Futu Holdings price target raised to $172 from $143.90 at BofA

BofA raised the firm’s price target on Futu Holdings (FUTU) to $172 from $143.90 and keeps a Buy rating on the shares. Ahead of the company’s Q2 results later in August, the firm forecasts new paying clients to decline 20% quarter-over-quarter from a seasonally high base in Q2, but still increase 35% year-over-year; total client assets to grow 12%-13% quarter-over-quarter, driven by strong asset inflows; annualized trading velocity to remain elevated and commission rate to be largely stable; interest income to rise 9% sequentially; total revenue growth 10% quarter-on-quarter; and gross margin declining two percentage points. July’s high frequency data is also tracking well, the analyst tells investors in a research note.