Lendingclub Corp. (LC)
NYSE:LC
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LendingClub
(NYSE:LC)
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Rating:65Neutral
Price Target:
$18.50
▲(6.08% Upside)
Action:Reiterated
Date:05/01/26
The score is most constrained by weak cash generation (deeply negative TTM operating and free cash flow) despite solid profitability and a conservatively levered balance sheet. Offsetting this, valuation is favorable (P/E ~8), technical momentum is moderately positive, and the latest earnings call reinforced guidance and operational momentum, though expense growth and accounting-driven volatility remain notable risks.
Positive Factors
Conservative balance sheet & deposit growth
A near-zero debt-to-equity posture and meaningful deposit growth provide stable, low-cost funding for on‑balance loans. That structural funding advantage mitigates liquidity and refinancing risk, supports net interest income, and allows capital deployment for growth and buybacks over the medium term.
Negative Factors
Deeply negative operating and free cash flow
Large negative OCF and FCF indicate the company is not converting accounting profits into cash, heightening reliance on external funding, deposits, or loan sales. Persistent weak cash generation constrains capital flexibility, makes investments and buybacks harder to sustain, and raises long‑term funding risk.
Read all positive and negative factors
Positive Factors
Negative Factors
Conservative balance sheet & deposit growth
A near-zero debt-to-equity posture and meaningful deposit growth provide stable, low-cost funding for on‑balance loans. That structural funding advantage mitigates liquidity and refinancing risk, supports net interest income, and allows capital deployment for growth and buybacks over the medium term.
Read all positive factors
LendingClub Key Performance Indicators (KPIs)
Any
Revenue by Segment
Shows how different parts of the business contribute to overall sales, highlighting which areas are driving growth and which might need strategic adjustments.
Shows how different parts of the business contribute to overall sales, highlighting which areas are driving growth and which might need strategic adjustments.
Data provided by:
The Fly
The FlyLendingClub (LC) vs. SPDR S&P 500 ETF (SPY)
Market Cap
$1.80B
Dividend YieldN/A
Average Volume (3M)2.51M
Price to Earnings (P/E)8.0
Beta (1Y)1.47
Revenue Growth17.38%
EPS Growth237.98%
CountryUS
Employees1,002
SectorFinancial
Sector Strength70
IndustryFinancial - Credit Services
Share Statistics
EPS (TTM)1.53
Shares Outstanding115,350,920
10 Day Avg. Volume1,553,185
30 Day Avg. Volume2,510,383
Financial Highlights & Ratios
PEG Ratio0.10
Price to Book (P/B)1.46
Price to Sales (P/S)1.64
P/FCF Ratio-0.76
Enterprise Value/Market Cap0.58
Enterprise Value/Revenue0.80
Enterprise Value/Gross Profit1.20
Enterprise Value/Ebitda3.94
Forecast
1Y Price Target
$22.13Price Target Upside26.86% Upside
Rating ConsensusStrong Buy
Number of Analyst Covering4
EPS Forecast (FY)1.73
Revenue Forecast (FY)$1.07B
LendingClub Business Overview & Revenue Model
Company Description
LendingClub Corporation, operates as a bank holding company for LendingClub Bank, National Association that provides range of financial products and services through a technology-driven platform in the United States. The company provides commercia...
How the Company Makes Money
LendingClub makes money primarily through a mix of lending-related income and fee income tied to its loan origination and marketplace activities. (1) Net interest income: As a bank, LendingClub earns interest income on loans it holds on its balanc...
LendingClub Earnings Call Summary
Earnings Call Date:Apr 27, 2026
(Q1-2026)
| % Change Since: |
Next Earnings Date:Jul 29, 2026
Earnings Call Sentiment Positive
The call communicated strong operational and financial momentum: double-digit revenue and origination growth, record pretax earnings, improving credit metrics, substantial automation gains, new product launches (home improvement) and active capital deployment. Lowlights were primarily related to accounting transitions (fair value marks), higher near-term expenses for marketing and rebrand, and macro/rate uncertainty that reduce some expected tailwinds. On balance, the positive execution, profitability gains, and growth initiatives significantly outweighed the accounting- and investment-related headwinds.Positive Updates
Strong Origination Growth
Loan originations increased 31% year-over-year to $2.7 billion in Q1 2026, coming in above the high end of guidance and reflecting broad consumer business strength.
Negative Updates
Higher Operating Expenses
Total operating expenses rose 28% year-over-year to $185 million, driven primarily by higher marketing spend (including a ~ $7 million sequential increase due to accounting treatment) and increased compensation to support growth initiatives.
Read all updates
Q1-2026 Updates
Positive
Negative
Strong Origination Growth
Loan originations increased 31% year-over-year to $2.7 billion in Q1 2026, coming in above the high end of guidance and reflecting broad consumer business strength.
Read all positive updates
Company Guidance
LendingClub maintained full-year 2026 guidance, calling for originations of $11.6 billion to $12.6 billion and diluted EPS of $1.65 to $1.80 (anchored to a near‑term return on tangible common equity target of 13%–15%), while guiding Q2 originations of $3.0 billion to $3.1 billion (up 23%–27% year‑over‑year) and Q2 diluted EPS of $0.40–$0.45; management expects net interest margin to normalize toward roughly 6% through 2026 (Q1 NIM was 6.3%) and noted they are maintaining this outlook despite revising their macro assumption from 75 basis points of Fed cuts to zero cuts, assuming a stable consumer and rate environment.LendingClub Financial Statement Overview
Summary
Income Statement
62
Positive
Balance Sheet
78
Positive
Cash Flow
24
Negative
| Breakdown | TTM | Dec 2025 | Dec 2024 | Dec 2023 | Dec 2022 | Dec 2021 |
|---|---|---|---|---|---|---|
Income Statement | ||||||
| Total Revenue | 1.30B | 1.33B | 1.16B | 1.14B | 1.27B | 898.63M |
| Gross Profit | 871.36M | 863.75M | 608.74M | 621.05M | 919.89M | 679.83M |
| EBITDA | 264.53M | 369.90M | 118.37M | 101.81M | 196.87M | 62.73M |
| Net Income | 175.61M | 135.68M | 51.33M | 38.94M | 289.69M | 18.58M |
Balance Sheet | ||||||
| Total Assets | 11.94B | 11.57B | 10.63B | 8.83B | 7.98B | 4.90B |
| Cash, Cash Equivalents and Short-Term Investments | 804.92M | 917.65M | 4.41B | 2.87B | 1.40B | 950.66M |
| Total Debt | 12.48M | 15.83M | 28.50M | 57.22M | 210.19M | 429.99M |
| Total Liabilities | 10.42B | 10.07B | 9.29B | 7.58B | 6.82B | 4.05B |
| Stockholders Equity | 1.52B | 1.50B | 1.34B | 1.25B | 1.16B | 850.24M |
Cash Flow | ||||||
| Free Cash Flow | -3.16B | -2.87B | -2.69B | -1.20B | 306.09M | 205.46M |
| Operating Cash Flow | -3.01B | -2.73B | -2.63B | -1.14B | 375.57M | 239.87M |
| Investing Cash Flow | 1.66B | 1.93B | 607.81M | 516.70M | -2.81B | -454.41M |
| Financing Cash Flow | 1.24B | 747.82M | 1.71B | 789.57M | 2.80B | 349.64M |
LendingClub Technical Analysis
Negative
17.44
Price Trends
15.57
Negative
16.71
Negative
16.87
Negative
Market Momentum
-0.13
Positive
39.60
Neutral
10.68
Positive
Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For LC, the sentiment is Negative. The current price of 17.44 is above the 20-day moving average (MA) of 16.60, above the 50-day MA of 15.57, and above the 200-day MA of 16.87, indicating a bearish trend. The MACD of -0.13 indicates Positive momentum. The RSI at 39.60 is Neutral, neither overbought nor oversold. The STOCH value of 10.68 is Positive, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Negative sentiment for LC.
LendingClub Risk Analysis
LendingClub disclosed 55 risk factors in its most recent earnings report. LendingClub reported the most risks in the "Finance & Corporate" category.
Finance & Corporate - Financial and accounting risks. Risks related to the execution of corporate activity and strategy
Latest Risks Added 0 New Risks
LendingClub Peers Comparison
UnderperformOutperform
Sector (68)
Name | Overall Rating | Market Cap | P/E Ratio | ROE | Dividend Yield | Revenue Growth | EPS Growth |
|---|---|---|---|---|---|---|---|
68 Neutral | $18.00B | 11.42 | 9.92% | 3.81% | 9.73% | 1.22% | |
65 Neutral | $1.80B | 8.01 | 11.92% | ― | 17.38% | 237.98% | |
53 Neutral | $781.05M | 11.43 | -2.45% | 4.95% | -20.89% | -217.55% | |
| ― | $1.37B | ― | -67.58% | ― | 75.04% | -679.87% | |
78 Outperform | $1.17B | 5.42 | 15.80% | 5.20% | 4.05% | 8.52% | |
| ― | $2.33B | ― | -2.37% | ― | ― | ― |
* Financial Sector Average
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Glossary
BuyA stock rated as a "Buy" is expected to perform better than the overall market or a specific benchmark over the near-to-medium term. This rating suggests the stock is likely to deliver higher returns compared to other stocks in the same sector or market index. Note: This is not investment advice; please consult a financial advisor before making investment decisions.
HoldA stock rated as a "Hold" is expected to perform in line with the overall market or a specific benchmark. This rating indicates that the stock is neither particularly compelling nor unfavorable for investment. Note: This is not investment advice; please consult a financial advisor before making investment decisions.
SellA stock rated as a "Sell" is expected to perform worse than the overall market or a specific benchmark over the near-to-medium term. This rating suggests the stock may deliver lower returns compared to other stocks in the same sector or market index. Note: This is not investment advice; please consult a financial advisor before making investment decisions.
Disclaimer
This AI Analyst Stock Report is automatically generated by our AI systems using advanced algorithms and publicly available financial, technical, and market data. While the information provided aims to be accurate and insightful, it is intended for informational purposes only and should not be considered financial advice. Any content created by an AI (Artificial Intelligence) system may contain inaccuracies and/or contain errors. Investing in stocks carries inherent risks, and past performance is not indicative of future results. This report does not account for your personal financial circumstances, objectives, or risk tolerance. Always conduct your own research or consult with a qualified financial advisor before making investment decisions. The analysis and recommendations provided are based on historical and current data and may not fully reflect future market conditions or unexpected developments. Neither the creators of this report nor its affiliated entities guarantee the accuracy, completeness, or reliability of the information presented. Use this report at your own discretion and risk.