Lending Club crashes 22% after cutting guidance

source
MI

    Lending Club, the San Francisco-based peer-to-peer online lender, crashed more than 20% in pre-market trading Wednesday to $4.27 a share. The company posted earnings of $0.03 per share as revenue surged 34% year-over-year to $154 million. The company expects a net loss in the range of $3 to $7 million for Q4 and revenue of between $158 million and $163 million. Tech lending companies like LendingClub have struggled to churn a profit despite gaining market share from traditional lenders in some areas. According to TransUnion, fintechs make up 32% of all personal loans in the US, up from 1% in 2010.