Sheets Smith Investment Management has acquired a new stake in LendingClub Corporation, investing approximately $660,000 in the credit services provider during the third quarter of 2023. The investment firm purchased 43,435 shares of LendingClub, as reported by Holdings Channel.com. This move highlights a growing interest among institutional investors in LendingClub and its potential for future growth.
Several other significant investors have also adjusted their positions in LendingClub. Dynamic Technology Lab Private Ltd acquired a new stake in the company worth $869,000, while Charles Schwab Investment Management Inc. increased its holdings by 8.7% in the first quarter, bringing its total ownership to 1,004,943 shares, valued at approximately $10.37 million. Additional new stakes were purchased by Capital Fund Management S.A., valued at about $774,000, and Invst LLC, with an investment of around $298,000. AlphaQuest LLC also raised its stake by 72.9%, now holding 40,864 shares valued at approximately $422,000.
As a result, institutional investors now control 74.08% of LendingClub’s stock. The company’s stock opened at $19.62 on Friday, with a twelve-month low of $7.90 and a high of $20.94. LendingClub’s market capitalization stands at $2.26 billion, accompanied by a price-to-earnings ratio of 22.30 and a beta of 2.14.
In a recent development, LendingClub’s board announced a share buyback plan on November 5, 2023, allowing the company to repurchase up to $100 million in shares, which constitutes approximately 4.9% of its stock. Such buyback initiatives generally indicate that a company’s leadership believes its shares are undervalued.
Analysts have also begun to weigh in on LendingClub’s stock. On November 10, 2023, Citizens JMP upgraded its rating from “market perform” to “outperform,” setting a target price of $23.00. Janney Montgomery Scott raised its price objective from $17.00 to $20.00, maintaining a “neutral” rating. JPMorgan Chase & Co. has increased its target price from $22.00 to $25.00 with an “overweight” rating, while Piper Sandler reaffirmed its “overweight” status with a target price of $20.00. BTIG Research has also raised its price target from $18.00 to $26.00, rating the stock as a “buy.” In total, one analyst has issued a “Strong Buy” rating, six have rated it as a “Buy,” and three analysts have given it a “Hold” rating. According to MarketBeat data, LendingClub currently holds a consensus rating of “Moderate Buy” with an average price target of $21.57.
In terms of insider transactions, Director Erin Selleck sold 2,390 shares on December 5, 2023, valued at approximately $46,533.30. Following this sale, Selleck’s direct ownership stands at 76,377 shares, worth around $1.49 million. Meanwhile, CEO Scott Sanborn sold 30,000 shares on October 23, 2023, for a total of $578,700.00, reducing his ownership by 2.42% to 1,210,070 shares, valued at over $23.34 million. Insider ownership currently accounts for 3.19% of the company’s stock.
LendingClub Corporation operates as a bank holding company providing a wide range of financial products and services in the United States. Its offerings include various deposit products such as savings and checking accounts, as well as certificates of deposit. The company also provides consumer and commercial loans, including unsecured personal loans, secured auto refinance loans, and small business loans.
For further insights into LendingClub and its performance, interested parties can visit HoldingsChannel.com to access the latest 13F filings and insider trades.
