Ogaki Kyoritsu Bank, Ltd. (8361) AI Stock Analysis

• Market Cap: ¥250.58B
• Dividend Yield: 2.27%
• Average Volume (3M): 182.86K
• Price to Earnings (P/E): 9.7
• Beta (1Y): 1.09
• Revenue Growth: 2.68%
• EPS Growth: 74.80%
• Country: JP
• Employees: 3,023
• Sector: Financial
• Sector Strength: 70
• Industry: Banks - Regional
• EPS (TTM): 120.67
• Shares Outstanding: 41,831,898
• 10 Day Avg. Volume: 294,060
• 30 Day Avg. Volume: 182,856
• PEG Ratio: 0.12
• Price to Book (P/B): 0.31
• Price to Sales (P/S): 0.80
• P/FCF Ratio: 2.08
• Enterprise Value/Market Cap: N/A
• Enterprise Value/Revenue: N/A
• Enterprise Value/Gross Profit: N/A
• Enterprise Value/Ebitda: N/A
• 1Y Price Target: N/A
• Price Target Upside: N/A
• Rating Consensus: N/A
• Number of Analyst Covering: 0
• EPS Forecast (FY): N/A
• Revenue Forecast (FY): N/A

• Rating: 68 Neutral
• Price Target: ¥6,987.00 ▲(33.85% Upside)
• Action: Downgraded Date: 01/15/26
• Date: Action: Downgraded 01/15/26

The score is driven mainly by solid financial performance (strong revenue growth and improved profitability, offset by only moderate balance-sheet strength and weaker operating cash conversion). Valuation is supportive with a moderate P/E and a 2.03% dividend yield. Technicals remain in a strong uptrend, but overbought signals (RSI/Stoch) temper the score due to elevated pullback risk.

Positive Factors

Revenue & Margin Expansion

Sustained 35% revenue growth alongside an 18.4% net margin indicates the core lending and fee businesses are scaling profitably. Over a multi-month horizon this enhances internal funding capacity, strengthens earnings resilience versus cyclical shocks, and supports reinvestment and customer lending.

Free Cash Flow Generation

A free cash flow conversion near parity with net income shows the bank reliably turns reported earnings into cash available for dividends, loan growth, or reserves. Durable FCF supports capital allocation flexibility and reduces reliance on external funding over the medium term.

Regional Market Franchise

A focused local franchise and community ties create sticky retail and SME relationships, aiding stable deposit funding and cross-sell of banking services. Over months, entrenched local presence supports predictable loan demand and lower customer churn versus non-local competitors.

Negative Factors

Weak Operating Cash Conversion

Low operating cash conversion implies reported profits include significant non-cash items or timing gaps between income and cash receipts. Persistently weak OCF raises questions about the sustainability of earnings and could constrain liquidity for lending, reserves, or payouts without corrective action.

Thin Capital Base

A low equity ratio signals a thin capital buffer relative to assets, limiting loss absorption and capital flexibility. Combined with modest ROE, this suggests constrained capacity to pursue growth or absorb credit stress without raising capital, a structural vulnerability for a regional lender.

Operational Efficiency Headroom

Mid-teens operating margins indicate there is meaningful scope to improve cost efficiency or revenue mix. Without structural efficiency gains, margin compression from funding costs or competitive pressure could limit long-term profit expansion and reduce funds available for strategic initiatives.

Ogaki Kyoritsu Bank, Ltd. Business Overview & Revenue Model

Company Description

The Ogaki Kyoritsu Bank, Ltd., a regional financial institution, provides various banking products and services in Japan and internationally. The company also provides computing and software development services; research services on economy, industry, information processing technology, and culture; credit guarantee and investigation services; real estate collateral appraisal services; and credit card services; and bank agency services, as well as engages in the preparation, printing, receiving, and forwarding of documents. It is also involved in leasing and securities activities. It operates through 159 branches, including 155 domestic and 3 foreign branches. The company was incorporated in 1896 and is headquartered in Ogaki, Japan.

How the Company Makes Money

Ogaki Kyoritsu Bank generates revenue primarily through interest income from loans provided to individuals and businesses. This includes personal loans, mortgages, and corporate loans, which typically offer higher interest rates compared to other financial products. Additionally, the bank earns fee-based income through services such as account maintenance fees, transaction fees, and advisory services. Investment income from securities and financial instruments also contributes to its earnings. The bank may have partnerships with local businesses and government entities that enhance its service offerings and customer base, further supporting its revenue streams.

Ogaki Kyoritsu Bank, Ltd. Financial Statement Overview

Summary

Income statement is solid (score 72) on strong revenue growth (+35.17%) and improved net margin (18.38%), but balance sheet is only moderate (score 65) with modest ROE (4.62%) and a low equity ratio (4.87%). Cash flow is the weakest leg (score 58) due to low operating cash flow to net income (0.38) despite healthy free cash flow to net income (0.95).

Income Statement

Ogaki Kyoritsu Bank has demonstrated strong revenue growth with a 35.17% increase in the latest year, indicating robust business expansion. The net profit margin improved significantly to 18.38%, showcasing enhanced profitability. However, the EBIT margin of 14.54% and EBITDA margin of 14.54% suggest room for operational efficiency improvements.

Balance Sheet

The bank's debt-to-equity ratio of 1.21 indicates moderate leverage, which is a positive trend compared to previous years. Return on equity stands at 4.62%, reflecting moderate profitability relative to shareholder equity. The equity ratio of 4.87% suggests a stable capital structure, though there is potential for improving asset utilization.

Cash Flow

The free cash flow growth rate is notably high, indicating strong cash generation capabilities. However, the operating cash flow to net income ratio of 0.38 suggests that cash generation from operations could be improved. The free cash flow to net income ratio of 0.95 is healthy, reflecting efficient cash management.

Breakdown	TTM	Mar 2025	Mar 2024	Mar 2023	Mar 2022	Mar 2021
Income Statement
Total Revenue	102.09B	123.84B	127.13B	115.11B	108.00B	109.97B
Gross Profit	121.09B	113.99B	119.49B	109.45B	106.98B	108.23B
EBITDA	13.64B	23.84B	17.08B	11.84B	20.85B	16.54B
Net Income	15.70B	14.72B	9.47B	4.83B	10.62B	8.01B
Balance Sheet
Total Assets	6.59T	6.54T	6.65T	6.67T	7.72T	7.45T
Cash, Cash Equivalents and Short-Term Investments	0.00	774.35B	672.84B	501.97B	1.66T	1.50T
Total Debt	328.34B	386.48B	441.15B	400.01B	1.57T	1.25T
Total Liabilities	6.27T	6.22T	6.31T	6.38T	7.40T	7.12T
Stockholders Equity	327.41B	318.52B	338.70B	288.07B	309.72B	317.80B
Cash Flow
Free Cash Flow	0.00	47.56B	-12.19B	-1.25T	291.46B	1.31T
Operating Cash Flow	0.00	49.87B	-9.31B	-1.24T	295.31B	1.32T
Investing Cash Flow	0.00	97.37B	283.18B	93.75B	-112.63B	-101.69B
Financing Cash Flow	0.00	-27.24B	10.89B	-12.27B	-3.35B	-2.97B

Ogaki Kyoritsu Bank, Ltd. Technical Analysis

• Technical Analysis Sentiment: Neutral
• Last Price: 5220.00
• 50DMA: Positive
• 100DMA: Positive
• 200DMA: Positive
• MACD: Positive
• RSI: Neutral
• STOCH: Neutral

Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For JP:8361, the sentiment is Neutral. The current price of 5220 is below the 20-day moving average (MA) of 6349.50, below the 50-day MA of 5944.90, and above the 200-day MA of 3961.01, indicating a neutral trend. The MACD of 73.86 indicates Positive momentum. The RSI at 46.42 is Neutral, neither overbought nor oversold. The STOCH value of 35.58 is Neutral, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Neutral sentiment for JP:8361.

Ogaki Kyoritsu Bank, Ltd. Peers Comparison

Name	Overall Rating	Market Cap	P/E Ratio	ROE	Dividend Yield	Revenue Growth	EPS Growth
8544	71 Outperform	¥229.89B	14.45	―	2.13%	7.77%	5.80%
8336	70 Outperform	¥192.94B	8.55	―	3.00%	10.56%	16.02%
8361	68 Neutral	¥250.58B	9.68	―	2.27%	2.68%	74.80%
Sector *	68 Neutral	$18.00B	11.42	9.92%	3.81%	9.73%	1.22%
7381	65 Neutral	¥215.71B	8.99	―	2.38%	8.43%	38.21%
8388	65 Neutral	¥208.63B	10.90	―	2.53%	7.67%	11.03%
8386	59 Neutral	¥236.24B	10.68	―	2.55%	-0.36%	41.38%

Ogaki Kyoritsu Bank, Ltd. Corporate Events

Ogaki Kyoritsu Bank to Book ¥13.1 Billion Gain on IBIDEN Share Sale

The Ogaki Kyoritsu Bank has finalized the gain it will book from selling a portion of its holdings in IBIDEN Co., Ltd., after the offering price for the secondary share sale was set at 7,314 yen per share. The regional lender, which sold 2,000,000 IBIDEN shares, underscores the role of equity investments in its broader financial management and capital efficiency efforts.

As a result of the transaction, the bank expects to recognize gains of 13.1 billion yen in both its consolidated and non-consolidated results for the fiscal year ending March 2026. Management is now reassessing its earnings forecasts in light of this substantial one-off profit and other factors, and has indicated it will update guidance if any revisions become necessary.

The most recent analyst rating on (JP:8361) stock is a Buy with a Yen7403.00 price target. To see the full list of analyst forecasts on Ogaki Kyoritsu Bank, Ltd. stock, see the JP:8361 Stock Forecast page.

Ogaki Kyoritsu Bank to Book ¥18.2 Billion Gain From Sale of IBIDEN Shares

The Ogaki Kyoritsu Bank, Ltd. has decided to sell a portion of its shareholdings in IBIDEN CO., LTD. as part of a broader review of its investment securities portfolio. The bank is disposing of shares deemed to be held for pure investment purposes, signaling an active approach to balance sheet management and capital efficiency.

The bank plans to sell 2,000,000 IBIDEN shares, and based on the recent closing price, it expects to book approximately ¥18.2 billion in gains on the sale of investment securities. This prospective profit could materially affect earnings, and the bank is reassessing its earnings forecasts in light of this transaction, with a commitment to disclose any revisions promptly to stakeholders.

The most recent analyst rating on (JP:8361) stock is a Hold with a Yen7074.00 price target. To see the full list of analyst forecasts on Ogaki Kyoritsu Bank, Ltd. stock, see the JP:8361 Stock Forecast page.

Ogaki Kyoritsu Bank Expands Long-Term Shareholder Benefit Program

The Ogaki Kyoritsu Bank will expand its “OKB’s Autumn Gift” shareholder benefit program, which applies to investors holding at least 500 shares for one year or more as of each September 30. The move is aimed at increasing the appeal of its stock and incentivizing shareholders to maintain long-term holdings.

Under the revised plan, shareholders with a holding period of one year to less than three years will continue to receive one selectable gift from OKB-branded and local specialty products, while those holding for three years or more will be eligible for two such items. The expanded program, which leaves the separate March 31 “Selectable” benefits unchanged, will take effect from the record date of September 30, 2026, reinforcing rewards for loyal investors.

The most recent analyst rating on (JP:8361) stock is a Hold with a Yen7074.00 price target. To see the full list of analyst forecasts on Ogaki Kyoritsu Bank, Ltd. stock, see the JP:8361 Stock Forecast page.

Ogaki Kyoritsu Bank to Book Extraordinary Income From Partial Pension Trust Refund

The Ogaki Kyoritsu Bank, Ltd., a regional Japanese commercial bank listed on the TSE Prime and NSE Premier markets, offers deposit, lending, and other financial services to retail and corporate customers, with operations centered on prudent asset and liability management. Its strategy emphasizes financial stability, including careful oversight of retirement benefit obligations and associated trust assets.

The bank will partially cancel its retirement benefit trust after determining that pension-related assets exceed retirement benefit obligations on a sustained basis. It expects to receive an approximate 11.6 billion yen refund on March 5, 2026, and to book about 6.1 billion yen in extraordinary income for the fiscal year ending March 2026, potentially improving near-term profitability, while noting that the final amount may change and that any resulting revisions to earnings forecasts will be announced promptly.

The most recent analyst rating on (JP:8361) stock is a Hold with a Yen7074.00 price target. To see the full list of analyst forecasts on Ogaki Kyoritsu Bank, Ltd. stock, see the JP:8361 Stock Forecast page.

Ogaki Kyoritsu Bank Delivers Strong Nine-Month Earnings and Confirms Full-Year Dividend Outlook

The Ogaki Kyoritsu Bank reported strong consolidated results for the nine months ended December 31, 2025, with ordinary income up 18.2% to ¥112.4 billion and ordinary profit surging 62.3% to ¥18.8 billion. Profit attributable to owners of the parent jumped 53.5% to ¥12.8 billion, lifting basic earnings per share to ¥307.27 and improving the equity-to-asset ratio to 5.5% as total assets rose to ¥6.62 trillion.

The bank maintained its dividend policy, paying an interim dividend of ¥55 per share and keeping its full-year forecast unchanged at ¥110 per share and profit attributable to owners of ¥17.1 billion. The results signal enhanced profitability and capital strength without major changes in consolidation scope or accounting policies, supporting stable shareholder returns and reinforcing its financial position ahead of the March 2026 fiscal year-end.

The most recent analyst rating on (JP:8361) stock is a Buy with a Yen6350.00 price target. To see the full list of analyst forecasts on Ogaki Kyoritsu Bank, Ltd. stock, see the JP:8361 Stock Forecast page.

Ogaki Kyoritsu Bank to Dissolve Banking Agency Subsidiary OKB Front

The Ogaki Kyoritsu Bank has decided to dissolve its wholly owned subsidiary OKB Front Co., Ltd., which conducts banking agency services, as part of a review of its store network. OKB Front, established in 2014 with share capital of ¥10 million and fully owned by the bank, recorded sales of ¥84 million and profit of ¥3 million in the fiscal year ended March 2025, and is scheduled to be dissolved on March 31, 2026 and fully liquidated by June 8, 2026; the bank states the move will not affect its consolidated or non-consolidated earnings forecasts, suggesting a limited financial impact but signaling ongoing rationalization of its physical distribution structure.

The most recent analyst rating on (JP:8361) stock is a Buy with a Yen6350.00 price target. To see the full list of analyst forecasts on Ogaki Kyoritsu Bank, Ltd. stock, see the JP:8361 Stock Forecast page.