LendingClub Corporation (NYSE:LC) Sees Significant Growth in Short Interest

LendingClub Corporation (NYSE:LC) saw a large increase in short interest in January. As of January 15th, there was short interest totaling 4,161,597 shares, an increase of 22.7% from the December 31st total of 3,392,540 shares. Based on an average daily volume of 1,808,777 shares, the short-interest ratio is presently 2.3 days. Currently, 3.7% of the shares of the stock are short sold. Currently, 3.7% of the shares of the stock are short sold. Based on an average daily volume of 1,808,777 shares, the short-interest ratio is presently 2.3 days.

Wall Street Analyst Weigh In

LC has been the topic of several recent research reports. Zacks Research downgraded shares of LendingClub from a “strong-buy” rating to a “hold” rating in a research report on Monday, January 5th. Keefe, Bruyette & Woods boosted their price objective on shares of LendingClub from $20.00 to $22.00 and gave the stock an “outperform” rating in a research note on Friday, November 7th. Piper Sandler restated an “overweight” rating and issued a $23.00 price objective on shares of LendingClub in a report on Thursday, January 29th. Janney Montgomery Scott raised their target price on LendingClub from $17.00 to $20.00 and gave the stock a “neutral” rating in a research report on Thursday, November 6th. Finally, Weiss Ratings reiterated a “hold (c)” rating on shares of LendingClub in a research report on Monday, December 29th. Six research analysts have rated the stock with a Buy rating and four have assigned a Hold rating to the stock. Based on data from MarketBeat.com, LendingClub has a consensus rating of “Moderate Buy” and an average price target of $22.00.

LendingClub Price Performance

NYSE LC traded down $0.76 during mid-day trading on Tuesday, reaching $16.10. 2,906,883 shares of the stock were exchanged, compared to its average volume of 2,542,585. The stock has a market cap of $1.86 billion, a P/E ratio of 14.00 and a beta of 2.08. LendingClub has a one year low of $7.90 and a one year high of $21.67. The stock has a 50 day simple moving average of $19.39 and a 200-day simple moving average of $17.35.

LendingClub (NYSE:LC) last issued its quarterly earnings results on Wednesday, January 28th. The credit services provider reported $0.35 EPS for the quarter, beating analysts’ consensus estimates of $0.34 by $0.01. LendingClub had a net margin of 13.58% and a return on equity of 9.62%. The business had revenue of $266.47 million for the quarter, compared to analysts’ expectations of $262.88 million. During the same quarter in the prior year, the firm posted $0.08 earnings per share. The business’s quarterly revenue was up 22.7% compared to the same quarter last year. LendingClub has set its FY 2026 guidance at 1.650-1.800 EPS and its Q1 2026 guidance at 0.340-0.390 EPS. Sell-side analysts anticipate that LendingClub will post 0.72 EPS for the current fiscal year.

LendingClub announced that its board has approved a stock repurchase program on Wednesday, November 5th that allows the company to buyback $100.00 million in shares. This buyback authorization allows the credit services provider to reacquire up to 4.9% of its shares through open market purchases. Shares buyback programs are typically a sign that the company’s board of directors believes its stock is undervalued.

Insider Activity

In related news, Director Erin Selleck sold 2,390 shares of the company’s stock in a transaction that occurred on Friday, December 5th. The shares were sold at an average price of $19.47, for a total transaction of $46,533.30. Following the completion of the transaction, the director directly owned 76,377 shares in the company, valued at $1,487,060.19. This represents a 3.03% decrease in their position. The transaction was disclosed in a document filed with the Securities & Exchange Commission, which is available through this hyperlink. Company insiders own 3.31% of the company’s stock.

Hedge Funds Weigh In On LendingClub

Several institutional investors have recently added to or reduced their stakes in the business. Lido Advisors LLC bought a new stake in LendingClub in the 2nd quarter valued at about $1,202,000. Assenagon Asset Management S.A. grew its stake in LendingClub by 184.1% in the third quarter. Assenagon Asset Management S.A. now owns 2,121,802 shares of the credit services provider’s stock valued at $32,230,000 after acquiring an additional 1,375,002 shares during the period. Capital Fund Management S.A. increased its holdings in shares of LendingClub by 183.9% during the second quarter. Capital Fund Management S.A. now owns 213,008 shares of the credit services provider’s stock valued at $2,562,000 after acquiring an additional 137,972 shares in the last quarter. Oppenheimer Asset Management Inc. raised its position in shares of LendingClub by 18.9% during the second quarter. Oppenheimer Asset Management Inc. now owns 46,771 shares of the credit services provider’s stock worth $563,000 after purchasing an additional 7,431 shares during the period. Finally, Jump Financial LLC raised its position in shares of LendingClub by 106.6% during the second quarter. Jump Financial LLC now owns 429,350 shares of the credit services provider’s stock worth $5,165,000 after purchasing an additional 221,581 shares during the period. 74.08% of the stock is owned by institutional investors and hedge funds.

About LendingClub

LendingClub Corporation operates an online lending marketplace that connects borrowers seeking personal and small business credit with individual and institutional investors. The platform leverages technology to streamline the loan application and underwriting process, offering unsecured personal loans, auto refinancing, and small business loans. In addition to lending products, LendingClub provides high-yield savings accounts and certificates of deposit through its banking charter, following its acquisition of Radius Bank in 2021.

Founded in 2006 by Renaud Laplanche, LendingClub pioneered peer-to-peer lending in the United States, helping to democratize access to credit and investment opportunities.