — high-growth companies often justify higher valuations. Always evaluate alongside other metrics like GF Score™ and GF Value™.
Is Sumitomo Realty & Development Co stock overvalued right now?
Based on GuruFocus' analysis, Sumitomo Realty & Development Co (FRA:RL2) is currently considered Significantly Overvalued. The stock's GF Value™ is €15.00, compared to a current price of €19.90 — trading 32.7% above its estimated fair value. The current Moat Score is 6. Sumitomo Realty & Development Co's overall GF Score™ is 79/100 with 3 warning signs to review. Investors should evaluate multiple metrics — including profitability, growth, and financial strength — before making a decision.
How is Moat Score calculated?
Moat Score is calculated from a company's financial statements. For Sumitomo Realty & Development Co (FRA:RL2), the current Moat Score is 6 as of Jul. 01, 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 Realty & Development Co (FRA:RL2) Overvalued in 2026?

Based on GuruFocus' analysis, Sumitomo Realty & Development Co stock appears to be overvalued. The current stock price of €19.90 is trading 32.7% above its estimated GF Value™ of €15.00. GuruFocus considers Sumitomo Realty & Development Co to be Significantly Overvalued.

Key valuation signals for FRA:RL2:

  • Moat Score: 6
  • GF Value™: €15.00 vs. price of €19.90 (32.7% above fair value)
  • GF Score™: 79/100 with 3 warning signs

No single metric tells the full story. See the FRA:RL2 stock analysis page for a complete view including 30-year financials, guru trades, and insider activity.

Sumitomo Realty & Development Co Business Description

Address 2-4-1 Nishi-Shinjuku, Shinjuku NS Building, Shinjuku-ku, Tokyo, JPN, 163-0820
Sumitomo Realty & Development is a Japan-based company engaged in the real estate business. The company operates through four segments. The Completed Construction segment covers construction and renovation contracts for detached houses and condominiums. The Real Estate Distribution segment involves brokerage and sales agency services. The Real Estate Rental segment includes leasing and management of office buildings, condominiums, hotels, event halls, and commercial facilities. The Real Estate Sales segment focuses on condominiums and detached houses, and the Others segment covers businesses such as fitness clubs and restaurants. It generates the majority of its revenue from the Real estate rental segment.
79GF Score

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Moat Score is just one metric. See GF Value™, 30-year financials, guru trades, warning signs, and more.

€19.90
Price
€15.00
GF Value