NEW YORK (TheStreet) -- LendingClub (LC) stock was upgraded by analysts at KeyBanc Capital Markets to "overweight" from "sector weight" with a price target of $23.

"After speaking with advertising executives, we believe trends should be stable despite fears of irrational pricing," analysts said.

While analysts were initially cautious on the company's investment in new markets like health care, core consumer gains are likely to more than offset market expansion headwinds, they added.

Additionally, the peer-to-peer lending company can generate sustainable improvement in acquisition cost via conversion and channel mix, based on analysis of effective cost per funded loan, both offline and online, according to the note.

In Monday's early morning trading session, shares are declining 0.69% to $18.59.

LC Chart LC data by YCharts

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