Futu Holdings Limited American Depositary Shares (FUTU)

FairStock Score: 75/100 — HIGH CONVICTION

Key Financials

AI Analysis

AI-generated, general educational analysis — not personal investment advice.

I look for a business that earns high returns without dangerous leverage, bought at a sensible price. Futu, at $114.06 on 2026-10-13, has a $21.7B market cap. FairStock's calculations show a P/E of 11.38 and a P/B of 3.19. Its ROE is 30.52%, but ROCE is only 4.51%, and D/E is 0.72, so capital efficiency and balance-sheet risk deserve scrutiny. Because this is a financial company, I set aside free cash flow, EV/EBITDA, Altman Z, and the Graham Number; CET1, NIM, and combined ratio are not in the data. The latest reported quarter, fiscal Q2 2026 (period end not provided), showed revenue of $7.2B, net income of $3.6B, and a 50.65% margin. The supplied growth figures are 35.57% for revenue and 41.67% for profit, though the exact period is not labeled. If those persist, the PEG of 0.27 makes the price look undemanding. Still, a broker is not a consumer monopoly: trading volumes, interest rates, regulation, and market sentiment drive results. The Piotroski F-Score of 4/9 is mediocre, and the 52-week range of $80.50-$202.53 shows how violently the market has repriced it. A beta of 0.45 and 2.32% dividend yield offer some comfort. FairStock scores it 79/100, but the Lynch category is 'none' because there are zero years of filed annual results, not enough for that screen. At 11 times earnings, I would call it reasonably priced, not a sure thing.

In plain English: Futu runs online stock trading and wealth management apps, mainly in Hong Kong and internationally. The business looks strong: it earns high profits, is growing quickly, and carries moderate debt for a financial firm. The share price looks reasonable compared with those profits, though not clearly cheap based on its accounting value.

The full AI analysis, bull and bear case and key monitorables are in FairStock Pro.

Data as of 2026-10-13 close · note generated 2026-10-15 · model deepseek-flash

Fundamentals from company filings and market-data providers; prices are end-of-day, not real-time. AI-generated analysis is general and educational — not personal investment advice. Scoring methodology · Score test · Disclaimer