LendingClub (NYSE:LC) Price Target Raised to $16.50

Key Points

• Keefe, Bruyette & Woods raised LendingClub's price target from $14.00 to $16.50, indicating a potential upside of 25.39%. This follows previous reports from multiple analysts with varying ratings on the stock.
• LendingClub's recent earnings results surpassed expectations, reporting $0.33 earnings per share on revenue of $248.44 million, showcasing a 14.1% year-over-year revenue increase.
• Insider trading activity revealed CEO Scott Sanborn sold 5,250 shares, while hedge funds recently increased their stakes in the company, indicating growing interest from institutional investors.

LendingClub (NYSE:LC - Free Report) had its price target boosted by Keefe, Bruyette & Woods from $14.00 to $16.50 in a research note issued to investors on Wednesday morning,Benzinga reports. The firm currently has an outperform rating on the credit services provider's stock.

A number of other research analysts also recently weighed in on the stock. Citigroup initiated coverage on shares of LendingClub in a report on Monday, July 7th. They set a "market perform" rating on the stock. Stephens initiated coverage on shares of LendingClub in a report on Thursday, June 12th. They set an "overweight" rating and a $15.00 price target on the stock. Wall Street Zen lowered shares of LendingClub from a "hold" rating to a "sell" rating in a research note on Saturday, July 12th. Finally, Citizens Jmp initiated coverage on shares of LendingClub in a research note on Monday, July 7th. They issued a "market perform" rating on the stock. Four analysts have rated the stock with a hold rating and six have issued a buy rating to the stock. According to data from MarketBeat.com, LendingClub currently has an average rating of "Moderate Buy" and an average target price of $16.57.

LendingClub Price Performance

LC stock remained flat at $15.59 during midday trading on Wednesday. 4,147,162 shares of the company's stock were exchanged, compared to its average volume of 2,419,798. LendingClub has a 12 month low of $7.90 and a 12 month high of $18.75. The stock has a market capitalization of $1.78 billion, a P/E ratio of 24.36 and a beta of 2.46. The company's 50-day moving average price is $11.93 and its 200 day moving average price is $11.76.

LendingClub (NYSE:LC - Get Free Report) last released its quarterly earnings results on Tuesday, July 29th. The credit services provider reported $0.33 earnings per share for the quarter, beating analysts' consensus estimates of $0.15 by $0.18. The business had revenue of $248.44 million for the quarter, compared to the consensus estimate of $227.04 million. LendingClub had a net margin of 8.36% and a return on equity of 5.66%. LendingClub's revenue for the quarter was up 14.1% on a year-over-year basis. During the same quarter last year, the firm earned $0.13 EPS. As a group, equities research analysts predict that LendingClub will post 0.72 EPS for the current year.

Insider Activity

In other LendingClub news, CEO Scott Sanborn sold 5,250 shares of the business's stock in a transaction dated Thursday, July 17th. The shares were sold at an average price of $12.98, for a total value of $68,145.00. Following the completion of the transaction, the chief executive officer directly owned 1,283,175 shares of the company's stock, valued at approximately $16,655,611.50. The trade was a 0.41% decrease in their ownership of the stock. The sale was disclosed in a legal filing with the SEC, which is accessible through this hyperlink. Also, CFO Andrew Labenne sold 17,955 shares of the business's stock in a transaction dated Wednesday, July 30th. The stock was sold at an average price of $16.65, for a total transaction of $298,950.75. Following the completion of the transaction, the chief financial officer directly owned 178,111 shares of the company's stock, valued at approximately $2,965,548.15. This represents a 9.16% decrease in their ownership of the stock. The disclosure for this sale can be found here. Insiders have sold a total of 44,205 shares of company stock valued at $601,561 over the last three months. 3.31% of the stock is currently owned by insiders.

Institutional Investors Weigh In On LendingClub

Several institutional investors have recently modified their holdings of LC. Commonwealth Equity Services LLC grew its position in shares of LendingClub by 2.8% during the 4th quarter. Commonwealth Equity Services LLC now owns 27,248 shares of the credit services provider's stock worth $441,000 after buying an additional 748 shares during the period. KLP Kapitalforvaltning AS bought a new stake in LendingClub in the fourth quarter valued at approximately $397,000. LPL Financial LLC bought a new stake in LendingClub in the fourth quarter valued at approximately $594,000. Arrowstreet Capital Limited Partnership increased its stake in LendingClub by 158.6% in the fourth quarter. Arrowstreet Capital Limited Partnership now owns 1,522,360 shares of the credit services provider's stock valued at $24,647,000 after purchasing an additional 933,680 shares in the last quarter. Finally, Brandywine Global Investment Management LLC bought a new stake in LendingClub in the fourth quarter valued at approximately $3,700,000. Institutional investors and hedge funds own 74.08% of the company's stock.

LendingClub Company Profile

LendingClub Corporation, operates as a bank holding company, that provides range of financial products and services in the United States. It offers deposit products, including savings accounts, checking accounts, and certificates of deposit. The company also provides loan products, such as consumer loans comprising unsecured personal loans, secured auto refinance loans, and patient and education finance loans; and commercial loans, including small business loans.