Citizens has maintained a Market Outperform rating on LendingClub (NYSE: LC) and kept a $23.00 price target, according to a recent analyst note. The firm said it is retaining a positive stance on the financial technology company in the wake of LendingClub's fourth-quarter results and the 2026 guidance the company issued on Wednesday.
Shares of LendingClub moved sharply following the earnings release, initially falling 16% on Thursday and later reclaiming about 3% of that decline, the note said. Citizens analyst David Scharf suggested some of the downside reflected investor assumptions about the fair value mark LendingClub would apply to its loan book. Specifically, Scharf indicated that some market participants were expecting the company to mark its portfolio at a significant premium to par, which was not realized.
Citizens described the recent share-price weakness as "a particularly attractive buying opportunity for investors." The firm added that it is updating its financial model to incorporate the quarter's results along with additional information obtained during follow-up discussions with LendingClub management.
In its fourth-quarter 2025 report, LendingClub posted earnings per share of $0.35, narrowly exceeding the analyst consensus expectation of $0.34. Revenue for the quarter came in at $266.5 million, above the forecasted $262.64 million. While those topline and EPS figures beat the specific forecasts cited, the company nonetheless missed estimates compiled by Piper Sandler and by consensus due primarily to higher expenses, a shortfall that was partially offset by stronger-than-expected revenue.
Following the results, Piper Sandler reiterated an Overweight rating and set a $23.00 price target on LendingClub. Citizens likewise kept its Market Outperform rating and $23.00 target, pointing to what it characterized as a stable credit outlook, accelerating originations, expansions in product offerings, and rising demand for marketplace loans. Citizens noted that these themes were highlighted at LendingClub's November Investor Day and were restated on the recent earnings call.
While both brokerages preserved favorable ratings and matching $23.00 targets, the market reaction to the quarterly report and the company's updated guidance produced notable intraday volatility. Citizens is revising its model and will weigh the management insights collected after the report as it refines its view on LendingClub's outlook.