Goosehead Insurance (NASDAQ:GSHD) Trading 4.6% Higher - Here's Why

Key Points

• Goosehead Insurance shares rose 4.6% to about $67.34, with the move supported by several analysts raising price targets, including Piper Sandler and UBS to $72 and Cantor Fitzgerald to $76. Despite this, the consensus rating remains “Hold,” with an average target of $68.45.
• The company reported quarterly EPS of $0.64, beating expectations of $0.47, while revenue increased 20.6% year over year to $95.63 million, though it fell short of the $103.30 million estimate.
• Institutional ownership has strengthened, with several major funds increasing their stakes, while insider activity was mixed: insiders bought about $11.6 million of shares and sold approximately $26.2 million over the past three months.

Shares of Goosehead Insurance (NASDAQ:GSHD - Get Free Report) shot up 4.6% during trading on Tuesday . The company traded as high as $67.13 and last traded at $67.3350. 16,237 shares were traded during mid-day trading, a decline of 97% from the average daily volume of 501,403 shares. The stock had previously closed at $64.40.

Analysts Set New Price Targets

GSHD has been the topic of a number of research reports. JPMorgan Chase & Co. raised their target price on shares of Goosehead Insurance from $55.00 to $60.00 and gave the stock a "neutral" rating in a research note on Monday, July 13th. Piper Sandler increased their price target on Goosehead Insurance from $52.00 to $72.00 and gave the company an "overweight" rating in a report on Wednesday, July 15th. Cantor Fitzgerald reiterated an "overweight" rating and set a $76.00 price objective on shares of Goosehead Insurance in a research report on Thursday, July 23rd. Royal Bank Of Canada boosted their price objective on Goosehead Insurance from $55.00 to $58.00 and gave the stock a "sector perform" rating in a research note on Thursday, July 23rd. Finally, UBS Group upped their target price on Goosehead Insurance from $70.00 to $72.00 and gave the company a "buy" rating in a report on Monday, July 27th. Seven research analysts have rated the stock with a Buy rating, five have assigned a Hold rating and two have assigned a Sell rating to the company's stock. According to MarketBeat, Goosehead Insurance currently has an average rating of "Hold" and a consensus price target of $68.45.

Goosehead Insurance Price Performance

The company's 50 day moving average price is $53.27 and its 200 day moving average price is $48.36. The firm has a market cap of $2.39 billion, a PE ratio of 49.11, a price-to-earnings-growth ratio of 2.37 and a beta of 1.38.

Goosehead Insurance (NASDAQ:GSHD - Get Free Report) last released its earnings results on Wednesday, July 22nd. The company reported $0.64 earnings per share (EPS) for the quarter, beating analysts' consensus estimates of $0.47 by $0.17. The firm had revenue of $95.63 million during the quarter, compared to analyst estimates of $103.30 million. Goosehead Insurance had a negative return on equity of 21.00% and a net margin of 8.78%.Goosehead Insurance's revenue was up 20.6% compared to the same quarter last year. During the same period last year, the business posted $0.49 earnings per share. Sell-side analysts expect that Goosehead Insurance will post 1.45 earnings per share for the current fiscal year.

Insider Activity at Goosehead Insurance

In other Goosehead Insurance news, major shareholder Durable Capital Partners Lp acquired 36,256 shares of the company's stock in a transaction dated Friday, July 31st. The shares were acquired at an average price of $61.92 per share, for a total transaction of $2,244,971.52. Following the acquisition, the insider owned 2,570,260 shares in the company, valued at $159,150,499.20. The trade was a 1.43% increase in their position. The purchase was disclosed in a document filed with the SEC, which can be accessed through the SEC website. Also, major shareholder Adrienne Kebodeaux sold 5,000 shares of the firm's stock in a transaction dated Tuesday, July 28th. The stock was sold at an average price of $65.20, for a total value of $326,000.00. Following the sale, the insider directly owned 280,027 shares in the company, valued at $18,257,760.40. This trade represents a 1.75% decrease in their position. The disclosure for this sale is available in the SEC filing. Over the last three months, insiders bought 197,779 shares of company stock worth $11,621,850 and sold 468,616 shares worth $26,163,838. Corporate insiders own 38.07% of the company's stock.

Institutional Trading of Goosehead Insurance

Several institutional investors and hedge funds have recently bought and sold shares of GSHD. Durable Capital Partners LP grew its holdings in shares of Goosehead Insurance by 126.5% during the third quarter. Durable Capital Partners LP now owns 1,542,186 shares of the company's stock worth $114,769,000 after buying an additional 861,374 shares during the last quarter. Wasatch Advisors LP raised its stake in Goosehead Insurance by 32.3% during the 1st quarter. Wasatch Advisors LP now owns 2,292,227 shares of the company's stock valued at $97,786,000 after acquiring an additional 559,087 shares during the last quarter. T. Rowe Price Investment Management Inc. lifted its position in Goosehead Insurance by 38.5% during the 4th quarter. T. Rowe Price Investment Management Inc. now owns 2,002,003 shares of the company's stock worth $147,448,000 after acquiring an additional 556,293 shares during the period. Langdon Equity Partners acquired a new stake in Goosehead Insurance during the 4th quarter worth approximately $41,892,000. Finally, Janus Henderson Group PLC grew its stake in shares of Goosehead Insurance by 3,485.1% in the 1st quarter. Janus Henderson Group PLC now owns 386,906 shares of the company's stock valued at $16,506,000 after purchasing an additional 376,114 shares during the last quarter.

Goosehead Insurance Company Profile

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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