5 Cheap Chinese Penny Stocks to Buy According to Hedge Funds

3. Lufax Holding Ltd (NYSE:LU)

Number of Hedge Fund Holders: 16

Lufax Holding Ltd (NYSE:LU) – ADR is another personal financial services platform company in our list of cheap Chinese penny stocks. Lufax Holding Ltd (NYSE:LU), however, has pulled back significantly over the past one year, losing 50% in value. In August Lufax Holding Ltd (NYSE:LU) posted second quarter results. Total net income in the period came in at RMB $9.27 billion, down from RMB 15.3 billion posted in the same quarter last year.

However, Lufax Holding Ltd (NYSE:LU) was in 16 hedge fund portfolios, according to Insider Monkey’s database of 910 hedge funds. The biggest stakeholder of Lufax Holding Ltd (NYSE:LU) was Thomas Steyer’s Farallon Capital which owns a $29 million stake in the company. Ray Dalio’s hedge fund cut its stake in Lufax Holding Ltd (NYSE:LU) by 79% in the second quarter. That’s why Lufax Holding Ltd (NYSE:LU) features in our list of the Chinese companies Dalio’s fund is dumping from its portfolio.