FUTU HOLDINGS LTD-ADR (FUTU) Stock Fundamental Analysis
USA - NASDAQ:FUTU - US36118L1061 - ADR
153.79 USD
-12.11 (-7.3%)
151.01 USD
-2.78 (-1.81%)
We assign a fundamental rating of 6 out of 10 to FUTU. FUTU was compared to 237 industry peers in the Capital Markets industry. While FUTU belongs to the best of the industry regarding profitability, there are concerns on its financial health. FUTU is growing strongly while it is still valued neutral. This is a good combination!
1. Profitability
1.1 Basic Checks
FUTU had positive earnings in the past year.
FUTU had positive earnings in each of the past 5 years.
Of the past 5 years FUTU 4 years had a positive operating cash flow.
1.2 Ratios
Looking at the Return On Assets, with a value of 4.03%, FUTU is in the better half of the industry, outperforming 62.45% of the companies in the same industry.
FUTU has a Return On Equity of 26.93%. This is amongst the best in the industry. FUTU outperforms 93.67% of its industry peers.
Looking at the Return On Invested Capital, with a value of 20.53%, FUTU belongs to the top of the industry, outperforming 97.47% of the companies in the same industry.
The Average Return On Invested Capital over the past 3 years for FUTU is significantly above the industry average of 7.11%.
The 3 year average ROIC (14.12%) for FUTU is below the current ROIC(20.53%), indicating increased profibility in the last year.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 4.03% | ||
| ROE | 26.93% | ||
| ROIC | 20.53% |
ROA(3y)3.64%
ROA(5y)3.11%
ROE(3y)16.96%
ROE(5y)16.05%
ROIC(3y)14.12%
ROIC(5y)11.45%
1.3 Margins
Looking at the Profit Margin, with a value of 47.11%, FUTU belongs to the top of the industry, outperforming 89.03% of the companies in the same industry.
In the last couple of years the Profit Margin of FUTU has grown nicely.
The Operating Margin of FUTU (58.30%) is better than 94.09% of its industry peers.
FUTU's Operating Margin has improved in the last couple of years.
FUTU has a Gross Margin of 85.66%. This is amongst the best in the industry. FUTU outperforms 90.30% of its industry peers.
In the last couple of years the Gross Margin of FUTU has grown nicely.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| OM | 58.3% | ||
| PM (TTM) | 47.11% | ||
| GM | 85.66% |
OM growth 3Y2.89%
OM growth 5Y22.44%
PM growth 3Y0.47%
PM growth 5Y24.32%
GM growth 3Y-0.42%
GM growth 5Y2.22%
2. Health
2.1 Basic Checks
FUTU has less shares outstanding than it did 1 year ago.
FUTU has more shares outstanding than it did 5 years ago.
The debt/assets ratio for FUTU has been reduced compared to a year ago.
2.2 Solvency
Based on the Altman-Z score of 1.03, we must say that FUTU is in the distress zone and has some risk of bankruptcy.
FUTU has a Altman-Z score of 1.03. This is comparable to the rest of the industry: FUTU outperforms 57.81% of its industry peers.
FUTU has a Debt/Equity ratio of 0.36. This is a healthy value indicating a solid balance between debt and equity.
FUTU has a Debt to Equity ratio of 0.36. This is in the better half of the industry: FUTU outperforms 68.78% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.36 | ||
| Debt/FCF | N/A | ||
| Altman-Z | 1.03 |
ROIC/WACCN/A
WACCN/A
2.3 Liquidity
A Current Ratio of 1.16 indicates that FUTU should not have too much problems paying its short term obligations.
Looking at the Current ratio, with a value of 1.16, FUTU is in line with its industry, outperforming 51.05% of the companies in the same industry.
A Quick Ratio of 1.16 indicates that FUTU should not have too much problems paying its short term obligations.
FUTU's Quick ratio of 1.16 is in line compared to the rest of the industry. FUTU outperforms 55.27% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Current Ratio | 1.16 | ||
| Quick Ratio | 1.16 |
3. Growth
3.1 Past
The Earnings Per Share has grown by an impressive 109.18% over the past year.
The Earnings Per Share has been growing by 90.12% on average over the past years. This is a very strong growth
The Revenue has grown by 80.74% in the past year. This is a very strong growth!
FUTU shows a strong growth in Revenue. Measured over the last years, the Revenue has been growing by 66.52% yearly.
EPS 1Y (TTM)109.18%
EPS 3Y28.79%
EPS 5Y90.12%
EPS Q2Q%128.12%
Revenue 1Y (TTM)80.74%
Revenue growth 3Y24.07%
Revenue growth 5Y66.52%
Sales Q2Q%86.45%
3.2 Future
The Earnings Per Share is expected to grow by 28.44% on average over the next years. This is a very strong growth
FUTU is expected to show a strong growth in Revenue. In the coming years, the Revenue will grow by 25.86% yearly.
EPS Next Y68.44%
EPS Next 2Y37.98%
EPS Next 3Y28.44%
EPS Next 5YN/A
Revenue Next Year57.07%
Revenue Next 2Y32.62%
Revenue Next 3Y25.86%
Revenue Next 5YN/A
3.3 Evolution
The estimated forward EPS growth is still strong, although it is decreasing when compared to the stronger growth in the past years.
Although the future Revenue growth is still strong, it is not able to hold up the even more excellent growth rate of the past years.
4. Valuation
4.1 Price/Earnings Ratio
A Price/Earnings ratio of 16.77 indicates a correct valuation of FUTU.
FUTU's Price/Earnings is on the same level as the industry average.
Compared to an average S&P500 Price/Earnings ratio of 25.07, FUTU is valued a bit cheaper.
A Price/Forward Earnings ratio of 15.25 indicates a correct valuation of FUTU.
The rest of the industry has a similar Price/Forward Earnings ratio as FUTU.
FUTU is valuated cheaply when we compare the Price/Forward Earnings ratio to 34.08, which is the current average of the S&P500 Index.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 16.77 | ||
| Fwd PE | 15.25 |
4.2 Price Multiples
Based on the Enterprise Value to EBITDA ratio, FUTU is valued cheaply inside the industry as 85.23% of the companies are valued more expensively.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | N/A | ||
| EV/EBITDA | 11.81 |
4.3 Compensation for Growth
The low PEG Ratio(NY), which compensates the Price/Earnings for growth, indicates a rather cheap valuation of the company.
FUTU has an outstanding profitability rating, which may justify a higher PE ratio.
A more expensive valuation may be justified as FUTU's earnings are expected to grow with 28.44% in the coming years.
PEG (NY)0.25
PEG (5Y)0.19
EPS Next 2Y37.98%
EPS Next 3Y28.44%
5. Dividend
5.1 Amount
With a Yearly Dividend Yield of 1.36%, FUTU has a reasonable but not impressive dividend return.
FUTU's Dividend Yield is slightly below the industry average, which is at 8.49.
With a Dividend Yield of 1.36, FUTU pays less dividend than the S&P500 average, which is at 2.44.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 1.36% |
5.2 History
FUTU is new to the dividend game and has less than 3 years of track record.
Dividend Growth(5Y)N/A
Div Incr Years0
Div Non Decr Years0
5.3 Sustainability
DPN/A
EPS Next 2Y37.98%
EPS Next 3Y28.44%
153.79
-12.11 (-7.3%)
Chartmill FA Rating
GICS SectorFinancials
GICS IndustryGroupFinancial Services
GICS IndustryCapital Markets
Earnings (Last)
Earnings (Next)
Inst Owners44.45%
Inst Owner Change19.28%
Ins Owners15.05%
Ins Owner Change0%
Market Cap21.41B
Revenue(TTM)20.84B
Net Income(TTM)9.82B
Analysts85.19
Price Target218.13 (41.84%)
Short Float %34.24%
Short Ratio2.14
Dividend
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 1.36% |
Yearly DividendN/A
Dividend Growth(5Y)N/A
DPN/A
Div Incr Years0
Div Non Decr Years0
Ex-DateN/A
Surprises & Revisions
EPS beat(2)1
Avg EPS beat(2)-20.51%
Min EPS beat(2)-64.94%
Max EPS beat(2)23.91%
EPS beat(4)3
Avg EPS beat(4)-4.32%
Min EPS beat(4)-64.94%
Max EPS beat(4)23.91%
EPS beat(8)5
Avg EPS beat(8)0.19%
EPS beat(12)9
Avg EPS beat(12)8.09%
EPS beat(16)11
Avg EPS beat(16)4.64%
Revenue beat(2)2
Avg Revenue beat(2)8.76%
Min Revenue beat(2)7.62%
Max Revenue beat(2)9.91%
Revenue beat(4)4
Avg Revenue beat(4)8.62%
Min Revenue beat(4)3.27%
Max Revenue beat(4)13.68%
Revenue beat(8)7
Avg Revenue beat(8)4.73%
Revenue beat(12)11
Avg Revenue beat(12)8.29%
Revenue beat(16)14
Avg Revenue beat(16)6.04%
PT rev (1m)0.95%
PT rev (3m)32.52%
EPS NQ rev (1m)3.2%
EPS NQ rev (3m)395.85%
EPS NY rev (1m)0.5%
EPS NY rev (3m)18.47%
Revenue NQ rev (1m)10.5%
Revenue NQ rev (3m)40.15%
Revenue NY rev (1m)0.36%
Revenue NY rev (3m)12.22%
Valuation
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 16.77 | ||
| Fwd PE | 15.25 | ||
| P/S | 8 | ||
| P/FCF | N/A | ||
| P/OCF | N/A | ||
| P/B | 4.57 | ||
| P/tB | 4.57 | ||
| EV/EBITDA | 11.81 |
EPS(TTM)9.17
EY5.96%
EPS(NY)10.08
Fwd EY6.56%
FCF(TTM)N/A
FCFYN/A
OCF(TTM)N/A
OCFYN/A
SpS19.23
BVpS33.63
TBVpS33.63
PEG (NY)0.25
PEG (5Y)0.19
Graham Number83.3
Profitability
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 4.03% | ||
| ROE | 26.93% | ||
| ROCE | 32.63% | ||
| ROIC | 20.53% | ||
| ROICexc | 30.02% | ||
| ROICexgc | 30.02% | ||
| OM | 58.3% | ||
| PM (TTM) | 47.11% | ||
| GM | 85.66% | ||
| FCFM | N/A |
ROA(3y)3.64%
ROA(5y)3.11%
ROE(3y)16.96%
ROE(5y)16.05%
ROIC(3y)14.12%
ROIC(5y)11.45%
ROICexc(3y)N/A
ROICexc(5y)N/A
ROICexgc(3y)N/A
ROICexgc(5y)N/A
ROCE(3y)20.27%
ROCE(5y)18.61%
ROICexgc growth 3YN/A
ROICexgc growth 5YN/A
ROICexc growth 3YN/A
ROICexc growth 5YN/A
OM growth 3Y2.89%
OM growth 5Y22.44%
PM growth 3Y0.47%
PM growth 5Y24.32%
GM growth 3Y-0.42%
GM growth 5Y2.22%
F-ScoreN/A
Asset Turnover0.09
Health
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.36 | ||
| Debt/FCF | N/A | ||
| Debt/EBITDA | 1.06 | ||
| Cap/Depr | N/A | ||
| Cap/Sales | N/A | ||
| Interest Coverage | N/A | ||
| Cash Conversion | N/A | ||
| Profit Quality | N/A | ||
| Current Ratio | 1.16 | ||
| Quick Ratio | 1.16 | ||
| Altman-Z | 1.03 |
F-ScoreN/A
WACCN/A
ROIC/WACCN/A
Cap/Depr(3y)67.12%
Cap/Depr(5y)63.2%
Cap/Sales(3y)1.07%
Cap/Sales(5y)1.11%
Profit Quality(3y)N/A
Profit Quality(5y)N/A
High Growth Momentum
Growth
EPS 1Y (TTM)109.18%
EPS 3Y28.79%
EPS 5Y90.12%
EPS Q2Q%128.12%
EPS Next Y68.44%
EPS Next 2Y37.98%
EPS Next 3Y28.44%
EPS Next 5YN/A
Revenue 1Y (TTM)80.74%
Revenue growth 3Y24.07%
Revenue growth 5Y66.52%
Sales Q2Q%86.45%
Revenue Next Year57.07%
Revenue Next 2Y32.62%
Revenue Next 3Y25.86%
Revenue Next 5YN/A
EBIT growth 1Y123.85%
EBIT growth 3Y27.66%
EBIT growth 5Y103.88%
EBIT Next Year89.69%
EBIT Next 3Y33.02%
EBIT Next 5YN/A
FCF growth 1Y580.56%
FCF growth 3Y73.12%
FCF growth 5Y75.51%
OCF growth 1Y589.1%
OCF growth 3Y72.76%
OCF growth 5Y73.54%
FUTU HOLDINGS LTD-ADR / FUTU FAQ
Can you provide the ChartMill fundamental rating for FUTU HOLDINGS LTD-ADR?
ChartMill assigns a fundamental rating of 6 / 10 to FUTU.
Can you provide the valuation status for FUTU HOLDINGS LTD-ADR?
ChartMill assigns a valuation rating of 6 / 10 to FUTU HOLDINGS LTD-ADR (FUTU). This can be considered as Fairly Valued.
What is the profitability of FUTU stock?
FUTU HOLDINGS LTD-ADR (FUTU) has a profitability rating of 9 / 10.
Can you provide the financial health for FUTU stock?
The financial health rating of FUTU HOLDINGS LTD-ADR (FUTU) is 3 / 10.
What is the expected EPS growth for FUTU HOLDINGS LTD-ADR (FUTU) stock?
The Earnings per Share (EPS) of FUTU HOLDINGS LTD-ADR (FUTU) is expected to grow by 68.44% in the next year.