LendingClub (NYSE:LC) Trading Down 6.3% – Here’s Why

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

Wall Street Analysts Forecast Growth

LC has been the subject of several recent analyst reports. Compass Point raised their price objective on shares of LendingClub from $15.00 to $19.00 and gave the stock a “buy” rating in a report on Friday, October 25th. JPMorgan Chase & Co. restated a “neutral” rating and issued a $17.00 target price (up from $14.00) on shares of LendingClub in a research note on Monday, December 2nd. Piper Sandler lifted their price target on LendingClub from $15.00 to $20.00 and gave the company an “overweight” rating in a report on Friday, January 3rd. Maxim Group increased their price objective on shares of LendingClub from $16.00 to $19.00 and gave the stock a “buy” rating in a report on Friday, October 25th. Finally, Wedbush boosted their target price on shares of LendingClub from $14.00 to $17.00 and gave the stock an “outperform” rating in a research note on Thursday, October 24th. One analyst has rated the stock with a sell rating, one has issued a hold rating and seven have issued a buy rating to the company. Based on data from MarketBeat, the stock currently has a consensus rating of “Moderate Buy” and an average target price of $16.63.

LendingClub Trading Down 2.1 %

The stock has a 50 day moving average price of $15.97 and a two-hundred day moving average price of $12.73. The company has a market cap of $1.79 billion, a price-to-earnings ratio of 34.65 and a beta of 2.03.

LendingClub (NYSE:LC) last released its quarterly earnings data on Wednesday, October 23rd. The credit services provider reported $0.13 earnings per share for the quarter, topping the consensus estimate of $0.07 by $0.06. The business had revenue of $201.90 million for the quarter, compared to analyst estimates of $190.40 million. LendingClub had a net margin of 6.85% and a return on equity of 4.02%. LendingClub’s quarterly revenue was up .5% compared to the same quarter last year. During the same quarter last year, the firm earned $0.05 EPS. On average, equities analysts forecast that LendingClub Co. will post 0.47 EPS for the current fiscal year.

Insider Buying and Selling

In other LendingClub news, General Counsel Jordan Cheng sold 22,000 shares of the business’s stock in a transaction that occurred on Friday, November 8th. The stock was sold at an average price of $14.83, for a total value of $326,260.00. Following the sale, the general counsel now owns 89,385 shares in the company, valued at approximately $1,325,579.55. The trade was a 19.75 % decrease in their position. The transaction was disclosed in a legal filing 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 stock was sold at an average price of $14.36, for a total transaction of $35,900.00. Following the transaction, the director now directly owns 203,348 shares of the company’s stock, valued at $2,920,077.28. This represents a 1.21 % decrease in their ownership of the stock. The disclosure for this sale can be found here. In the last quarter, insiders have sold 75,500 shares of company stock valued at $1,158,610. 3.31% of the stock is owned by company insiders.

Hedge Funds Weigh In On LendingClub

Several hedge funds and other institutional investors have recently made changes to their positions in the company. Wellington Management Group LLP boosted its position in shares of LendingClub by 21.6% in the third quarter. Wellington Management Group LLP now owns 838,535 shares of the credit services provider’s stock valued at $9,584,000 after acquiring an additional 148,685 shares during the period. Captrust Financial Advisors acquired a new stake in LendingClub in the 3rd quarter worth about $237,000. GSA Capital Partners LLP boosted its holdings in LendingClub by 47.3% in the 3rd quarter. GSA Capital Partners LLP now owns 214,192 shares of the credit services provider’s stock valued at $2,448,000 after purchasing an additional 68,791 shares during the period. Quantbot Technologies LP grew its position in shares of LendingClub by 153.2% during the 3rd quarter. Quantbot Technologies LP now owns 158,763 shares of the credit services provider’s stock worth $1,815,000 after purchasing an additional 96,053 shares in the last quarter. Finally, Alpha DNA Investment Management LLC acquired a new stake in LendingClub during the third quarter worth approximately $411,000. 74.08% of the stock is owned by institutional investors.

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.