$LendingClub (LC.US)$In the past 5 years, in addition to a s...

The company's revenue mainly comes from commission income. Interest income is about 70% of commission income. Credit loss reserves have been increasing year by year in the past two years, and sales and management expenses have also increased rapidly. Fortunately, the revenue growth rate is enough to offset this increase in expenses.

The balance ratio has increased from 77.2% to 85.4% over the past 5 years. The assets are mainly cash and loans, and goodwill can rarely be ignored. The liabilities are mainly customer deposits, and there are very few loans. Looking at it this way, the business logic is to take advantage of high-interest savings, usury loans, and earn profits in the form of interest and commissions.

Net assets of 1.16 billion, customer deposits of 6.4 billion dollars, and net loan amount of 5.8 billion dollars. It seems quite safe.

The current price-earnings ratio is 3.2 and the net price-earnings ratio is 0.82. Considering the current environment of interest rate hikes, you can choose carefully (⭐️)