* Note: Prices are in Million (M) USD.
Description:
LendingClub Corporation, is a banking holding company for LendingClub Bank, a National Association that offers a range of financial products and services through a technology-driven platform in the United States. The company is headquartered in San Francisco, California.
These criteria used Company's Cash, EBITDA and Debt balance to determines its fair value:
Cash : $18 M
Debt : $0 M
EBITDA : $253 M
Since Cash is greater than Total Debt, 5 points assigned.
This criteria used industry in which company operates:
Sector: FINANCE
Industry: PERSONAL CREDIT INSTITUTIONS
Based on industry, 3 points assigned.
This criteria used Company's Price To Earning (P/E) Ratio to determines its fair value:
Forward PE Ratio: 19.65
Since Forward PE Ratio is between 15 - 20, 3 points assigned.
This criteria used Company's ability to convert Sales into free cash flow to determine fair value:
Average Free Cash Flow: $-894 M
Average Revenue: $307 M
Revenue Converted To Free Cash Flow (%): -291%
Avg Free Cash Flow Growth Per Year (Last 5 Years): -78.61%
Since Free Cash Flow (FCF) to Revenue percentage is non-positive, 0 point assigned.
This criteria used company's growth potential to calculate its fair value:
Latest Revenue (2024-12-31): $253 M
Revenue 4 Years Ago (2020-12-31): $305 M
Last 5 Years Average Revenue Growth: -3%
Since Revenue Growth is between 0 - 5, 1 point assigned.
This criteria used Company's ability to buy back its own share:
Latest Share Count (2024-12-31): $113 M
Share Count 5 Years Ago (2020-12-31): $90 M
Company is not buying back its own shares, 0 points assigned.
This criteria used Company's dividend payout ratio to determine its fair value:
Next Year Earnings Per Share (EPS): $1.02
Trailing 12-Month Earnings Per Share (EPS): $0.64
Average Earnings Per Share (EPS): $0.83
Dividend Per Share (DPS): $0
Payout Ratio: 0%
Dividend Yield: 0%
Since Dividend Per Share is less than or equal to 0, 0 point assigned.
Since Dividend Yield is less than 1, 0 point assigned.
This criteria used Company's Return On Equity (ROE%) to determine its fair value:
Average ROE: -45%
Since Average ROE is negative, 0 point assigned.
This criteria used Company's current price to its 52 week low price to determines its fair value:
Current Price: $16
52-Week Low: $8
Threshold Price (15% Above 52-Week Low): $9
Since Current price is not within 15% threshold, 0 point assigned.
This criteria used Company's Market Cap to determines its fair value:
Market Capitalization: $1,774 M
Since Market Cap is less than 10B, 1 point assigned.
% Exposure to Total Portfolio
Based on the market cap, we recommend do not exceed 2% exposure of Total Portfolio.
Value-Trade has assigned 13 points to above LendingClub Corp (LC) stock.
Last 6 Years Avg PE 22.7, Fair Value PE 12, Industry Based PE 17. Based on these 3 values, average assigned is 17.23.
Value-Trades has assined P/E value 17.23. Since an average (Current Year EPS + Next Year EPS) earning per share is $0.83.
The fair value of LendingClub Corp (LC) stock should be (17.23 x $0.83) = $14.3
