LendingClub (NYSE:LC) Trading Down 6.3% – What’s Next?

LendingClub Co. (NYSE:LC)’s stock price fell 6.3% during mid-day trading on Tuesday . The stock traded as low as $15.91 and last traded at $16.14. 798,485 shares traded hands during mid-day trading, a decline of 37% from the average session volume of 1,261,927 shares. The stock had previously closed at $17.23.

Analyst Upgrades and Downgrades

A number of brokerages recently issued reports on LC. Compass Point raised their price objective on LendingClub from $15.00 to $19.00 and gave the stock a “buy” rating in a research report on Friday, October 25th. StockNews.com lowered LendingClub from a “hold” rating to a “sell” rating in a research report on Friday, October 25th. JPMorgan Chase & Co. reaffirmed a “neutral” rating and issued a $17.00 price objective (up from $14.00) on shares of LendingClub in a research note on Monday, December 2nd. Piper Sandler boosted their price target on shares of LendingClub from $15.00 to $20.00 and gave the stock an “overweight” rating in a research note on Friday, January 3rd. Finally, Wedbush lifted their price objective on shares of LendingClub from $14.00 to $17.00 and gave the company an “outperform” rating in a report on Thursday, October 24th. One analyst has rated the stock with a sell rating, one has assigned a hold rating and seven have issued a buy rating to the company. According to data from MarketBeat.com, the stock presently has an average rating of “Moderate Buy” and a consensus price target of $16.63.

LendingClub Stock Performance

The stock has a market cap of $1.79 billion, a P/E ratio of 34.65 and a beta of 2.03. The firm has a 50 day simple moving average of $15.97 and a two-hundred day simple moving average of $12.73.

LendingClub (NYSE:LC) last announced its quarterly earnings data on Wednesday, October 23rd. The credit services provider reported $0.13 earnings per share for the quarter, beating the consensus estimate of $0.07 by $0.06. The business had revenue of $201.90 million during the quarter, compared to analyst estimates of $190.40 million. LendingClub had a return on equity of 4.02% and a net margin of 6.85%. The company’s revenue was up .5% on a year-over-year basis. During the same quarter in the prior year, the firm posted $0.05 earnings per share. As a group, equities research analysts predict that LendingClub Co. will post 0.47 EPS for the current year.

Insider Buying and Selling

In related news, CEO Scott Sanborn sold 17,000 shares of the company’s stock in a transaction on Thursday, November 7th. The shares were sold at an average price of $14.89, for a total value of $253,130.00. Following the completion of the sale, the chief executive officer now directly owns 1,339,273 shares in the company, valued at approximately $19,941,774.97. This represents a 1.25 % decrease in their ownership of the stock. The sale was disclosed in a document filed with the SEC, which is accessible through this link. Also, Director John C. Morris sold 2,500 shares of the firm’s stock in a transaction that occurred on Tuesday, October 29th. The shares were sold at an average price of $14.36, for a total value of $35,900.00. Following the completion of the transaction, the director now directly owns 203,348 shares in the company, valued at $2,920,077.28. The trade was a 1.21 % decrease in their ownership of the stock. The disclosure for this sale can be found here. Over the last three months, insiders sold 75,500 shares of company stock worth $1,158,610. 3.31% of the stock is owned by company insiders.

Hedge Funds Weigh In On LendingClub

Large investors have recently bought and sold shares of the stock. FMR LLC boosted its position in shares of LendingClub by 32.1% during the 3rd quarter. FMR LLC now owns 5,865 shares of the credit services provider’s stock valued at $67,000 after acquiring an additional 1,424 shares in the last quarter. The Manufacturers Life Insurance Company boosted its holdings in LendingClub by 0.5% during the second quarter. The Manufacturers Life Insurance Company now owns 302,844 shares of the credit services provider’s stock valued at $2,562,000 after purchasing an additional 1,445 shares in the last quarter. AlphaMark Advisors LLC acquired a new stake in LendingClub during the third quarter valued at approximately $32,000. Hsbc Holdings PLC grew its stake in shares of LendingClub by 38.3% in the 2nd quarter. Hsbc Holdings PLC now owns 16,748 shares of the credit services provider’s stock valued at $141,000 after purchasing an additional 4,640 shares during the period. Finally, Aigen Investment Management LP raised its holdings in shares of LendingClub by 18.5% in the 3rd quarter. Aigen Investment Management LP now owns 31,542 shares of the credit services provider’s stock worth $361,000 after buying an additional 4,917 shares in the last quarter. 74.08% of the stock is currently owned by institutional investors and hedge funds.

About LendingClub

LendingClub Corporation, operates as a bank holding company, that provides range of financial products and services in the United States. It offers deposit products, including savings accounts, checking accounts, and certificates of deposit. The company also provides loan products, such as consumer loans comprising unsecured personal loans, secured auto refinance loans, and patient and education finance loans; and commercial loans, including small business loans.