MFZA.F - Mitsubishi UFJ Financial Group, Inc.

Frankfurt - Frankfurt Delayed Price. Currency in EUR
4.2245
+0.0010 (+0.02%)
At close: 3:45PM CEST
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Previous Close4.2235
Open4.1520
Bid4.1800 x 160000
Ask4.2050 x 160000
Day's Range4.1520 - 4.2245
52 Week Range3.9800 - 5.5900
Volume1,000
Avg. Volume33
Market Cap54.513B
Beta (3Y Monthly)0.70
PE Ratio (TTM)4.91
EPS (TTM)0.8600
Earnings DateN/A
Forward Dividend & Yield0.18 (4.31%)
Ex-Dividend Date2019-03-28
1y Target EstN/A
  • Japan’s Banks Are Running Out of Room to Cope With Negative Rates
    Bloomberg

    Japan’s Banks Are Running Out of Room to Cope With Negative Rates

    (Bloomberg) -- Japanese banks have spent more than three years trying to flee negative interest rates at home by ramping up lending abroad. Now their escape routes are closing.Declining global rates are buffeting the country’s three largest lenders as they prepare to post fiscal first-quarter results next week. And with central banks around the world now in monetary easing mode, financial firms are growing concerned that the Bank of Japan may loosen policy further.“There is a limit to what banks can do to cope” with negative rates, Japanese Bankers Association Chairman Makoto Takashima said earlier this month.That bodes ill for Mitsubishi UFJ Financial Group Inc., Sumitomo Mitsui Financial Group Inc. and Mizuho Financial Group Inc., which have about a third of their loans abroad. What’s more, the Tokyo-based banks face rising bad-loan costs and diminishing gains from selling shares held in their corporate clients – factors that had been propping up earnings as loan profitability eroded.The triple-whammy of low global rates, rising provisions and limited stock gains mean first-quarter results “will probably be subdued and may set the tone for the rest of the year,” said Francis Chan, a Bloomberg Intelligence banking analyst.Read how a return to easy money is slamming global banksShares of the three banks fell less than 1% on Friday morning in Tokyo. Sumitomo Mitsui is the best performer this year, climbing 4.9%, while Mizuho has slid 7.9% and MUFG is down 2%.The charts below illustrate the banks’ predicament heading into this earnings season. Sumitomo Mitsui will kick off reporting on Tuesday, followed by MUFG and Mizuho the following day.Record-Low RatesThe squeeze on banks’ domestic lending profitability got even worse last quarter. The average interest rate on new loans tumbled to a record-low 0.576% in May, Bank of Japan data show, and 10-year Japanese bond yields have been negative almost all year.Not All BadTo be sure, the drop in interest rates abroad isn’t entirely bad news because it will allow the banks to book gains on their foreign bond holdings in the short term, said Rie Nishihara, an analyst at JPMorgan Chase & Co. in Tokyo. She predicts the lenders will achieve at least 25% of their full-year profit targets during the period.MUFG and Mizuho expect net income to rise in the fiscal year through March -- but only because they booked hefty writedowns in the last quarter of the previous year. Sumitomo Mitsui is forecasting a profit decline.Rising Credit CostsIn recent years, Japanese banks booked profits from clawing back loan-loss provisions that weren’t needed because of gradually improving economic conditions. While it’s unlikely that loan quality will suddenly deteriorate, those reversals have now reached their limit and it’s time to replenish reserves.“One thing that should make their lives more difficult will be rising credit costs,” said Michael Makdad, an analyst at Morningstar Inc. in Tokyo.Stock Sale GainsJapanese banks have been trimming their so-called cross-shareholdings in recent years following government efforts to loosen cozy ties between lenders and their corporate clients. They initially booked healthy gains when stocks were rallying, but those are likely to diminish because Japan’s equity market recovery has faded.(Updates with shares in the sixth paragraph)To contact the reporters on this story: Taiga Uranaka in Tokyo at turanaka@bloomberg.net;Yuki Hagiwara in Tokyo at yhagiwara1@bloomberg.netTo contact the editors responsible for this story: Marcus Wright at mwright115@bloomberg.net, Russell WardFor more articles like this, please visit us at bloomberg.com©2019 Bloomberg L.P.

  • Japan's MUFG offers redundancy to 500 senior bankers in London: source
    Reuters

    Japan's MUFG offers redundancy to 500 senior bankers in London: source

    Japan's Mitsubishi UFJ Financial Group is offering voluntary redundancy packages to 500 managing directors and directors in its London office, a source familiar with the matter said on Friday. The plan aimed to reduce costs and streamline a workforce that had too many senior managers, the source said. Japan's biggest bank by assets set a more bullish tone in November 2017, when Reuters reported it had hired more than 180 staff in the British capital that year and was set to bring on board more as it sought to expand its business in Europe.

  • Japanese bank MUFG rethinks policy on coal-fired power projects
    Reuters

    Japanese bank MUFG rethinks policy on coal-fired power projects

    Japan's Mitsubishi UFJ Financial Group will no longer provide financing for new coal-fired power generation projects after July 1, it said on Wednesday in a revised environmental and social policy framework. MUFG, one of the world's largest banks by assets, said the decision will gradually reduce the balance of its exposure to coal power station projects. The company could make exceptions where governments need to build plants to meet local electricity demand, an MUFG spokesman said.

  • CNBC

    Barclays, Citigroup and JP Morgan among banks fined $1.2 billion for forex rigging

    Barclays, Citigroup, J.P. Morgan, MUFG and Royal Bank of Scotland have been fined a total of 1.07 billion euros ($1.2 billion) by EU antitrust regulators for rigging the spot foreign exchange market for 11 currencies. Swiss bank UBS was exempted from a 285 million euro fine since it alerted the existence of two cartels to the European Commission. A similar case with the U.S. regulators is ongoing where Barclays, BNP Paribas, Citigroup, J.P. Morgan, Royal Bank of Scotland and UBS have entered related guilty pleas, and been collectively fined more than $2.8 billion.

  • Reuters

    Mitsubishi plans $1.4 billion rescue for plant engineering firm Chiyoda: Nikkei

    Japanese trading house Mitsubishi Corp and MUFG Bank plan to rescue plant engineering company Chiyoda Corp with a $1.4 billion lifeline, betting on a turnaround fuelled by greater LNG demand, the Nikkei newspaper reported on Monday. Chiyoda, one of the world's leading builders of liquefied natural gas (LNG) plants, has struggled with losses after a hurricane hit its Cameron LNG project in Louisiana. Mitsubishi has said it expects such growth to also fuel a rise in LNG projects.

  • Reuters

    Japanese stocks edge up, MUFG falls on writedown worries

    Japan's Nikkei edged up on Monday in choppy trade as investors stayed on the sidelines before the Golden Week holiday starts later in the week, while Mitsubishi UFJ Financial Group underperformed on a report that it will book a writedown. Traders said that investors were likely to be defensive this week as they remained cautious before Japan's 10-day holiday, also to mark the ascension of the new emperor, Crown Prince Naruhito, starting this weekend. The Japanese market has gained 5 percent this month supported by stronger-than-expected Chinese economic data, which bodes well for sentiment in Japan Inc's earnings.

  • Japan's MUFG to book $890 million charge in just-ended year; sticks to FY estimate - Nikkei
    Reuters

    Japan's MUFG to book $890 million charge in just-ended year; sticks to FY estimate - Nikkei

    Japan's MUFG will book a charge of about 100 billion yen ($893.34 million) in the year ended March after its credit card unit stopped development of a new system, but will keep its full-year profit outlook, the Nikkei reported on Monday. Mitsubishi UFJ Financial Group Inc, Japan's biggest bank by assets, continues to forecast net profit of 950 billion yen, the newspaper said. An MUFG spokesman declined to comment on the report when contacted by Reuters.

  • Reuters

    Nikkei edges up in choppy trade; MUFG falls on writedown worries

    Japan's Nikkei edged up on Monday morning in choppy trade as investors stayed on the sidelines before the Golden Week holiday starts later in the week, while Mitsubishi UFJ Financial Group underperformed on a report that it will book a writedown. Traders said that investors are likely to stay defensive this week as they are cautious before the 10-day holiday in Japan starting this weekend. "The market has priced in the positive news (from China) and it is waiting for another strong cue," said Shogo Maekawa, a global market strategist at JPMorgan Asset Management.

  • Reuters

    Crypto compliance startup Chainalysis raises funding from MUFG, Sozo Ventures

    New York-based cryptocurrency compliance startup Chainalysis has raised $6 million in funding from Japanese financial group Mitsubishi UFJ Financial Group Inc and venture capital firm Sozo Ventures, the company said on Tuesday. Chainalysis hopes the strategic investment will help it further its expansion plans in Asia, Chief Executive Michael Gronager, said in an interview. Chainalysis is known for its work in helping law enforcement, regulators, and businesses including banks track flows of cryptocurrency to spot illicit activity.

  • Reuters

    FOREX-Euro gains in surprise move driven by flows linked to Japan

    The euro gained on Friday in a move dealers said may have be driven by anticipated currency demand arising from a Japanese bank's plans to purchase a German multi-billion dollar aviation finance business. The jump in the common currency occurred late in Friday's Asia session and saw the euro rise to a 2-1/2-week high.

  • Japan's MUFG considers scaling back overseas markets division: sources
    Reuters

    Japan's MUFG considers scaling back overseas markets division: sources

    Mitsubishi UFJ Financial Group is considering scaling back its bond and equity sales and trading operations in London and New York as part of a broader restructuring of its global markets division, two sources said on Tuesday. MUFG, Japan's biggest bank by assets, will also overhaul its Japanese equity business at home and overseas. The move comes after Japanese brokerage Nomura Holdings last week said it would cut $1 billion in costs from its wholesale business and shut domestic retail branches.

  • Reuters

    Japan's MUFG considers scaling back overseas markets division -sources

    Mitsubishi UFJ Financial Group is considering scaling back its bond and equity sales and trading operations in London and New York as part of a broader restructuring of its global markets division, two sources said on Tuesday. MUFG, Japan's biggest bank by assets, will also overhaul its Japanese equity business at home and overseas. The move comes after Japanese brokerage Nomura Holdings last week said it would cut $1 billion in costs from its wholesale business and shut domestic retail branches.

  • Reuters

    MOVES-MUFG names John Winter as CEO of MUFG Securities EMEA

    Mitsubishi UFJ Financial Group Inc on Friday named John Winter as chief executive officer of MUFG Securities EMEA and head of MUFG Bank's Global Corporate and Investment Banking business in EMEA region. ...