Lufax Holding (LU) Fair Value & Analysis

Financial Services · US · Market cap $1.1B

A solid business, but screening 37% overvalued on our models.

What matters now

• The price sits above even our optimistic bull case ($1.18). The favourable scenario is already priced in.
• The large gap to fair value rests on thin data (low evidence): fewer applicable models and a shorter history. Read it with extra caution.
• Solid but not exceptional quality (63/100) and above fair value, neither a clear bargain nor a standout compounder.
• A fairly wide model range ($0.6213 to $1.18) leaves room in how you read the outcome.

Price vs Fair Value (5 years)

White line = price, green steps = our fair value per fiscal year, dashed = 300-day average. As of Jul 27, 2026.

How to read this chart

60‑month range $0.9621 – $18.77 · fair‑value band $0.6213 – $1.18 · the $1.50 price screens above the $0.9422 fair value. Green steps = our fair value per fiscal year (point-in-time, no hindsight). Dashed = 300-day average. As of Jul 27, 2026.

Full chart & analysis →

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Analysis

Lufax Holding (LU) currently trades at $1.50, while our model-based Fair Value estimate is $0.9422, implying the stock looks roughly 37.2% overvalued today. The Quality Score stands at 63/100 (solid quality), in the Financial Services sector. Bear case: priced above our estimate, the market already discounts strong expectations. Bull case: above-average quality can justify a premium, the entry price still matters most (evidence: low).

Over the trailing twelve months, Lufax Holding generated revenue of $30.0B at a net margin of -7.0%. Revenue declined 19.5% year over year. It earns a return on equity of -2.1%. Net debt stands at $40.3B. Fundamentals as of Jul 27, 2026

Our scenario range runs from $0.6213 (bear case) to $1.18 (bull case); at $1.50, the current price sits above that range. Bear and bull are the same models run on conservative and optimistic assumptions (margins, growth, valuation multiples), so a plausible valuation range, not a price target. The share trades about 67% below its 52-week high and 21% above its 52-week low, currently below its 200-day average. For context, the median of 10 Financial Services peers we cover trades at -41% fair-value upside, at -37%, LU screens cheaper than that median.

Fair Value models

Each model estimates fair value its own way; the Fair Value above is the evidence-weighted blend. Evidence (0–100) measures how completely this model’s inputs are available: well-fed models carry more weight in the blend. The spread across models is intentional, each one stresses a different value driver; dividend models, for instance, come out structurally low when payout is small.

Widest divergence: Growth DCF ($66.21) versus Asset-Based ($61.75). Highest evidence: Growth DCF (80).

Key figures & financial health

Quality Score breakdown

About the company

Lufax Holding Ltd engages in the retail credit and enablement business to borrowers and institutions in the People's Republic of China. It offers loan products, including general unsecured loans and secured loans, as well as consumer finance loans.

Full company description

Lufax Holding Ltd engages in the retail credit and enablement business to borrowers and institutions in the People's Republic of China. It offers loan products, including general unsecured loans and secured loans, as well as consumer finance loans. The company also provides wealth management products, such as asset management plans, bank products, mutual fund products, private investment fund products, trust plans, and others. In addition, it offers technology advisory, internet platform, banking, microfinance, financing guarantee, enterprise management, information consultation, asset management, and investment and financial consulting services. The company serves small and micro business owners, individual entrepreneurs, and individuals. Lufax Holding Ltd was founded in 2005 and is headquartered in Shanghai, China.

Company description, as reported by the company or data provider.

Revenue & earnings trend

FY2021 – FY2025 · reported fiscal years

Lufax Holding reported revenue of $28.1B in FY2025 versus $65.0B in FY2021, a compound −18.9%/yr. Reported net income was −$2.0B in FY2025.

LU screens 37% overvalued. Compare with Visa Inc →

Peer Group

Credit Services · 333 stocks

How this stock ranks against its industry: the green marker is this stock, the band is the typical 25–75% peer range, and the tick is the median.

Valuation Multiples vs Credit Services median · lower = cheaper

Snowflake

Five quick dimensions, each 0 to 100: VALUE (fair-value potential), FUTURE (revenue growth), PAST (return on equity), HEALTH (low debt), DIVIDEND (yield). Green = this stock, grey = typical sector peer.

VALUE 0: the price sits above our fair-value range.

Values & ESG

Does this company touch areas you may want to avoid? The classification is inferred from sector and industry.

ESG scores are not available for this stock yet. Values and ESG data are contextual and can differ between providers.

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Frequently asked questions

How we calculate Fair Value

Each company is valued through a stack of independent intrinsic-value models (DCF variants, residual-income, multiples and more), blended into one family-balanced consensus and weighted by how much trustworthy data backs it. A separate quality layer scores the fundamentals. Every input is real reported data, nothing guessed.