LendingClub Downgraded On Risk Management, Stock Tanks

LendingClub has been pumped up and expectations are the stock price is getting ahead of reality, indicates a new analyst call. Such is the general message behind a Sterne Agee downgrade of LendingClub. The firm announced today it was initiating a underperform rating with a $17.75 price target. In early morning trade LendingClub is trading at $21.37, down nearly 7 percent on the day. Lending Club’s risk management A key point made in the analysis by Henry J. Coffey, Matthew Kelley, Jason P. Weaver and Calvin Hotrum is the LendingClub model worked great during a positive market environment. However, the company’s…