WallStSmart

Futu Holdings Ltd (FUTU)vsRobinhood Markets Inc (HOOD)

VS

Smart Verdict

WallStSmart Research — data-driven comparison

Futu Holdings Ltd generates 388% more annual revenue ($24.06B vs $4.93B). FUTU leads profitability with a 46.2% profit margin vs 42.0%. FUTU trades at a lower P/E of 12.1x. FUTU earns a higher WallStSmart Score of 79/100 (B+).

FUTU

Strong Buy

79

out of 100

Grade: B+

Growth: 10.0Profit: 9.0Value: 6.0Quality: 6.5
Piotroski: 5/9Altman Z: 1.33

HOOD

Strong Buy

74

out of 100

Grade: B

Growth: 10.0Profit: 8.5Value: 3.7Quality: 4.0
Piotroski: 3/9Altman Z: 0.65

Key Strengths & Concerns

Side-by-side fundamental analysis

Key Strengths

FUTU6 strengths · Avg: 9.2/10
Profit MarginProfitability
46.2%10/10

Keeps 46 of every $100 in revenue as profit

Operating MarginProfitability
66.7%10/10

Strong operational efficiency at 66.7%

Revenue GrowthGrowth
35.6%10/10

Revenue surging 35.6% year-over-year

Return on EquityProfitability
28.6%9/10

Every $100 of equity generates 29 in profit

P/E RatioValuation
12.1x8/10

Attractively priced relative to earnings

EPS GrowthGrowth
43.0%8/10

Earnings expanding 43.0% YoY

HOOD6 strengths · Avg: 9.3/10
Profit MarginProfitability
42.0%10/10

Keeps 42 of every $100 in revenue as profit

Operating MarginProfitability
43.9%10/10

Strong operational efficiency at 43.9%

Revenue GrowthGrowth
32.3%10/10

Revenue surging 32.3% year-over-year

Market CapQuality
$101.21B9/10

Large-cap with strong market position

Return on EquityProfitability
21.9%9/10

Every $100 of equity generates 22 in profit

EPS GrowthGrowth
47.6%8/10

Earnings expanding 47.6% YoY

Areas to Watch

FUTU1 concerns · Avg: 2.0/10
Altman Z-ScoreHealth
1.332/10

Distress zone — elevated risk

HOOD4 concerns · Avg: 3.3/10
PEG RatioValuation
1.984/10

Expensive relative to growth rate

Price/BookValuation
10.7x4/10

Trading at 10.7x book value

Piotroski F-ScoreQuality
3/93/10

Weak financial health signals

P/E RatioValuation
50.3x2/10

Premium valuation, high expectations priced in

Comparative Analysis Report

WallStSmart Research

Bull Case : FUTU

The strongest argument for FUTU centers on Profit Margin, Operating Margin, Revenue Growth. Profitability is solid with margins at 46.2% and operating margin at 66.7%. Revenue growth of 35.6% demonstrates continued momentum.

Bull Case : HOOD

The strongest argument for HOOD centers on Profit Margin, Operating Margin, Revenue Growth. Profitability is solid with margins at 42.0% and operating margin at 43.9%. Revenue growth of 32.3% demonstrates continued momentum.

Bear Case : FUTU

The primary concerns for FUTU are Altman Z-Score.

Bear Case : HOOD

The primary concerns for HOOD are PEG Ratio, Price/Book, Piotroski F-Score. A P/E of 50.3x leaves little room for execution misses. Debt-to-equity of 2.92 is elevated, increasing financial risk.

Key Dynamics to Monitor

HOOD carries more volatility with a beta of 2.34 — expect wider price swings.

FUTU is growing revenue faster at 35.6% — sustainability is the question.

Monitor CAPITAL MARKETS industry trends, competitive dynamics, and regulatory changes.

Bottom Line

FUTU scores higher overall (79/100 vs 74/100), backed by strong 46.2% margins and 35.6% revenue growth. Both earn "Strong Buy" and "Strong Buy" ratings respectively — the choice depends on your investment horizon and risk tolerance.

This analysis is generated from publicly available financial data. Not financial advice.

Futu Holdings Ltd

FINANCIAL SERVICES · CAPITAL MARKETS · China

Futu Holdings Limited operates an online brokerage and wealth management platform in Hong Kong and internationally. The company is headquartered in Hong Kong, Hong Kong.

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Robinhood Markets Inc

FINANCIAL SERVICES · CAPITAL MARKETS · USA

Robinhood Markets Inc (HOOD) is a leading fintech company revolutionizing retail investing since 2013 with its innovative, commission-free trading platform. By offering a diverse range of investment products—including stocks, ETFs, options, and cryptocurrencies—Robinhood caters to a broad demographic, particularly engaging younger investors. The company is committed to financial education and inclusivity, further solidified by its unique features like fractional shares and advanced cash management solutions. With a focus on transparency and efficiency, Robinhood is well-positioned as a key player in the evolving digital brokerage landscape.

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