LendingClub IPO Warning Issued By Dick Bove

As the rush of initial public offerings tries to cash in on sky high valuations before the appropriate market environment changes to a more rational one, comes an IPO that Rafferty Capital Markets bank analyst Dick Bove thinks investors should avoid.

LendingClub Corporation is a forthcoming IPO backed by the Wall Street elite.

LendingClub IPO underwriters

Underwriters are Morgan Stanley (NYSE:MS), Goldman Sachs Group Inc (NYSE:GS) and Citigroup Inc (NYSE:C) – the bailout banks, the banks with connections. Those connections are also visible on the LendingClub’s board of directors...