Lufax (NYSE:LU) Shares Gap Down After Earnings Miss

Lufax Holding Ltd (NYSE:LU)’s share price gapped down before the market opened on Monday after the company announced weaker than expected quarterly earnings. The stock had previously closed at $3.16, but opened at $2.76. Lufax shares last traded at $2.75, with a volume of 789,040 shares.

The company reported ($0.16) earnings per share (EPS) for the quarter, missing analysts’ consensus estimates of ($0.01) by ($0.15). The firm had revenue of $789.93 million during the quarter. Lufax had a negative net margin of 8.70% and a negative return on equity of 2.66%. During the same quarter in the prior year, the company earned $0.04 EPS.

Analysts Set New Price Targets

Separately, Bank of America cut their price target on Lufax from $5.22 to $2.75 and set a “neutral” rating for the company in a report on Friday, August 23rd.

Institutional Investors Weigh In On Lufax

A number of institutional investors and hedge funds have recently modified their holdings of LU. DGS Capital Management LLC bought a new position in Lufax in the 1st quarter worth about $111,000. Diversified Trust Co purchased a new stake in Lufax in the first quarter valued at approximately $92,000. Sequoia Financial Advisors LLC bought a new stake in Lufax during the first quarter valued at approximately $60,000. Baillie Gifford & Co. increased its holdings in shares of Lufax by 98.9% in the 1st quarter. Baillie Gifford & Co. now owns 12,089,786 shares of the company’s stock worth $51,019,000 after buying an additional 6,012,562 shares during the last quarter. Finally, BNP Paribas Financial Markets purchased a new stake in shares of Lufax during the 1st quarter valued at $434,000. 69.14% of the stock is owned by hedge funds and other institutional investors.

Lufax Price Performance

The company has a market capitalization of $1.76 billion, a P/E ratio of -21.86 and a beta of 0.85. The company has a current ratio of 1.63, a quick ratio of 1.63 and a debt-to-equity ratio of 0.08. The business’s fifty day moving average price is $2.77 and its 200-day moving average price is $3.19.

Lufax Company Profile

Lufax Holding Ltd operates as a financial service empowering institution for small and micro businesses in China. The company offers loan products, including general unsecured loans and secured loans, as well as consumer finance loans. It also provides wealth management products, such as asset management plans, mutual fund products, private investment fund products, and trust products.