LendingClub initiated with an Overweight at Stephens

Stephens analyst Kyle Joseph initiated coverage of LendingClub (LC) with an Overweight rating and $15 price target The firm recommends specialty finance stocks with “funding advantages and superior customer-acquisition models,” saying these companies are the most insulated from economic downturns and heightened competition. With the strength of the bank’s funding, LendingClub now functions as a marketplace and balance sheet lender, balancing strategies to maximize returns, growth and capital efficiency with a range of channels, the analyst tells investors in a research note.