LexinFintech (NASDAQ:LX) Shares Gap Down – Time to Sell?

LexinFintech Holdings Ltd. Sponsored ADR (NASDAQ:LX)’s stock price gapped down prior to trading on Wednesday . The stock had previously closed at $3.96, but opened at $3.65. LexinFintech shares last traded at $3.6530, with a volume of 1,670,691 shares changing hands.

Analyst Upgrades and Downgrades

Several analysts have commented on the stock. Wall Street Zen lowered shares of LexinFintech from a “buy” rating to a “hold” rating in a research report on Saturday. Weiss Ratings restated a “hold (c+)” rating on shares of LexinFintech in a research note on Wednesday, October 8th. Two investment analysts have rated the stock with a Buy rating and one has assigned a Hold rating to the stock. Based on data from MarketBeat, the company presently has an average rating of “Moderate Buy” and a consensus target price of $13.60.

LexinFintech Stock Performance

The company has a debt-to-equity ratio of 0.11, a current ratio of 1.89 and a quick ratio of 1.88. The company has a market cap of $613.31 million, a price-to-earnings ratio of 2.86 and a beta of 0.51. The firm has a 50 day simple moving average of $5.03 and a 200-day simple moving average of $6.37.

LexinFintech announced that its Board of Directors has initiated a stock repurchase plan on Thursday, July 24th that authorizes the company to repurchase $0.00 in outstanding shares. This repurchase authorization authorizes the company to repurchase shares of its stock through open market purchases. Stock repurchase plans are usually an indication that the company’s management believes its shares are undervalued.

Institutional Investors Weigh In On LexinFintech

Hedge funds and other institutional investors have recently made changes to their positions in the business. Allianz Asset Management GmbH purchased a new stake in shares of LexinFintech in the first quarter valued at about $4,455,000. CloudAlpha Capital Management Limited Hong Kong acquired a new stake in shares of LexinFintech in the 1st quarter worth approximately $3,016,000. Bayforest Capital Ltd acquired a new position in shares of LexinFintech during the 1st quarter worth $278,000. Vanguard Group Inc. acquired a new stake in shares of LexinFintech in the first quarter valued at approximately $44,048,000. Finally, Mitsubishi UFJ Asset Management Co. Ltd. increased its position in LexinFintech by 11.2% during the first quarter. Mitsubishi UFJ Asset Management Co. Ltd. now owns 46,206 shares of the company’s stock worth $466,000 after buying an additional 4,639 shares in the last quarter.

LexinFintech Company Profile

LexinFintech Holdings Ltd., through its subsidiaries, provides online consumer finance services in the People's Republic of China. The company operates Fenqile.com, an online consumption and consumer finance platform that offers installment purchase and personal installment loans, as well as online direct sales with installment payment terms; and Le Hua Card, a scenario-based lending.