LendingClub's $10B rise reshapes fintech lending with bold loan targets
LendingClub has seen rapid growth in recent years, establishing itself as a major player in the fintech lending sector. The company's market value has surged from around $3 billion in 2021 to over $10 billion by 2026, outpacing competitors like SoFi. Analysts now project further gains, with earnings expected to climb significantly in the coming years.
The company's expansion began in earnest after its 2021 acquisition of Meridian Intermediary Bank. This move allowed LendingClub to operate as both a lender and a bank, strengthening its position in personal loans—particularly for credit card debt consolidation. More recently, it has started offering home improvement loans to broaden its services.
Financial performance has improved steadily. Earnings per share jumped from $0.45 in 2024 to $1.15 in 2025, with management forecasting between $1.65 and $1.80 for 2026. The firm also adjusted its accounting practices to simplify reporting and better match revenue with loss recognition.
Valuation metrics highlight LendingClub's relative affordability. Its stock trades at under 10 times forward earnings and 1.8 times forward revenue, well below SoFi's multiples of 34 times earnings and nearly 10 times sales. Looking ahead, management targets loan originations of $18 billion to $22 billion and aims for returns on tangible equity between 18% and 20%.
Yet risks remain. A potential recession, rising interest rates, or instability in private credit could pressure the personal lending market. SoFi, despite its higher valuation, has seen a 37% share price increase over the past year, reflecting strong investor interest in the sector.
Analysts now predict LendingClub's earnings per share could reach $2.40 by 2027. If the stock maintains its current earnings multiple, this would imply a share price of around $24—nearly double its 2026 levels.
LendingClub's growth trajectory has positioned it as a leading fintech lender with banking capabilities. With ambitious loan targets and improving profitability, the company continues to attract attention. However, broader economic challenges could still impact its performance in the years ahead.
