Blend Labs (NYSE:BLND) Lowered to Sell Rating by Wall Street Zen

Key Points

• Blend Labs has been downgraded from a "hold" to a "sell" rating by Wall Street Zen, reflecting a negative outlook from stock analysts.
• The stock's target prices have been lowered by multiple analysts, with Goldman Sachs reducing it from $5.60 to $4.80, and Wells Fargo from $6.00 to $5.00.
• Recently, Blend Labs shares have fallen 24.1%, currently trading at $2.71, amid a decline in market interest and mixed financial performance.

Blend Labs (NYSE:BLND - Get Free Report) was downgraded by research analysts at Wall Street Zen from a "hold" rating to a "sell" rating in a research note issued to investors on Saturday.

Several other equities research analysts also recently commented on BLND. UBS Group dropped their target price on Blend Labs from $4.00 to $3.50 and set a "neutral" rating on the stock in a report on Friday. The Goldman Sachs Group dropped their target price on Blend Labs from $5.60 to $4.80 and set a "buy" rating on the stock in a report on Monday, May 12th. JMP Securities restated a "market outperform" rating and set a $7.00 price objective on shares of Blend Labs in a research note on Wednesday, May 28th. Keefe, Bruyette & Woods lowered their price objective on Blend Labs from $4.00 to $3.75 and set a "market perform" rating for the company in a research note on Friday. Finally, Canaccord Genuity Group restated a "buy" rating and set a $5.25 price objective on shares of Blend Labs in a research note on Monday, May 12th. One analyst has rated the stock with a sell rating, two have assigned a hold rating, five have assigned a buy rating and one has given a strong buy rating to the company. According to data from MarketBeat, the company currently has a consensus rating of "Moderate Buy" and an average price target of $4.86.

Blend Labs Stock Performance

Shares of NYSE:BLND traded up $0.10 during mid-day trading on Friday, hitting $2.83. 5,399,087 shares of the company traded hands, compared to its average volume of 2,848,781. The firm has a market cap of $733.55 million, a P/E ratio of -18.83 and a beta of 1.24. Blend Labs has a 52-week low of $2.63 and a 52-week high of $5.53. The firm's 50 day simple moving average is $3.46 and its 200 day simple moving average is $3.48.

Blend Labs (NYSE:BLND - Get Free Report) last announced its earnings results on Thursday, August 7th. The company reported ($0.03) EPS for the quarter, missing the consensus estimate of $0.02 by ($0.05). The company had revenue of $31.52 million during the quarter, compared to analyst estimates of $31.93 million. Equities research analysts expect that Blend Labs will post -0.19 EPS for the current fiscal year.

Insider Activity at Blend Labs

In other Blend Labs news, insider Brian Kneafsey sold 25,000 shares of the firm's stock in a transaction dated Tuesday, July 15th. The shares were sold at an average price of $3.63, for a total value of $90,750.00. Following the transaction, the insider owned 721,598 shares of the company's stock, valued at $2,619,400.74. This trade represents a 3.35% decrease in their ownership of the stock. The sale was disclosed in a legal filing with the SEC, which is available at this link. Also, insider Nima Ghamsari sold 75,720 shares of the firm's stock in a transaction dated Friday, June 13th. The stock was sold at an average price of $3.30, for a total transaction of $249,876.00. Following the completion of the transaction, the insider directly owned 6,065,937 shares in the company, valued at $20,017,592.10. This represents a 1.23% decrease in their position. The disclosure for this sale can be found here. Over the last three months, insiders have sold 224,850 shares of company stock worth $763,164. Corporate insiders own 35.52% of the company's stock.

Hedge Funds Weigh In On Blend Labs

A number of large investors have recently bought and sold shares of the business. Mount Lucas Management LP bought a new stake in shares of Blend Labs during the second quarter valued at approximately $660,000. Universal Beteiligungs und Servicegesellschaft mbH bought a new stake in shares of Blend Labs during the second quarter valued at approximately $37,000. Creative Planning raised its holdings in shares of Blend Labs by 81.4% during the second quarter. Creative Planning now owns 34,036 shares of the company's stock valued at $112,000 after buying an additional 15,276 shares during the last quarter. Savant Capital LLC raised its holdings in shares of Blend Labs by 72.2% during the second quarter. Savant Capital LLC now owns 29,694 shares of the company's stock valued at $98,000 after buying an additional 12,452 shares during the last quarter. Finally, Brighton Jones LLC acquired a new position in shares of Blend Labs during the second quarter valued at approximately $79,000. Institutional investors own 52.56% of the company's stock.

About Blend Labs

Blend Labs, Inc engages in the provision of cloud-based software platform solutions for financial services firms in the United States. It operates in two segments, Blend Platform and Title365. The company's Blend Builder Platform offers a suite of products that powers digital-first consumer journeys for mortgages, home equity loans and lines of credit, vehicle loans, personal loans, credit cards, and deposit accounts; and offers mortgage products to facilitate the homeownership journey for consumers comprising close, income verification for mortgage, homeowners' insurance, and realty.