Market Overview

LendingClub's Q1 Signals Another Step Toward Re-Establishing Its Growth Story

Share:
LendingClub's Q1 Signals Another Step Toward Re-Establishing Its Growth Story

LendingClub Corp (NYSE: LC)'s earnings report marks "another step in the right direction" for the company, at least according to BTIG's Mark Palmer who maintains a Buy rating on LendingClub's stock with an unchanged $9 price target.

Palmer commented in a research report on Friday LendingClub's loan originations were "slightly" lower sequentially yet at the same time the company reported an adjusted EBITDA of $161,000. This metric came in "well ahead" of management's guidance which called for a loss of $5 million to $10 million and the analyst's own estimate of a $2.8 million loss.

On the other hand, the high end of LendingClub's second-quarter adjusted EBITDA guidance of a loss of $2.5 million to positive $2.5 million was below the consensus estimate of $5.3 million and the analyst's estimate of $6.28 million. But it is also important to keep in mind that the company simultaneously raised the lower end of its full-year adjusted EBITDA guidance from $40 million to $45 million.

LendingClub Isn't The Same Company It Was A Year Ago

Palmer pointed out that it is almost a full-year since LendingClub frightened investors with a disclosure of misallocating loans. However, the company's earnings report shows management is working to re-establish its growth story and "distance itself from 2016's era of "turmoil and uncertainty."

Bottom line, the analyst believes that LendingClub's management team is looking to "find another gear" in the bottom half of 2017.
Related Links:

LendingClub Quietly Mounting Return To Normalcy Following CEO Scandal

Bizfi: Fintech Delivering Funding Options For Small Business

Latest Ratings for LC

DateFirmActionFromTo
Nov 2020UBSMaintainsNeutral
Nov 2020Credit SuisseMaintainsNeutral
Nov 2020Morgan StanleyMaintainsEqual-Weight

View More Analyst Ratings for LC
View the Latest Analyst Ratings

 

Related Articles (LC)

View Comments and Join the Discussion!

Posted-In: Analyst Color Earnings Long Ideas News Reiteration Analyst Ratings Tech Trading Ideas Best of Benzinga

Latest Ratings

StockFirmActionPT
MRTXHC Wainwright & Co.Maintains257.0
NVDATruist SecuritiesMaintains672.0
NVDASusquehannaMaintains625.0
BLKBMO CapitalMaintains715.0
BLKDeutsche BankMaintains838.0
View the Latest Analytics Ratings
Don't Miss Any Updates!
News Directly in Your Inbox
Subscribe to:
Benzinga Premarket Activity
Get pre-market outlook, mid-day update and after-market roundup emails in your inbox.
Market in 5 Minutes
Everything you need to know about the market - quick & easy.
Fintech Focus
A daily collection of all things fintech, interesting developments and market updates.
Thank You

Thank you for subscribing! If you have any questions feel free to call us at 1-877-440-ZING or email us at vipaccounts@benzinga.com