LENDINGCLUB CORP (LC)
US52603A2087 - Common Stock
Taking everything into account, LC scores 2 out of 10 in our fundamental rating. LC was compared to 51 industry peers in the Consumer Finance industry. Both the profitability and financial health of LC have multiple concerns. LC does not seem to be growing, but still is valued expensively.
1. Profitability
1.1 Basic Checks
LC had positive earnings in the past year.
In the past year LC has reported a negative cash flow from operations.
The reported net income has been mixed in the past 5 years: LC reported negative net income in multiple years.
The reported operating cash flow has been mixed in the past 5 years: LC reported negative operating cash flow in multiple years.
1.2 Ratios
LC has a Return On Assets (0.44%) which is comparable to the rest of the industry.
With a Return On Equity value of 3.11%, LC perfoms like the industry average, outperforming 41.18% of the companies in the same industry.
LC has a Return On Invested Capital of 0.45%. This is comparable to the rest of the industry: LC outperforms 47.06% of its industry peers.
LC had an Average Return On Invested Capital over the past 3 years of 0.72%. This is significantly below the industry average of 6.52%.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 0.44% | ||
| ROE | 3.11% | ||
| ROIC | 0.45% |
ROA(3y)1.48%
ROA(5y)-1.33%
ROE(3y)10.06%
ROE(5y)0.18%
ROIC(3y)0.72%
ROIC(5y)N/A
1.3 Margins
The Profit Margin of LC (4.51%) is comparable to the rest of the industry.
LC's Operating Margin of 6.31% is in line compared to the rest of the industry. LC outperforms 47.06% of its industry peers.
LC has a better Gross Margin (100.00%) than 96.08% of its industry peers.
In the last couple of years the Gross Margin of LC has grown nicely.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| OM | 6.31% | ||
| PM (TTM) | 4.51% | ||
| GM | 100% |
OM growth 3YN/A
OM growth 5YN/A
PM growth 3YN/A
PM growth 5YN/A
GM growth 3Y13.18%
GM growth 5Y9.23%
2. Health
2.1 Basic Checks
The Return on Invested Capital (ROIC) is below the Cost of Capital (WACC), so LC is destroying value.
The number of shares outstanding for LC has been increased compared to 1 year ago.
Compared to 5 years ago, LC has more shares outstanding
LC has a worse debt/assets ratio than last year.
2.2 Solvency
Based on the Altman-Z score of -0.72, we must say that LC is in the distress zone and has some risk of bankruptcy.
LC has a Altman-Z score of -0.72. This is in the lower half of the industry: LC underperforms 68.63% of its industry peers.
A Debt/Equity ratio of 5.87 is on the high side and indicates that LC has dependencies on debt financing.
With a Debt to Equity ratio value of 5.87, LC is not doing good in the industry: 76.47% of the companies in the same industry are doing better.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 5.87 | ||
| Debt/FCF | N/A | ||
| Altman-Z | -0.72 |
ROIC/WACC0.1
WACC4.41%
2.3 Liquidity
A Current Ratio of 0.17 indicates that LC may have some problems paying its short term obligations.
The Current ratio of LC (0.17) is worse than 74.51% of its industry peers.
A Quick Ratio of 0.17 indicates that LC may have some problems paying its short term obligations.
LC has a worse Quick ratio (0.17) than 74.51% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Current Ratio | 0.17 | ||
| Quick Ratio | 0.17 |
3. Growth
3.1 Past
LC shows a strong negative growth in Earnings Per Share. In the last year the EPS decreased by -74.10%.
The Earnings Per Share has been decreasing by -6.36% on average over the past years.
LC shows a very negative growth in Revenue. In the last year, the Revenue has decreased by -27.17%.
LC shows a decrease in Revenue. Measured over the last years, the Revenue has been decreasing by -4.36% yearly.
EPS 1Y (TTM)-74.1%
EPS 3YN/A
EPS 5Y-6.36%
EPS growth Q2Q-52.63%
Revenue 1Y (TTM)-27.17%
Revenue growth 3Y23.75%
Revenue growth 5Y-4.36%
Revenue growth Q2Q-29.35%
3.2 Future
The Earnings Per Share is expected to grow by 28.12% on average over the next years. This is a very strong growth
Based on estimates for the next years, LC will show a small growth in Revenue. The Revenue will grow by 3.42% on average per year.
EPS Next Y-33.27%
EPS Next 2Y45.15%
EPS Next 3Y28.12%
EPS Next 5YN/A
Revenue Next Year-16.72%
Revenue Next 2Y1.86%
Revenue Next 3Y3.42%
Revenue Next 5YN/A
3.3 Evolution
When comparing the EPS growth rate of the last years to the growth rate of the upcoming years, we see that the growth is accelerating.
When comparing the Revenue growth rate of the last years to the growth rate of the upcoming years, we see that the growth is accelerating.
4. Valuation
4.1 Price/Earnings Ratio
The Price/Earnings ratio is 25.92, which means the current valuation is very expensive for LC.
Based on the Price/Earnings ratio, LC is valued a bit more expensive than the industry average as 70.59% of the companies are valued more cheaply.
LC's Price/Earnings ratio indicates a similar valuation than the S&P500 average which is at 28.06.
The Price/Forward Earnings ratio is 38.84, which means the current valuation is very expensive for LC.
LC's Price/Forward Earnings ratio is a bit more expensive when compared to the industry. LC is more expensive than 64.71% of the companies in the same industry.
The average S&P500 Price/Forward Earnings ratio is at 20.72. LC is valued rather expensively when compared to this.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 25.92 | ||
| Fwd PE | 38.84 |
4.2 Price Multiples
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | N/A | ||
| EV/EBITDA | -1.99 |
4.3 Compensation for Growth
A more expensive valuation may be justified as LC's earnings are expected to grow with 28.12% in the coming years.
PEG (NY)N/A
PEG (5Y)N/A
EPS Next 2Y45.15%
EPS Next 3Y28.12%
5. Dividend
5.1 Amount
LC does not give a dividend.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | N/A |
LENDINGCLUB CORP
NYSE:LC (5/2/2024, 7:04:01 PM)
Premarket: 9.4 +0.07 (+0.75%)9.33
+0.33 (+3.67%)
Chartmill FA Rating
GICS SectorFinancials
GICS IndustryGroupFinancial Services
GICS IndustryConsumer Finance
Earnings (Last)
Earnings (Next)
Inst Owners
Inst Owner Change
Ins Owners
Ins Owner Change
Market Cap1.03B
Analysts
Price Target
Dividend
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | N/A |
Dividend Growth(5Y)
DP
Div Incr Years
Div Non Decr Years
Ex-Date
Surprises & Revisions
EPS beat(2)
Avg EPS beat(2)
Min EPS beat(2)
Max EPS beat(2)
EPS beat(4)
Avg EPS beat(4)
Min EPS beat(4)
Max EPS beat(4)
EPS beat(8)
Avg EPS beat(8)
EPS beat(12)
Avg EPS beat(12)
EPS beat(16)
Avg EPS beat(16)
Revenue beat(2)
Avg Revenue beat(2)
Min Revenue beat(2)
Max Revenue beat(2)
Revenue beat(4)
Avg Revenue beat(4)
Min Revenue beat(4)
Max Revenue beat(4)
Revenue beat(8)
Avg Revenue beat(8)
Revenue beat(12)
Avg Revenue beat(12)
Revenue beat(16)
Avg Revenue beat(16)
PT rev (1m)
PT rev (3m)
EPS NQ rev (1m)
EPS NQ rev (3m)
EPS NY rev (1m)
EPS NY rev (3m)
Revenue NQ rev (1m)
Revenue NQ rev (3m)
Revenue NY rev (1m)
Revenue NY rev (3m)
Valuation
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 25.92 | ||
| Fwd PE | 38.84 | ||
| P/S | |||
| P/FCF | |||
| P/OCF | |||
| P/B | |||
| P/tB | |||
| EV/EBITDA |
EPS(TTM)
EY
EPS(NY)
Fwd EY
FCF(TTM)
FCFY
OCF(TTM)
OCFY
SpS
BVpS
TBVpS
PEG (NY)N/A
PEG (5Y)N/A
Profitability
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 0.44% | ||
| ROE | 3.11% | ||
| ROCE | |||
| ROIC | |||
| ROICexc | |||
| ROICexgc | |||
| OM | 6.31% | ||
| PM (TTM) | 4.51% | ||
| GM | 100% | ||
| FCFM |
ROA(3y)
ROA(5y)
ROE(3y)
ROE(5y)
ROIC(3y)
ROIC(5y)
ROICexc(3y)
ROICexc(5y)
ROICexgc(3y)
ROICexgc(5y)
ROCE(3y)
ROCE(5y)
ROICexcg growth 3Y
ROICexcg growth 5Y
ROICexc growth 3Y
ROICexc growth 5Y
OM growth 3Y
OM growth 5Y
PM growth 3Y
PM growth 5Y
GM growth 3Y
GM growth 5Y
F-Score
Asset Turnover0.1
Health
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 5.87 | ||
| Debt/FCF | |||
| Debt/EBITDA | |||
| Cap/Depr | |||
| Cap/Sales | |||
| Interest Coverage | |||
| Cash Conversion | |||
| Profit Quality | |||
| Current Ratio | 0.17 | ||
| Quick Ratio | 0.17 | ||
| Altman-Z |
F-Score
WACC
ROIC/WACC
Cap/Depr(3y)
Cap/Depr(5y)
Cap/Sales(3y)
Cap/Sales(5y)
Profit Quality(3y)
Profit Quality(5y)
Growth
EPS 1Y (TTM)-74.1%
EPS 3YN/A
EPS 5Y
EPS growth Q2Q
EPS Next Y-33.27%
EPS Next 2Y
EPS Next 3Y
EPS Next 5Y
Revenue 1Y (TTM)-27.17%
Revenue growth 3Y23.75%
Revenue growth 5Y
Revenue growth Q2Q
Revenue Next Year
Revenue Next 2Y
Revenue Next 3Y
Revenue Next 5Y
EBIT growth 1Y
EBIT growth 3Y
EBIT growth 5Y
EBIT Next Year
EBIT Next 3Y
EBIT Next 5Y
FCF growth 1Y
FCF growth 3Y
FCF growth 5Y
OCF growth 1Y
OCF growth 3Y
OCF growth 5Y