IHI Corporation (IHICY) Fair Value & Analysis

Industrials · US · Market cap $19.1B

A solid business, but screening 41% overvalued on our models.

What matters now

• The model range is unusually wide ($7.12 to $21.21). The outcome hinges heavily on assumptions, so read the point estimate with caution.
• Solid but not exceptional quality (52/100) and above fair value, neither a clear bargain nor a standout compounder.

Price vs Fair Value (5 years)

White line = price, green steps = our fair value per fiscal year, dashed = 300-day average. As of Jul 18, 2026.

How to read this chart

60‑month range $1.33 – $29.14 · fair‑value band $7.12 – $21.21 · the $17.52 price screens above the $10.26 fair value. Green steps = our fair value per fiscal year (point-in-time, no hindsight). Dashed = 300-day average. As of Jul 18, 2026.

Full chart & analysis →

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Analysis

IHI Corporation (IHICY) currently trades at $17.52, while our model-based Fair Value estimate is $10.26, implying the stock looks roughly 41.4% overvalued today. The Quality Score stands at 52/100 (solid quality), in the Industrials sector. Bear case: priced above our estimate, the market already discounts strong expectations. Bull case: above-average quality can justify a premium, the entry price still matters most (evidence: high).

Over the trailing twelve months, IHI Corporation generated revenue of $1.6T at a net margin of 9.8%. Revenue grew 7.8% year over year. It earns a return on equity of 27.8%. Net debt stands at $336B. Fundamentals as of Jul 18, 2026

Our scenario range runs from $7.12 (bear case) to $21.21 (bull case); at $17.52, the current price sits within 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 40% below its 52-week high and 25% above its 52-week low, currently below its 200-day average. For context, the median of 10 Industrials peers we cover trades at -48% fair-value upside, at -41%, IHICY 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.

Widest divergence: Multiples ($18.58) versus Growth DCF ($2.29). Highest evidence: Growth DCF (80).

Key figures & financial health

Quality Score breakdown

About the company

IHI Corporation designs and builds engineering solutions in Japan and internationally. The company operates through four segments: Resources, Energy and Environment; Social Infrastructure; Industrial Systems and General-Purpose Machinery; and Aero Engine, Space and Defense.

Full company description

IHI Corporation designs and builds engineering solutions in Japan and internationally. The company operates through four segments: Resources, Energy and Environment; Social Infrastructure; Industrial Systems and General-Purpose Machinery; and Aero Engine, Space and Defense. The company engages in the manufacturing, sale, and provision of services related to power systems plants for land use and power systems for ships; carbon solutions comprising boilers and storage facilities; components for nuclear power plants; bridges and water gates, transport systems, shield systems, and concrete construction materials; vehicular turbochargers, parking, heat treatment and surface engineering; transport machineries; logistics and industrial systems; and rotating machineries comprising compressors, separation systems, and turbochargers for ships. It also offers gas turbine power generation systems, co-generation systems, medium sized engines, gas engine power generation systems, propulsion units, and fuel injection equipment; LNG receiving terminal; pressure vessels, furnaces, cooling towers, vertical mills, air-cooled heat exchangers, chimneys, and water treatment plants; and cryogenic product, material handling system, steelmaking equipment, pulp & paper machinery, agricultural machinery, and life associated equipment. In addition, the company provides aero engines; rocket, space utilization, defense, and traffic control systems; and communication, electronic, electric measuring, information processing machines, and other instruments and equipment, as well as sells and rents real estate. The company was formerly known as Ishikawajima-Harima Heavy Industries Co., Ltd and changed its name to IHI Corporation in 2007. IHI Corporation was founded in 1853 and is headquartered in Tokyo, Japan.

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

Revenue & earnings trend

FY2022 – FY2026 · reported fiscal years

IHI Corporation reported revenue of $1.7T in FY2026 versus $1.2T in FY2022, a compound +10.4%/yr. Reported net income was $171B in FY2026, compounding +26.8%/yr from FY2022.

IHICY screens 41% overvalued. Compare with GE Vernova Inc →

Peer Group

Specialty Industrial Machinery · 809 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.

Valuation Multiples vs Specialty Industrial Machinery median · lower = cheaper

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 0: the price sits above our fair-value range.

Values & ESG

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

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

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Frequently asked questions

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.