LUFAX HOLDING LTD-ADR (LU) Stock Fundamental Analysis
USA - NYSE:LU - US54975P2011 - ADR
2.55 USD
-0.02 (-0.78%)
2.57 USD
+0.02 (+0.78%)
We assign a fundamental rating of 3 out of 10 to LU. LU was compared to 55 industry peers in the Consumer Finance industry. LU has a bad profitability rating. Also its financial health evaluation is rather negative. LU is valued correctly, but it does not seem to be growing.
1. Profitability
1.1 Basic Checks
LU had positive earnings in the past year.
LU had a positive operating cash flow in the past year.
Each year in the past 5 years LU has been profitable.
Each year in the past 5 years LU had a positive operating cash flow.
1.2 Ratios
LU has a worse Return On Assets (-1.64%) than 87.27% of its industry peers.
LU's Return On Equity of -4.00% is on the low side compared to the rest of the industry. LU is outperformed by 85.45% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | -1.64% | ||
| ROE | -4% | ||
| ROIC | N/A |
ROA(3y)2.51%
ROA(5y)4.28%
ROE(3y)9.45%
ROE(5y)14.25%
ROIC(3y)N/A
ROIC(5y)N/A
1.3 Margins
In the last couple of years the Profit Margin of LU has declined.
In the last couple of years the Operating Margin of LU has declined.
LU does not have Profit Margin and Operating Margin and Gross Margin available, so we won't be analyzing them here.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| OM | N/A | ||
| PM (TTM) | N/A | ||
| GM | N/A |
OM growth 3Y-48.02%
OM growth 5Y-35.49%
PM growth 3Y-52.23%
PM growth 5Y-40.14%
GM growth 3YN/A
GM growth 5YN/A
2. Health
2.1 Basic Checks
LU does not have a ROIC to compare to the WACC, probably because it is not profitable.
LU has more shares outstanding than it did 1 year ago.
The number of shares outstanding for LU has been increased compared to 5 years ago.
Compared to 1 year ago, LU has a worse debt to assets ratio.
2.2 Solvency
LU has an Altman-Z score of 0.38. This is a bad value and indicates that LU is not financially healthy and even has some risk of bankruptcy.
LU has a Altman-Z score (0.38) which is comparable to the rest of the industry.
LU has a debt to FCF ratio of 5.90. This is a neutral value as LU would need 5.90 years to pay back of all of its debts.
LU has a Debt to FCF ratio of 5.90. This is in the better half of the industry: LU outperforms 61.82% of its industry peers.
LU has a Debt/Equity ratio of 0.60. This is a neutral value indicating LU is somewhat dependend on debt financing.
LU has a better Debt to Equity ratio (0.60) than 69.09% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.6 | ||
| Debt/FCF | 5.9 | ||
| Altman-Z | 0.38 |
ROIC/WACCN/A
WACC4.41%
2.3 Liquidity
A Current Ratio of 0.41 indicates that LU may have some problems paying its short term obligations.
LU has a worse Current ratio (0.41) than 69.09% of its industry peers.
LU has a Quick Ratio of 0.41. This is a bad value and indicates that LU is not financially healthy enough and could expect problems in meeting its short term obligations.
LU's Quick ratio of 0.41 is on the low side compared to the rest of the industry. LU is outperformed by 69.09% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Current Ratio | 0.41 | ||
| Quick Ratio | 0.41 |
3. Growth
3.1 Past
The earnings per share for LU have decreased strongly by -42.50% in the last year.
The earnings per share for LU have been decreasing by -55.61% on average. This is quite bad
The Revenue for LU has decreased by -36.20% in the past year. This is quite bad
The Revenue has been decreasing by -3.27% on average over the past years.
EPS 1Y (TTM)-42.5%
EPS 3Y-74.02%
EPS 5Y-55.61%
EPS Q2Q%-500%
Revenue 1Y (TTM)-36.2%
Revenue growth 3Y-13%
Revenue growth 5Y-3.27%
Sales Q2Q%-28.91%
3.2 Future
Based on estimates for the next years, LU will show a very strong growth in Earnings Per Share. The EPS will grow by 22.40% on average per year.
The Revenue is expected to grow by 2.55% on average over the next years.
EPS Next Y-341.85%
EPS Next 2Y7.21%
EPS Next 3Y19.47%
EPS Next 5Y22.4%
Revenue Next Year-29.79%
Revenue Next 2Y-16.58%
Revenue Next 3Y-7.28%
Revenue Next 5Y2.55%
3.3 Evolution
When comparing the EPS growth rate of the last years to the growth rate of the upcoming years, we see that the growth is accelerating.
The Revenue growth rate is accelerating: in the next years the growth will be better than in the last years.
4. Valuation
4.1 Price/Earnings Ratio
The Price/Earnings ratio is 11.09, which indicates a very decent valuation of LU.
LU's Price/Earnings is on the same level as the industry average.
LU's Price/Earnings ratio indicates a rather cheap valuation when compared to the S&P500 average which is at 25.51.
Based on the Price/Forward Earnings ratio of 9.65, the valuation of LU can be described as reasonable.
LU's Price/Forward Earnings ratio is in line with the industry average.
Compared to an average S&P500 Price/Forward Earnings ratio of 34.98, LU is valued rather cheaply.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 11.09 | ||
| Fwd PE | 9.65 |
4.2 Price Multiples
Based on the Price/Free Cash Flow ratio, LU is valued cheaper than 83.64% of the companies in the same industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | 1.82 | ||
| EV/EBITDA | N/A |
4.3 Compensation for Growth
A more expensive valuation may be justified as LU's earnings are expected to grow with 19.47% in the coming years.
PEG (NY)N/A
PEG (5Y)N/A
EPS Next 2Y7.21%
EPS Next 3Y19.47%
5. Dividend
5.1 Amount
LU has a Yearly Dividend Yield of 9.83%, which is a nice return.
LU's Dividend Yield is rather good when compared to the industry average which is at 4.69. LU pays more dividend than 98.18% of the companies in the same industry.
LU's Dividend Yield is rather good when compared to the S&P500 average which is at 2.44.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 9.83% |
5.2 History
LU has been paying a dividend for less than 5 years, so it still needs to build a track record.
Dividend Growth(5Y)N/A
Div Incr Years1
Div Non Decr Years1
5.3 Sustainability
LU has negative earnings and hence a negative payout ratio. The dividend may be in danger.
DP-42.45%
EPS Next 2Y7.21%
EPS Next 3Y19.47%
2.55
-0.02 (-0.78%)
Chartmill FA Rating
GICS SectorFinancials
GICS IndustryGroupFinancial Services
GICS IndustryConsumer Finance
Earnings (Last)
Earnings (Next)
Inst Owners12.36%
Inst Owner Change-15.23%
Ins OwnersN/A
Ins Owner ChangeN/A
Market Cap2.21B
Revenue(TTM)25.34B
Net Income(TTM)-3.38B
Analysts46.15
Price Target2.88 (12.94%)
Short Float %0.83%
Short Ratio2.47
Dividend
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 9.83% |
Yearly Dividend0.51
Dividend Growth(5Y)N/A
DP-42.45%
Div Incr Years1
Div Non Decr Years1
Ex-DateN/A
Surprises & Revisions
EPS beat(2)0
Avg EPS beat(2)-1655.08%
Min EPS beat(2)-2673.93%
Max EPS beat(2)-636.24%
EPS beat(4)N/A
Avg EPS beat(4)N/A
Min EPS beat(4)N/A
Max EPS beat(4)N/A
EPS beat(8)N/A
Avg EPS beat(8)N/A
EPS beat(12)N/A
Avg EPS beat(12)N/A
EPS beat(16)N/A
Avg EPS beat(16)N/A
Revenue beat(2)0
Avg Revenue beat(2)-86.85%
Min Revenue beat(2)-87.25%
Max Revenue beat(2)-86.45%
Revenue beat(4)0
Avg Revenue beat(4)-66.96%
Min Revenue beat(4)-87.49%
Max Revenue beat(4)-6.63%
Revenue beat(8)0
Avg Revenue beat(8)-67.89%
Revenue beat(12)0
Avg Revenue beat(12)-49.22%
Revenue beat(16)0
Avg Revenue beat(16)-38.9%
PT rev (1m)-2.88%
PT rev (3m)-2.88%
EPS NQ rev (1m)0%
EPS NQ rev (3m)0%
EPS NY rev (1m)0%
EPS NY rev (3m)0%
Revenue NQ rev (1m)0%
Revenue NQ rev (3m)0%
Revenue NY rev (1m)0%
Revenue NY rev (3m)0%
Valuation
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 11.09 | ||
| Fwd PE | 9.65 | ||
| P/S | 0.62 | ||
| P/FCF | 1.82 | ||
| P/OCF | 1.81 | ||
| P/B | 0.19 | ||
| P/tB | 0.21 | ||
| EV/EBITDA | N/A |
EPS(TTM)0.23
EY9.02%
EPS(NY)0.26
Fwd EY10.37%
FCF(TTM)1.4
FCFY55.03%
OCF(TTM)1.41
OCFY55.34%
SpS4.11
BVpS13.72
TBVpS12.07
PEG (NY)N/A
PEG (5Y)N/A
Graham Number8.43
Profitability
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | -1.64% | ||
| ROE | -4% | ||
| ROCE | N/A | ||
| ROIC | N/A | ||
| ROICexc | N/A | ||
| ROICexgc | N/A | ||
| OM | N/A | ||
| PM (TTM) | N/A | ||
| GM | N/A | ||
| FCFM | 34.12% |
ROA(3y)2.51%
ROA(5y)4.28%
ROE(3y)9.45%
ROE(5y)14.25%
ROIC(3y)N/A
ROIC(5y)N/A
ROICexc(3y)N/A
ROICexc(5y)N/A
ROICexgc(3y)N/A
ROICexgc(5y)N/A
ROCE(3y)12.16%
ROCE(5y)16.56%
ROICexgc growth 3YN/A
ROICexgc growth 5YN/A
ROICexc growth 3YN/A
ROICexc growth 5YN/A
OM growth 3Y-48.02%
OM growth 5Y-35.49%
PM growth 3Y-52.23%
PM growth 5Y-40.14%
GM growth 3YN/A
GM growth 5YN/A
F-Score3
Asset Turnover0.12
Health
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.6 | ||
| Debt/FCF | 5.9 | ||
| Debt/EBITDA | N/A | ||
| Cap/Depr | N/A | ||
| Cap/Sales | N/A | ||
| Interest Coverage | N/A | ||
| Cash Conversion | N/A | ||
| Profit Quality | N/A | ||
| Current Ratio | 0.41 | ||
| Quick Ratio | 0.41 | ||
| Altman-Z | 0.38 |
F-Score3
WACC4.41%
ROIC/WACCN/A
Cap/Depr(3y)N/A
Cap/Depr(5y)N/A
Cap/Sales(3y)0.2%
Cap/Sales(5y)0.28%
Profit Quality(3y)589.29%
Profit Quality(5y)367.79%
High Growth Momentum
Growth
EPS 1Y (TTM)-42.5%
EPS 3Y-74.02%
EPS 5Y-55.61%
EPS Q2Q%-500%
EPS Next Y-341.85%
EPS Next 2Y7.21%
EPS Next 3Y19.47%
EPS Next 5Y22.4%
Revenue 1Y (TTM)-36.2%
Revenue growth 3Y-13%
Revenue growth 5Y-3.27%
Sales Q2Q%-28.91%
Revenue Next Year-29.79%
Revenue Next 2Y-16.58%
Revenue Next 3Y-7.28%
Revenue Next 5Y2.55%
EBIT growth 1Y-154.71%
EBIT growth 3Y-54.77%
EBIT growth 5Y-37.6%
EBIT Next Year-109.49%
EBIT Next 3Y-21.71%
EBIT Next 5Y2.67%
FCF growth 1Y899.97%
FCF growth 3Y29.4%
FCF growth 5YN/A
OCF growth 1Y971.43%
OCF growth 3Y28.27%
OCF growth 5YN/A
LUFAX HOLDING LTD-ADR / LU FAQ
What is the ChartMill fundamental rating of LUFAX HOLDING LTD-ADR (LU) stock?
ChartMill assigns a fundamental rating of 3 / 10 to LU.
What is the valuation status of LUFAX HOLDING LTD-ADR (LU) stock?
ChartMill assigns a valuation rating of 5 / 10 to LUFAX HOLDING LTD-ADR (LU). This can be considered as Fairly Valued.
What is the profitability of LU stock?
LUFAX HOLDING LTD-ADR (LU) has a profitability rating of 2 / 10.
Can you provide the PE and PB ratios for LU stock?
The Price/Earnings (PE) ratio for LUFAX HOLDING LTD-ADR (LU) is 11.09 and the Price/Book (PB) ratio is 0.19.
Can you provide the dividend sustainability for LU stock?
The dividend rating of LUFAX HOLDING LTD-ADR (LU) is 4 / 10 and the dividend payout ratio is -42.45%.