ORIX Corporation (ORXCF)
UndervaluedFundamental
61
Price
$5911.00
Market Cap
$6.37T
Part 1 · What the company is worth
Overview
ORIX is a Japanese financial conglomerate that does not fit one label: it leases equipment to businesses, lends money, develops and manages real estate, runs private-equity investments and airport and water concessions, sells life insurance, owns a bank, leases aircraft and ships, and generates and retails renewable energy — mostly in Japan, with growing operations in the Americas, Europe and Asia. Its edge is being able to move capital across all of these businesses as opportunities shift.
How it makes money
Because it spans leasing, lending, insurance, banking and investing, ORIX earns money in several different ways at once: interest and fees on loans and leases, insurance premiums, gains on private-equity and real-estate investments, and returns on aircraft, ship and infrastructure assets it owns and operates. Group results are reported mainly as segment profit rather than a single, clean revenue split, reflecting how different these businesses are from one another.
What drives demand
Moderately cyclicalSpreading across leasing, lending, insurance, real estate, private equity and infrastructure means different parts of the group respond to different conditions at different times — private equity and real estate lean cyclical, insurance and core leasing lean steadier — so the group as a whole tends to be less exposed to any single economic swing than a pure-play in one of those businesses would be.
Key risks
- Credit risk across many businesses — ORIX monitors credit exposure across loans, leases and investments by borrower type, region and asset quality; concentration in any of these can expose the group to loan and lease losses.
- Interest rate exposure — A meaningful part of interest income comes from floating-rate installment loans and related instruments, so a drop in market interest rates can reduce income earned on that book.
- Market risk from diverse exposures — The group is exposed to interest rate, foreign exchange and equity market price movements across its lending, investment and insurance businesses simultaneously.
- Liquidity and funding risk — As a business that lends and leases using borrowed and raised capital, ORIX depends on continued access to funding markets at reasonable cost to sustain its lending and leasing activities.
- Operational and cybersecurity risk — The group names information security, IT and operational risk among its principal risk categories, given how many financial systems and customer data it operates across its many business lines.
The case for
Buyers argue that spreading capital across leasing, lending, insurance, real estate, private equity and infrastructure lets ORIX shift money toward whichever business is performing best at a given time, and that this diversification makes the group's overall earnings steadier than any single one of its businesses would be on its own.
The case against
Sellers worry that a conglomerate spanning lending, insurance, real estate and private equity is hard for an outside investor to value cleanly, that credit, interest-rate and market risk hit several of its businesses at once in a downturn, and that segment profit — the way results are reported — can mask which parts of the group are actually struggling.
Written by the editors, published on August 18, 2026
Direct competitors
Who this company fights with for the same customers
Generated on September 19, 2026 with claude-haiku-4-5 — shared with all users
Japan's largest diversified lessor, chasing the same corporate customers as ORIX in equipment leasing, auto mobility, aircraft, real estate and renewable-energy finance, both in Japan and overseas.
Competes directly for Japanese equipment-leasing and auto-fleet contracts and, like ORIX, has built specialty finance in aircraft, shipping and international leasing.
One of the three biggest Japanese lessors, unlisted because it is jointly owned by Sumitomo Mitsui Financial Group and Sumitomo Corporation, and it bids against ORIX for corporate leasing, aircraft and real-estate finance mandates.
Offers the same mix of equipment leasing, lending, real-estate and aircraft operating leases to Japanese corporate borrowers that ORIX serves.
A mid-sized independent Japanese lessor competing for the same equipment, vehicle and real-estate leasing business among domestic small and mid-cap corporates.
The world's largest aircraft lessor, competing head-on with ORIX Aviation for aircraft placements and sale-leaseback deals with the same global airline customers.
Balance Sheet & Liquidity
Revenue
$2.27T
Trailing 12 months (through 6/30/2026)
Net Income
$620.81B
Trailing 12 months (through 6/30/2026)
Free Cash Flow
-
Total Equity
$4.47T
Total Liabilities
$6.31T
Current Ratio
1.68
Interest Coverage
-
Debt/EBITDA
5.47
Earnings Per Share
Revenue & Net Income
Free Cash Flow
Income Breakdown
Historical statement
Margins over time
Debt over time
How heavy the debt is
Growth grid
Growth — Revenue
Fair Value Estimation
Fair Value
$10471.14
Current Price
$5911.00
Margin of Safety
+43.5%
Fair Value Range
$6806.24 - $14136.04
Spread across the valuation methods used, not a statistically calibrated confidence interval.
Estimation Methods
Valuation Metrics
P/E Ratio
10.88
ROE
14.0%
P/B Ratio
1.42
P/FCF
-
Gross Margin
43.6%
ROIC
5.5%
Profitability Radar
Value Creation (Economic Moat)
ROIC
5.5%
WACC
5.6%
ROIC − WACC
-0.1 pp
ROIC is roughly in line with the cost of capital — the company is barely covering its capital cost.
Fundamental Analysis Criteria
Passed (13)
- Price CAGR 13.54%
- ROIC 5.5%
- Gross Margin 43.6%
- P/B Ratio 1.42
- Debt/Equity ratio
- Current Ratio
- Debt/EBITDA
- ROE 10.1%
- Revenue Growth 5Y 7.8%
- Analyst Consensus 50% Buy
- Earnings Surprise avg 21.7%
- PEG Ratio 0.71
- Net Margin Trend 13.4% vs 12.2%
Failed (2)
- DCF valuation (Unknown)
- Piotroski F-Score 0/9
Unavailable (12)
- EPS data insufficient
- P/FCF NaN
- Dividend Payout NaN%
- Operating Margin NaN%
- Positive Free Cash Flow
- CapEx intensity
- Interest Coverage
- Return on Tangible Assets
- Low reliance on intangibles
- Price below Graham Number
- Earnings Quality (OCF/Net Income)
- Share Dilution (missing shares data)
Piotroski F-Score
Serious financial concerns
Earnings Quality
Low quality: investigate accounting
Share Dilution
Buying back shares. Shareholder friendly
Institutional Holdings
No institutional filings reported for this company.
Governance
Executive Team
| Name | Title | Age |
|---|---|---|
| Mr. Hidetake Takahashi | President & CEO for Digital Innovation, Representative Executive Officer and Director | 54 |
| Mr. Seiichi Miyake | Managing Executive Officer & Head of Investment and Operation Headquarters | 57 |
| Mr. Stan H. Koyanagi J.D. | Senior Managing Executive Officer & Global General Counsel | 65 |
| Mr. Satoru Matsuzaki | Representative Executive Officer Deputy President, COO for Japan & APAC and Director | 59 |
| Mr. Eiji Arita | Managing Executive Officer & Head of Corporate Business Headquarters | 59 |
| Mr. Masataka Yamada | Senior Managing Executive Officer, CFO, Chief Strategy Officer & Director | 53 |
| Mr. Paddy Hogan | Global Head of Investor Relations | - |
| Koichi Uchida | General Manager of Group Corporate Communication | - |
| Mr. Satoru Katahira | Chairman of Health Insurance Society and Corporate Pension Fund of ORIX Group | - |
| Mr. Shuji Irie | Senior Managing Executive Officer, COO of Infrastructure Business Unit & Director | 62 |
Audit Risk
1
Board Risk
2
Compensation Risk
1
Shareholder Rights Risk
7
Part 2 · The price and when to enter
This part won't tell you whether the company is worth owning: it helps you choose when to buy it, once the fundamentals have convinced you. Inside: technical analysis, potential, historical drawdowns, gamma exposure.
Latest News
Recent headlines for ORXCF, sourced from Markets Gazette.