WallStSmart

Itau Unibanco Banco Holding SA (ITUB)vsLendingClub Corp (LC)

VS

Smart Verdict

WallStSmart Research — data-driven comparison

Itau Unibanco Banco Holding SA generates 10310% more annual revenue ($138.95B vs $1.33B). ITUB leads profitability with a 32.3% profit margin vs 10.2%. ITUB trades at a lower P/E of 10.2x. ITUB earns a higher WallStSmart Score of 76/100 (B+).

ITUB

Strong Buy

76

out of 100

Grade: B+

Growth: 6.0Profit: 8.0Value: 8.0Quality: 5.0

LC

Buy

60

out of 100

Grade: C+

Growth: 4.7Profit: 5.5Value: 8.3Quality: 5.3
Piotroski: 4/9
IV

Intrinsic Value Comparison

Multi-model valuation · Graham Formula

ITUBOvervalued (-10.1%)

Margin of Safety

-10.1%

Fair Value

$8.69

Current Price

$8.21

$0.48 premium

UndervaluedFair: $8.69Overvalued
LCUndervalued (+69.2%)

Margin of Safety

+69.2%

Fair Value

$54.29

Current Price

$14.54

$39.75 discount

UndervaluedFair: $54.29Overvalued

Key Strengths & Concerns

Side-by-side fundamental analysis

Key Strengths

ITUB6 strengths · Avg: 9.7/10
P/E RatioValuation
10.2x10/10

Attractively priced relative to earnings

Profit MarginProfitability
32.3%10/10

Keeps 32 of every $100 in revenue as profit

Operating MarginProfitability
37.3%10/10

Strong operational efficiency at 37.3%

Free Cash FlowQuality
$45.01B10/10

Generating 45.0B in free cash flow

Market CapQuality
$86.41B9/10

Large-cap with strong market position

Return on EquityProfitability
21.0%9/10

Every $100 of equity generates 21 in profit

LC2 strengths · Avg: 9.0/10
Price/BookValuation
1.1x10/10

Reasonable price relative to book value

P/E RatioValuation
12.6x8/10

Attractively priced relative to earnings

Areas to Watch

ITUB1 concerns · Avg: 4.0/10
EPS GrowthGrowth
2.8%4/10

2.8% earnings growth

LC3 concerns · Avg: 3.0/10
EPS GrowthGrowth
3.3%4/10

3.3% earnings growth

Market CapQuality
$1.68B3/10

Smaller company, higher risk/reward

Free Cash FlowQuality
$-919.35M2/10

Negative free cash flow — burning cash

Comparative Analysis Report

WallStSmart Research

Bull Case : ITUB

The strongest argument for ITUB centers on P/E Ratio, Profit Margin, Operating Margin. Profitability is solid with margins at 32.3% and operating margin at 37.3%. Revenue growth of 11.0% demonstrates continued momentum.

Bull Case : LC

The strongest argument for LC centers on Price/Book, P/E Ratio. Revenue growth of 12.2% demonstrates continued momentum.

Bear Case : ITUB

The primary concerns for ITUB are EPS Growth.

Bear Case : LC

The primary concerns for LC are EPS Growth, Market Cap, Free Cash Flow.

Key Dynamics to Monitor

ITUB profiles as a mature stock while LC is a value play — different risk/reward profiles.

LC carries more volatility with a beta of 1.99 — expect wider price swings.

LC is growing revenue faster at 12.2% — sustainability is the question.

ITUB generates stronger free cash flow (45.0B), providing more financial flexibility.

Bottom Line

ITUB scores higher overall (76/100 vs 60/100), backed by strong 32.3% margins and 11.0% revenue growth. LC offers better value entry with a 69.2% margin of safety. Both earn "Strong Buy" and "Buy" ratings respectively — the choice depends on your investment horizon and risk tolerance.

This analysis is generated from publicly available financial data. Not financial advice.

Itau Unibanco Banco Holding SA

FINANCIAL SERVICES · BANKS - REGIONAL · USA

Ita Unibanco Holding SA offers a range of financial products and services in Brazil and internationally. The company is headquartered in So Paulo, Brazil.

LendingClub Corp

FINANCIAL SERVICES · BANKS - REGIONAL · USA

LendingClub Corporation, is a banking holding company for LendingClub Bank, a National Association that offers a range of financial products and services through a technology-driven platform in the United States. The company is headquartered in San Francisco, California.

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