DCF Tool

LC

LendingClub Corp – Credit Card Issuing
LendingClub Corporation is the parent company of LendingClub Bank, National Association, Member FDIC. It is the first digital marketplace bank in the US. Members can gain access to a broad range of financial products and services through a technology-driven platform, designed to help them pay less when borrowing and earn more when saving. Since 2007, more than 3 million members have joined the Club to help reach their financial goals.
Analysis Results
Intrinsic Value $0.50
Latest Price $15.23
Relative Value 2942% overvalued
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Cash Flow (Millions)
Analysis Parameters
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Analysis Details
Growth Rate Projection

An exponential growth model was fit to the past cash flow data, giving more weight to more recent years. This model determined a growth rate estimate of -10.6%.

Weighted Average Cost of Capital (WACC)

The calculated WACC is 14.8%. This value is used as the default discount rate.

Value of Future Flows

Assuming a growth rate of -10.6%, the cash flows for the next 5 years are projected.

The present value of each year's flow is adjusted to present value using the discount rate.

Year Future flow (million) Present value (million)
2022 10.3 9.01
2023 9.24 7.01
2024 8.26 5.46
2025 7.38 4.25
2026 6.6 3.31
Terminal Value

Assuming a growth rate after the projection years of 2.0%, the terminal value of the company would be 52.5 million. This corresponds to a present value of 22.9 million.

Intrinsic Value Per Share

The total present value of the projected cash flows is 29.0 million. Adding in the terminal value gives a total present value of 51.9 million.

There are presently 104.0 million outstanding shares, so the intrinsic value per share is 0.5.

Financial Statements

The following data was to determine the past cash flows.

Current Assets 4,424,060,000
Current Cash 0
Current Liabilities 3,869,285,000
Current Debt 0
Non-Cash Working Capital (NCWC) 554,775,000
Change in NCWC -30,214,000
EBIT 18,444,000
Tax Provision -136,000
Depreciation and Amortization 5,575,000
Capital Expenditure -34,413,000
Unlevered Free Cash Flow -40,608,000
Current Assets 1,619,431,000
Current Cash 0
Current Liabilities 1,034,442,000
Current Debt 0
Non-Cash Working Capital (NCWC) 584,989,000
Change in NCWC -112,770,000
EBIT -187,617,000
Tax Provision -79,000
Depreciation and Amortization 54,029,000
Capital Expenditure -31,147,000
Unlevered Free Cash Flow -277,505,000
Current Assets 2,659,874,000
Current Cash 0
Current Liabilities 1,962,115,000
Current Debt 0
Non-Cash Working Capital (NCWC) 697,759,000
Change in NCWC 23,151,000
EBIT -30,891,000
Tax Provision -201,000
Depreciation and Amortization 59,152,000
Capital Expenditure -50,668,000
Unlevered Free Cash Flow 744,000
Current Assets 3,618,846,000
Current Cash 0
Current Liabilities 2,944,238,000
Current Debt 0
Non-Cash Working Capital (NCWC) 674,608,000
Change in NCWC -55,295,000
EBIT -56,977,000
Tax Provision 43,000
Depreciation and Amortization 54,764,000
Capital Expenditure -52,976,000
Unlevered Free Cash Flow -110,484,000
Current Assets 4,440,186,000
Current Cash 0
Current Liabilities 3,710,283,000
Current Debt 0
Non-Cash Working Capital (NCWC) 729,903,000
Change in NCWC -73,851,000
EBIT -76,163,000
Tax Provision 632,000
Depreciation and Amortization 46,208,000
Capital Expenditure -44,615,000
Unlevered Free Cash Flow -148,421,000
Current Assets 5,389,290,000
Current Cash 0
Current Liabilities 4,585,536,000
Current Debt 0
Non-Cash Working Capital (NCWC) 803,754,000
Change in NCWC -72,560,000
EBIT -113,147,000
Tax Provision -4,228,000
Depreciation and Amortization 29,882,000
Capital Expenditure -51,842,000
Unlevered Free Cash Flow -207,667,000
Current Assets 5,623,134,000
Current Cash 0
Current Liabilities 4,746,820,000
Current Debt 0
Non-Cash Working Capital (NCWC) 876,314,000
Change in NCWC 38,897,000
EBIT -2,162,000
Tax Provision 2,833,000
Depreciation and Amortization 21,578,000
Capital Expenditure -39,387,000
Unlevered Free Cash Flow 18,926,000
Current Assets 3,751,835,000
Current Cash 0
Current Liabilities 2,914,418,000
Current Debt 0
Non-Cash Working Capital (NCWC) 837,417,000
Change in NCWC 782,802,000
EBIT -31,504,000
Tax Provision 1,390,000
Depreciation and Amortization 10,258,000
Capital Expenditure -20,572,000
Unlevered Free Cash Flow 740,984,000
Current Assets 1,929,677,000
Current Cash 0
Current Liabilities 1,875,062,000
Current Debt 0
Non-Cash Working Capital (NCWC) 54,615,000
Change in NCWC 19,505,878
EBIT 7,308,000
Tax Provision 0
Depreciation and Amortization 1,663,000
Capital Expenditure -10,435,000
Unlevered Free Cash Flow 18,041,878
Current Assets 402,101,920
Current Cash 0
Current Liabilities 366,992,798
Current Debt 0
Non-Cash Working Capital (NCWC) 35,109,122
Change in NCWC 19,891,696
EBIT -11,944,049
Tax Provision 0
Depreciation and Amortization 149,906
Capital Expenditure -383,501
Unlevered Free Cash Flow 7,714,052

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