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Investing.com - Nomura raised its price target on Sumitomo Mitsui Financial Group (8316:JP) (NYSE:SMFG) stock to JPY5,600 from JPY5,000 while maintaining a Buy rating.
The research firm cited strong performance in client-facing operations, particularly in loan and deposit operations in Japan, as key factors behind the increased target.
Nomura also pointed to the lagging effects of rising yen interest rates as contributing to its more optimistic outlook for the financial group.
The price target revision followed Nomura’s follow-up research with company representatives after Sumitomo Mitsui Financial Group’s fiscal year 2025/3 results announcement.
Nomura positioned Sumitomo Mitsui Financial Group as one of its top recommendations in the financial sector, reflecting increased longer-term earnings forecasts for the company.
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