Zacks Investment Research Downgrades LendingClub (LC) to Hold

Zacks Investment Research lowered shares of LendingClub (NYSE:LC) from a buy rating to a hold rating in a report issued on Tuesday, Zacks.com reports.

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. “

Several other brokerages have also recently issued reports on LC. Maxim Group restated a buy rating and set a $4.50 price objective on shares of LendingClub in a research note on Wednesday, February 20th. Wedbush set a $4.00 price objective on LendingClub and gave the company a hold rating in a research note on Wednesday, February 20th. Four analysts have rated the stock with a hold rating and three have assigned a buy rating to the stock. LendingClub presently has a consensus rating of Hold and a consensus price target of $4.88.

NYSE LC traded down $0.04 on Tuesday, hitting $3.30. 43,179 shares of the stock traded hands, compared to its average volume of 2,424,531. LendingClub has a twelve month low of $2.46 and a twelve month high of $4.55. The stock has a market capitalization of $1.46 billion, a P/E ratio of -46.93 and a beta of 1.67. The company has a quick ratio of 3.93, a current ratio of 4.88 and a debt-to-equity ratio of 2.27.

LendingClub (NYSE:LC) last announced its quarterly earnings data on Tuesday, May 7th. The credit services provider reported ($0.03) earnings per share (EPS) for the quarter, meeting the Thomson Reuters’ consensus estimate of ($0.03). LendingClub had a negative return on equity of 3.19% and a negative net margin of 16.31%. The firm had revenue of $174.40 million for the quarter, compared to analysts’ expectations of $170.45 million. During the same quarter in the prior year, the firm posted $0.01 earnings per share. LendingClub’s revenue for the quarter was up 15.0% compared to the same quarter last year. On average, analysts anticipate that LendingClub will post -0.04 EPS for the current year.

In other news, insider Valerie Kay sold 9,500 shares of the stock in a transaction that occurred on Thursday, March 28th. The stock was sold at an average price of $2.99, for a total transaction of $28,405.00. Following the sale, the insider now directly owns 227,677 shares in the company, valued at approximately $680,754.23. The sale was disclosed in a legal filing with the Securities & Exchange Commission, which can be accessed through the SEC website. Also, Director Simon Williams sold 116,000 shares of the stock in a transaction that occurred on Thursday, February 21st. The stock was sold at an average price of $3.25, for a total value of $377,000.00. Following the sale, the director now owns 784 shares in the company, valued at $2,548. The disclosure for this sale can be found here. Insiders have sold 779,063 shares of company stock worth $2,625,888 in the last 90 days. 4.20% of the stock is currently owned by insiders.

Several institutional investors have recently made changes to their positions in LC. Renaissance Technologies LLC acquired a new stake in shares of LendingClub during the 3rd quarter worth approximately $194,000. Teachers Advisors LLC raised its position in shares of LendingClub by 2.9% during the 3rd quarter. Teachers Advisors LLC now owns 662,045 shares of the credit services provider’s stock worth $2,569,000 after purchasing an additional 18,898 shares during the period. Vanguard Group Inc. raised its position in shares of LendingClub by 7.1% during the 3rd quarter. Vanguard Group Inc. now owns 33,949,574 shares of the credit services provider’s stock worth $131,725,000 after purchasing an additional 2,264,051 shares during the period. Virtu Financial LLC acquired a new stake in shares of LendingClub during the 4th quarter worth approximately $220,000. Finally, Joel Isaacson & Co. LLC raised its position in shares of LendingClub by 12.1% during the 4th quarter. Joel Isaacson & Co. LLC now owns 141,082 shares of the credit services provider’s stock worth $426,000 after purchasing an additional 15,198 shares during the period. Institutional investors and hedge funds own 87.59% of the company’s stock.

About LendingClub

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

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