ORXCF - ORIX Corporation: Spotlight On Guidance Miss And Ambitious Goal (Rating Downgrade)
2025-05-13 10:21:22 ET
Summary
- My rating for ORIX Corporation is lowered from Buy to Hold, considering its short-term prospects and mid-term targets.
- ORIX's FY25 earnings and FY26 bottom-line guidance missed their respective consensus forecasts by -7% and -9%, respectively.
- But there's potential for a positive valuation re-rating in time to come, if the company's ROE improves from 8.8% last year to the targeted 11% in three years' time.
I have turned Neutral on ORIX Corporation ( IX ) ( OTCPK:ORXCF ) (8591.T).
The previous September 26, 2024 update outlined my bullish opinion of ORIX, taking into account its cash distributions and rate tailwinds....
ORIX Corporation: Spotlight On Guidance Miss And Ambitious Goal (Rating Downgrade)