Futu Holdings price target lowered to $79 from $100 at Citi

Citi analyst Judy Zhang lowered the firm’s price target on Futu Holdings to $79 from $100 and keeps a Buy rating on the shares. Contrary to market perception of Futu’s earnings being highly sensitive to Federal Reserve rate cuts and U.S. recession risk, Citi’s earnings sensitivity shows that the more critical driver of earnings is client asset inflow, the analyst tells investors in a research note. The firm says the “solid” Q2 earnings report confirms its positive view on Futu. It sees market concern on rate cut or recession risk as already priced into the stock.