LexinFintech (NASDAQ:LX) Stock Price Down 9.1% - Time to Sell?

Key Points

• LexinFintech's stock price has dropped by 9.1%, trading at $6.32, a significant decline from its previous close of $6.96.
• Wall Street analysts have downgraded LexinFintech from a "strong-buy" to a "buy" rating, indicating potential caution among investors.
• The company's return on equity stands at 12.52%, with a reported quarterly revenue of $427.76 million.

LexinFintech Holdings Ltd. Sponsored ADR (NASDAQ:LX - Get Free Report) was down 9.1% during trading on Monday . The stock traded as low as $6.27 and last traded at $6.32. Approximately 2,710,163 shares traded hands during trading, a decline of 21% from the average daily volume of 3,433,964 shares. The stock had previously closed at $6.96.

Wall Street Analysts Forecast Growth

Separately, Wall Street Zen cut shares of LexinFintech from a "strong-buy" rating to a "buy" rating in a research note on Friday, June 27th.

LexinFintech Trading Down 1.3%

The company's 50 day simple moving average is $7.11 and its two-hundred day simple moving average is $7.94. The company has a debt-to-equity ratio of 0.12, a current ratio of 1.85 and a quick ratio of 1.85. The company has a market cap of $1.06 billion, a PE ratio of 5.93 and a beta of 0.41.

LexinFintech (NASDAQ:LX - Get Free Report) last announced its quarterly earnings data on Wednesday, May 21st. The company reported $0.33 earnings per share for the quarter. LexinFintech had a net margin of 9.44% and a return on equity of 12.52%. The firm had revenue of $427.76 million during the quarter.

LexinFintech declared that its board has initiated a share buyback plan on Monday, July 21st that authorizes the company to repurchase $0.00 in shares. This repurchase authorization authorizes the company to repurchase shares of its stock through open market purchases. Stock repurchase plans are typically an indication that the company's management believes its stock is undervalued.

Institutional Investors Weigh In On LexinFintech

Large investors have recently bought and sold shares of the stock. Y Intercept Hong Kong Ltd acquired a new stake in LexinFintech in the second quarter valued at approximately $2,490,000. WCM Investment Management LLC acquired a new stake in LexinFintech in the second quarter valued at approximately $144,000. Allianz Asset Management GmbH raised its holdings in LexinFintech by 8.4% in the second quarter. Allianz Asset Management GmbH now owns 478,513 shares of the company's stock valued at $3,450,000 after acquiring an additional 36,998 shares in the last quarter. Bayforest Capital Ltd raised its holdings in LexinFintech by 222.8% in the second quarter. Bayforest Capital Ltd now owns 89,067 shares of the company's stock valued at $642,000 after acquiring an additional 61,472 shares in the last quarter. Finally, Janney Montgomery Scott LLC acquired a new stake in LexinFintech in the second quarter valued at approximately $75,000.

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.