WallStSmart

Futu Holdings Ltd (FUTU)vsCharles Schwab Corp (SCHW)

VS

Smart Verdict

WallStSmart Research — data-driven comparison

Charles Schwab Corp generates 8% more annual revenue ($26.03B vs $24.06B). FUTU leads profitability with a 46.2% profit margin vs 38.8%. FUTU trades at a lower P/E of 12.1x. SCHW earns a higher WallStSmart Score of 81/100 (A-).

FUTU

Strong Buy

79

out of 100

Grade: B+

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

SCHW

Exceptional Buy

81

out of 100

Grade: A-

Growth: 8.0Profit: 8.0Value: 6.3Quality: 6.5
Piotroski: 6/9Altman Z: -0.14

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

SCHW6 strengths · Avg: 9.0/10
Profit MarginProfitability
38.8%10/10

Keeps 39 of every $100 in revenue as profit

Operating MarginProfitability
52.3%10/10

Strong operational efficiency at 52.3%

Market CapQuality
$185.47B9/10

Large-cap with strong market position

Return on EquityProfitability
20.2%9/10

Every $100 of equity generates 20 in profit

PEG RatioValuation
0.918/10

Growing faster than its price suggests

Revenue GrowthGrowth
20.9%8/10

Revenue surging 20.9% year-over-year

Areas to Watch

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

Distress zone — elevated risk

SCHW2 concerns · Avg: 2.0/10
Free Cash FlowQuality
$-2.97B2/10

Negative free cash flow — burning cash

Altman Z-ScoreHealth
-0.142/10

Distress zone — elevated risk

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 : SCHW

The strongest argument for SCHW centers on Profit Margin, Operating Margin, Market Cap. Profitability is solid with margins at 38.8% and operating margin at 52.3%. Revenue growth of 20.9% demonstrates continued momentum.

Bear Case : FUTU

The primary concerns for FUTU are Altman Z-Score.

Bear Case : SCHW

The primary concerns for SCHW are Free Cash Flow, Altman Z-Score.

Key Dynamics to Monitor

SCHW carries more volatility with a beta of 0.75 — 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

SCHW scores higher overall (81/100 vs 79/100), backed by strong 38.8% margins and 20.9% revenue growth. Both earn "Exceptional 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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Charles Schwab Corp

FINANCIAL SERVICES · CAPITAL MARKETS · USA

The Charles Schwab Corporation is an American multinational financial services company. It offers banking, commercial banking, an electronic trading platform, and wealth management advisory services to both retail and institutional clients.

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