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Author Topic: Lending Club Is A Bank

r
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Lending Club Is A Bank
OP: February 18, 2020, 12:00:00 AM
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Lending Club Is A Bank
#1: February 18, 2020, 12:00:00 AM
About time, but most probably not good for retail lenders, as they may be phased out, with cheap access to deposit capital.
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Lending Club Is A Bank
#2: February 19, 2020, 12:00:00 AM
Quote
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T
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#3: February 19, 2020, 12:00:00 AM
Here's another cute quote from the story...
Quote
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R
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#4: February 19, 2020, 12:00:00 AM
At the open at least the equity market isn't impressed. LC is down $1.20 per share (-9.12%) to $11.96 per share.
They did announce quarterly earnings last evening which is a major factor of course.
Where it will close is anyone's guess. BTW the Dow is up 82.
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T
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#5: February 19, 2020, 12:00:00 AM
Quite a day for LC stock. Rallied from a low of $11.66 around 10 am into the close and finished at $12.98 a share; a loss of only 1.37%.
The volume was 3x an average day.
If I'm not mistaken they reported their first quarterly profit ever. What's not to like  :)
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T
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#6: February 19, 2020, 12:00:00 AM
You can't make this stuff up; largest loan asset segment "Yachts". I didn't Photoshop it; really.
Wow, must be Boston  :)


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T
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#7: February 19, 2020, 12:00:00 AM
I saw that.  At least they're probably secured loans.

There's an error on that slide.  See where it says "(in millions)"?  Those aren't millions.  Must actually be thousands.

$1,077,335 (millions) would be 1 Trillion dollars worth of yachts, which would be one hellofa lotta yachts.
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T
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#8: February 20, 2020, 12:00:00 AM
Fred, I think they meant institutional debt providers, not purchasers of loans
 
Without a portfolio of loans, LendingClub will have extreme volatility of earnings. Balance sheet interest income will mitigate that issue a bit
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T
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#9: February 20, 2020, 12:00:00 AM
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#10: February 20, 2020, 12:00:00 AM
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#11: February 20, 2020, 12:00:00 AM
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#12: February 20, 2020, 12:00:00 AM
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T
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#13: February 21, 2020, 12:00:00 AM
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#14: February 21, 2020, 12:00:00 AM
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