Lufax Holding Ltd. Sponsored ADR Intrinsic Value

With Intrinsiqq's starting inputs, Lufax Holding Ltd. Sponsored ADR's fair value is about ¥30.48 a share, based on its book value per share. That assumes book value per share of ¥98.19 grows about 0.0% a year for 5 years, the stock then trades at 0.5 times book value, and you want a 10.0% yearly return. On its other figures: free cash flow ¥57.88, revenue ¥10.72. Every input can be changed on the page; the result is a model, not a forecast.

At ¥56.78, the price is 86% above that fair value of ¥30.48, and buying at today's price would return about -2.9% a year if those inputs hold. Whether that is cheap or dear depends on whether you believe the growth and the exit multiple, which is what the calculator lets you test. This is analysis from company filings, not investment advice.

Book value per share grows about 0.0% a year to start, its own recent growth per share (three years for a company not yet profitable, five otherwise). The exit multiple starts at its own median over five years.

A margin of safety is the cushion you want below the fair value before buying, in case the inputs are wrong. The calculator uses 25%, which puts the buy-below price at ¥22.86. Less predictable businesses deserve a wider cushion, or a higher desired return.