Sectors & IndustriesFinancial ServicesCredit Services

Best Credit Service Stocks to Buy Now (2022)

Top credit service stocks in 2022 ranked by overall Zen Score. See the best credit service stocks to buy now, according to analyst forecasts for the credit services industry.

According to Zen Score, the 3 best credit service stocks to buy right now are:

360 Digitech (NASDAQ:QFIN) is the top credit service stock with a Zen Score of 59, which is 28 points higher than the credit service industry average of 31. It passed 22 out of 38 due diligence checks and has strong fundamentals. 360 Digitech has seen its stock lose -22.51% over the past year, overperforming other credit service stocks by 4 percentage points.

360 Digitech has an average 1 year price target of $25.39, an upside of 49% from 360 Digitech's current stock price of $17.04.

360 Digitech stock has a consensus Strong Buy recommendation according to Wall Street analysts. Of the 1 analyst covering 360 Digitech, 100% have issued a Strong Buy rating, 0% have issued a Buy, 0% have issued a hold, while 0% have issued a Sell rating, and 0% have issued a Strong Sell.

Lexinfintech Holdings (NASDAQ:LX) is the second best credit service stock with a Zen Score of 58, which is 27 points higher than the credit service industry average of 31. It passed 18 out of 33 due diligence checks and has strong fundamentals. Lexinfintech Holdings has seen its stock lose -56.42% over the past year, underperforming other credit service stocks by -30 percentage points.

Lexinfintech Holdings has an average 1 year price target of $9.15, an upside of 428.9% from Lexinfintech Holdings's current stock price of $1.73.

Lexinfintech Holdings stock has a consensus Hold recommendation according to Wall Street analysts. Of the 4 analysts covering Lexinfintech Holdings, 25% have issued a Strong Buy rating, 0% have issued a Buy, 50% have issued a hold, while 0% have issued a Sell rating, and 25% have issued a Strong Sell.

Amtd Digital (NYSE:HKD) is the third best credit service stock with a Zen Score of 52, which is 21 points higher than the credit service industry average of 31. It passed 16 out of 33 due diligence checks and has strong fundamentals.

Out of 26 credit service stocks that have issued dividends in the past year, the 3 credit service stocks with the highest dividend yields are:

Lufax Holding (NYSE:LU) has an annual dividend yield of 23.98%, which is 19 percentage points higher than the credit service industry average of 5.43%.

Lufax Holding's dividend payout ratio of 62.3% indicates that its high dividend yield is sustainable for the long-term.

Goldman Sachs Bdc (NYSE:GSBD) has an annual dividend yield of 11.76%, which is 6 percentage points higher than the credit service industry average of 5.43%. Goldman Sachs Bdc's dividend payout is not stable, having dropped more than 10% three times in the last 10 years. Goldman Sachs Bdc's dividend has not shown consistent growth over the last 10 years.

Goldman Sachs Bdc's dividend payout ratio of 204.5% indicates that its high dividend yield might not be sustainable for the long-term.

Owl Rock Capital (NYSE:ORCC) has an annual dividend yield of 9.63%, which is 4 percentage points higher than the credit service industry average of 5.43%.

Owl Rock Capital's dividend payout ratio of 109.7% indicates that its high dividend yield might not be sustainable for the long-term.

Credit service stocks were down -0.41% in the last day, and up 0.19% over the last week. PayPal was the among the top losers in the credit services industry, dropping -4.93% yesterday.

Shares of several companies in the broader tech sector are trading lower amid overall market weakness following bigger-than-expected nonfarm payroll data. A rise in US Treasury yields has also weighed on the sector.

Based on WallStreetZen's Valuation Score, the 3 most undervalued credit service stocks right now are:

360 Digitech (NASDAQ:QFIN) is the most undervalued credit service stock based on WallStreetZen's Valuation Score. 360 Digitech has a valuation score of 100, which is 56 points higher than the credit service industry average of 44. It passed 7 out of 7 valuation due diligence checks.

360 Digitech's stock has dropped -22.51% in the past year. It has overperformed other stocks in the credit service industry by 4 percentage points.

Lexinfintech Holdings (NASDAQ:LX) is the second most undervalued credit service stock based on WallStreetZen's Valuation Score. Lexinfintech Holdings has a valuation score of 100, which is 56 points higher than the credit service industry average of 44. It passed 7 out of 7 valuation due diligence checks.

Lexinfintech Holdings's stock has dropped -56.42% in the past year. It has underperformed other stocks in the credit service industry by -30 percentage points.

Consumer Portfolio Services (NASDAQ:CPSS) is the third most undervalued credit service stock based on WallStreetZen's Valuation Score. Consumer Portfolio Services has a valuation score of 86, which is 42 points higher than the credit service industry average of 44. It passed 6 out of 7 valuation due diligence checks.

Consumer Portfolio Services's stock has gained 3.63% in the past year. It has overperformed other stocks in the credit service industry by 30 percentage points.