Like 👍_老虎社区_美港股上老虎

2021-12-03

Like 👍

1 Growth Stock I'm Holding Through the Market Turbulence<blockquote>我在市场动荡中持有的 1 只成长股</blockquote>

免责声明：上述内容仅代表发帖人个人观点，不构成本平台的任何投资建议。

精彩评论

我们需要你的真知灼见来填补这片空白

发表看法

{"i18n":{"language":"zh_CN"},"detailType":1,"isChannel":false,"data":{"magic":2,"id":601680623,"tweetId":"601680623","gmtCreate":1638522414127,"gmtModify":1638522414238,"author":{"id":4098938248640060,"idStr":"4098938248640060","authorId":4098938248640060,"authorIdStr":"4098938248640060","name":"soofj","avatar":"https://static.tigerbbs.com/d5772dd1f5b38521906655ff1be6bf70","vip":1,"userType":1,"introduction":"","boolIsFan":false,"boolIsHead":false,"crmLevel":12,"crmLevelSwitch":0,"individualDisplayBadges":[],"wearingBadges":[],"fanSize":9,"starInvestorFlag":false},"themes":[],"images":[],"coverImages":[],"title":"","extraTitle":"","html":"<html><head></head><body>Like 👍&nbsp;</body></html>","htmlText":"<html><head></head><body>Like 👍&nbsp;</body></html>","text":"Like 👍","highlighted":1,"essential":1,"paper":1,"likeSize":0,"commentSize":0,"repostSize":0,"favoriteSize":0,"link":"https://laohu8.com/post/601680623","repostId":1171014097,"repostType":4,"repost":{"id":"1171014097","kind":"news","pubTimestamp":1638521609,"share":"https://www.laohunote.com/m/news/1171014097?lang=zh_CN&edition=full","pubTime":"2021-12-03 16:53","market":"us","language":"en","title":"1 Growth Stock I'm Holding Through the Market Turbulence<blockquote>我在市场动荡中持有的 1 只成长股</blockquote>","url":"https://stock-news.laohu8.com/highlight/detail?id=1171014097","media":"Motley Fool","summary":"This fintech stock has a very reasonable valuation considering its recent performance.","content":"LendingClub, which uses machine learning and data to streamline online lending specifically for unsecured personal loans, saw its stock price fall more than 27% in November. There was no obvious reason for the drop other than broader macro-economic factors such as stronger signs of inflation and recent fears about the omicron coronavirus variant.<blockquote>LendingClub 使用机器学习和数据来简化专门针对无担保个人贷款的在线贷款，其股价在 11 月份下跌超过 27%。除了更广泛的宏观经济因素（例如更强烈的通胀迹象和最近对奥密克戎冠状病毒变种的担忧）之外，没有明显的下降原因。</blockquote> Despite this frustrating market sell-off, I plan to hold my LendingClub stock through this period of market turbulence. Here's why.<blockquote>尽管市场抛售令人沮丧，但我计划在这段市场动荡时期持有 LendingClub 股票。原因如下。</blockquote> <img src=\"https://static.tigerbbs.com/2a3866343706f0a3928a955c039d976d\" tg-width=\"2000\" tg-height=\"1597\" width=\"100%\" height=\"auto\">Image source: Getty Images.<blockquote>图片来源：盖蒂图片社。</blockquote> The story is right there<blockquote>故事就在那里</blockquote> After two spectacular quarters, it is rather shocking that investors don't see the story yet. LendingClub doesn't get nearly the same positive attention or brand recognition as popular fintech stocks like&nbsp;Upstart&nbsp;and&nbsp;SoFi. It might just be the most underappreciated fintech story of the year.<blockquote>在经历了两个精彩的季度之后，投资者还没有看到这个故事，这相当令人震惊。LendingClub 并没有像流行的金融科技股那样获得几乎相同的积极关注或品牌认知度，例如暴发户和索菲这可能是今年最被低估的金融科技故事。</blockquote> Earlier this year, LendingClub closed on its&nbsp;acquisition of Radius Bank&nbsp;and the accompanying bank charter. It also transitioned to a new model where instead of selling all of its loans into the marketplace, it began retaining about 20% of those loans on its balance sheet and collecting recurring interest income. Management estimates that loans held on the balance sheet are three times more profitable than those sold to investment firms. Combined with the low-cost deposits to fund the loans put on the balance sheet, LendingClub is generating high margins.<blockquote>今年早些时候，LendingClub 完成了对 Radius Bank 的收购以及随附的银行章程。它还转向了一种新模式，即不再将所有贷款出售到市场上，而是开始在资产负债表上保留约 20% 的贷款，并收取经常性利息收入。管理层估计，资产负债表上持有的贷款的利润是出售给投资公司的贷款的三倍。再加上为资产负债表上的贷款提供资金的低成本存款，LendingClub 正在产生高额利润。</blockquote> Lesser-known is that during the pandemic, management worked hard to better rein in its expense base and improve its efficiency. This has helped create a tremendous amount of operating leverage, which is when revenue growth outpaces expense growth.<blockquote>鲜为人知的是，在疫情期间，管理层努力更好地控制其费用基础并提高效率。这有助于创造巨大的运营杠杆，即收入增长超过费用增长。</blockquote> The result has been a completely transformed company that has produced results faster than anticipated. In March of this year, management projected that the company might lose upwards of $200 million for the full year. But after achieving profitability in the second quarter, surpassing everyone's expectations, things have changed quite a bit. LendingClub now projects to generate about $800 million of revenue on more than $10 billion of loan originations for a full-year profit of between $10 million and $15 million.<blockquote>结果是一家彻底转型的公司，产生的成果比预期的要快。今年 3 月，管理层预计该公司全年可能亏损超过 2 亿美元。但在第二季度实现盈利，超出所有人预期后，情况发生了很大变化。LendingClub 目前预计将通过超过 100 亿美元的贷款发放产生约 8 亿美元的收入，全年利润在 1000 万至 1500 万美元之间。</blockquote> LendingClub is now generating similar loan originations, revenue, and profitability as fintech companies like SoFi and Upstart, yet the market continues to give it a $3.5 billion market cap, compared to SoFi at about $15 billion and Upstart at $17.4 billion. LendingClub only trades at just over three times 2022 projected revenue and about 20 times to next year's earnings, both completely reasonable for how fast the company is growing.<blockquote>LendingClub 目前产生的贷款发放、收入和盈利能力与 SoFi 和 Upstart 等金融科技公司类似，但市场继续赋予其 35 亿美元的市值，而 SoFi 约为 150 亿美元，Upstart 约为 174 亿美元。LendingClub 的交易价格仅为 2022 年预计收入的三倍多一点，约为明年收益的 20 倍，考虑到该公司的增长速度，这两者都是完全合理的。</blockquote> No reason the story won't continue<blockquote>故事没有理由不继续</blockquote> There is reason to believe that higher inflation, potential rate hikes, and continued impact from COVID-19 could create some difficult market conditions in 2022.<blockquote>有理由相信，通胀上升、潜在加息以及 COVID-19 的持续影响可能会在 2022 年造成一些困难的市场状况。</blockquote> But I see no reason LendingClub can't continue to do what it has been doing. Its main use case is credit card consolidation, where it offers people with high credit card debt the ability to pay it off at a much lower annual percentage rate. Revolving debt in the U.S., which is mostly credit card debt, slacked a bit in July and August, potentially due to the delta variant. But it bounced back and grew nearly 12% in September. Total U.S. revolving debt is now at more than $1.01 trillion, providing LendingClub with plenty of opportunities to help borrowers pay it off at a cheaper rate. Additionally, non-revolving debt, which includes the installment loans that LendingClub makes, grew another 7.2% in September.<blockquote>但我认为 LendingClub 没有理由不能继续做它一直在做的事情。它的主要用例是信用卡整合，它为信用卡债务高的人提供了以低得多的年利率还清债务的能力。美国的循环债务（主要是信用卡债务）在 7 月和 8 月有所放缓，可能是由于德尔塔变异毒株。但9月份反弹并增长近12%。美国循环债务总额目前超过 1.01 万亿美元，这为 LendingClub 提供了大量机会来帮助借款人以更低的利率还清债务。此外，包括 LendingClub 提供的分期贷款在内的非循环债务在 9 月份又增长了 7.2%。</blockquote> There's no reason to think October wouldn't have been a strong month for the company, and if the omicron variant doesn't result in lockdowns, I'd expect the full fourth quarter to be solid. Despite less optimism about economic growth in 2022, it's still expected to be strong overall. Lastly, LendingClub's installment loan offering, the company's core product, has become incredibly versatile. It can serve borrowers with FICO scores ranging from 600 to 800, it has been getting more and more popular among the company's nearly 4 million members when it comes to auto refinancing, it has been used a lot for home improvement, and there is a buy-now-pay-later use case for more expensive elective surgeries. More than half of LendingClub's customers come back to the company for a second loan. This versatility, along with management's efforts to streamline the expense base, has led to lower marketing costs and the tremendous operating leverage I mentioned above.<blockquote>没有理由认为 10 月份对该公司来说不会是一个强劲的月份，如果奥密克戎变体不会导致封锁，我预计整个第四季度都会很稳健。尽管对2022年经济增长不太乐观，但预计总体仍将强劲。最后，LendingClub 的分期贷款产品（该公司的核心产品）已经变得非常通用。它可以为 FICO 分数从 600 到 800 不等的借款人提供服务，在汽车再融资方面，它在公司近 400 万会员中越来越受欢迎，它已被广泛用于家庭装修，并且有一个先买后付的用例用于更昂贵的选择性手术。LendingClub 一半以上的客户会再次向该公司申请第二笔贷款。这种多功能性，加上管理层精简费用基础的努力，导致了更低的营销成本和我上面提到的巨大运营杠杆。</blockquote> LendingClub offers growth and value<blockquote>LendingClub 提供增长和价值</blockquote> I continue to be confused by why this stock is so mispriced. The company is growing like gangbusters and the bank-fintech model is positioning LendingClub to make a lot of money and create even more value for its 4 million members down the line. LendingClub generated a nearly 35% return on average equity in Q2 and 27% in Q3. It's also retained its leading market share in the unsecured personal loan market and is automating more than 80% of loan applications, yet does not trade with the same high multiples that other comparable&nbsp;fintech&nbsp;companies do.<blockquote>我仍然不明白为什么这只股票的定价如此错误。该公司正在像黑帮杀手一样发展，银行金融科技模式正在将 LendingClub 定位为赚很多钱，并为其 400 万会员创造更多价值。LendingClub 第二季度的平均股本回报率接近 35%，第三季度为 27%。它还保持了在无担保个人贷款市场的领先市场份额，并自动化了 80% 以上的贷款申请，但交易倍数不如其他可比金融科技公司高。</blockquote> Given market conditions, I would be more concerned if LendingClub had a crazy high valuation, but it doesn't. It's trading like a value stock but has all of the characteristics of growth. Needless to say, I feel very confident holding this stock long-term and through the current market turbulence.<blockquote>考虑到市场状况，我会更担心 LendingClub 的估值是否高得离谱，但事实并非如此。它的交易类似于价值股，但具有增长的所有特征。不用说，我对长期持有这只股票并度过当前的市场动荡感到非常有信心。</blockquote>","collect":0,"html":"<!DOCTYPE html>\n<html>\n<head>\n<meta http-equiv=\"Content-Type\" content=\"text/html; charset=utf-8\" />\n<meta name=\"viewport\" content=\"width=device-width,initial-scale=1.0,minimum-scale=1.0,maximum-scale=1.0,user-scalable=no\"/>\n<meta name=\"format-detection\" content=\"telephone=no,email=no,address=no\" />\n<title>1 Growth Stock I'm Holding Through the Market Turbulence<blockquote>我在市场动荡中持有的 1 只成长股</blockquote></title>\n<style type=\"text/css\">\na,abbr,acronym,address,applet,article,aside,audio,b,big,blockquote,body,canvas,caption,center,cite,code,dd,del,details,dfn,div,dl,dt,\nem,embed,fieldset,figcaption,figure,footer,form,h1,h2,h3,h4,h5,h6,header,hgroup,html,i,iframe,img,ins,kbd,label,legend,li,mark,menu,nav,\nobject,ol,output,p,pre,q,ruby,s,samp,section,small,span,strike,strong,sub,summary,sup,table,tbody,td,tfoot,th,thead,time,tr,tt,u,ul,var,video{ font:inherit;margin:0;padding:0;vertical-align:baseline;border:0 }\nbody{ font-size:16px; line-height:1.5; color:#999; background:transparent; }\n.wrapper{ overflow:hidden;word-break:break-all;padding:10px; }\nh1,h2{ font-weight:normal; line-height:1.35; margin-bottom:.6em; }\nh3,h4,h5,h6{ line-height:1.35; margin-bottom:1em; }\nh1{ font-size:24px; }\nh2{ font-size:20px; }\nh3{ font-size:18px; }\nh4{ font-size:16px; }\nh5{ font-size:14px; }\nh6{ font-size:12px; }\np,ul,ol,blockquote,dl,table{ margin:1.2em 0; }\nul,ol{ margin-left:2em; }\nul{ list-style:disc; }\nol{ list-style:decimal; }\nli,li p{ margin:10px 0;}\nimg{ max-width:100%;display:block;margin:0 auto 1em; }\nblockquote{ color:#B5B2B1; border-left:3px solid #aaa; padding:1em; }\nstrong,b{font-weight:bold;}\nem,i{font-style:italic;}\ntable{ width:100%;border-collapse:collapse;border-spacing:1px;margin:1em 0;font-size:.9em; }\nth,td{ padding:5px;text-align:left;border:1px solid #aaa; }\nth{ font-weight:bold;background:#5d5d5d; }\n.symbol-link{font-weight:bold;}\n/* header{ border-bottom:1px solid #494756; } */\n.title{ margin:0 0 8px;line-height:1.3;color:#ddd; }\n.meta {color:#5e5c6d;font-size:13px;margin:0 0 .5em; }\na{text-decoration:none; color:#2a4b87;}\n.meta .head { display: inline-block; overflow: hidden}\n.head .h-thumb { width: 30px; height: 30px; margin: 0; padding: 0; border-radius: 50%; float: left;}\n.head .h-content { margin: 0; padding: 0 0 0 9px; float: left;}\n.head .h-name {font-size: 13px; color: #eee; margin: 0;}\n.head .h-time {font-size: 12.5px; color: #7E829C; margin: 0;}\n.small {font-size: 12.5px; display: inline-block; transform: scale(0.9); -webkit-transform: scale(0.9); transform-origin: left; -webkit-transform-origin: left;}\n.smaller {font-size: 12.5px; display: inline-block; transform: scale(0.8); -webkit-transform: scale(0.8); transform-origin: left; -webkit-transform-origin: left;}\n.bt-text {font-size: 12px;margin: 1.5em 0 0 0}\n.bt-text p {margin: 0}\n</style>\n</head>\n<body>\n<div class=\"wrapper\">\n<header>\n<h2 class=\"title\">\n1 Growth Stock I'm Holding Through the Market Turbulence<blockquote>我在市场动荡中持有的 1 只成长股</blockquote>\n</h2>\n<h4 class=\"meta\">\n\nMotley Fool2021-12-03 16:53\n\n</h4>\n</header>\n<article>\nLendingClub, which uses machine learning and data to streamline online lending specifically for unsecured personal loans, saw its stock price fall more than 27% in November. There was no obvious reason for the drop other than broader macro-economic factors such as stronger signs of inflation and recent fears about the omicron coronavirus variant.<blockquote>LendingClub 使用机器学习和数据来简化专门针对无担保个人贷款的在线贷款，其股价在 11 月份下跌超过 27%。除了更广泛的宏观经济因素（例如更强烈的通胀迹象和最近对奥密克戎冠状病毒变种的担忧）之外，没有明显的下降原因。</blockquote> Despite this frustrating market sell-off, I plan to hold my LendingClub stock through this period of market turbulence. Here's why.<blockquote>尽管市场抛售令人沮丧，但我计划在这段市场动荡时期持有 LendingClub 股票。原因如下。</blockquote> <img src=\"https://static.tigerbbs.com/2a3866343706f0a3928a955c039d976d\" tg-width=\"2000\" tg-height=\"1597\" width=\"100%\" height=\"auto\">Image source: Getty Images.<blockquote>图片来源：盖蒂图片社。</blockquote> The story is right there<blockquote>故事就在那里</blockquote> After two spectacular quarters, it is rather shocking that investors don't see the story yet. LendingClub doesn't get nearly the same positive attention or brand recognition as popular fintech stocks like&nbsp;Upstart&nbsp;and&nbsp;SoFi. It might just be the most underappreciated fintech story of the year.<blockquote>在经历了两个精彩的季度之后，投资者还没有看到这个故事，这相当令人震惊。LendingClub 并没有像流行的金融科技股那样获得几乎相同的积极关注或品牌认知度，例如暴发户和索菲这可能是今年最被低估的金融科技故事。</blockquote> Earlier this year, LendingClub closed on its&nbsp;acquisition of Radius Bank&nbsp;and the accompanying bank charter. It also transitioned to a new model where instead of selling all of its loans into the marketplace, it began retaining about 20% of those loans on its balance sheet and collecting recurring interest income. Management estimates that loans held on the balance sheet are three times more profitable than those sold to investment firms. Combined with the low-cost deposits to fund the loans put on the balance sheet, LendingClub is generating high margins.<blockquote>今年早些时候，LendingClub 完成了对 Radius Bank 的收购以及随附的银行章程。它还转向了一种新模式，即不再将所有贷款出售到市场上，而是开始在资产负债表上保留约 20% 的贷款，并收取经常性利息收入。管理层估计，资产负债表上持有的贷款的利润是出售给投资公司的贷款的三倍。再加上为资产负债表上的贷款提供资金的低成本存款，LendingClub 正在产生高额利润。</blockquote> Lesser-known is that during the pandemic, management worked hard to better rein in its expense base and improve its efficiency. This has helped create a tremendous amount of operating leverage, which is when revenue growth outpaces expense growth.<blockquote>鲜为人知的是，在疫情期间，管理层努力更好地控制其费用基础并提高效率。这有助于创造巨大的运营杠杆，即收入增长超过费用增长。</blockquote> The result has been a completely transformed company that has produced results faster than anticipated. In March of this year, management projected that the company might lose upwards of $200 million for the full year. But after achieving profitability in the second quarter, surpassing everyone's expectations, things have changed quite a bit. LendingClub now projects to generate about $800 million of revenue on more than $10 billion of loan originations for a full-year profit of between $10 million and $15 million.<blockquote>结果是一家彻底转型的公司，产生的成果比预期的要快。今年 3 月，管理层预计该公司全年可能亏损超过 2 亿美元。但在第二季度实现盈利，超出所有人预期后，情况发生了很大变化。LendingClub 目前预计将通过超过 100 亿美元的贷款发放产生约 8 亿美元的收入，全年利润在 1000 万至 1500 万美元之间。</blockquote> LendingClub is now generating similar loan originations, revenue, and profitability as fintech companies like SoFi and Upstart, yet the market continues to give it a $3.5 billion market cap, compared to SoFi at about $15 billion and Upstart at $17.4 billion. LendingClub only trades at just over three times 2022 projected revenue and about 20 times to next year's earnings, both completely reasonable for how fast the company is growing.<blockquote>LendingClub 目前产生的贷款发放、收入和盈利能力与 SoFi 和 Upstart 等金融科技公司类似，但市场继续赋予其 35 亿美元的市值，而 SoFi 约为 150 亿美元，Upstart 约为 174 亿美元。LendingClub 的交易价格仅为 2022 年预计收入的三倍多一点，约为明年收益的 20 倍，考虑到该公司的增长速度，这两者都是完全合理的。</blockquote> No reason the story won't continue<blockquote>故事没有理由不继续</blockquote> There is reason to believe that higher inflation, potential rate hikes, and continued impact from COVID-19 could create some difficult market conditions in 2022.<blockquote>有理由相信，通胀上升、潜在加息以及 COVID-19 的持续影响可能会在 2022 年造成一些困难的市场状况。</blockquote> But I see no reason LendingClub can't continue to do what it has been doing. Its main use case is credit card consolidation, where it offers people with high credit card debt the ability to pay it off at a much lower annual percentage rate. Revolving debt in the U.S., which is mostly credit card debt, slacked a bit in July and August, potentially due to the delta variant. But it bounced back and grew nearly 12% in September. Total U.S. revolving debt is now at more than $1.01 trillion, providing LendingClub with plenty of opportunities to help borrowers pay it off at a cheaper rate. Additionally, non-revolving debt, which includes the installment loans that LendingClub makes, grew another 7.2% in September.<blockquote>但我认为 LendingClub 没有理由不能继续做它一直在做的事情。它的主要用例是信用卡整合，它为信用卡债务高的人提供了以低得多的年利率还清债务的能力。美国的循环债务（主要是信用卡债务）在 7 月和 8 月有所放缓，可能是由于德尔塔变异毒株。但9月份反弹并增长近12%。美国循环债务总额目前超过 1.01 万亿美元，这为 LendingClub 提供了大量机会来帮助借款人以更低的利率还清债务。此外，包括 LendingClub 提供的分期贷款在内的非循环债务在 9 月份又增长了 7.2%。</blockquote> There's no reason to think October wouldn't have been a strong month for the company, and if the omicron variant doesn't result in lockdowns, I'd expect the full fourth quarter to be solid. Despite less optimism about economic growth in 2022, it's still expected to be strong overall. Lastly, LendingClub's installment loan offering, the company's core product, has become incredibly versatile. It can serve borrowers with FICO scores ranging from 600 to 800, it has been getting more and more popular among the company's nearly 4 million members when it comes to auto refinancing, it has been used a lot for home improvement, and there is a buy-now-pay-later use case for more expensive elective surgeries. More than half of LendingClub's customers come back to the company for a second loan. This versatility, along with management's efforts to streamline the expense base, has led to lower marketing costs and the tremendous operating leverage I mentioned above.<blockquote>没有理由认为 10 月份对该公司来说不会是一个强劲的月份，如果奥密克戎变体不会导致封锁，我预计整个第四季度都会很稳健。尽管对2022年经济增长不太乐观，但预计总体仍将强劲。最后，LendingClub 的分期贷款产品（该公司的核心产品）已经变得非常通用。它可以为 FICO 分数从 600 到 800 不等的借款人提供服务，在汽车再融资方面，它在公司近 400 万会员中越来越受欢迎，它已被广泛用于家庭装修，并且有一个先买后付的用例用于更昂贵的选择性手术。LendingClub 一半以上的客户会再次向该公司申请第二笔贷款。这种多功能性，加上管理层精简费用基础的努力，导致了更低的营销成本和我上面提到的巨大运营杠杆。</blockquote> LendingClub offers growth and value<blockquote>LendingClub 提供增长和价值</blockquote> I continue to be confused by why this stock is so mispriced. The company is growing like gangbusters and the bank-fintech model is positioning LendingClub to make a lot of money and create even more value for its 4 million members down the line. LendingClub generated a nearly 35% return on average equity in Q2 and 27% in Q3. It's also retained its leading market share in the unsecured personal loan market and is automating more than 80% of loan applications, yet does not trade with the same high multiples that other comparable&nbsp;fintech&nbsp;companies do.<blockquote>我仍然不明白为什么这只股票的定价如此错误。该公司正在像黑帮杀手一样发展，银行金融科技模式正在将 LendingClub 定位为赚很多钱，并为其 400 万会员创造更多价值。LendingClub 第二季度的平均股本回报率接近 35%，第三季度为 27%。它还保持了在无担保个人贷款市场的领先市场份额，并自动化了 80% 以上的贷款申请，但交易倍数不如其他可比金融科技公司高。</blockquote> Given market conditions, I would be more concerned if LendingClub had a crazy high valuation, but it doesn't. It's trading like a value stock but has all of the characteristics of growth. Needless to say, I feel very confident holding this stock long-term and through the current market turbulence.<blockquote>考虑到市场状况，我会更担心 LendingClub 的估值是否高得离谱，但事实并非如此。它的交易类似于价值股，但具有增长的所有特征。不用说，我对长期持有这只股票并度过当前的市场动荡感到非常有信心。</blockquote>\n<div class=\"bt-text\">\n\n\n 来源：<a href=\"https://www.fool.com/investing/2021/12/02/1-growth-stock-holding-through-market-turbulence/\">Motley Fool</a>\n为提升您的阅读体验，我们对本页面进行了排版优化\n\n\n</div>\n</article>\n</div>\n</body>\n</html>\n","type":0,"thumbnail":"","relate_stocks":{},"source_url":"https://www.fool.com/investing/2021/12/02/1-growth-stock-holding-through-market-turbulence/","is_english":true,"share_image_url":"https://static.laohu8.com/e9f99090a1c2ed51c021029395664489","article_id":"1171014097","content_text":"LendingClub, which uses machine learning and data to streamline online lending specifically for unsecured personal loans, saw its stock price fall more than 27% in November. There was no obvious reason for the drop other than broader macro-economic factors such as stronger signs of inflation and recent fears about the omicron coronavirus variant.\nDespite this frustrating market sell-off, I plan to hold my LendingClub stock through this period of market turbulence. Here's why.\nImage source: Getty Images.\nThe story is right there\nAfter two spectacular quarters, it is rather shocking that investors don't see the story yet. LendingClub doesn't get nearly the same positive attention or brand recognition as popular fintech stocks like Upstart and SoFi. It might just be the most underappreciated fintech story of the year.\nEarlier this year, LendingClub closed on its acquisition of Radius Bank and the accompanying bank charter. It also transitioned to a new model where instead of selling all of its loans into the marketplace, it began retaining about 20% of those loans on its balance sheet and collecting recurring interest income. Management estimates that loans held on the balance sheet are three times more profitable than those sold to investment firms. Combined with the low-cost deposits to fund the loans put on the balance sheet, LendingClub is generating high margins.\nLesser-known is that during the pandemic, management worked hard to better rein in its expense base and improve its efficiency. This has helped create a tremendous amount of operating leverage, which is when revenue growth outpaces expense growth.\nThe result has been a completely transformed company that has produced results faster than anticipated. In March of this year, management projected that the company might lose upwards of $200 million for the full year. But after achieving profitability in the second quarter, surpassing everyone's expectations, things have changed quite a bit. LendingClub now projects to generate about $800 million of revenue on more than $10 billion of loan originations for a full-year profit of between $10 million and $15 million.\nLendingClub is now generating similar loan originations, revenue, and profitability as fintech companies like SoFi and Upstart, yet the market continues to give it a $3.5 billion market cap, compared to SoFi at about $15 billion and Upstart at $17.4 billion. LendingClub only trades at just over three times 2022 projected revenue and about 20 times to next year's earnings, both completely reasonable for how fast the company is growing.\nNo reason the story won't continue\nThere is reason to believe that higher inflation, potential rate hikes, and continued impact from COVID-19 could create some difficult market conditions in 2022.\nBut I see no reason LendingClub can't continue to do what it has been doing. Its main use case is credit card consolidation, where it offers people with high credit card debt the ability to pay it off at a much lower annual percentage rate. Revolving debt in the U.S., which is mostly credit card debt, slacked a bit in July and August, potentially due to the delta variant. But it bounced back and grew nearly 12% in September. Total U.S. revolving debt is now at more than $1.01 trillion, providing LendingClub with plenty of opportunities to help borrowers pay it off at a cheaper rate. Additionally, non-revolving debt, which includes the installment loans that LendingClub makes, grew another 7.2% in September.\nThere's no reason to think October wouldn't have been a strong month for the company, and if the omicron variant doesn't result in lockdowns, I'd expect the full fourth quarter to be solid. Despite less optimism about economic growth in 2022, it's still expected to be strong overall. Lastly, LendingClub's installment loan offering, the company's core product, has become incredibly versatile. It can serve borrowers with FICO scores ranging from 600 to 800, it has been getting more and more popular among the company's nearly 4 million members when it comes to auto refinancing, it has been used a lot for home improvement, and there is a buy-now-pay-later use case for more expensive elective surgeries. More than half of LendingClub's customers come back to the company for a second loan. This versatility, along with management's efforts to streamline the expense base, has led to lower marketing costs and the tremendous operating leverage I mentioned above.\nLendingClub offers growth and value\nI continue to be confused by why this stock is so mispriced. The company is growing like gangbusters and the bank-fintech model is positioning LendingClub to make a lot of money and create even more value for its 4 million members down the line. LendingClub generated a nearly 35% return on average equity in Q2 and 27% in Q3. It's also retained its leading market share in the unsecured personal loan market and is automating more than 80% of loan applications, yet does not trade with the same high multiples that other comparable fintech companies do.\nGiven market conditions, I would be more concerned if LendingClub had a crazy high valuation, but it doesn't. It's trading like a value stock but has all of the characteristics of growth. Needless to say, I feel very confident holding this stock long-term and through the current market turbulence.","news_type":1,"symbols_score_info":{"LC":0.9}},"isVote":1,"tweetType":1,"viewCount":1178,"commentLimit":10,"likeStatus":false,"favoriteStatus":false,"reportStatus":false,"symbols":[],"verified":2,"subType":0,"readableState":1,"langContent":"CN","currentLanguage":"CN","warmUpFlag":false,"orderFlag":false,"shareable":true,"causeOfNotShareable":"","featuresForAnalytics":[],"commentAndTweetFlag":false,"andRepostAutoSelectedFlag":false,"upFlag":false,"length":6,"subscribersOnly":false,"subscribersOnlyAccessible":false,"xxTargetLangEnum":"ZH_CN"},"commentList":[],"isCommentEnd":true,"isTiger":false,"isWeiXinMini":false,"url":"/m/post/601680623"}