Goosehead Insurance (NASDAQ:GSHD) Price Target Cut to $55.00 by Analysts at JPMorgan Chase & Co.

Key Points

• JPMorgan cut Goosehead Insurance’s price target from $58 to $55 and kept a neutral rating, implying notable upside from the prior close despite the downgrade in target.
• Other analysts also turned more cautious recently, with several firms lowering their targets; overall, Goosehead now has a Hold consensus and an average price target of $67.45.
• The stock rose 2.3% to $37.22 on Thursday after the company recently reported Q1 EPS of $0.37, beating estimates, though revenue of $79.48 million fell short of expectations.

Goosehead Insurance (NASDAQ:GSHD - Get Free Report) had its target price cut by equities research analysts at JPMorgan Chase & Co. from $58.00 to $55.00 in a research note issued on Thursday,Benzinga reports. The firm currently has a "neutral" rating on the stock. JPMorgan Chase & Co.'s price target would indicate a potential upside of 47.79% from the company's previous close.

Several other brokerages also recently issued reports on GSHD. Piper Sandler lowered their price objective on shares of Goosehead Insurance from $69.00 to $60.00 and set an "overweight" rating for the company in a research report on Thursday, April 23rd. Truist Financial decreased their target price on shares of Goosehead Insurance from $72.00 to $58.00 and set a "hold" rating for the company in a research note on Wednesday, February 18th. Bank of America lowered their price target on shares of Goosehead Insurance from $43.00 to $37.00 and set an "underperform" rating for the company in a report on Tuesday, April 14th. BMO Capital Markets dropped their price target on shares of Goosehead Insurance from $79.00 to $55.00 and set a "market perform" rating on the stock in a research note on Wednesday, February 18th. Finally, Wall Street Zen upgraded shares of Goosehead Insurance from a "sell" rating to a "hold" rating in a report on Saturday, February 7th. Seven research analysts have rated the stock with a Buy rating, five have given a Hold rating and two have given a Sell rating to the stock. Based on data from MarketBeat.com, the company presently has an average rating of "Hold" and a consensus price target of $67.45.

Goosehead Insurance Trading Up 2.3%

Shares of GSHD traded up $0.83 during midday trading on Thursday, reaching $37.22. 253,758 shares of the company were exchanged, compared to its average volume of 457,317. Goosehead Insurance has a 1-year low of $35.83 and a 1-year high of $114.76. The stock has a 50-day moving average price of $44.13 and a 200-day moving average price of $59.19. The company has a market cap of $1.33 billion, a price-to-earnings ratio of 32.65, a P/E/G ratio of 1.46 and a beta of 1.62.

Goosehead Insurance (NASDAQ:GSHD - Get Free Report) last posted its earnings results on Thursday, April 23rd. The company reported $0.37 earnings per share (EPS) for the quarter, beating analysts' consensus estimates of $0.20 by $0.17. The business had revenue of $79.48 million during the quarter, compared to analyst estimates of $105.16 million. Goosehead Insurance had a negative return on equity of 20.96% and a net margin of 7.94%.The company's revenue for the quarter was up 23.1% compared to the same quarter last year. During the same quarter last year, the firm earned $0.26 earnings per share. Equities research analysts anticipate that Goosehead Insurance will post 1.4 earnings per share for the current year.

Insider Activity

In related news, Director Louis Goldberg purchased 5,575 shares of the firm's stock in a transaction dated Friday, February 20th. The stock was acquired at an average price of $44.85 per share, with a total value of $250,038.75. Following the completion of the transaction, the director owned 5,575 shares of the company's stock, valued at $250,038.75. This represents a ∞ increase in their ownership of the stock. The acquisition was disclosed in a legal filing with the Securities & Exchange Commission, which can be accessed through the SEC website. Also, major shareholder & Robyn Jones Descendants Mark sold 5,090 shares of the firm's stock in a transaction that occurred on Friday, May 1st. The stock was sold at an average price of $45.32, for a total transaction of $230,678.80. Following the sale, the insider directly owned 7,203,796 shares of the company's stock, valued at $326,476,034.72. The trade was a 0.07% decrease in their position. Additional details regarding this sale are available in the official SEC disclosure. Insiders have sold 10,576 shares of company stock valued at $494,568 over the last 90 days. Insiders own 38.07% of the company's stock.

Hedge Funds Weigh In On Goosehead Insurance

A number of hedge funds have recently bought and sold shares of GSHD. Durable Capital Partners LP grew its stake in Goosehead Insurance by 126.5% in the third quarter. Durable Capital Partners LP now owns 1,542,186 shares of the company's stock worth $114,769,000 after purchasing an additional 861,374 shares in the last quarter. Wasatch Advisors LP grew its stake in Goosehead Insurance by 32.3% in the first quarter. Wasatch Advisors LP now owns 2,292,227 shares of the company's stock worth $97,786,000 after purchasing an additional 559,087 shares in the last quarter. T. Rowe Price Investment Management Inc. grew its stake in Goosehead Insurance by 38.5% in the fourth quarter. T. Rowe Price Investment Management Inc. now owns 2,002,003 shares of the company's stock worth $147,448,000 after purchasing an additional 556,293 shares in the last quarter. Langdon Equity Partners acquired a new position in Goosehead Insurance in the fourth quarter worth about $41,892,000. Finally, Whitebark Investors LP acquired a new position in Goosehead Insurance in the third quarter worth about $25,229,000.

About Goosehead Insurance

Goosehead Insurance NASDAQ: GSHD is a technology-driven insurance agency that connects consumers with a broad range of personal and commercial insurance products through an extensive network of independent insurance advisors. The company specializes in homeowners, auto, flood, dwelling fire, umbrella, life, and commercial lines coverage, working with multiple national and regional carriers to offer tailored policies. By combining advanced quoting tools with local market expertise, Goosehead streamlines the insurance shopping process and helps clients find competitive coverage options.

Founded in 2003 and headquartered in Westlake, Texas, Goosehead has grown its footprint across more than 40 states in the U.S.

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