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If you are wondering whether Mitsui’s share price still offers value after a strong run, this article will walk through what the current market price could be implying.
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Mitsui’s stock recently closed at ¥5,176, with returns of 7.9% over 7 days, 15.6% over 30 days, 8.9% year to date, 77.9% over 1 year, and a very large gain over 5 years that is close to 7x.
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Recent company and sector news has kept Mitsui on investors’ radars, including ongoing interest in Japanese trading houses and their role in global supply chains. These developments provide important context when you think about how much of the share price story might already be reflected in expectations.
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Mitsui currently has a valuation score of 2 out of 6. This means it screens as undervalued on 2 of our 6 checks. We will look at what that means using different valuation approaches before finishing with a more holistic way to think about value.
Mitsui scores just 2/6 on our valuation checks. See what other red flags we found in the full valuation breakdown.
A Discounted Cash Flow, or DCF, model estimates what a company could be worth today by projecting its future cash flows and discounting them back to the present.
For Mitsui, the model used is a 2 Stage Free Cash Flow to Equity approach, based on cash flows measured in ¥. The latest twelve month free cash flow is ¥533,873.78m. Analyst and extrapolated projections in the model reach ¥829,786.89m in 2035, with interim years such as 2026 at ¥917,201m and 2030 at ¥778,000m. Simply Wall St uses analyst estimates where available and then extends the series beyond that point.
When all projected cash flows are discounted back to today, the model arrives at an estimated intrinsic value of ¥4,381.87 per share. Against the recent share price of ¥5,176, this implies the stock screens as 18.1% overvalued on this DCF view.
On this measure, the market price already assumes more value than the cash flow model supports.
Result: OVERVALUED
Our Discounted Cash Flow (DCF) analysis suggests Mitsui may be overvalued by 18.1%. Discover 868 undervalued stocks or create your own screener to find better value opportunities.
For a profitable company like Mitsui, the P/E ratio is a useful yardstick because it connects what you pay for the shares with the earnings the business is currently generating. The level of P/E investors are comfortable with usually reflects how they see the balance between growth potential and risk, with higher expected growth or lower perceived risk often lining up with a higher P/E.