Lufax (NYSE:LU) Shares Gap Down on Disappointing Earnings

Lufax Holding Ltd (NYSE:LU)’s share price gapped down prior to trading 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 trading hands.

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

Analyst Upgrades and Downgrades

Separately, Bank of America reduced their target price on Lufax from $5.22 to $2.75 and set a “neutral” rating on the stock in a research note on Friday, August 23rd.

Hedge Funds Weigh In On Lufax

Institutional investors and hedge funds have recently added to or reduced their stakes in the company. Panagora Asset Management Inc. bought a new stake in Lufax during the second quarter worth about $26,000. Sequoia Financial Advisors LLC purchased a new stake in shares of Lufax in the 1st quarter worth approximately $60,000. PDS Planning Inc purchased a new position in Lufax during the first quarter valued at $78,000. SG Americas Securities LLC purchased a new stake in shares of Lufax in the third quarter worth $66,000. Finally, Diversified Trust Co purchased a new position in shares of Lufax in the 1st quarter worth about $92,000. Hedge funds and other institutional investors own 69.14% of the company’s stock.

Lufax Trading Up 1.0 %

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 company has a market cap of $1.76 billion, a P/E ratio of -21.86 and a beta of 0.85. The stock’s 50 day moving average is $2.77 and its 200-day moving average 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.