LendingClub (NYSE:LC) has been analyzed by 4 analysts in the last three months, revealing a diverse range of perspectives from bullish to bearish.
The following table provides a quick overview of their recent ratings, highlighting the changing sentiments over the past 30 days and comparing them to the preceding months.
| Bullish | Somewhat Bullish | Indifferent | Somewhat Bearish | Bearish | |
|---|---|---|---|---|---|
| Total Ratings | 1 | 2 | 1 | 0 | 0 |
| Last 30D | 1 | 0 | 0 | 0 | 0 |
| 1M Ago | 0 | 0 | 0 | 0 | 0 |
| 2M Ago | 0 | 2 | 1 | 0 | 0 |
| 3M Ago | 0 | 0 | 0 | 0 | 0 |
The 12-month price targets assessed by analysts reveal further insights, featuring an average target of $10.75, a high estimate of $12.00, and a low estimate of $10.00. Observing a 13.16% increase, the current average has risen from the previous average price target of $9.50.
Breaking Down Analyst Ratings: A Detailed Examination
The standing of LendingClub among financial experts is revealed through an in-depth exploration of recent analyst actions. The summary below outlines key analysts, their recent evaluations, and adjustments to ratings and price targets.
| Analyst | Analyst Firm | Action Taken | Rating | Current Price Target | Prior Price Target |
|---|---|---|---|---|---|
| Vincent Caintic | BTIG | Announces | Buy | $12.00 | - |
| Timothy Switzer | Keefe, Bruyette & Woods | Raises | Market Perform | $10.00 | $9.50 |
| Brad Capuzzi | Piper Sandler | Raises | Overweight | $10.00 | $9.50 |
| David Chiaverini | Wedbush | Maintains | Outperform | $11.00 | - |
Key Insights:
- Action Taken: Responding to changing market dynamics and company performance, analysts update their recommendations. Whether they 'Maintain', 'Raise', or 'Lower' their stance, it signifies their response to recent developments related to LendingClub. This offers insight into analysts' perspectives on the current state of the company.
- Rating: Analyzing trends, analysts offer qualitative evaluations, ranging from 'Outperform' to 'Underperform'. These ratings convey expectations for the relative performance of LendingClub compared to the broader market.
- Price Targets: Gaining insights, analysts provide estimates for the future value of LendingClub's stock. This comparison reveals trends in analysts' expectations over time.
Navigating through these analyst evaluations alongside other financial indicators can contribute to a holistic understanding of LendingClub's market standing. Stay informed and make data-driven decisions with our Ratings Table.
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Delving into LendingClub's Background
LendingClub Corp is a company engaged in operating an online lending marketplace platform that connects borrowers and investors for the provision of the loan facility. It offers investors access to an asset class that has generally been closed to many investors and only available on a limited basis to institutional investors. The company through the platform offers loan products such as personal, education and patient finance, small business, and auto to interested investors. It generates a majority of the revenue from the transaction fees received from the platform's role in accepting and decisioning applications on behalf of the bank partners to enable loan originations.
Financial Milestones: LendingClub's Journey
Market Capitalization Analysis: Reflecting a smaller scale, the company's market capitalization is positioned below industry averages. This could be attributed to factors such as growth expectations or operational capacity.
Revenue Challenges: LendingClub's revenue growth over 3 months faced difficulties. As of 31 March, 2024, the company experienced a decline of approximately -26.46%. This indicates a decrease in top-line earnings. As compared to competitors, the company encountered difficulties, with a growth rate lower than the average among peers in the Financials sector.
Net Margin: The company's net margin is below industry benchmarks, signaling potential difficulties in achieving strong profitability. With a net margin of 6.78%, the company may need to address challenges in effective cost control.
Return on Equity (ROE): LendingClub's ROE lags behind industry averages, suggesting challenges in maximizing returns on equity capital. With an ROE of 0.97%, the company may face hurdles in achieving optimal financial performance.
Return on Assets (ROA): LendingClub's ROA is below industry standards, pointing towards difficulties in efficiently utilizing assets. With an ROA of 0.14%, the company may encounter challenges in delivering satisfactory returns from its assets.
Debt Management: LendingClub's debt-to-equity ratio is below the industry average at 0.24, reflecting a lower dependency on debt financing and a more conservative financial approach.
Analyst Ratings: Simplified
Benzinga tracks 150 analyst firms and reports on their stock expectations. Analysts typically arrive at their conclusions by predicting how much money a company will make in the future, usually the upcoming five years, and how risky or predictable that company's revenue streams are.
Analysts attend company conference calls and meetings, research company financial statements, and communicate with insiders to publish their ratings on stocks. Analysts typically rate each stock once per quarter or whenever the company has a major update.
Some analysts also offer predictions for helpful metrics such as earnings, revenue, and growth estimates to provide further guidance as to what to do with certain tickers. It is important to keep in mind that while stock and sector analysts are specialists, they are also human and can only forecast their beliefs to traders.
This article was generated by Benzinga's automated content engine and reviewed by an editor.