Investment Rating - The report maintains a **Buy** rating for LexinFintech Holdings (LX US) with a target price of **$2.40**, representing a potential upside of **38.7%** from the current price of **$1.73** [1][2] Core Views - **Revenue Take Rate Improvement**: LexinFintech's revenue take rate increased significantly, reaching **2.91%** in Q2 2024, up **37 bps YoY** and **54 bps QoQ**, driven by lower financing costs, improved asset quality of new loans, and optimized prepayment conditions [1] - **Profitability Trends**: Despite a **36% YoY decline** in GAAP net profit in Q2 2024, the company saw a **12% QoQ growth** in net profit, with revenue increasing **19% YoY** and **12% QoQ** [1] - **Asset Quality Pressure**: The 90-day delinquency rate rose to **3.7%** in Q2 2024, up **70 bps QoQ**, but leading indicators such as the 30-day recovery rate showed slight improvement, suggesting a potential recovery trend in H2 2024 [1] - **Loan Volume Decline**: Facilitated loan volume decreased **20% YoY** and **12% QoQ** in Q2 2024, with the loan balance growing only **0.9% YoY** and declining **5% QoQ** [1] - **International Expansion**: The company's business in Mexico showed strong growth, although the overall scale remains small [1] Financial Forecast Updates - **Facilitated Loan Volume**: Forecasts for 2024E, 2025E, and 2026E were revised downward by **-5.4%**, **-5.4%**, and **-6.3%**, respectively, reflecting a more conservative outlook on loan growth [2][8] - **Net Take Rate**: The net take rate for 2024E, 2025E, and 2026E was adjusted downward by **-0.20ppt**, **-0.21ppt**, and **-0.28ppt**, respectively, due to lower expected profitability [2][8] - **Net Income and Profit**: Net income forecasts for 2024E, 2025E, and 2026E were revised upward by **12.5%**, **9.9%**, and **9.2%**, respectively, while net profit forecasts were lowered by **-12.6%**, **-18.3%**, and **-22.2%** [2][8] - **ROAE**: The return on average equity (ROAE) for 2024E, 2025E, and 2026E was revised downward by **-1.3ppts**, **-2.0ppts**, and **-2.5ppts**, respectively [2][8] Business and Financial Performance - **Loan Balance**: The loan balance grew **0.9% YoY** in Q2 2024 but declined **5% QoQ**, reflecting a slowdown in loan origination [1][5] - **Revenue Growth**: Q2 2024 revenue increased **19% YoY** and **12% QoQ**, driven by higher take rates and improved asset quality [1][5] - **Profit Margins**: The company's GAAP net profit margin declined **36% YoY** but improved **12% QoQ**, indicating a potential recovery in profitability [1][5] - **Dividend Policy**: LexinFintech announced an interim dividend of **$0.072 per ADS**, representing a **20% payout ratio** [1] Industry and Peer Comparison - **Peer Ratings**: The report covers several financial technology and insurance companies, with most receiving a **Buy** rating, including QFIN US, FINV US, and LX US [9] - **Target Price Upside**: Among peers, LexinFintech has a **38.7% potential upside**, which is competitive compared to other financial technology companies like QFIN US (**9.0% upside**) and FINV US (**19.8% upside**) [9]

J Studios/DigitalVision via Getty Images LexinFintech Holdings Ltd. (NASDAQ:LX) stock is still assigned a Hold rating. LX's Q2 loan origination was weaker than the company's prior guidance, and the chances of a meaningful improvement in LexinFintech's near-term financial performance are low. On the flip side, there are positives pertaining to LX's long-term outlook. The company is deriving a growing proportion of its top line and loans from asset-light businesses and non-China operations, respectively, ...

Exhibit 99.1 LexinFintech Holdings Ltd. Reports Second Quarter 2024 Unaudited Financial Results SHENZHEN, China, August 27, 2024 (GLOBE NEWSWIRE) -- LexinFintech Holdings Ltd. ("Lexin" or the "Company") (NASDAQ: LX), a leading technology-empowered personal financial service enabler in China, today announced its unaudited financial results for the quarter ended June 30, 2024. "We harvested a healthy set of operational and financial results with improved risk performance for new loans, uplifted net profit fro ...

LexinFintech Holdings Ltd. (NASDAQ:LX) Q2 2024 Earnings Conference Call August 27, 2024 10:00 PM ET Company Participants Mandy Dong - Head, Investor Relations Jay Xiao - Chief Executive Officer Arvin Qiao - Chief Risk Officer James Zheng - Chief Financial Officer Conference Call Participants Yada Li - CICC Zoe Zou - CLSA Alex Ye - UBS Operator Good day, and thank you for standing by. Welcome to the LexinFintech Second Quarter 2024 Earnings Conference Call. At this time, all participants are in a listen-only ...

SHENZHEN, China, Aug. 27, 2024 (GLOBE NEWSWIRE) -- LexinFintech Holdings Ltd. (“Lexin” or the “Company”) (NASDAQ: LX), a leading technology-empowered personal financial service enabler in China, today announced its unaudited financial results for the quarter ended June 30, 2024. "We harvested a healthy set of operational and financial results with improved risk performance for new loans, uplifted net profit from the first quarter of 2024, and controlled loan origination in the second quarter of 2024," said ...

SHENZHEN, China, Aug. 19, 2024 (GLOBE NEWSWIRE) -- LexinFintech Holdings Ltd. (“Lexin” or the “Company”) (NASDAQ: LX), a leading credit technology-empowered consumer financial service enabler in China, today announced that it will report its unaudited financial results for the second quarter ended June 30, 2024, after the U.S. market closes on Tuesday, August 27, 2024. The Company’s management will host an earnings conference call at 10:00 PM U.S. Eastern time on August 27, 2024 (10:00 AM Beijing/Hong Kong ...

Investor Presentation First Quarter 2024 Results Disclaimer This presentation has been prepared by LexinFintechHoldings Ltd (the “Company”) pursuant to Section 5(d) of the U.S. Securities Act of 1933, as amended (the “Securities Act”) solely for informational purposes and is not an offer to buy or sell or a solicitation of an offer to buy or sell any security or instrument or to participate in any investmentactivity or trading strategy, nor may it or any part of it form the basis of or be relied on in conne ...

LexinFintech Holdings Ltd. (NASDAQ:LX) Q1 2024 Results Conference Call May 23, 2024 10:00 PM ET Company Participants Mandy Dong - Director, Investor Relations Jay Xiao - Founder, Chairman, and Chief Executive Officer Arvin Qiao - Chief Risk Officer James Zheng - Chief Financial Officer Conference Call Participants Frank Zheng - UBS Yada Li - CICC Zoe Zou - CLSA Operator Good day, and thank you for standing by. Welcome to LexinFintech First Quarter 2024 Earnings Conference Call. [Operator Instructions] Pleas ...

SHENZHEN, China, May 23, 2024 (GLOBE NEWSWIRE) -- LexinFintech Holdings Ltd. ("Lexin" or the "Company") (NASDAQ:LX), a leading technology-empowered personal financial service enabler in China, today announced its unaudited financial results for the quarter ended March 31, 2024. "In the first quarter of 2024, Lexin reported total loan origination of RMB58.0 billion, a decrease of 4.8% year-over-year, reflecting a strategy of controlled growth. The outstanding loan balance grew by 13.5% to RMB122 billion on a ...

SHENZHEN, China, May 23, 2024 (GLOBE NEWSWIRE) -- LexinFintech Holdings Ltd. (“Lexin” or the “Company”) (NASDAQ: LX), a leading technology-empowered personal financial service enabler in China, today announced its unaudited financial results for the quarter ended March 31, 2024. “In the first quarter of 2024, Lexin reported total loan origination of RMB58.0 billion, a decrease of 4.8% year-over-year, reflecting a strategy of controlled growth. The outstanding loan balance grew by 13.5% to RMB122 billion on ...