FUTU Over-reacting to News?
According to FUTU's latest Investor Conference, over 90% of FUTU's new customers come from outside of China (Singapore, Hong Kong, Australia and the US).
In addition, the announcement states that FUTU CAN continue to serve their existing Mainland China customers and overseas customers.
Combined, there is minimal impact on both their current and future business. The small impact it has, definitely does not warrant the 30% share price drop, and for a high-growth company like FUTU to be trading at PE ratio of 10x.
Predicting that FUTU will launch their share buyback to support this nonsensical drop as well.
Once China's Covid cases peak (which is expected to peak in the next 1-2 weeks), all the China stocks will start looking to the future and start a new and longer uptrend.
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101723562 : I think this is just temporary, I am sure they will raise back to normal level, once they clarify with the Mainland China government and others. May be after the clarification, their share may raise up even higher !
101693977 : hope you are right! have added some just now
Venture118 : Haha those panic sellers will b chasing it up again
Poop Turtle 101693977: That is right ignore the noise. Every negative news is opportunities to buy low
Poop Turtle : Didn’t make sense why the chinese government wants to kill of its own Chinese co. FUTU grow and expand and start to underwrite ipo in countries. It is like expanding its arm overseas.. like visa and Mastercard..
股勇者 Poop Turtle: if it makes sense, econimically and commercially, it's not CCP... LOL
Poop Turtle 股勇者: Truth also. If not for CCP intervention alipay might dominate in a few more countries. They eat their own kind also I guess
股勇者 Poop Turtle: communism lives in a different world. enuf said LOL
71516546 : what's wrong with Chinese Gov? They must lost their brain!!!
Maybe just stop the Chinese residents to invest and make money outside China????