As you can see from the other answers, Java is purely pass by value. Objects are passed by what some call "value-reference". Since an object in java is simply a pointer reference, you can think of the "value" as the address where the object lives on the heap. So when you make a method call, you're copying the "value", aka address, to the method parameter:
Object x = new Object();
foo(x);
During object creation
Heap --> allocate Object (5000)
Variable Declaration
Stack --> allocate local variable (1000)
Variable Assignment
Stack address 1000 set to 5000 (to point to object instance)
So you can see that there are two separate memory allocations here. The "value" of the variable is considered to be it's address on the heap.
Method Call
Stack --> allocate method parameter 8000
Stack address 8000 set to same value as passed parameter 5000
This is why if you reassign an object instance in a method, it does not propagate back to the caller. You would have changed the heap location at stack location 8000. And the calling method's stack location 1000 still has the value 5000 (the original object instance).
Think of it like this in C:
void method(myobject * obj);
You can certainly change fields of "obj", and you can do this locally:
obj = new myobject();
But the caller will still see the original value it passed.
Java has no analog to the & reference operator.
And there are built in classes which can be used for the your purposes. AtomicInteger, AtomicLong, etc... are mutable, though you may suffer a performance hit due to synchronization involved.
I would recommend a generic ValueHolder class to account for all situations where you want to simulate pass by reference:
public class ValueHolder<T> {
private T value;
// getter/setter/constructor
}