Suruga Bank Ltd. (8358) Stock Recommendation | Score, Valuation, Technicals & Financial Trend

Score

Click here to find our call on this stock

Strong Sell

Sell

Hold

Buy

Strong Buy

Comparison

Company

Score

Quality

Valuation

Financial

Technical

Chugin Financial Group, Inc.

Nishi-Nippon Financial Holdings, Inc.

Gunma Bank, Ltd.

Rakuten Bank Ltd.

San-in Godo Bank Ltd.

Hirogin Holdings, Inc.

Iyogin Holdings, Inc.

Yamaguchi Financial Group, Inc.

Hokuhoku Financial Group, Inc.

Suruga Bank Ltd.

SBI Sumishin Net Bank, Ltd.

Why is Suruga Bank Ltd. ?

Weak Capital Buffers- the bank has a low Capital Adequacy Ratio of 12.96% signifying inadequate buffers against its risk based assets

Poor long term growth as Net Interest Income (ex other income) has grown by an annual rate of 0%
Weak Capital Buffers- the bank has a low Capital Adequacy Ratio of 12.96% signifying inadequate buffers against its risk based assets
The bank has been able to generate a Return on Assets (avg) of 0.35% signifying low profitability per unit of total assets

Poor long term growth as Net Interest Income (ex other income) has grown by an annual rate of 0%

Flat results in Dec 25

INTEREST(9M) At JPY 5,278 MM has Grown at 235.96%
ROCE(HY) Lowest at 0.74%
CASH AND EQV(HY) Lowest at JPY 952,429 MM

With ROA of 0.58%, it has a very attractive valuation with a 0.88 Price to Book Value

The stock is trading at a premium compared to its peers' average historical valuations
Over the past year, while the stock has generated a return of 38.79%, its profits have risen by 31% ; the PEG ratio of the company is 0.2
At the current price, the company has a high dividend yield of 0

Real-Time Research Report

Verdict Report

How much should you hold?

Overall Portfolio exposure to Suruga Bank Ltd. should be less than 10%
Overall Portfolio exposure to Regional Banks should be less than 30%

(If sector exposure > 30%, please use optimiser tool to see which are the best stocks to hold in Regional Banks)

When to exit? - We will constantly monitor the company and suggest at the appropriate time to exit from the stock

Is Suruga Bank Ltd. for you?

Low Risk, High Return

Absolute

Risk Adjusted

Volatility

Suruga Bank Ltd.

38.79%

576.74

34.50%

Japan Nikkei 225

36.73%

1.30

28.24%

Quality

Management Risk

Growth

Capital Structure

Quality grade scale :

Below Average, Average, Good, Excellent

Quality key factors

Factor

Value

Sales Growth (5y)

-6.20%

EBIT Growth (5y)

-9.34%

EBIT to Interest (avg)

Debt to EBITDA (avg)

Net Debt to Equity (avg)

Sales to Capital Employed (avg)

Tax Ratio

Dividend Payout Ratio

27.14%

Pledged Shares

Institutional Holding

1.90%

ROCE (avg)

ROE (avg)

Valuation

Valuation Scorecard

Valuation grade scale :

Very Risky, Risky, Very Expensive, Expensive, Fair, Attractive, Very Attractive

Valuation Key Factors

Factor

Value

P/E Ratio

Industry P/E

Price to Book Value

0.88

EV to EBIT

-25.27

EV to EBITDA

-19.74

EV to Capital Employed

1.07

EV to Sales

-8.02

PEG Ratio

0.24

Dividend Yield

0.04%

ROCE (Latest)

-4.22%

ROE (Latest)

6.82%

Technicals

Technical key factors

Indicator

Weekly

Monthly

MACD

Mildly Bearish

Bullish

RSI

No Signal

Bollinger Bands

Sideways

Mildly Bullish

Moving Averages

Mildly Bullish (Daily)

KST

Mildly Bearish

Bullish

Dow Theory

Mildly Bullish

OBV

No Trend

Bullish

Technical Indicator Scale: Bearish, Mildly Bearish, Sideways, Mildly Bullish, Bullish Turned

Technical Movement

Analyse All Technical Factors

Financial Trend

Financial Trend Scorecard

Financial Trend scale:

Very Negative, Negative, Flat, Positive, Very Positive, Outstanding

5What is working for the Company

ROCE(HY)

Highest at 0.74%

CREDIT DEPOSIT RATIO(Q)

Highest at 0%

NET PROFIT(9M)

Higher at JPY 23,994.83 MM

-8What is not working for the Company

INTEREST(9M)

At JPY 5,278 MM has Grown at 235.96%

ROCE(HY)

Lowest at 0.74%

CASH AND EQV(HY)

Lowest at JPY 952,429 MM

Here's what is working for Suruga Bank Ltd.

Credit Deposit Ratio

Highest at 0% and Grown

In each half year in the last four Semi-Annual periods

MOJO Watch

Bank has been creating proportionately higher loans against its deposits, thereby creating higher revenue generating assets

Credit Deposit Ratio (%)

Net Profit

Higher at JPY 23,994.83 MM

than preceding 12 month period ended Dec 2025

MOJO Watch

In the nine month period the company has already crossed sales of the previous twelve months

Net Profit (JPY MM)

Here's what is not working for Suruga Bank Ltd.

Interest

At JPY 5,278 MM has Grown at 235.96%

over previous Semi-Annual period

MOJO Watch

Rising interest cost signifies increased borrowings

Interest Paid (JPY MM)

Cash and Eqv

Lowest at JPY 952,429 MM

in the last six Semi-Annual periods

MOJO Watch

Short Term liquidity is deteriorating

Cash and Cash Equivalents

Non Operating Income

Highest at JPY 0.34 MM

in the last five periods

MOJO Watch

Increased income from non business activities may not be sustainable

Non Operating income