Positioning no disclosures inside 60 days, left as found
Options put/call open interest 0.95, read 2026-11-02
Ethical does not pass the values gate
Price0.92 USD
Fair valueUnder review
Ethical score70.0/100
Our investment reviews on this name
2026-11-04Read Distribution0.92+0.0% to today Markup gives way to Distribution first Distribution read since October
2026-10-28Read Markup0.92+0.0% to today ✓Distribution gives way to Markup after a 34% slide in 12 weeks
2026-08-04Read Distribution1.39-33.8% to today ✓Markdown gives way to Distribution
2026-07-02Read Markdown1.33-30.8% to today ✓First review on file: Markdown
Our analytic regime reads on this name, dated and marked against the screened price. Small sample per name, and separate from the daily-framework accuracy on the Track Record page.
Lufax Holding Ltd holds its Markdown at $0.92. The statistical read favours the sellers, held for 7 days.
As held on the ledger · 2026-10-13
Phase
Markdown · caution
Quantitative state
The statistical read favours the sellers, held for 7 days
Price at the screen
$0.92
Valuation
N/A trailing · 5.97 forward price to earnings
Values screen
FAIL· score 70.0
Beta
0.67
The Workings
Five Screens, Shown in Full
Does not pass. Business activity: conventional financial services
Test
Figure
Limit
What it means
Status
Business activity
Excluded
Core business clean
Its core business involves an activity the values screen does not clear.
Fail
Debt load
4,138.40%
Below 33%
Interest-bearing debt is 4,138.4% of its assets, above the one-third ceiling the screen allows.
Fail
Interest-bearing cash
1,393.01%
Below 33%
Interest-bearing cash and securities are 1,393.0% of assets, above the one-third limit.
Fail
Receivables
0.00%
Below 49%
Money owed to the company is 0.0% of assets, under the 49% limit.
Pass
Revenue purity
73.14%
Below 5%
73.1% of revenue comes from non-compliant sources, over the 5% line.
Fail
Five checks adapted from AAOIFI screening standards: business activity plus four balance-sheet ratios. All five must pass for ethical clearance. Every figure is arithmetic on public accounts, not judgement.
The Ethical Read
Why It Falls Short, in Plain English
Lufax does not clear the screen at the business-activity stage. It operates in conventional financial services, which the screen treats as interest-based, so the financial ratios are not the deciding factor here.
Read as at 2026-11-05. It updates when the underlying figures move, and past reads are kept below.
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Today LU does not pass the screen. If new figures move it to a pass, we send you one short email with the before and after. Verdicts change rarely, so you may not hear from us for a long time.
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What the Numbers Say It Is Worth
The Fair Value Range
Fair value under review. Its inputs are 23 days old; our model's value is 2.12x the price, above our 2.00x limit. We show no fair value, margin of safety or value read built on it until the review clears.
Where our models see it going: no fair-value estimate yet, range not available, dated to the 2026-10-13 screen.
Fair value and rating are our own model estimates; the Street's range reflects third-party analyst estimates. Analysis, not advice.
The Business, in Plain Words
Chinese Lender Trips Over Debt and Direction
Picture a borrower in Shanghai tapping an app for a quick loan while the economy cools. Lufax sits in the middle, yet shrinking revenue and negative profit margins show the platform struggling to keep pace with tighter rules and weaker demand.
We pass because the ethical screen flags a failed debt ratio test and the business carries a weak moat. Forward earnings look cheap at 5.2 times but sit alongside 20 percent revenue declines, negative return on equity and no analyst consensus to lean on.
The real danger lies in further regulatory tightening and currency swings that could widen losses quickly. Analysis, not advice.
Another profit measure, before interest, tax and non-cash costs: EBITDA.
The risks · The things to watch: it's a small-cap, so the share price can swing harder than the market; its business and earnings are exposed to China and to currency swings.
Plain-English interpretation of our own screen data. Analysis, not advice.
Where & How to Trade
LU trades on the NYSE (the company is based in China). As a listed security it is accessible through almost any international broker offering its home market. New to this, or investing from abroad? Our guide to accessing global markets covers brokers, currencies and the practical steps.
The framework has shifted from markup to distribution since the last review. Smart money appears to be selling into strength. Institutional holders may be rotating out. Price has moved down 0.0% since our last review. Ethical screening: FAIL. This security does not pass our values-based screening criteria. The risk-adjusted return profile shows negative risk-adjusted returns. Our composite framework grades it C. Technically it is sitting below its long-term trend line with momentum reading overbought. Over the past year the shares are down 54%. Our forward projection puts the odds of a 10% gain over the next month near 27%. The street (4 analysts) rates it none, with a mean price target of $3.
2026-10-28Markup · changed$0.92+0.0%Entry 9
The framework has shifted from distribution to markup since the last review. Price is trending higher with momentum. The crowd has caught on and buyers are in control. Price has moved down 0.0% since our last review. Ethical screening: FAIL. This security does not pass our values-based screening criteria. The risk-adjusted return profile shows good risk-adjusted returns. Our composite framework grades it C. Technically it is sitting below its long-term trend line with momentum reading overbought. Over the past year the shares are down 54%. Our forward projection puts the odds of a 10% gain over the next month near 27%. The street (4 analysts) rates it none, with a mean price target of $3.
2026-10-21Distribution$0.92-6.1%Entry 8
The analysis reads distribution. Smart money appears to be selling into strength. Institutional holders may be rotating out. Price has moved down 6.1% since our last review. Ethical screening: FAIL. This security does not pass our values-based screening criteria. The risk-adjusted return profile shows negative risk-adjusted returns. Our composite framework grades it D. Technically it is sitting below its long-term trend line with momentum reading oversold. Over the past year the shares are down 54%. Our forward projection puts the odds of a 10% gain over the next month near 27%. The street (4 analysts) rates it none, with a mean price target of $3.
2026-10-14Distribution$0.98-14.8%Entry 7
The analysis reads distribution. Smart money appears to be selling into strength. Institutional holders may be rotating out. Price has moved down 14.8% since our last review. Ethical screening: FAIL. This security does not pass our values-based screening criteria. The risk-adjusted return profile shows negative risk-adjusted returns. Our composite framework grades it D. Technically it is sitting below its long-term trend line with momentum reading oversold. Over the past year the shares are down 54%. Our forward projection puts the odds of a 10% gain over the next month near 27%. The street (4 analysts) rates it none, with a mean price target of $3.
2026-10-02Distribution$1.15-6.5%Entry 6
Our analysis reads distribution. Smart money appears to be selling into strength. Institutional holders may be rotating out. Price has moved down 6.5% since our last review. Ethical screening: FAIL. This security does not pass our values-based screening criteria. The risk-adjusted return profile shows modest positive risk-adjusted returns. Our composite framework grades it D. Technically it is sitting below its long-term trend line with momentum reading oversold. Over the past year the shares are down 54%. Our forward projection puts the odds of a 10% gain over the next month near 27%. The street (4 analysts) rates it none, with a mean price target of $3.
2026-09-04Distribution$1.23-11.5%Entry 5
Our analysis reads distribution. Smart money appears to be selling into strength. Institutional holders may be rotating out. Price has moved down 11.5% since our last review. Ethical screening: FAIL. This security does not pass our values-based screening criteria. The risk-adjusted return profile shows negative risk-adjusted returns. Our composite framework grades it D. Technically it is sitting below its long-term trend line with momentum reading oversold. Over the past year the shares are down 54%. Our forward projection puts the odds of a 10% gain over the next month near 27%. The street (4 analysts) rates it none, with a mean price target of $3.
2026-08-04Distribution · changed$1.39+4.5%Entry 4
The framework has shifted from markdown to distribution since the last review. Smart money appears to be selling into strength. Institutional holders may be rotating out. Price has moved up 4.5% since our last review. Ethical screening: FAIL. This security does not pass our values-based screening criteria. The risk-adjusted return profile shows modest positive risk-adjusted returns. Our composite framework grades it D. Technically it is sitting below its long-term trend line with momentum reading oversold. Over the past year the shares are down 54%. Our forward projection puts the odds of a 10% gain over the next month near 27%. The street (4 analysts) rates it none, with a mean price target of $3.
2026-07-18Markdown$1.33+0.0%Entry 3
Our analysis reads markdown. Price is trending lower. Sellers are in control and the prior trend has reversed. Price has moved down 0.0% since our last review. Ethical screening: FAIL. This security does not pass our values-based screening criteria. The risk-adjusted return profile shows modest positive risk-adjusted returns. Our composite framework grades it D. Technically it is sitting below its long-term trend line with momentum reading oversold. Over the past year the shares are down 54%. Our forward projection puts the odds of a 10% gain over the next month near 27%. The street (4 analysts) rates it none, with a mean price target of $3.
2026-07-03Markdown$1.33+0.0%Entry 2
Our analysis reads markdown. Price is trending lower. Sellers are in control and the prior trend has reversed. Price has moved down 0.0% since our last review. Ethical screening: FAIL. This security does not pass our values-based screening criteria. The risk-adjusted return profile shows modest positive risk-adjusted returns.
2026-07-02Markdown$1.33Entry 1
Our analysis reads markdown. Price is trending lower. Sellers are in control and the prior trend has reversed. Ethical screening: FAIL. This security does not pass our values-based screening criteria. The risk-adjusted return profile shows modest positive risk-adjusted returns.
Each entry above was written on its date, before the outcome. A journal you can prune is not a journal.
