Sumitomo Mitsui Financial Group (STU:XMF) Beneish M-Score: -2.27 (As of Jun. 25, 2026)


STU:XMF Sumitomo Mitsui Financial Group Inc STU:XMF
61 GF Score
Price €34.77
GF Value €23.57
Valuation Significantly Overvalued
! 6 Warning Signs
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What is Sumitomo Mitsui Financial Group Beneish M-Score?

Sumitomo Mitsui Financial Group STU:XMF -1.22% 61 Beneish M-Score is -2.27 as of Jun. 25, 2026. GuruFocus rates STU:XMF with a GF Score™ of 61/100 and a GF Value™ of €23.57 (Significantly Overvalued). The stock has 6 warning signs investors should review. Among 1,396 Banks companies, Sumitomo Mitsui Financial Group ranks worse than 72.06% on this metric.

Note: Financial institutions were excluded from the sample in Beneish paper when calculating Beneish M-Score. Thus, the prediction might not fit banks and insurance companies.

The zones of discrimination for M-Score is as such:

An M-Score of equal or less than -1.78 suggests that the company is unlikely to be a manipulator.
An M-Score of greater than -1.78 signals that the company is likely to be a manipulator.

Good Sign:

Beneish M-Score -2.27 no higher than -1.78, which implies that the company is unlikely to be a manipulator.

The historical rank and industry rank for Sumitomo Mitsui Financial Group's Beneish M-Score or its related term are showing as below:

STU:XMF' s Beneish M-Score Range Over the Past 10 Years
Min: -3.5   Med: -2.55   Max: -2.27
Current: -2.27

During the past 13 years, the highest Beneish M-Score of Sumitomo Mitsui Financial Group was -2.27. The lowest was -3.50. And the median was -2.55.

STU:XMF
61GF Score
Sumitomo Mitsui Financial Group Inc STU:XMF
Beneish M-Score is just one metric. See GF Score™, valuation, warning signs, and more.
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Sumitomo Mitsui Financial Group Beneish M-Score Calculation

The M-score was created by Professor Messod Beneish. Instead of measuring the bankruptcy risk (Altman Z-Score) or business trend (Piotroski F-Score), M-score can be used to detect the risk of earnings manipulation. This is the original research paper on M-score.

The M-Score Variables:

The M-score of Sumitomo Mitsui Financial Group for today is based on a combination of the following eight different indices:

M=-4.84+0.92 * DSRI+0.528 * GMI+0.404 * AQI+0.892 * SGI+0.115 * DEPI
=-4.84+0.92 * 0.8756+0.528 * 1+0.404 * 1+0.892 * 1.0042+0.115 * 1.0234
-0.172 * SGAI+4.679 * TATA-0.327 * LVGI
-0.172 * 0.9657+4.679 * 0.036121-0.327 * 0.9352
=-2.39

* 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.

This Year (Mar26) TTM:Last Year (Mar25) TTM:
Total Receivables was €1,262 Mil.
Revenue was €31,571 Mil.
Gross Profit was €31,571 Mil.
Total Current Assets was €0 Mil.
Total Assets was €1,790,757 Mil.
Property, Plant and Equipment(Net PPE) was €5,858 Mil.
Depreciation, Depletion and Amortization(DDA) was €1,587 Mil.
Selling, General, & Admin. Expense(SGA) was €14,454 Mil.
Total Current Liabilities was €0 Mil.
Long-Term Debt & Capital Lease Obligation was €139,078 Mil.
Net Income was €8,629 Mil.
Gross Profit was €0 Mil.
Cash Flow from Operations was €-56,055 Mil.
 Total Receivables was €1,435 Mil.
Revenue was €31,440 Mil.
Gross Profit was €31,440 Mil.
Total Current Assets was €0 Mil.
Total Assets was €1,900,680 Mil.
Property, Plant and Equipment(Net PPE) was €6,246 Mil.
Depreciation, Depletion and Amortization(DDA) was €1,742 Mil.
Selling, General, & Admin. Expense(SGA) was €14,906 Mil.
Total Current Liabilities was €0 Mil.
Long-Term Debt & Capital Lease Obligation was €157,846 Mil.

1. DSRI = Days Sales in Receivables Index

Measured as the ratio of Revenue in Total Receivables in year t to year t-1.

A large increase in DSR could be indicative of revenue inflation.

DSRI=(Receivables_t / Revenue_t) / (Receivables_t-1 / Revenue_t-1)
=(1261.55 / 31570.562) / (1434.741 / 31439.516)
=0.03996 / 0.045635
=0.8756

2. GMI = Gross Margin Index

Measured as the ratio of gross margin in year t-1 to gross margin in year t.

Gross margin has deteriorated when this index is above 1. A firm with poorer prospects is more likely to manipulate earnings.

GMI=GrossMargin_t-1 / GrossMargin_t
=(GrossProfit_t-1 / Revenue_t-1) / (GrossProfit_t / Revenue_t)
=(31439.516 / 31439.516) / (31570.562 / 31570.562)
=1 / 1
=1

3. AQI = Asset Quality Index

AQI is the ratio of asset quality in year t to year t-1.

Asset quality is measured as the ratio of non-current assets other than Property, Plant and Equipment to Total Assets.

AQI=(1 - (CurrentAssets_t + PPE_t) / TotalAssets_t) / (1 - (CurrentAssets_t-1 + PPE_t-1) / TotalAssets_t-1)
=(1 - (0 + 5858.182) / 1790756.903) / (1 - (0 + 6246.339) / 1900680.434)
=0.996729 / 0.996714
=1

4. SGI = Sales Growth Index

Ratio of Revenue in year t to sales in year t-1.

Sales growth is not itself a measure of manipulation. However, growth companies are likely to find themselves under pressure to manipulate in order to keep up appearances.

SGI=Sales_t / Sales_t-1
=Revenue_t / Revenue_t-1
=31570.562 / 31439.516
=1.0042

5. DEPI = Depreciation Index

Measured as the ratio of the rate of Depreciation, Depletion and Amortization in year t-1 to the corresponding rate in year t.

DEPI greater than 1 indicates that assets are being depreciated at a slower rate. This suggests that the firm might be revising useful asset life assumptions upwards, or adopting a new method that is income friendly.

DEPI=(Depreciation_t-1 / (Depreciaton_t-1 + PPE_t-1)) / (Depreciation_t / (Depreciaton_t + PPE_t))
=(1742.424 / (1742.424 + 6246.339)) / (1586.737 / (1586.737 + 5858.182))
=0.218109 / 0.21313
=1.0234

Note: If the Depreciation, Depletion and Amortization data is not available, we assume that the depreciation rate is constant and set the Depreciation Index to 1.

6. SGAI = Sales, General and Administrative expenses Index

The ratio of Selling, General, & Admin. Expense(SGA) to Sales in year t relative to year t-1.

SGA expenses index > 1 means that the company is becoming less efficient in generate sales.

SGAI=(SGA_t / Sales_t) / (SGA_t-1 /Sales_t-1)
=(14453.747 / 31570.562) / (14905.703 / 31439.516)
=0.457824 / 0.474107
=0.9657

7. LVGI = Leverage Index

The ratio of total debt to Total Assets in year t relative to yeat t-1.

An LVGI > 1 indicates an increase in leverage

LVGI=((LTD_t + CurrentLiabilities_t) / TotalAssets_t) / ((LTD_t-1 + CurrentLiabilities_t-1) / TotalAssets_t-1)
=((139078.273 + 0) / 1790756.903) / ((157845.799 + 0) / 1900680.434)
=0.077665 / 0.083047
=0.9352

8. TATA = Total Accruals to Total Assets

Total accruals calculated as the change in working capital accounts other than cash less depreciation.

TATA=(IncomefromContinuingOperations_t - CashFlowsfromOperations_t) / TotalAssets_t
=(NetIncome_t - NonOperatingIncome_t - CashFlowsfromOperations_t) / TotalAssets_t
=(8628.991 - 0 - -56054.726) / 1790756.903
=0.036121

An M-Score of equal or less than -1.78 suggests that the company is unlikely to be a manipulator. An M-Score of greater than -1.78 signals that the company is likely to be a manipulator.

Sumitomo Mitsui Financial Group has a M-score of -2.39 suggests that the company is unlikely to be a manipulator.

Frequently Asked Questions Learn more about Beneish M-Score →
What does a Beneish M-Score of -2.27 mean?
Sumitomo Mitsui Financial Group (STU:XMF) has a Beneish M-Score of -2.27 as of Jun. 25, 2026. The Beneish M-score measures the likelihood of earnings manipulation. View historical data on Sumitomo Mitsui Financial Group and its competitors. According to the industry distribution chart, Sumitomo Mitsui Financial Group ranks #1006 out of 1396 companies in the Banks industry, placing it in the top 72.1%.
Is Sumitomo Mitsui Financial Group's Beneish M-Score too high?
Sumitomo Mitsui Financial Group's current Beneish M-Score is -2.27. Based on the distribution chart, Sumitomo Mitsui Financial Group ranks #1006 out of 1396 companies in the Banks industry, which is below the industry midpoint. Overall, Sumitomo Mitsui Financial Group has a GF Score™ of 61/100 and is considered Significantly Overvalued, reflecting its overall financial health beyond just this single metric.
How does Sumitomo Mitsui Financial Group's Beneish M-Score compare to JPM and BAC?
According to the Banks industry distribution chart, Sumitomo Mitsui Financial Group ranks #1006 out of 1396 companies for Beneish M-Score. This places Sumitomo Mitsui Financial Group in the lower half of its industry. See the competitive comparison table and distribution chart on this page for a detailed peer-by-peer breakdown.
What is a good Beneish M-Score for a Banks company?
A good Beneish M-Score depends on the Banks industry context. However, Beneish M-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 Beneish M-Score mean?
A high Beneish M-Score can signal that a stock is expensive relative to its fundamentals. The Beneish M-score measures the likelihood of earnings manipulation. View historical data on Sumitomo Mitsui Financial Group and its competitors. Sumitomo Mitsui Financial Group's current Beneish M-Score is -2.27. However, context matters — high-growth companies often justify higher valuations. Always evaluate alongside other metrics like GF Score™ and GF Value™.
Is Sumitomo Mitsui Financial Group stock overvalued right now?
Based on GuruFocus' analysis, Sumitomo Mitsui Financial Group (STU:XMF) is currently considered Significantly Overvalued. The stock's GF Value™ is €23.57, compared to a current price of €34.77 — trading 47.5% above its estimated fair value. The current Beneish M-Score is -2.27. Sumitomo Mitsui Financial Group's overall GF Score™ is 61/100 with 6 warning signs to review. Investors should evaluate multiple metrics — including profitability, growth, and financial strength — before making a decision.
How is Beneish M-Score calculated?
Beneish M-Score is calculated from a company's financial statements. For Sumitomo Mitsui Financial Group (STU:XMF), the current Beneish M-Score is -2.27 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 Mitsui Financial Group (STU:XMF) Overvalued in 2026?

Based on GuruFocus' analysis, Sumitomo Mitsui Financial Group stock appears to be overvalued. The current stock price of €34.77 is trading 47.5% above its estimated GF Value™ of €23.57. GuruFocus considers Sumitomo Mitsui Financial Group to be Significantly Overvalued.

Key valuation signals for STU:XMF:

  • Beneish M-Score: -2.27
  • GF Value™: €23.57 vs. price of €34.77 (47.5% above fair value)
  • GF Score™: 61/100 with 6 warning signs

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

Sumitomo Mitsui Financial Group Business Description

Address 1-2, Marunouchi 1-chome, Chiyoda-ku, Tokyo, JPN, 100-0005
Sumitomo Mitsui Financial Group is roughly tied with Mizuho Financial Group for the status of Japan's second-largest bank after Mitsubishi UFJ Financial Group. As of March 2025, its market share of domestic loans was 7.3%, compared with 8.4% for MUFG. It has a larger consumer finance business than the other two megabanks, owning 100% of the Promise business and SMBC Card. It also controls one of Japan's largest leasing companies and SMBC Aviation Capital, one of the top five aircraft lessors globally. In securities, its SMBC Nikko unit is Japan's third-largest retail broker, although SMFG has lagged somewhat in institutional securities business and asset management.
61GF Score

Get the complete analysis for STU:XMF

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

€34.77
Price
€23.57
GF Value