Want to see LU full AI Analyst Report?
Top Page
Lufax Holding
(NYSE:LU)
Select Model
Select Model
Rating:52Neutral
Price Target:―
Action:N/A
Date:01/28/25
Lufax Holding faces significant financial hurdles with declining income and profitability, impacting its overall stock score. Despite operational efficiencies and positive cash flow, the negative valuation metrics and financial instability weigh heavily. Technical analysis and earnings call insights show potential growth areas but also underline persistent challenges. The stock's dividend yield offers some appeal, but broader risks must be managed for improvement.
Positive Factors
Consumer Finance Growth
The significant growth in consumer finance loans indicates a strong demand for Lufax's services, potentially leading to increased market share and revenue stability in the long term.
Negative Factors
Declining Revenue
The sharp decline in revenue highlights significant financial challenges, potentially impacting the company's ability to invest in growth and maintain competitive positioning.
Read all positive and negative factors
Positive Factors
Negative Factors
Consumer Finance Growth
The significant growth in consumer finance loans indicates a strong demand for Lufax's services, potentially leading to increased market share and revenue stability in the long term.
Read all positive factors
Lufax Holding (LU) vs. SPDR S&P 500 ETF (SPY)
Market Cap
$2.33B
Dividend YieldN/A
Average Volume (3M)953.40K
Price to Earnings (P/E)―
Beta (1Y)1.24
Revenue GrowthN/A
EPS GrowthN/A
CountryUS
Employees33,163
SectorFinancial
Sector Strength70
IndustryFinancial - Credit Services
Share Statistics
EPS (TTM)-3.08
Shares Outstanding838,095,600
10 Day Avg. Volume520,239
30 Day Avg. Volume953,404
Financial Highlights & Ratios
PEG Ratio0.00
Price to Book (P/B)0.10
Price to Sales (P/S)0.28
P/FCF Ratio0.61
Enterprise Value/Market Cap<0.01
Enterprise Value/Revenue<0.01
Enterprise Value/Gross Profit<0.01
Enterprise Value/Ebitda<0.01
Forecast
1Y Price Target
$2.20Price Target Upside59.42% Upside
Rating ConsensusModerate Buy
Number of Analyst Covering1
EPS Forecast (FY)-0.08
Revenue Forecast (FY)$26.02B
Lufax Holding Business Overview & Revenue Model
Company Description
Lufax Holding Ltd is a leading financial technology company based in China, delivering a wide array of personal financial services through its advanced digital platform. The company's core business involves providing various credit facilities, whi...
How the Company Makes Money
Lufax makes money primarily through two main revenue streams: retail credit facilitation and wealth management. In the retail credit facilitation segment, the company generates income by connecting borrowers with financial institutions, earning fe...
Lufax Holding Earnings Call Summary
Earnings Call Date:Aug 18, 2026
(Q2-2026)
| % Change Since: |
Next Earnings Date:Nov 17, 2026
Earnings Call Sentiment Neutral
The call highlighted meaningful progress on governance, reporting and internal controls, sequential improvements in asset quality, and strong consumer finance origination and balance growth. However, material headwinds remain: total income fell 15.5% YoY, total outstanding loans declined 13.5% YoY, the company is still loss‑making with elevated credit costs, and regulatory and macro pressures are compressing margins. Progress on compliance and AI‑driven operational improvements and improving funding costs are positive, but the near‑term outlook is challenged by regulatory tightening and weak SME demand.Positive Updates
Restored Financial Reporting and Governance
Completed reaudit of 2022–2023 and audits for 2024–2025; SEC periodical filings brought current and NYSE continued listing compliance regained. Engaged Deloitte Consulting Shanghai for internal control review, implemented remedial measures, established Chief Compliance Officer, and restructured the Board to a majority of Independent Non-executive Directors.
Negative Updates
Decline in Total Income
Total income declined 15.5% year‑over‑year in Q2, primarily due to a contraction in LONGi loan balances amid weak small business owner demand and a prudent underwriting stance.
Read all updates
Q2-2026 Updates
Positive
Negative
Restored Financial Reporting and Governance
Completed reaudit of 2022–2023 and audits for 2024–2025; SEC periodical filings brought current and NYSE continued listing compliance regained. Engaged Deloitte Consulting Shanghai for internal control review, implemented remedial measures, established Chief Compliance Officer, and restructured the Board to a majority of Independent Non-executive Directors.
Read all positive updates
Company Guidance
Management’s guidance emphasized a prudent, selective-customer strategy and AI‑powered refined operations alongside restored reporting and governance (reaudit of 2022–23, audits for 2024–25, NYSE compliance, Deloitte engaged, majority independent board, new CCO); key Q2 FY2026 metrics cited were total new loan sales RMB51.1bn (+4.6% YoY, +4.8% QoQ) including consumer finance RMB36.9bn (+27.6% YoY), total outstanding loans RMB167.3bn (−13.5% YoY), total income −15.5% YoY, consumer finance loan balance ≈+20% YoY, C‑M3 flow 1.0% (vs 1.2% in Q1; unsecured 1.0% vs 1.2%; secured 0.9% vs 1.0%), DPD30+ excl. consumer finance 5.8% (vs 6.1%), consumer finance NPL 1.3% (vs 1.4% at Mar‑31), LONGi average pricing 20.4% (flat QoQ), consumer finance pricing 19%, and cost of funding ex‑consumer finance 3.8% (down ~90bps YoY); management expects continued sequential asset‑quality improvement in H2, will prioritize growing mid‑to‑low‑risk customer segments, AI cost optimization and stronger compliance, will review dividends once sustainable profitability is restored, and is working with the HKEX on Hong Kong trading resumption.Lufax Holding Financial Statement Overview
Summary
Income Statement
Balance Sheet
Cash Flow
| Breakdown | Dec 2025 | Dec 2023 | Dec 2022 | Dec 2021 | Dec 2020 |
|---|---|---|---|---|---|
Income Statement | |||||
| Total Revenue | 28.13B | 41.68B | 69.03B | 65.01B | 50.99B |
| Gross Profit | 21.08B | 28.99B | 55.42B | 48.24B | 41.79B |
| EBITDA | 658.81M | 0.00 | 34.59B | 24.22B | 18.77B |
| Net Income | -2.04B | 886.87M | 8.70B | 16.80B | 12.35B |
Balance Sheet | |||||
| Total Assets | 208.25B | 237.02B | 349.26B | 360.43B | 248.89B |
| Cash, Cash Equivalents and Short-Term Investments | 41.15B | 39.99B | 44.39B | 35.29B | 24.65B |
| Total Debt | 81.47B | 44.86B | 53.11B | 44.80B | 28.94B |
| Total Liabilities | 126.15B | 143.34B | 254.48B | 265.87B | 165.74B |
| Stockholders Equity | 79.88B | 92.14B | 93.19B | 93.05B | 81.56B |
Cash Flow | |||||
| Free Cash Flow | 12.75B | 14.98B | 4.33B | 4.83B | 6.91B |
| Operating Cash Flow | 12.79B | 15.03B | 4.46B | 4.99B | 7.12B |
| Investing Cash Flow | -17.19B | -5.94B | 8.45B | 313.82M | -15.00B |
| Financing Cash Flow | 3.74B | -20.55B | -9.92B | -2.45B | 24.87B |
Lufax Holding Technical Analysis
Negative
1.38
Price Trends
1.41
Negative
1.61
Negative
2.09
Negative
Market Momentum
<0.01
Positive
43.25
Neutral
4.04
Positive
Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For LU, the sentiment is Negative. The current price of 1.38 is below the 20-day moving average (MA) of 1.51, below the 50-day MA of 1.41, and below the 200-day MA of 2.09, indicating a bearish trend. The MACD of <0.01 indicates Positive momentum. The RSI at 43.25 is Neutral, neither overbought nor oversold. The STOCH value of 4.04 is Positive, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Negative sentiment for LU.
Lufax Holding Risk Analysis
Lufax Holding disclosed 114 risk factors in its most recent earnings report. Lufax Holding reported the most risks in the "Finance & Corporate" category.
Finance & Corporate - Financial and accounting risks. Risks related to the execution of corporate activity and strategy
Latest Risks Added 0 New Risks
Lufax Holding Peers Comparison
UnderperformOutperform
Sector (68)
Name | Overall Rating | Market Cap | P/E Ratio | ROE | Dividend Yield | Revenue Growth | EPS Growth |
|---|---|---|---|---|---|---|---|
80 Outperform | $1.06B | 3.32 | 5.33% | 6.44% | 0.84% | -12.02% | |
79 Outperform | $2.33B | 12.02 | 13.13% | 2.96% | 31.16% | 7.63% | |
68 Neutral | $18.00B | 11.42 | 9.92% | 3.81% | 9.73% | 1.22% | |
52 Neutral | $2.33B | -3.03 | -1.66% | ― | ― | ― | |
49 Neutral | $99.57M | -0.33 | -7.18% | 37.29% | -13.83% | -154.13% | |
| ― | $796.48M | -3.52 | -50.15% | ― | -6.20% | 95.22% |
* Financial Sector Average
LU
Lufax Holding
1.39
-1.72
-55.31%
AGM
Federal Agricultural
220.84
22.87
11.55%
YRD
Yiren Digital
1.14
-4.81
-80.85%
AHG
Akso Health Group Sponsored ADR
0.93
-0.84
-47.51%
FINV
FinVolution Group
4.35
-4.46
-50.62%
Lufax Holding Corporate Events
Lufax Holding Announces Renewal of Key Agreements and Upcoming EGM
Dec 3, 2025
Lufax Holding Ltd announced the renewal of several key agreements, including the 2026 Account Management Framework Agreement and the 2026 Financial Services Framework Agreement, effective from January 1, 2026, to December 31, 2026. These agreement...
Lufax Holding Maintains Stable Share Capital Structure in November 2025
Dec 2, 2025
On December 2, 2025, Lufax Holding Ltd submitted a monthly return to the Hong Kong Stock Exchange for the month ending November 30, 2025. The report detailed that the company’s authorized share capital remained unchanged at 10 billion ordina...
Lufax Holding Reports Stable Share Structure in October 2025
Nov 6, 2025
Lufax Holding Ltd submitted its monthly return for October 2025 to the Hong Kong Stock Exchange, reporting no changes in its authorized or issued share capital. The company maintained a balance of 10 billion authorized shares and 1.73 billion issu...
Lufax Holding Reports Stable Share Capital for September 2025
Oct 6, 2025
Lufax Holding Ltd submitted its monthly return for September 2025 to the Hong Kong Stock Exchange, detailing no changes in its authorized or issued share capital. The report highlights that the company maintained a stable number of issued shares a...
Glossary
BuyA stock rated as a "Buy" is expected to perform better than the overall market or a specific benchmark over the near-to-medium term. This rating suggests the stock is likely to deliver higher returns compared to other stocks in the same sector or market index. Note: This is not investment advice; please consult a financial advisor before making investment decisions.
HoldA stock rated as a "Hold" is expected to perform in line with the overall market or a specific benchmark. This rating indicates that the stock is neither particularly compelling nor unfavorable for investment. Note: This is not investment advice; please consult a financial advisor before making investment decisions.
SellA stock rated as a "Sell" is expected to perform worse than the overall market or a specific benchmark over the near-to-medium term. This rating suggests the stock may deliver lower returns compared to other stocks in the same sector or market index. Note: This is not investment advice; please consult a financial advisor before making investment decisions.
Disclaimer
This AI Analyst Stock Report is automatically generated by our AI systems using advanced algorithms and publicly available financial, technical, and market data. While the information provided aims to be accurate and insightful, it is intended for informational purposes only and should not be considered financial advice. Any content created by an AI (Artificial Intelligence) system may contain inaccuracies and/or contain errors. Investing in stocks carries inherent risks, and past performance is not indicative of future results. This report does not account for your personal financial circumstances, objectives, or risk tolerance. Always conduct your own research or consult with a qualified financial advisor before making investment decisions. The analysis and recommendations provided are based on historical and current data and may not fully reflect future market conditions or unexpected developments. Neither the creators of this report nor its affiliated entities guarantee the accuracy, completeness, or reliability of the information presented. Use this report at your own discretion and risk.