Lufax (NYSE:LU) Hits New 52-Week Low - Here's Why

Key Points

• Lufax shares fell to a new 52-week low of $1.20, trading near $1.215 and well below their 50-day and 200-day moving averages.
• Recent analyst sentiment is largely negative: Lufax has a consensus “Reduce” rating and a $1.70 price target, with multiple firms downgrading the stock to “Sell” or “Strong Sell.”
• The company reported a significant quarterly miss, posting a $0.04 loss per share versus an expected $1.08 profit and revenue of $916.61 million versus $2.22 billion expected.

Shares of Lufax Holding Ltd. Sponsored ADR (NYSE:LU - Get Free Report) reached a new 52-week low on Wednesday . The company traded as low as $1.20 and last traded at $1.2150, with a volume of 98248 shares changing hands. The stock had previously closed at $1.21.

Wall Street Analyst Weigh In

LU has been the topic of several analyst reports. Wall Street Zen cut Lufax from a "hold" rating to a "sell" rating in a research report on Saturday, August 22nd. Deutsche Bank Aktiengesellschaft set a $1.40 price objective on shares of Lufax and gave the company a "hold" rating in a research note on Thursday, August 27th. Zacks Research lowered shares of Lufax from a "hold" rating to a "strong sell" rating in a report on Thursday, July 30th. JPMorgan Chase & Co. upgraded shares of Lufax from a "neutral" rating to an "overweight" rating and set a $2.00 target price on the stock in a research note on Tuesday, July 28th. Finally, Weiss Ratings reissued a "sell (d)" rating on shares of Lufax in a report on Thursday, August 13th. One equities research analyst has rated the stock with a Buy rating, one has assigned a Hold rating and two have issued a Sell rating to the company's stock. According to data from MarketBeat.com, Lufax has a consensus rating of "Reduce" and a consensus price target of $1.70.

Lufax Trading Up 0.6%

The company has a debt-to-equity ratio of 0.08, a quick ratio of 1.72 and a current ratio of 1.72. The firm has a 50-day moving average of $1.41 and a 200-day moving average of $1.77. The firm has a market capitalization of $1.05 billion, a P/E ratio of -1.99 and a beta of 0.76.

Lufax (NYSE:LU - Get Free Report) last issued its earnings results on Friday, August 14th. The company reported ($0.04) EPS for the quarter, missing the consensus estimate of $1.08 by ($1.12). The company had revenue of $916.61 million for the quarter, compared to the consensus estimate of $2.22 billion. On average, equities research analysts anticipate that Lufax Holding Ltd. Sponsored ADR will post -0.29 EPS for the current fiscal year.

Institutional Inflows and Outflows

Hedge funds have recently added to or reduced their stakes in the stock. Fulton Bank N.A. purchased a new position in Lufax during the 1st quarter valued at about $27,000. Scientech Research LLC purchased a new stake in Lufax in the third quarter worth about $46,000. Hudson Bay Capital Management LP bought a new position in shares of Lufax during the second quarter valued at approximately $58,000. Headlands Technologies LLC increased its stake in shares of Lufax by 245.1% during the second quarter. Headlands Technologies LLC now owns 26,928 shares of the company's stock valued at $75,000 after purchasing an additional 19,126 shares in the last quarter. Finally, Virtu Financial LLC purchased a new position in shares of Lufax during the fourth quarter valued at approximately $96,000. 69.14% of the stock is owned by hedge funds and other institutional investors.

About Lufax

Lufax NYSE: LU is a leading provider of online wealth management and personal finance services in China. Established in 2011 as a spin-off from Ping An Insurance (Group) Company of China, Lufax has developed a digital ecosystem designed to match retail and institutional investors with a diverse array of financial products. The company went public on the New York Stock Exchange in October 2020, underscoring its ambition to expand beyond its domestic market.

The firm's core business activities include peer-to-peer lending, consumer finance, supply chain and small-business lending, as well as online asset management.

This instant news alert was generated by narrative science technology and financial data from MarketBeat in order to provide readers with the fastest reporting and unbiased coverage. Please send any questions or comments about this story to contact@marketbeat.com.

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