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LendingClub (NYSE:LC) Asset Turnover

: 0.03 (As of Jun. 2023)
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Asset Turnover measures how quickly a company turns over its asset through sales. It is calculated as Revenue divided by Total Assets. LendingClub's Revenue for the three months ended in Jun. 2023 was $230 Mil. LendingClub's Total Assets for the quarter that ended in Jun. 2023 was $8,548 Mil. Therefore, LendingClub's Asset Turnover for the quarter that ended in Jun. 2023 was 0.03.

Asset Turnover is linked to ROE % through Du Pont Formula. LendingClub's annualized ROE % for the quarter that ended in Jun. 2023 was 3.38%. It is also linked to ROA % through Du Pont Formula. LendingClub's annualized ROA % for the quarter that ended in Jun. 2023 was 0.47%.


LendingClub Asset Turnover Historical Data

The historical data trend for LendingClub's Asset Turnover can be seen below:

* For Operating Data section: All numbers are indicated by the unit behind each term and all currency related amount are in USD.
* For other sections: All numbers are in millions except for per share data, ratio, and percentage. All currency related amount are indicated in the company's associated stock exchange currency.

* Premium members only.

LendingClub Annual Data
Trend Dec13 Dec14 Dec15 Dec16 Dec17 Dec18 Dec19 Dec20 Dec21 Dec22
Asset Turnover
Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only 0.14 0.22 0.13 0.24 0.18

LendingClub Quarterly Data
Sep18 Dec18 Mar19 Jun19 Sep19 Dec19 Mar20 Jun20 Sep20 Dec20 Mar21 Jun21 Sep21 Dec21 Mar22 Jun22 Sep22 Dec22 Mar23 Jun23
Asset Turnover Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only 0.06 0.05 0.04 0.03 0.03

Competitive Comparison

For the Credit Services subindustry, LendingClub's Asset Turnover, along with its competitors' market caps and Asset Turnover data, can be viewed below:

* Competitive companies are chosen from companies within the same industry, with headquarter located in same country, with closest market capitalization; x-axis shows the market cap, and y-axis shows the term value; the bigger the dot, the larger the market cap. Note that "N/A" values will not show up in the chart.

   

LendingClub Asset Turnover Distribution

For the Credit Services industry and Financial Services sector, LendingClub's Asset Turnover distribution charts can be found below:

* The bar in red indicates where LendingClub's Asset Turnover falls in comparison to its industry or sector. The grey bar indicates the Asset Turnover's extreme value range as defined by GuruFocus.



LendingClub Asset Turnover Calculation

Asset Turnover measures how quickly a company turns over its asset through sales.

LendingClub's Asset Turnover for the fiscal year that ended in Dec. 2022 is calculated as

Asset Turnover
=Revenue/Average Total Assets
=Revenue (A: Dec. 2022 )/( (Total Assets (A: Dec. 2021 )+Total Assets (A: Dec. 2022 ))/ count )
=1166.544/( (4900.319+7979.747)/ 2 )
=1166.544/6440.033
=0.18

LendingClub's Asset Turnover for the quarter that ended in Jun. 2023 is calculated as

Asset Turnover
=Revenue/Average Total Assets
=Revenue (Q: Jun. 2023 )/( (Total Assets (Q: Mar. 2023 )+Total Assets (Q: Jun. 2023 ))/ count )
=229.99/( (8754.018+8342.506)/ 2 )
=229.99/8548.262
=0.03

* For Operating Data section: All numbers are indicated by the unit behind each term and all currency related amount are in USD.
* For other sections: All numbers are in millions except for per share data, ratio, and percentage. All currency related amount are indicated in the company's associated stock exchange currency.

Companies with low profit margins tend to have high Asset Turnover, while those with high profit margins have low Asset Turnover. Companies in the retail industry tend to have a very high turnover ratio.


LendingClub  (NYSE:LC) Asset Turnover Explanation

Asset Turnover is linked to ROE % through Du Pont Formula.

LendingClub's annulized ROE % for the quarter that ended in Jun. 2023 is

ROE %**(Q: Jun. 2023 )
=Net Income/Total Stockholders Equity
=40.44/1198.1325
=(Net Income / Revenue)*(Revenue / Total Assets)*(Total Assets / Total Stockholders Equity)
=(40.44 / 919.96)*(919.96 / 8548.262)*(8548.262/ 1198.1325)
=Net Margin %*Asset Turnover*Equity Multiplier
=4.4 %*0.1076*7.1347
=ROA %*Equity Multiplier
=0.47 %*7.1347
=3.38 %

Note: The Net Income data used here is four times the quarterly (Jun. 2023) net income data. The Revenue data used here is four times the quarterly (Jun. 2023) revenue data.

* For Operating Data section: All numbers are indicated by the unit behind each term and all currency related amount are in USD.
* For other sections: All numbers are in millions except for per share data, ratio, and percentage. All currency related amount are indicated in the company's associated stock exchange currency.

** The ROE % used above is for Du Pont Analysis only. It is different from the defined ROE % page on our website, as here it uses Net Income instead of Net Income attributable to Common Stockholders in the calculation.

It is also linked to ROA % through Du Pont Formula:

LendingClub's annulized ROA % for the quarter that ended in Jun. 2023 is

ROA %(Q: Jun. 2023 )
=Net Income/Total Assets
=40.44/8548.262
=(Net Income / Revenue)*(Revenue / Total Assets)
=(40.44 / 919.96)*(919.96 / 8548.262)
=Net Margin %*Asset Turnover
=4.4 %*0.1076
=0.47 %

Note: The Net Income data used here is four times the quarterly (Jun. 2023) net income data. The Revenue data used here is four times the quarterly (Jun. 2023) revenue data.

* For Operating Data section: All numbers are indicated by the unit behind each term and all currency related amount are in USD.
* For other sections: All numbers are in millions except for per share data, ratio, and percentage. All currency related amount are indicated in the company's associated stock exchange currency.


Be Aware

In the article Joining The Dark Side: Pirates, Spies and Short Sellers, James Montier reported that In their US sample covering the period 1968-2003, Cooper et al find that firms with low asset growth outperformed firms with high asset growth by an astounding 20% p.a. equally weighted. Even when controlling for market, size and style, low asset growth firms outperformed high asset growth firms by 13% p.a. Therefore a company with fast asset growth may underperform.

Therefore, it is a good sign if a company's Asset Turnover is consistent or even increases. If a company's asset grows faster than sales, its Asset Turnover will decline, which can be a warning sign.


LendingClub Asset Turnover Related Terms

Thank you for viewing the detailed overview of LendingClub's Asset Turnover provided by GuruFocus.com. Please click on the following links to see related term pages.


LendingClub (NYSE:LC) Business Description

LendingClub logo
Traded in Other Exchanges
Address
595 Market Street, Suite 200, San Francisco, CA, USA, 94105
LendingClub Corp is a company engaged in operating an online lending marketplace platform that connects borrowers and investors for the provision of the loan facility. It offers investors access to an asset class that has generally been closed to many investors and only available on a limited basis to institutional investors. The company through the platform offers loan products such as personal, education and patient finance, small business, and auto to interested investors. It generates a majority of the revenue from the transaction fees received from the platform's role in accepting and decisioning applications on behalf of the bank partners to enable loan originations.
Executives
Janey Whiteside director C/O LENDINGCLUB CORPORATION, 595 MARKET ST., #200, SAN FRANCISCO CA 94105
Stephen M Cutler director JPMORGAN CHASE & CO., 270 PARK AVENUE, NEW YORK NY 10017
Andrew Labenne officer: Chief Financial Officer C/O BAKKT HOLDINGS, INC., 5500 WINDWARD PKWY., SUITE 450, ALPHARETTE GA 30005
Kathryn Reimann director C/O LENDINGCLUB CORPORATION, 595 MARKET ST., #200, SAN FRANCISCO CA 94105
Syed Faiz Ahmad director 7601 SOUTHWEST PARKWAY, AUSTIN TX 78735
Adrienne Harris director 150 NORTH RIVERSIDE PLAZA, SUITE 5200, CHICAGO IL 60606
Allan R Landon director 130 MERCHANT ST 22ND FLR, HONOLULU HI 96813
Erin Selleck director C/O BROADWAY FINANCIAL CORPORATION, 5055 WILSHIRE BLVD. SUITE 500, LOS ANGELES CA 90036
Annie Armstrong officer: Chief Risk Officer C/O LENDINGCLUB CORPORATION, 595 MARKET ST. #200, SAN FRANCISCO CA 94105
Shanda Global Investment Ltd 10 percent owner 303 TWIN DOLPHIN DRIVE, #6054, REDWOOD CITY CA 94065
Michael P Zeisser director
Brandon Pace officer: General Counsel and Secretary C/O LENDINGCLUB CORPORATION, 595 MARKET ST, SUITE 200, SAN FRANCISCO CA 94105
Ronnie Momen officer: Chief Lending Officer C/O LENDINGCLUB CORPORATION, SAN FRANCISCO CA 94105
Valerie Kay officer: Chief Capital Officer C/O LENDINGCLUB CORPORATION, 71 STEVENSON ST, SUITE 1000, SAN FRANCISCO CA 94105
Bahman Koohestani officer: Chief Technology Officer 500 W. MADISON STREET, #1000, CHICAGO IL 60661