Futu Holdings Limited Sponsored ADR (NASDAQ:FUTU) Receives Average Recommendation of “Moderate Buy” from Analysts

Futu Holdings Limited Sponsored ADR (NASDAQ:FUTU) has received a consensus rating of “Moderate Buy” from the ten ratings firms that are presently covering the stock, MarketBeat Ratings reports. One research analyst has rated the stock with a sell recommendation, four have given a hold recommendation, four have issued a buy recommendation and one has assigned a strong buy recommendation to the company. The average 1-year price target among brokerages that have updated their coverage on the stock in the last year is $162.8043.

Several equities analysts have recently commented on FUTU shares. Zacks Research lowered Futu from a “hold” rating to a “strong sell” rating in a research note on Monday, June 8th. JPMorgan Chase & Co. reiterated a “neutral” rating and set a $87.00 price objective (down from $300.00) on shares of Futu in a report on Friday, May 22nd. The Goldman Sachs Group cut shares of Futu from a “buy” rating to a “neutral” rating and set a $102.13 target price for the company. in a research note on Monday, May 25th. Jefferies Financial Group restated a “buy” rating and set a $170.50 price target on shares of Futu in a research note on Thursday, May 28th. Finally, Wall Street Zen cut shares of Futu from a “hold” rating to a “sell” rating in a report on Saturday, May 30th.

Hedge Funds Weigh In On Futu

Hedge funds and other institutional investors have recently added to or reduced their stakes in the company. V Square Quantitative Management LLC purchased a new stake in Futu during the 1st quarter valued at about $25,000. Rockefeller Capital Management L.P. raised its stake in shares of Futu by 59.2% in the fourth quarter. Rockefeller Capital Management L.P. now owns 226 shares of the company’s stock worth $37,000 after purchasing an additional 84 shares during the last quarter. Geneos Wealth Management Inc. purchased a new position in shares of Futu in the first quarter worth about $27,000. Quarry LP acquired a new stake in shares of Futu during the third quarter worth about $51,000. Finally, Hilton Head Capital Partners LLC acquired a new stake in shares of Futu during the fourth quarter worth about $49,000.

Key Stories Impacting Futu

Here are the key news stories impacting Futu this week:

• Negative Sentiment: Multiple firms reiterated that a securities fraud class action has been filed against Futu and are actively soliciting investors with losses to join the case or seek lead-plaintiff status before the August 25 deadline.
• Negative Sentiment: One notice specifically alleges the lawsuit involves concealed regulatory penalties, which could be interpreted by investors as a sign of heightened compliance and legal risk. Article: FUTU Shareholder Alert
• Neutral Sentiment: Another article from Zacks was a valuation comparison of Futu versus Orix, which is more informational than market-moving and does not appear to be the main driver of trading today. Article: IX vs. FUTU

Futu Price Performance

Futu stock opened at $99.36 on Monday. The stock has a market cap of $13.93 billion, a price-to-earnings ratio of 10.93, a price-to-earnings-growth ratio of 1.17 and a beta of 0.39. The firm has a 50-day moving average of $100.01 and a two-hundred day moving average of $134.95. Futu has a 1 year low of $80.50 and a 1 year high of $202.53.

Futu (NASDAQ:FUTU) last issued its earnings results on Thursday, May 28th. The company reported $0.77 EPS for the quarter, missing analysts’ consensus estimates of $2.89 by ($2.12). The company had revenue of $694.17 million for the quarter, compared to analysts’ expectations of $761.35 million. Futu had a return on equity of 26.48% and a net margin of 41.87%. Research analysts expect that Futu will post 8.95 earnings per share for the current year.

Futu Company Profile

Futu Holdings Ltd. is a technology-driven brokerage and wealth management company that provides online brokerage services, market data, and investment tools to retail and institutional clients. Headquartered in Hong Kong and listed on the NASDAQ under the ticker FUTU, the company operates digital trading platforms that combine order execution, real-time quotes, news, and research tools to serve active investors and wealth management customers.

The firm’s product suite includes brokerage access to equities, exchange-traded funds and derivatives across major markets, margin financing, initial public offering (IPO) subscription services, wealth management products and discretionary investment solutions.