Wall Street Zen Downgrades LendingClub (NYSE:LC) to Hold

LendingClub (NYSE:LC) was downgraded by stock analysts at Wall Street Zen from a “buy” rating to a “hold” rating in a note issued to investors on Sunday.

A number of other brokerages have also recently weighed in on LC. Citizens Jmp upgraded shares of LendingClub from a “market perform” rating to an “outperform” rating and set a $23.00 price target for the company in a research report on Monday, November 10th. JPMorgan Chase & Co. increased their price objective on shares of LendingClub from $22.00 to $25.00 and gave the stock an “overweight” rating in a research report on Thursday, December 4th. Weiss Ratings reiterated a “hold (c)” rating on shares of LendingClub in a report on Monday, December 29th. Keefe, Bruyette & Woods boosted their target price on LendingClub from $20.00 to $22.00 and gave the company an “outperform” rating in a research report on Friday, November 7th. Finally, Janney Montgomery Scott raised their price target on LendingClub from $17.00 to $20.00 and gave the stock a “neutral” rating in a research report on Thursday, November 6th. One investment analyst has rated the stock with a Strong Buy rating, six have given a Buy rating and three have given a Hold rating to the company. Based on data from MarketBeat, LendingClub currently has an average rating of “Moderate Buy” and a consensus target price of $22.00.

LendingClub Stock Up 2.7%

LC stock opened at $15.61 on Friday. LendingClub has a 52-week low of $7.90 and a 52-week high of $21.67. The stock has a market cap of $1.80 billion, a price-to-earnings ratio of 13.57 and a beta of 2.08. The business has a fifty day moving average of $18.99 and a two-hundred day moving average of $17.52.

LendingClub (NYSE:LC) last released its quarterly earnings results on Wednesday, January 28th. The credit services provider reported $0.35 earnings per share for the quarter, topping analysts’ consensus estimates of $0.34 by $0.01. The business had revenue of $266.47 million during the quarter, compared to analysts’ expectations of $262.88 million. LendingClub had a return on equity of 9.47% and a net margin of 13.58%.The company’s revenue was up 22.7% compared to the same quarter last year. During the same period in the prior year, the business posted $0.08 EPS. LendingClub has set its FY 2026 guidance at 1.650-1.800 EPS and its Q1 2026 guidance at 0.340-0.390 EPS. As a group, sell-side analysts anticipate that LendingClub will post 0.72 EPS for the current year.

LendingClub announced that its board has initiated a share buyback program on Wednesday, November 5th that allows the company to buyback $100.00 million in outstanding shares. This buyback authorization allows the credit services provider to purchase up to 4.9% of its stock through open market purchases. Stock buyback programs are often an indication that the company’s leadership believes its shares are undervalued.

Insider Buying and Selling

In other LendingClub news, Director Erin Selleck sold 2,390 shares of the business’s stock in a transaction on Friday, December 5th. The shares were sold at an average price of $19.47, for a total value of $46,533.30. Following the completion of the transaction, the director owned 76,377 shares in the company, valued at $1,487,060.19. The trade was a 3.03% decrease in their ownership of the stock. The transaction was disclosed in a legal filing with the SEC, which is available at the SEC website. 3.31% of the stock is owned by corporate insiders.

Institutional Inflows and Outflows

Institutional investors and hedge funds have recently bought and sold shares of the stock. Aster Capital Management DIFC Ltd purchased a new position in shares of LendingClub in the 3rd quarter valued at about $26,000. International Assets Investment Management LLC acquired a new stake in LendingClub in the fourth quarter valued at approximately $40,000. Kestra Advisory Services LLC purchased a new position in LendingClub in the fourth quarter worth approximately $44,000. Quarry LP grew its holdings in LendingClub by 343.0% during the 3rd quarter. Quarry LP now owns 3,030 shares of the credit services provider’s stock worth $46,000 after acquiring an additional 2,346 shares in the last quarter. Finally, Headlands Technologies LLC acquired a new position in LendingClub during the 2nd quarter worth approximately $53,000. 74.08% of the stock is owned by institutional investors and hedge funds.

LendingClub Company Profile

LendingClub Corporation operates an online lending marketplace that connects borrowers seeking personal and small business credit with individual and institutional investors. The platform leverages technology to streamline the loan application and underwriting process, offering unsecured personal loans, auto refinancing, and small business loans. In addition to lending products, LendingClub provides high-yield savings accounts and certificates of deposit through its banking charter, following its acquisition of Radius Bank in 2021.

Founded in 2006 by Renaud Laplanche, LendingClub pioneered peer-to-peer lending in the United States, helping to democratize access to credit and investment opportunities.