Investors Could Double Their Money From Lexinfintech. Here's How.
LexinFintech Holdings (NASDAQ: LX), a leading fintech company in China, has seen its share price decline 47% from its January peak this year. The negative sentiments and lack of understanding toward China's fintech industry, as well as the recent COVID-19 outbreak, drove the company to trade below five times earnings. Nevertheless, there are good reasons to think that these negative factors are temporary, and that the company's stock could at least double from its current level.
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Lexinfintech is an online consumer lending platform targeting educated young professionals in China. It provides customers with a credit line -- financed by its funding partners -- which they can use to shop on its e-commerce platform, Fenqile. Customers can also connect Le Hua Card -- a virtual credit card that they automatically receive together with the credit line -- to their preferred payment providers like Alipay, WeChat Pay, and UnionPay to make purchases outside of Fenqile platform. They can then pay back their loans, together with interest and other processing fees, in installments of one to 36 months.
Source Fool.com
