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Sumitomo Pharma Co (DNPUF) Fair Value & Analysis

Healthcare · US · Market cap $4.2B

SP Sumitomo Pharma Co logo Sumitomo Pharma Co DNPUF · US
Price$8.41
Fair Value$18.01
Upside+114.3%
Quality69/100
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Weak Growth
Highly profitable · 23.6% net margin
Moderate debt · generates free cash flow
Ranks above peers (7/10)
Moderate moat 57/100
Evidence: High Range $13.51 – $22.51 Share as image

Fair value as of: Jul 24, 2026

From 23 valuation models · updated 17 days ago

Fair value updated Jul 24, 2026, revised from $18.30 to $18.01 (−1.6%) since Jun 25, 2026. Share price −10.3% over the past month.

A solid business, screening 114% undervalued on our models.

What matters now

  • The price is below even our cautious bear case ($13.51). The market is more pessimistic than our downside scenario.
  • Solid quality (69/100) at a price below fair value, the discount is the argument here, not the business quality.
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Price vs Fair Value (5 years)

$28.34 $1.99 Fair Value $18.01 Jul 2015 Jul 2026

White line = price, green steps = our fair value per fiscal year, dashed = 300-day average. As of Jul 24, 2026.

How to read this chart

60‑month range $1.99 – $28.34 · fair‑value band $13.51 – $22.51 · the $8.41 price screens below the $18.01 fair value. Green steps = our fair value per fiscal year (point-in-time, no hindsight). Dashed = 300-day average. As of Jul 24, 2026.

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Analysis

Sumitomo Pharma Co (DNPUF) currently trades at $8.41, while our model-based Fair Value estimate is $18.01, implying the stock looks roughly 114.3% undervalued today. The Quality Score stands at 69/100 (solid quality), in the Healthcare sector. Bull case: trading below our estimate, it may offer upside if the fundamentals hold. Bear case: a low price can be a value trap when quality is weak or the data is thin (evidence: high), always confirm before acting.

Over the trailing twelve months, Sumitomo Pharma Co generated revenue of $453B at a net margin of 23.6%. Revenue declined 0.1% year over year. It earns a return on equity of 46.3%. Net debt stands at $174B. Fundamentals as of Jul 24, 2026

Our scenario range runs from $13.51 (bear case) to $22.51 (bull case); at $8.41, the current price sits below that range. Bear and bull are the same models run on conservative and optimistic assumptions (margins, growth, valuation multiples), so a plausible valuation range, not a price target. The share trades about 56% below its 52-week high and 33% above its 52-week low, currently below its 200-day average. For context, the median of 10 Healthcare peers we cover trades at -49% fair-value upside, at 114%, DNPUF screens cheaper than that median.

Fair Value models

Each model estimates fair value its own way; the Fair Value above is the evidence-weighted blend. Evidence (0–100) measures how completely this model’s inputs are available: well-fed models carry more weight in the blend. The spread across models is intentional, each one stresses a different value driver; dividend models, for instance, come out structurally low when payout is small.

Model BearBaseBull Evidence
Highest evidence
Growth DCF $8.25 $12.80 $18.80 80
Residual Income $12.44 $18.01 $166.55 76
Rev-Margin DCF $5.27 $9.40 $13.92 74
All 23 models by family
DCF Models
FCF DCF $7.97 $12.94 $19.80 38
Owner Earnings $17.60 $26.72 $39.30 31
5Y Revenue Exit $5.27 $9.25 $14.09 39
5Y EBITDA Exit $7.63 $13.48 $20.00 41
5Y P/E Exit $17.02 $30.28 $43.65 38
10Y Revenue Exit $5.99 $9.70 $14.23 36
10Y EBITDA Exit $7.65 $12.51 $18.47 37
10Y P/E Exit $13.40 $23.65 $35.42 35
Earnings-Based
Graham-Dodd $12.23 $30.04 $38.89 54
PEG = 1.0 $5.40 $7.72 $10.03 46
EPV $3.35 $4.44 $5.39 59
Multiples
P/E Multiple $29.68 $39.58 $49.47 63
P/S Multiple $20.03 $26.71 $33.38 58
P/B Multiple $16.62 $22.16 $27.69 55
EV/EBIT $7.22 $10.82 $14.42 53
EV/EBITDA $8.99 $13.18 $17.37 54
EV/Revenue $4.13 $7.43 $10.73 43
Asset-Based
NCAV (Graham) $2.46 $3.30 $4.92 50
Growth DCF
Growth DCF $8.25 $12.80 $18.80 80
Rev-Margin DCF $5.27 $9.40 $13.92 74
Economic Profit
Residual Income $12.44 $18.01 $166.55 76
ROIC Compounder $3.35 $4.44 $5.70 72
Growth Earnings
Growth-Adj P/E $22.68 $32.40 $42.12 68

Widest divergence: Growth Earnings ($32.40) versus Asset-Based ($3.30). Highest evidence: Growth DCF (80).

Key figures & financial health

Revenue (TTM) $453B
Revenue growth (YoY) -0.1%
Net margin 23.6%
Return on equity 46.3%
Free cash flow $67.5B FY2026
P/E ratio 5.6
More key figures
Operating margin -52.9%
EPS (TTM) $1.68
EPS growth (YoY) -83.5%
Net debt $174B FY2026

Figures from reported company fundamentals · as of Jul 24, 2026. TTM = trailing twelve months.

Quality Score breakdown

Overall quality 69/100

Of which business quality 64 · Market factors (momentum, volatility) 44

Profitability 74
Margins and returns on capital today
Quality Growth 66
Are margins and returns improving?
Cashflow 59
Earnings quality: real cash, not paper profit
Fin. Strength 30
Balance sheet, leverage, solvency risk
Investment 100
Disciplined investing over empire-building
Low Volatility 50
Calm price path (market factor)
Momentum 62
Price trend over the last 3–12 months (market factor)
52W Momentum 8
Distance to the 52-week high (market factor)
Net Issuance 82
Buybacks instead of dilution

Non-valuation factor families (profitability, growth, cashflow, financial strength, momentum …), each academically grounded. Valuation itself sits in the Fair Value and is deliberately excluded here to avoid double-counting.

About the company

Sumitomo Pharma Co., Ltd. Manufactures, purchases, and sells pharmaceutical products for medical treatment in Japan, North America, and Asia. It offers therapeutic agents for parkinson's disease, type 2 diabetes, advanced prostate cancer, uterine fibroids and endometriosis, overactive bladder, and pediatric congenital athymia.

Full company description

Sumitomo Pharma Co., Ltd. Manufactures, purchases, and sells pharmaceutical products for medical treatment in Japan, North America, and Asia. It offers therapeutic agents for parkinson's disease, type 2 diabetes, advanced prostate cancer, uterine fibroids and endometriosis, overactive bladder, and pediatric congenital athymia. The company also provides atypical antipsychotic, generic products, antiepileptic, atypical antipsychotic, and carbapenem antibiotic. In addition, it offers veterinary medicines, medical devices, etc. The company has collaboration and license agreement with Otsuka Pharmaceutical Co., Ltd. The company was formerly known as Sumitomo Dainippon Pharma Co., Ltd. and changed its name to Sumitomo Pharma Co., Ltd. in April 2022. The company was incorporated in 1897 and is headquartered in Osaka, Japan. Sumitomo Pharma Co., Ltd. is a subsidiary of Sumitomo Chemical Company, Limited.

Company description, as reported by the company or data provider.

Revenue & earnings trend

FY2022 – FY2026 · reported fiscal years

Sumitomo Pharma Co reported revenue of $456B in FY2026 versus $560B in FY2022, a compound −5.0%/yr. Reported net income was $108B in FY2026, compounding +17.5%/yr from FY2022.

Growth Quality 40/100
Revenue growth is weak, negative or inconsistent.
Latest Revenue (FY 2026)
$456B
Latest YoY
+14.4%
Avg. growth/yr (3Y)
−6.4%
Avg. growth/yr (5Y)
−2.4%
Avg. growth/yr (21Y)
+4.7%
Revenue −5.0%/yr
FY22 $560B
FY23 $556B
FY24 $315B
FY25 $399B
FY26 $456B
Net income +17.5%/yr
FY22 $56.4B
FY23 −$74.5B
FY24 −$315B
FY25 $23.6B
FY26 $108B

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Cite: Fair Value Calculator (2026). "Sumitomo Pharma Co Fair Value". https://www.fairvalue-calculator.com/stock/DNPUF

Peer Group

Drug Manufacturers - Specialty & Generic · 626 stocks

How this stock ranks against its industry: the green marker is this stock, the band is the typical 25–75% peer range, and the tick is the median.

Quality Score 69 · Top 25%
Fair Value upside +114% · Top 25%
Return on equity (TTM) 46% · Top 25%
Return on assets 4% · Above median
Net margin (TTM) 24% · Top 25%
Operating margin (TTM) -53% · Bottom 25%
Revenue growth -0% · Below median
Debt / equity 0.88× · Higher than 75% of peers

Valuation Multiples vs Drug Manufacturers - Specialty & Generic median · lower = cheaper

P/E (TTM) 5.6× · Cheaper than 75% of peers
P/FCF 0.1× · Cheaper than 75% of peers

Snowflake

Five quick dimensions, each 0 to 100: VALUE (fair-value potential), FUTURE (revenue growth), PAST (return on equity), HEALTH (low debt), DIVIDEND (yield). Green = this stock, grey = typical sector peer.

VALUE 100 · sector 7
FUTURE 0 · sector 20
PAST 100 · sector 23
HEALTH 56 · sector 97
DIVIDEND 0 · sector 34

Values & ESG

Does this company touch areas you may want to avoid? The classification is inferred from sector and industry.

None of the checked exposures detected

ESG scores are not available for this stock yet. Values and ESG data are contextual and can differ between providers.

Similar stocks

10 more Drug Manufacturers - Specialty & Generic stocks, each showing price versus our Fair Value estimate (as of Jul 24, 2026).

Stock Price Fair Value vs Fair Value
Jiangsu Hengrui Pharmaceuticals Co 600276 ¥53.19 ¥25.94 -51%
Sun Pharmaceutical Industries Limited SUNPHARMA ₹1,933 ₹989.50 -49%
Divi's Laboratories Limited DIVISLAB ₹7,316 ₹1,943 -73%
Torrent Pharmaceuticals Limited TORNTPHARM ₹4,763 ₹1,329 -72%
PharmaEssentia Corporation 6446 1,285 TWD 221.01 TWD -83%
Cipla Limited CIPLA ₹1,439 ₹1,001 -30%
Zydus Lifesciences Limited ZYDUSLIFE ₹1,151 ₹703.32 -39%
Lupin Limited LUPIN ₹2,443 ₹2,477 +1%
Mankind Pharma Limited MANKIND ₹2,484 ₹983.11 -60%
Dr. Reddy's Laboratories Limited DRREDDY ₹1,211 ₹874.79 -28%

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Frequently asked questions

Is Sumitomo Pharma Co (DNPUF) overvalued or undervalued?
As of Jul 24, 2026, our model estimates a fair value of $18.01 versus a price of $8.41, about +114% (undervalued).
What is the fair value of DNPUF?
Our model-based fair value for Sumitomo Pharma Co is $18.01 (as of Jul 24, 2026), built from audited fundamentals. The current price is $8.41.
What is the quality score of DNPUF?
Sumitomo Pharma Co has a Quality Score of 69/100. It measures business quality (profitability, growth, cash flow, balance-sheet strength, investment discipline, share issuance). Market factors such as price momentum and volatility do not enter the number; they are shown separately in the detail view.
What is the revenue of Sumitomo Pharma Co (DNPUF)?
Sumitomo Pharma Co reported trailing-twelve-month revenue of about $453B (latest available figure, as of Jul 24, 2026).
What is the net profit margin of DNPUF?
The net profit margin of Sumitomo Pharma Co is about 23.6%, meaning it keeps roughly 23.6% of revenue as net income. Based on the latest reported figures.

How we calculate Fair Value

Each company is valued through a stack of independent intrinsic-value models (DCF variants, residual-income, multiples and more), blended into one family-balanced consensus and weighted by how much trustworthy data backs it. A separate quality layer scores the fundamentals. Every input is real reported data, nothing guessed.

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