LendingClub (LC) Upgraded to “Hold” at Zacks Investment Research

Zacks Investment Research upgraded shares of LendingClub (NYSE:LC) from a strong sell rating to a hold rating in a research note released on Wednesday.

According to Zacks, “LendingClub Corporation provides internet financial services. The Company offers online marketplace for loan approval, pricing, servicing and support operations as well as regulatory and legal framework which connects borrowers and investors. LendingClub Corporation is headquartered in San Francisco, California. “

Other equities research analysts have also recently issued reports about the stock. Morgan Stanley cut shares of LendingClub from an overweight rating to an equal weight rating and upped their price objective for the stock from $6.00 to $6.50 in a report on Thursday, July 19th. Citigroup upped their price objective on shares of LendingClub from $3.50 to $4.15 and gave the stock a neutral rating in a report on Monday, July 30th. Finally, Maxim Group reiterated a buy rating and issued a $6.00 price objective on shares of LendingClub in a report on Wednesday, August 8th. One research analyst has rated the stock with a sell rating, nine have issued a hold rating and six have issued a buy rating to the stock. The company has an average rating of Hold and an average target price of $5.39.

NYSE LC opened at $3.60 on Wednesday. LendingClub has a 1-year low of $2.57 and a 1-year high of $6.36. The company has a debt-to-equity ratio of 3.12, a quick ratio of 8.75 and a current ratio of 10.23. The firm has a market capitalization of $1.64 billion, a PE ratio of -21.18 and a beta of 1.31.

LendingClub (NYSE:LC) last posted its quarterly earnings results on Tuesday, August 7th. The credit services provider reported $0.03 earnings per share for the quarter, topping the Zacks’ consensus estimate of ($0.04) by $0.07. LendingClub had a negative net margin of 29.82% and a negative return on equity of 3.78%. The business had revenue of $176.98 million for the quarter, compared to the consensus estimate of $164.25 million. On average, sell-side analysts predict that LendingClub will post -0.1 EPS for the current year.

In related news, Director Simon Williams sold 50,000 shares of the company’s stock in a transaction on Friday, July 20th. The shares were sold at an average price of $4.33, for a total value of $216,500.00. Following the completion of the sale, the director now directly owns 86,389 shares in the company, valued at $374,064.37. The sale was disclosed in a filing with the Securities & Exchange Commission, which is available at the SEC website. Corporate insiders own 4.04% of the company’s stock.

A number of hedge funds have recently added to or reduced their stakes in LC. Paloma Partners Management Co bought a new stake in LendingClub during the second quarter valued at about $151,000. Xact Kapitalforvaltning AB boosted its holdings in LendingClub by 60.2% during the first quarter. Xact Kapitalforvaltning AB now owns 45,233 shares of the credit services provider’s stock valued at $158,000 after acquiring an additional 17,000 shares during the period. Alpine Woods Capital Investors LLC bought a new stake in LendingClub during the second quarter valued at about $159,000. Alps Advisors Inc. boosted its holdings in LendingClub by 170.8% during the second quarter. Alps Advisors Inc. now owns 84,431 shares of the credit services provider’s stock valued at $320,000 after acquiring an additional 53,256 shares during the period. Finally, California Public Employees Retirement System boosted its holdings in LendingClub by 218.6% during the second quarter. California Public Employees Retirement System now owns 113,363 shares of the credit services provider’s stock valued at $430,000 after acquiring an additional 77,776 shares during the period. Institutional investors own 87.46% of the company’s stock.

About LendingClub

LendingClub Corporation operates an online marketplace platform that connects borrowers and investors in the United States. Its marketplace facilitates various types of loan products for consumers and small businesses, including unsecured personal loans, unsecured education and patient finance loans, auto refinance loans, and unsecured small business loans.

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