Itochu trades at the highest valuation among general trading houses, with PBR above 2 times on high ROE

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Summary · why it matters

Itochu's share price is hovering at elevated levels, with its market capitalization reaching approximately 15 trillion yen. For the fiscal year ending March 2026, net profit is expected to rise 2.3 percent year on year to 900.3 billion yen, and for the fiscal year ending March 2027, it is forecast to increase to 950 billion yen. Return on equity stands at about 14.6 percent, the highest among the five major trading houses, supported by stable earnings from non-resource sectors. With a forecast price-to-earnings ratio of around 14 times and a price-to-book ratio of about 2.1 times, the company's high capital efficiency is well regarded, and its progressive dividend policy also provides reassurance to investors.

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Energy Transition & Power Demand▲ · 1 stocks
Itochu Corporation
8001
▲ PositiveCapitalrelevance

High ROE, strong earnings forecasts, progressive dividend policy, and high capital efficiency driving valuation.