MY.Alpha Management HK Advisors Ltd Acquires New Shares in LexinFintech Holdings Ltd. Sponsored ADR $LX

Key Points

• MY.Alpha Management HK Advisors Ltd has invested approximately $9.50 million in LexinFintech Holdings Ltd., acquiring 941,179 shares, which now represent roughly 4.7% of their investment portfolio.
• LexinFintech recently announced a semi-annual dividend of $0.194, significantly increasing from their previous $0.11 dividend, reflecting a yield of 440.0%.
• Despite positive earnings results, Wall Street Zen has downgraded LexinFintech from a "buy" to a "hold" rating in a recent research note.

MY.Alpha Management HK Advisors Ltd purchased a new stake in shares of LexinFintech Holdings Ltd. Sponsored ADR (NASDAQ:LX - Free Report) during the first quarter, according to the company in its most recent 13F filing with the Securities and Exchange Commission. The fund purchased 941,179 shares of the company's stock, valued at approximately $9,496,000. LexinFintech accounts for 4.7% of MY.Alpha Management HK Advisors Ltd's investment portfolio, making the stock its 9th largest holding. MY.Alpha Management HK Advisors Ltd owned about 0.56% of LexinFintech at the end of the most recent reporting period.

A number of other hedge funds also recently bought and sold shares of LX. Ameriprise Financial Inc. purchased a new position in shares of LexinFintech during the 4th quarter worth approximately $61,000. Tower Research Capital LLC TRC grew its holdings in shares of LexinFintech by 146.5% during the 4th quarter. Tower Research Capital LLC TRC now owns 12,160 shares of the company's stock worth $71,000 after acquiring an additional 7,227 shares during the period. Aigen Investment Management LP purchased a new position in shares of LexinFintech during the 1st quarter worth approximately $103,000. Raymond James Financial Inc. purchased a new position in shares of LexinFintech during the 4th quarter worth approximately $157,000. Finally, Ritholtz Wealth Management purchased a new position in shares of LexinFintech during the 1st quarter worth approximately $164,000.

Analyst Upgrades and Downgrades

Separately, Wall Street Zen upgraded LexinFintech from a "hold" rating to a "buy" rating in a report on Saturday. Two research analysts have rated the stock with a Buy rating, Based on data from MarketBeat.com, LexinFintech presently has a consensus rating of "Buy" and a consensus target price of $13.60.

LexinFintech Stock Up 2.9%

NASDAQ:LX traded up $0.19 during trading hours on Friday, reaching $6.75. 2,976,290 shares of the company traded hands, compared to its average volume of 4,427,933. The business's 50-day moving average price is $6.86 and its two-hundred day moving average price is $7.87. The stock has a market capitalization of $1.14 billion, a P/E ratio of 5.32 and a beta of 0.47. LexinFintech Holdings Ltd. Sponsored ADR has a 1 year low of $1.63 and a 1 year high of $11.64. The company has a current ratio of 1.89, a quick ratio of 1.88 and a debt-to-equity ratio of 0.11.

LexinFintech (NASDAQ:LX - Get Free Report) last announced its quarterly earnings data on Thursday, August 7th. The company reported $0.40 earnings per share (EPS) for the quarter, beating analysts' consensus estimates of $0.20 by $0.20. The business had revenue of $500.62 million during the quarter, compared to analysts' expectations of $500.62 million. LexinFintech had a return on equity of 14.67% and a net margin of 11.50%.

LexinFintech Increases Dividend

The firm also recently disclosed a semi-annual dividend, which will be paid on Monday, September 15th. Investors of record on Tuesday, August 26th will be given a $0.194 dividend. This is a boost from LexinFintech's previous semi-annual dividend of $0.11. The ex-dividend date of this dividend is Tuesday, August 26th. This represents a yield of 440.0%. LexinFintech's payout ratio is currently 14.17%.

LexinFintech declared that its board has initiated a stock repurchase plan on Monday, July 21st that allows the company to repurchase $0.00 in outstanding shares. This repurchase authorization allows the company to repurchase shares of its stock through open market purchases. Shares repurchase plans are generally a sign that the company's management believes its stock is undervalued.

About LexinFintech

LexinFintech Holdings Ltd., through its subsidiaries, provides online consumer finance services in the People's Republic of China. The company operates Fenqile.com, an online consumption and consumer finance platform that offers installment purchase and personal installment loans, as well as online direct sales with installment payment terms; and Le Hua Card, a scenario-based lending.