LexinFintech (NASDAQ:LX) Cut to "Hold" at Wall Street Zen

Key Points

• LexinFintech (NASDAQ:LX) was downgraded from a "buy" to a "hold" rating by Wall Street Zen, following a report released over the weekend.
• The company's recent earnings report revealed an EPS of $0.40, exceeding analysts' estimates of $0.20, with revenue matching analyst expectations at $500.62 million.
• LexinFintech's stock is currently trading at $6.41, showing a slight decline of 0.3%, and it has a market cap of $1.08 billion.

LexinFintech (NASDAQ:LX - Get Free Report) was downgraded by equities research analysts at Wall Street Zen from a "buy" rating to a "hold" rating in a note issued to investors on Saturday.

LexinFintech Price Performance

Shares of LexinFintech stock traded up $0.39 during trading on Friday, reaching $6.80. 3,016,648 shares of the company's stock were exchanged, compared to its average volume of 3,512,708. The company has a debt-to-equity ratio of 0.11, a quick ratio of 1.88 and a current ratio of 1.89. LexinFintech has a 1-year low of $1.62 and a 1-year high of $11.64. The company has a market cap of $1.14 billion, a P/E ratio of 5.35 and a beta of 0.47. The firm's 50-day moving average price is $6.99 and its 200 day moving average price is $7.96.

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

LexinFintech announced that its Board of Directors has approved a share buyback plan on Monday, July 21st that allows the company to buyback $0.00 in shares. This buyback authorization allows the company to repurchase shares of its stock through open market purchases. Shares buyback plans are typically a sign that the company's management believes its stock is undervalued.

Hedge Funds Weigh In On LexinFintech

Large investors have recently made changes to their positions in the stock. BRIGHT VALLEY CAPITAL Ltd increased its holdings in LexinFintech by 33.0% during the 1st quarter. BRIGHT VALLEY CAPITAL Ltd now owns 5,305,208 shares of the company's stock valued at $53,530,000 after purchasing an additional 1,315,208 shares during the period. Acadian Asset Management LLC boosted its position in shares of LexinFintech by 4.6% in the 2nd quarter. Acadian Asset Management LLC now owns 4,884,131 shares of the company's stock worth $35,192,000 after purchasing an additional 214,800 shares in the last quarter. Vanguard Group Inc. bought a new stake in shares of LexinFintech in the 1st quarter worth approximately $44,048,000. Alliancebernstein L.P. boosted its position in shares of LexinFintech by 1,862.9% in the 1st quarter. Alliancebernstein L.P. now owns 3,715,319 shares of the company's stock worth $37,488,000 after purchasing an additional 3,526,039 shares in the last quarter. Finally, WT Asset Management Ltd purchased a new position in LexinFintech in the 1st quarter worth approximately $20,483,000.

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.