LendingClub Corp (NYSE:LC) stock tumbled nearly 15% in early trading Thursday after the peer-to-peer finance firm filed an 8-K report with the SEC detailing its operating performance ahead of upcoming investor day.
Delving into details, LendingClub cut its net revenue guidance for the fourth quarter to a range of $155 million to $160 million, from $158 million to $163 million previously. In addition, the company expects Q4 EBITDA forecasts to fall from $19-$23 million, to $16-20 million. Adding insult to injury, the company’s outlook for a 2018 net revenue range of $680 to $705 million also came up short of expectations.
On the ratings front, Lendingclub stock has been the subject of a number of recent research reports. In a report issued on November 8, Stifel Nicolaus analyst John Davis reiterated a Hold rating on LC, with a price target of $5, which represents a potential upside of 18% from where the stock is currently trading. On the same day, Maxim Group’s Michael Diana initiated coverage with a Buy rating on the stock and has a price target of $8.
According to TipRanks.com, which ranks over 7,500 financial analysts and bloggers to gauge the performance of their past recommendations, John Davis and Michael Diana have a yearly average return of 34.4% and 7.3% respectively. Davis has a success rate of 60% and is ranked #490 out of 4721 analysts, while Diana has a success rate of 64% and is ranked #409.
Overall, 2 research analysts have assigned a Hold rating and 4 research analysts have given a Buy rating to the stock. When considering if perhaps the stock is under or overvalued, the average price target is $6.63 which is 56% above where the stock closed yesterday.
LendingClub Corp. operates as an online credit marketplace. It engages in the provision of facilitating personal loans, business loans, and financing for elective medical procedures. The company was founded by Renaud Laplanche in October 2006 and is headquartered in San Francisco, CA.