Is LendingClub Corp. overvalued or undervalued?

As of 31 October 2025, LendingClub Corp. has moved from an attractive to a very attractive valuation grade. The company appears to be undervalued, particularly when considering its P/E ratio of 24, which is lower than the peer average of approximately 25.58, and its PEG ratio of 0.75, indicating potential for growth relative to its price. Additionally, LendingClub's EV to EBITDA ratio stands at 0.83, which is favorable compared to peers like U-Haul Holding Co. with an EV to EBITDA of 11.00 and H&E Equipment Services at 7.74.
In terms of performance, LendingClub has outperformed the S&P 500 over multiple periods, notably with a 5-year return of 231.34% compared to the S&P 500's 109.18%. This strong performance reinforces the notion that the stock is undervalued relative to its growth potential and market performance.