Deutsche Bank Doubts Lufax Will Break Even in Q4
Deutsche Bank's Johnny Xie sees Lufax missing break-even in 4Q amid weak consumption and tight rules; target cut to $8.70, hold kept.
- published on Newsmetry
- original source published
the same feed is available to bots and dashboards through the api. connect the api →
what happened
Market Talk reports that Deutsche Bank analyst Johnny Xie expects Chinese online lender Lufax to stay unprofitable for a while. In a note, he says weak consumer spending and strict regulation will keep credit risks high, so the company is unlikely to break even in the fourth quarter. Further tax adjustments at the subsidiary level could add more pressure.
Xie notes that asset quality remains broadly stable and new lending is growing at a healthy pace. Deutsche Bank keeps its hold rating but lowers the target price to $8.70 from $9.00 to account for higher credit costs. Shares closed Friday up 4.2% at $8.26.
why it matters
Lufax's return to profit depends on how credit losses develop, so a delayed recovery matters for investors in Chinese fintech lenders. The revised target reflects the analyst's view of earnings, not a forecast for the share price.
tags
instruments
sources
- Lufax Unlikely to Break Even in 4Q — Market Talk, 2 November 2026 at 02:31 UTC
prepared by the newsmetry newsroom with ai assistance from the sources listed below. not investment advice.
alerts on your topics, the morning digest and the api — in your account.
get stories in real time ↗