Head-To-Head Review: Mitsubishi (MSBHF) and The Competition

Mitsubishi (OTCMKTS:MSBHF) is one of 52 public companies in the “DIVERSIFIED OPS” industry, but how does it compare to its peers? We will compare Mitsubishi to related businesses based on the strength of its risk, institutional ownership, profitability, analyst recommendations, dividends, earnings and valuation.

Institutional and Insider Ownership

44.2% of shares of all “DIVERSIFIED OPS” companies are held by institutional investors. 28.6% of shares of all “DIVERSIFIED OPS” companies are held by insiders. Strong institutional ownership is an indication that large money managers, endowments and hedge funds believe a company is poised for long-term growth.

Risk & Volatility

Mitsubishi has a beta of 0.56, indicating that its stock price is 44% less volatile than the S&P 500. Comparatively, Mitsubishi’s peers have a beta of 0.80, indicating that their average stock price is 20% less volatile than the S&P 500.

Earnings and Valuation

This table compares Mitsubishi and its peers top-line revenue, earnings per share and valuation.

	Gross Revenue	Net Income	Price/Earnings Ratio
Mitsubishi	$122.26 billion	$6.27 billion	12.90
Mitsubishi Competitors	$13.29 billion	$969.16 million	42.52

Mitsubishi has higher revenue and earnings than its peers. Mitsubishi is trading at a lower price-to-earnings ratio than its peers, indicating that it is currently more affordable than other companies in its industry.

Profitability

This table compares Mitsubishi and its peers’ net margins, return on equity and return on assets.

	Net Margins	Return on Equity	Return on Assets
Mitsubishi	5.10%	9.28%	4.27%
Mitsubishi Competitors	-24.47%	-40.66%	-9.10%

Analyst Ratings

This is a breakdown of recent ratings for Mitsubishi and its peers, as provided by MarketBeat.

	Sell Ratings	Hold Ratings	Buy Ratings	Strong Buy Ratings	Rating Score
Mitsubishi	0	1	0	0	2.00
Mitsubishi Competitors	199	869	1634	64	2.57

As a group, “DIVERSIFIED OPS” companies have a potential downside of 0.76%. Given Mitsubishi’s peers stronger consensus rating and higher possible upside, analysts clearly believe Mitsubishi has less favorable growth aspects than its peers.

Summary

Mitsubishi peers beat Mitsubishi on 8 of the 13 factors compared.

Mitsubishi Company Profile

Mitsubishi Corporation engages in the natural gas, industrial materials and infrastructure, petroleum and chemicals, mineral resources, automotive and mobility, food and consumer industry, power solution, and urban development businesses worldwide. The Natural Gas segment engages in the development and production of natural gas/oil; and liquified natural gas business. Its Industrial Materials segment engages in sale, trading, and development of materials, including steel products, silica sand, cement, ready-mixed concrete, carbon materials, PVC, and functional materials for the automobile, mobility, construction, and infrastructure industries. The Petroleum & Chemicals segment invests in, develops, and trades in crude oil and oil products, LPG, ethylene, methanol, salt, ammonia, plastics, and fertilizers. Its Mineral Resources segment invests in and develops metallurgical coal, copper, iron ore, and aluminum. The Industrial Infrastructure segment trades in the field of energy infrastructure, industrial plants, machinery tools, construction and agricultural machinery, elevators, escalators, facility management, ships, and aerospace related equipment. Its Automotive & Mobility segment produces, finances, and sells passenger and commercial cars; and mobility services. The Food Industry segment trades, develops, and sells food resources, fresh foods, consumer goods, and food ingredients. Its Consumer Industry segment supplies products and services a range of fields, including retail and distribution, logistics, healthcare, apparel, and tire, etc. The Power Solution segment is involved in the power and water related businesses, including power generation and transmission, power trading and retail, and development of hydrogen energy sources. Its Urban Development segment engages in the leasing; and urban development, infrastructure, and real estate development, operation, and management businesses. The company was incorporated in 1950 and is headquartered in Tokyo, Japan.