Futu Holdings Limited

NasdaqGM:FUTU Stock Report

Market Cap: US$12.0b

Futu Holdings Valuation

Is FUTU undervalued compared to its fair value, analyst forecasts and its price relative to the market?

Valuation Score

5/6

Valuation Score 5/6

  • Below Fair Value

  • Significantly Below Fair Value

  • Price-To-Earnings vs Peers

  • Price-To-Earnings vs Industry

  • Price-To-Earnings vs Fair Ratio

  • Analyst Forecast

Share Price vs Fair Value

What is the Fair Price of FUTU when looking at its future cash flows? For this estimate we use a Discounted Cash Flow model.

Below Fair Value: FUTU ($88.99) is trading below our estimate of fair value ($113.43)

Significantly Below Fair Value: FUTU is trading below fair value by more than 20%.

Key Valuation Metric

Which metric is best to use when looking at relative valuation for FUTU?

Key metric: As FUTU is profitable we use its Price-To-Earnings Ratio for relative valuation analysis.

The above table shows the Price to Earnings ratio for FUTU. This is calculated by dividing FUTU's market cap by their current earnings.
What is FUTU's PE Ratio?
PE Ratio20.9x
EarningsHK$4.45b
Market CapHK$93.08b

Price to Earnings Ratio vs Peers

How does FUTU's PE Ratio compare to its peers?

The above table shows the PE ratio for FUTU vs its peers. Here we also display the market cap and forecasted growth for additional consideration.
CompanyForward PEEstimated GrowthMarket Cap
Peer Average26.2x
XP XP
11.1x12.4%US$8.9b
SF Stifel Financial
19x11.3%US$11.6b
HLI Houlihan Lokey
38.9x12.6%US$12.9b
EVR Evercore
35.8x30.7%US$12.8b
FUTU Futu Holdings
21.5x22.8%US$12.0b

Price-To-Earnings vs Peers: FUTU is good value based on its Price-To-Earnings Ratio (21.5x) compared to the peer average (26.2x).

Price to Earnings Ratio vs Industry

How does FUTU's PE Ratio compare vs other companies in the US Capital Markets Industry?

22 CompaniesPrice / EarningsEstimated GrowthMarket Cap
ADX Adams Diversified Equity Fund
4xn/aUS$2.52b
CET Central Securities
4.5xn/aUS$1.32b
GAM General American Investors Company
4.1xn/aUS$1.16b
MUDS Mudrick Capital Acquisition Corporation II
3.4xn/aUS$401.64m
FUTU 20.9xIndustry Avg. 23.6xNo. of Companies75PE020406080100+
22 CompaniesEstimated GrowthMarket Cap
No more companies

Price-To-Earnings vs Industry: FUTU is good value based on its Price-To-Earnings Ratio (21.5x) compared to the US Capital Markets industry average (23.6x).

Price to Earnings Ratio vs Fair Ratio

What is FUTU's PE Ratio compared to its Fair PE Ratio? This is the expected PE Ratio taking into account the company's forecast earnings growth, profit margins and other risk factors.

FUTU PE Ratio vs Fair Ratio.
Fair Ratio
Current PE Ratio20.9x
Fair PE Ratio23.2x

Price-To-Earnings vs Fair Ratio: FUTU is good value based on its Price-To-Earnings Ratio (21.5x) compared to the estimated Fair Price-To-Earnings Ratio (23.9x).

Analyst Price Targets

What is the analyst 12-month forecast and do we have any statistical confidence in the consensus price target?

The above table shows the analyst FUTU forecast and predictions for the stock price in 12 month’s time.
DateShare PriceAverage 1Y Price TargetDispersionHighLow1Y Actual priceAnalysts
CurrentUS$86.70
US$117.57
+35.6%
18.9%US$159.99US$68.63n/a15
Nov ’25US$95.08
US$105.10
+10.5%
37.0%US$187.82US$50.64n/a15
Oct ’25US$107.54
US$82.50
-23.3%
13.0%US$90.79US$50.61n/a16
Sep ’25US$63.56
US$81.65
+28.5%
12.8%US$90.51US$50.68n/a16
Aug ’25US$59.69
US$84.08
+40.9%
14.2%US$99.97US$50.61n/a16
Jul ’25US$64.17
US$82.61
+28.7%
15.7%US$100.06US$50.66n/a17
Jun ’25US$75.14
US$82.47
+9.8%
15.8%US$99.88US$50.57n/a17
May ’25US$64.10
US$69.19
+7.9%
13.9%US$85.93US$48.10n/a17
Apr ’25US$56.70
US$69.19
+22.0%
14.4%US$86.01US$48.15n/a16
Mar ’25US$55.57
US$68.19
+22.7%
16.6%US$85.81US$45.87n/a16
Feb ’25US$46.90
US$68.19
+45.4%
16.6%US$85.81US$45.87n/a16
Jan ’25US$54.63
US$68.22
+24.9%
19.5%US$89.94US$40.07n/a16
Dec ’24US$54.43
US$68.34
+25.6%
19.5%US$90.07US$40.13n/a16
Nov ’24US$55.75
US$64.84
+16.3%
19.3%US$85.97US$40.00US$95.0816
Oct ’24US$57.81
US$65.17
+12.7%
20.5%US$85.99US$40.00US$107.5417
Sep ’24US$63.39
US$64.20
+1.3%
21.2%US$85.98US$33.92US$63.5617
Aug ’24US$59.88
US$59.22
-1.1%
25.2%US$86.01US$32.30US$59.6917
Jul ’24US$39.74
US$58.09
+46.2%
23.5%US$82.39US$32.14US$64.1717
Jun ’24US$38.21
US$57.62
+50.8%
23.3%US$82.42US$32.16US$75.1418
May ’24US$43.51
US$59.73
+37.3%
21.4%US$82.20US$26.82US$64.1018
Apr ’24US$51.85
US$59.66
+15.1%
21.4%US$82.20US$26.82US$56.7018
Mar ’24US$49.12
US$59.29
+20.7%
27.8%US$97.62US$26.82US$55.5718
Feb ’24US$55.98
US$58.96
+5.3%
28.6%US$97.87US$26.89US$46.9018
Jan ’24US$40.65
US$63.12
+55.3%
23.5%US$97.75US$26.97US$54.6318
Dec ’23US$60.95
US$62.02
+1.8%
14.7%US$77.63US$40.17US$54.4316
Nov ’23US$35.50
US$55.86
+57.3%
14.4%US$75.00US$39.97US$55.7516

Analyst Forecast: Target price is more than 20% higher than the current share price, but analysts are not within a statistically confident range of agreement.

Discover undervalued companies

Ameriprise Financial

US$54.6b

Provides various financial products and services to individual and institutional clients in the United States and internationally.

AMP

US$562.56

7D

0.5%

1Y

60.5%

Investor

SEK 905.1b

A private equity firm specializing in mature, middle market, buyouts and growth capital investments.

IVSB.F

SEK 26.69

7D

-4.0%

1Y

32.1%

ORIX

JP¥3.8t

Provides diversified financial services in Japan, the United States, Asia, Europe, Australasia, and the Middle East.

IX

JP¥108.58

7D

0.8%

1Y

19.5%