LC Stock Alert: 10 Reasons LendingClub Plunges Today
loan club (NYSE:CL) the stock fell sharply on Thursday after the release of the peer-to-peer lending company’s fourth quarter 2021 earnings report.
Let’s dive into this news below to see why LC stockholders are dumping stocks today.
- The company begins its earnings report with revenue of $262.2 million.
- Although this is a 7% sequential increase, it is still not what Wall Street expected.
- LendingClub needed to hit revenue of $267.53 to match fourth quarter estimates.
- That shortfall drives LC shares down despite its diluted earnings per share of 27 cents.
- That beat analyst estimates of 22 cents per share for the period.
- Unfortunately, the company’s outlook for full-year 2021 does its stock a disservice today.
- LendingClub expects 2022 revenue to be between $1.1 billion and $1.2 billion.
- At a midpoint of $1.15 billion, that’s below Wall Street’s estimate of $1.16 billion for the year 2022.
- Estimates for the first quarter of 2022 are better with revenues ranging from $255 million to $265 million.
- That would see it beat analysts’ revenue estimate of $258.61 million for the quarter.
LendingClub investors did not react positively to today’s earnings news and heavy trading sent shares tumbling. As of this writing, over 18 million LC shares have changed hands. That’s higher than the company’s average daily trading volume, which is around 3 million shares.
LC stock is down 28.2% Thursday afternoon and 35.4% year-to-date.
There is a wealth of additional stock market information that investors will want to know below!
InvestorPlace offers daily stock market coverage with breaking news and today is no different. Big news for Thursday includes a Apifiny SPAC merger in progress, details of the You’re here (NASDAQ:TSLA) revenue event, plus what to know about Knightscope (NASDAQ:KSCP) makes its public debut. You can get all these details, and more, from the following links!
More stock market news for Thursday
As of the date of publication, William White had no position (directly or indirectly) in the securities mentioned in this article. The opinions expressed in this article are those of the author, subject to InvestorPlace.com Publication guidelines.
Article printed on InvestorPlace Media, https://investorplace.com/2022/01/lc-stock-alert-10-reasons-why-lendingclub-is-plunging-today/.
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