Futu (NASDAQ:FUTU) Announces Earnings Results, Beats Estimates By $0.33 EPS

Key Points

• Futu surpassed earnings expectations with reported EPS of $2.32, exceeding the consensus estimate of $1.99 by $0.33.
• The company has seen a return on equity of 23.07% and a net margin of 41.74%, indicating strong profitability.
• Several analysts have upgraded their target prices for Futu, with Bank of America raising its target to $143.90 and Daiwa Capital setting theirs at $190.00.

Futu (NASDAQ:FUTU - Get Free Report) released its earnings results on Wednesday. The company reported $2.32 earnings per share for the quarter, topping analysts' consensus estimates of $1.99 by $0.33, Zacks reports. The business had revenue of $676.47 million for the quarter, compared to analyst estimates of $539.76 million. Futu had a net margin of 44.25% and a return on equity of 26.36%.

Futu Price Performance

Futu stock traded up $3.5750 during trading hours on Monday, hitting $194.2150. The company had a trading volume of 1,875,116 shares, compared to its average volume of 2,690,394. The firm's fifty day moving average is $147.12 and its 200-day moving average is $118.80. Futu has a fifty-two week low of $56.22 and a fifty-two week high of $197.35. The firm has a market capitalization of $27.02 billion, a P/E ratio of 26.99, a price-to-earnings-growth ratio of 0.85 and a beta of 0.49.

Analysts Set New Price Targets

A number of analysts have weighed in on FUTU shares. Daiwa Capital Markets initiated coverage on Futu in a research note on Monday, August 11th. They issued a "buy" rating and a $190.00 price target on the stock. Bank of America lifted their price objective on Futu from $172.00 to $200.00 and gave the stock a "buy" rating in a research report on Thursday. Daiwa America raised shares of Futu to a "strong-buy" rating in a research note on Tuesday, August 12th. Citigroup lifted their target price on shares of Futu from $176.00 to $190.00 and gave the company a "neutral" rating in a report on Thursday. Finally, Barclays boosted their price objective on shares of Futu from $176.00 to $232.00 and gave the stock an "overweight" rating in a report on Friday. One analyst has rated the stock with a Strong Buy rating, six have issued a Buy rating and one has given a Hold rating to the company's stock. According to MarketBeat, the stock presently has a consensus rating of "Buy" and a consensus target price of $176.14.

Institutional Inflows and Outflows

A number of hedge funds and other institutional investors have recently bought and sold shares of the company. Geneos Wealth Management Inc. bought a new position in shares of Futu during the 1st quarter worth about $27,000. Jones Financial Companies Lllp increased its stake in Futu by 442.4% in the first quarter. Jones Financial Companies Lllp now owns 640 shares of the company's stock valued at $66,000 after purchasing an additional 522 shares in the last quarter. EverSource Wealth Advisors LLC increased its stake in Futu by 103.4% in the second quarter. EverSource Wealth Advisors LLC now owns 720 shares of the company's stock valued at $89,000 after purchasing an additional 366 shares in the last quarter. Rakuten Securities Inc. boosted its holdings in shares of Futu by 21.8% in the second quarter. Rakuten Securities Inc. now owns 1,273 shares of the company's stock valued at $157,000 after buying an additional 228 shares during the period. Finally, Evergreen Capital Management LLC acquired a new position in shares of Futu in the second quarter valued at approximately $202,000.

Futu Company Profile

Futu Holdings Limited provides digitalized securities brokerage and wealth management product distribution service in Hong Kong and internationally. It offers online financial services, including securities and derivative trades brokerage, margin financing and fund distribution services through its Futubull and Moomoo digital platforms.