LendingClub (NYSE:LC) to Buyback $100.00 million in Outstanding Shares

LendingClub (NYSE:LC) announced that its Board of Directors has initiated a share repurchase program on Wednesday, November 5th, RTT News reports. The company plans to buyback $100.00 million in outstanding shares. This buyback authorization permits the credit services provider to purchase up to 4.9% of its stock through open market purchases. Stock buyback programs are typically a sign that the company’s leadership believes its stock is undervalued.

Wall Street Analyst Weigh In

Several equities analysts have commented on LC shares. Piper Sandler reissued an “overweight” rating and issued a $20.00 target price (up from $18.00) on shares of LendingClub in a report on Thursday, October 23rd. JPMorgan Chase & Co. upgraded shares of LendingClub from a “neutral” rating to an “overweight” rating and increased their price target for the stock from $17.00 to $22.00 in a research report on Thursday, October 23rd. Weiss Ratings reissued a “hold (c)” rating on shares of LendingClub in a research note on Wednesday, October 8th. Wall Street Zen upgraded LendingClub from a “sell” rating to a “hold” rating in a research note on Saturday, August 2nd. Finally, Keefe, Bruyette & Woods raised their target price on LendingClub from $19.00 to $20.00 and gave the company an “outperform” rating in a report on Thursday, October 23rd. One investment analyst has rated the stock with a Strong Buy rating, five have issued a Buy rating and three have given a Hold rating to the company’s stock. According to data from MarketBeat, the company has a consensus rating of “Moderate Buy” and a consensus price target of $19.00.

LendingClub Trading Up 7.8%

LC opened at $19.14 on Thursday. The company has a market cap of $2.21 billion, a P/E ratio of 21.75 and a beta of 2.51. The company’s 50 day moving average is $16.64 and its 200-day moving average is $13.79. LendingClub has a 1-year low of $7.90 and a 1-year high of $19.88.

LendingClub (NYSE:LC) last issued its quarterly earnings data on Wednesday, October 22nd. The credit services provider reported $0.37 EPS for the quarter, beating the consensus estimate of $0.30 by $0.07. LendingClub had a net margin of 10.94% and a return on equity of 7.68%. The business had revenue of $266.23 million during the quarter, compared to the consensus estimate of $256.27 million. During the same quarter in the prior year, the firm earned $0.13 EPS. The firm’s revenue was up 31.8% compared to the same quarter last year. On average, equities analysts forecast that LendingClub will post 0.72 EPS for the current year.

Insider Transactions at LendingClub

In other news, Director Erin Selleck sold 2,390 shares of the stock in a transaction on Friday, September 5th. The stock was sold at an average price of $16.82, for a total value of $40,199.80. Following the completion of the transaction, the director directly owned 73,987 shares in the company, valued at approximately $1,244,461.34. This represents a 3.13% decrease in their position. The sale was disclosed in a legal filing with the Securities & Exchange Commission, which is accessible through this hyperlink. Also, CFO Andrew Labenne sold 20,903 shares of the firm’s stock in a transaction on Monday, September 15th. The shares were sold at an average price of $17.04, for a total value of $356,187.12. Following the sale, the chief financial officer directly owned 181,750 shares in the company, valued at approximately $3,097,020. This trade represents a 10.31% decrease in their position. The SEC filing for this sale provides additional information. Over the last ninety days, insiders sold 113,293 shares of company stock worth $1,985,787. Corporate insiders own 3.19% of the company’s stock.

About LendingClub

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.