Lendingclub (HAPN) & The Competition Head-To-Head Contrast

Lendingclub (NASDAQ:HAPN) is one of 121 publicly-traded companies in the “Consumer Finance” industry, but how does it compare to its competitors? We will compare Lendingclub to related companies based on the strength of its earnings, institutional ownership, risk, analyst recommendations, valuation, dividends and profitability.

Profitability

This table compares Lendingclub and its competitors’ net margins, return on equity and return on assets.

	Net Margins	Return on Equity	Return on Assets
Lendingclub	18.67%	12.92%	1.66%
Lendingclub Competitors	9.79%	-32.32%	2.43%

Risk & Volatility

Lendingclub has a beta of 1.91, meaning that its share price is 91% more volatile than the S&P 500. Comparatively, Lendingclub’s competitors have a beta of 1.24, meaning that their average share price is 24% more volatile than the S&P 500.

Institutional & Insider Ownership

74.1% of Lendingclub shares are owned by institutional investors. Comparatively, 46.4% of shares of all “Consumer Finance” companies are owned by institutional investors. 3.3% of Lendingclub shares are owned by company insiders. Comparatively, 21.8% of shares of all “Consumer Finance” companies are owned by company insiders. Strong institutional ownership is an indication that large money managers, hedge funds and endowments believe a company is poised for long-term growth.

Earnings & Valuation

This table compares Lendingclub and its competitors revenue, earnings per share (EPS) and valuation.

	Gross Revenue	Net Income	Price/Earnings Ratio
Lendingclub	$998.85 million	$135.68 million	11.05
Lendingclub Competitors	$3.56 billion	$381.70 million	7.01

Lendingclub’s competitors have higher revenue and earnings than Lendingclub. Lendingclub is trading at a higher price-to-earnings ratio than its competitors, indicating that it is currently more expensive than other companies in its industry.

Analyst Ratings

This is a summary of current ratings and price targets for Lendingclub and its competitors, as provided by MarketBeat.com.

	Sell Ratings	Hold Ratings	Buy Ratings	Strong Buy Ratings	Rating Score
Lendingclub	0	1	2	0	2.67
Lendingclub Competitors	901	3379	5271	269	2.50

Lendingclub presently has a consensus price target of $25.00, suggesting a potential upside of 36.31%. As a group, “Consumer Finance” companies have a potential upside of 10.14%. Given Lendingclub’s stronger consensus rating and higher possible upside, equities analysts plainly believe Lendingclub is more favorable than its competitors.

Summary

Lendingclub beats its competitors on 8 of the 13 factors compared.

About Lendingclub

LendingClub Corporation, operates as a bank holding company for LendingClub Bank, National Association that provides range of financial products and services through a technology-driven platform in the United States. The company provides commercial and industrial, commercial real estate, small business, and equipment loans, as well as leases equipment; and unsecured personal and auto, patient finance, and education finance loans. It also operates an online lending marketplace platform that connects borrowers and investors. LendingClub Corporation was incorporated in 2006 and is headquartered in San Francisco, California.