Sumitomo Electric Industries (TSE:5802) Beneish M-Score: -2.45 (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
View Full Analysis

What is Sumitomo Electric Industries Beneish M-Score?

Sumitomo Electric Industries TSE:5802 -2.94% 74 Beneish M-Score is -2.45 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. Among 1,273 Vehicles & Parts companies, Sumitomo Electric Industries ranks worse than 57.27% on this metric.

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 -2.45 no higher than -1.78, which implies that the company is unlikely to be a manipulator.

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

TSE:5802' s Beneish M-Score Range Over the Past 10 Years
Min: -2.87   Med: -2.58   Max: -2.38
Current: -2.45

During the past 13 years, the highest Beneish M-Score of Sumitomo Electric Industries was -2.38. The lowest was -2.87. And the median was -2.58.

Sumitomo Electric Industries Beneish M-Score Historical Data

* Premium members only.

The historical data trend for Sumitomo Electric Industries's Beneish M-Score can be seen below:

* 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.

Sumitomo Electric Industries Beneish M-Score Chart

Sumitomo Electric Industries Annual Data
Trend Mar17 Mar18 Mar19 Mar20 Mar21 Mar22 Mar23 Mar24 Mar25 Mar26
Beneish M-Score
Get a 7-Day Free Trial Premium Member Only Premium Member Only -2.38 -2.57 -2.61 -2.75 -2.45

Sumitomo Electric Industries Quarterly Data
Jun21 Sep21 Dec21 Mar22 Jun22 Sep22 Dec22 Mar23 Jun23 Sep23 Dec23 Mar24 Jun24 Sep24 Dec24 Mar25 Jun25 Sep25 Dec25 Mar26
Beneish M-Score Get a 7-Day Free Trial Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only -2.75 0.00 0.00 0.00 -2.45

TSE:5802 vs ORLY, AZO: Beneish M-Score Comparison

For the Auto Parts subindustry, Sumitomo Electric Industries's Beneish M-Score, along with its competitors' market caps and Beneish M-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 Electric Industries Beneish M-Score vs Vehicles & Parts Industry

For the Vehicles & Parts industry and Consumer Cyclical sector, Sumitomo Electric Industries's Beneish M-Score distribution charts can be found below:

* The bar in red indicates where Sumitomo Electric Industries's Beneish M-Score falls into.


TSE:5802
74GF Score
Sumitomo Electric Industries Ltd TSE:5802
Beneish M-Score is just one metric. See GF Score™, valuation, warning signs, and more.
View Full Analysis

Sumitomo Electric Industries 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 Electric Industries 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 * 0.9522+0.528 * 0.9294+0.404 * 1.1147+0.892 * 1.092+0.115 * 1.0381
-0.172 * SGAI+4.679 * TATA-0.327 * LVGI
-0.172 * 1+4.679 * -0.011542-0.327 * 0.8949
=-2.45

* 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 円948,212 Mil.
Revenue was 円5,110,171 Mil.
Gross Profit was 円1,034,031 Mil.
Total Current Assets was 円2,424,611 Mil.
Total Assets was 円4,824,532 Mil.
Property, Plant and Equipment(Net PPE) was 円1,189,434 Mil.
Depreciation, Depletion and Amortization(DDA) was 円209,842 Mil.
Selling, General, & Admin. Expense(SGA) was 円0 Mil.
Total Current Liabilities was 円1,347,756 Mil.
Long-Term Debt & Capital Lease Obligation was 円301,543 Mil.
Net Income was 円369,508 Mil.
Gross Profit was 円0 Mil.
Cash Flow from Operations was 円425,192 Mil.
 Total Receivables was 円911,918 Mil.
Revenue was 円4,679,789 Mil.
Gross Profit was 円880,126 Mil.
Total Current Assets was 円2,320,091 Mil.
Total Assets was 円4,441,629 Mil.
Property, Plant and Equipment(Net PPE) was 円1,121,830 Mil.
Depreciation, Depletion and Amortization(DDA) was 円206,839 Mil.
Selling, General, & Admin. Expense(SGA) was 円0 Mil.
Total Current Liabilities was 円1,286,843 Mil.
Long-Term Debt & Capital Lease Obligation was 円409,852 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)
=(948212 / 5110171) / (911918 / 4679789)
=0.185554 / 0.194863
=0.9522

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)
=(880126 / 4679789) / (1034031 / 5110171)
=0.18807 / 0.202348
=0.9294

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 - (2424611 + 1189434) / 4824532) / (1 - (2320091 + 1121830) / 4441629)
=0.250902 / 0.225077
=1.1147

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
=5110171 / 4679789
=1.092

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))
=(206839 / (206839 + 1121830)) / (209842 / (209842 + 1189434))
=0.155674 / 0.149965
=1.0381

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)
=(0 / 5110171) / (0 / 4679789)
=0 / 0
=1

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)
=((301543 + 1347756) / 4824532) / ((409852 + 1286843) / 4441629)
=0.341857 / 0.381998
=0.8949

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
=(369508 - 0 - 425192) / 4824532
=-0.011542

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 Electric Industries has a M-score of -2.45 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 -2.45 mean?
Sumitomo Electric Industries (TSE:5802) has a Beneish M-Score of -2.45 as of Jun. 25, 2026. The Beneish M-score measures the likelihood of earnings manipulation. View historical data on Sumitomo Electric Industries and its competitors. According to the industry distribution chart, Sumitomo Electric Industries ranks #729 out of 1273 companies in the Vehicles & Parts industry, placing it in the top 57.3%.
Is Sumitomo Electric Industries' Beneish M-Score too high?
Sumitomo Electric Industries' current Beneish M-Score is -2.45. Based on the distribution chart, Sumitomo Electric Industries ranks #729 out of 1273 companies in the Vehicles & Parts industry, which is below the industry midpoint. 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' Beneish M-Score compare to ORLY and AZO?
According to the Vehicles & Parts industry distribution chart, Sumitomo Electric Industries ranks #729 out of 1273 companies for Beneish M-Score. This places Sumitomo Electric Industries 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 Vehicles & Parts company?
A good Beneish M-Score depends on the Vehicles & Parts 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 Electric Industries and its competitors. Sumitomo Electric Industries's current Beneish M-Score is -2.45. 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 Beneish M-Score is -2.45. 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 Beneish M-Score calculated?
Beneish M-Score is calculated from a company's financial statements. For Sumitomo Electric Industries (TSE:5802), the current Beneish M-Score is -2.45 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:

  • Beneish M-Score: -2.45
  • 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

Beneish M-Score 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