JPMorgan Chase & Co. Has Lowered Expectations for Goosehead Insurance (NASDAQ:GSHD) Stock Price

Key Points

• JPMorgan cut its price target on Goosehead from $68 to $58 and kept a "neutral" rating, with the $58 target implying about a 36% upside from the stock's recent price.
• Analyst views are mixed but the consensus leans positive: the stock's average rating is a "Moderate Buy" with an average price target of $73, even as several firms trimmed or adjusted their forecasts.
• Fundamentals and ownership show a mixed picture: Q4 EPS beat ($0.64 vs. $0.54) while revenue missed ($78.2M vs. $99.7M), the shares trade near their 52-week low (~$42.53), a director recently bought 5,575 shares, and institutions (notably Goldman Sachs) materially increased holdings.

Goosehead Insurance (NASDAQ:GSHD - Get Free Report) had its price objective reduced by equities researchers at JPMorgan Chase & Co. from $68.00 to $58.00 in a report released on Thursday,Benzinga reports. The firm currently has a "neutral" rating on the stock. JPMorgan Chase & Co.'s price objective points to a potential upside of 36.37% from the stock's current price.

A number of other equities research analysts have also issued reports on GSHD. Citigroup restated an "outperform" rating on shares of Goosehead Insurance in a research note on Wednesday, February 18th. Wall Street Zen upgraded Goosehead Insurance from a "sell" rating to a "hold" rating in a research note on Saturday, February 7th. Piper Sandler upgraded Goosehead Insurance from a "neutral" rating to an "overweight" rating and set a $69.00 price target for the company in a research note on Wednesday, February 18th. Cantor Fitzgerald decreased their price target on Goosehead Insurance from $84.00 to $67.00 and set an "overweight" rating for the company in a research note on Thursday. Finally, BMO Capital Markets decreased their price target on Goosehead Insurance from $79.00 to $55.00 and set a "market perform" rating for the company in a research note on Wednesday, February 18th. Seven investment analysts have rated the stock with a Buy rating and six have issued a Hold rating to the company. According to data from MarketBeat.com, the stock presently has an average rating of "Moderate Buy" and an average price target of $73.00.

Goosehead Insurance Stock Performance

NASDAQ:GSHD traded down $3.10 during mid-day trading on Thursday, hitting $42.53. The company had a trading volume of 134,856 shares, compared to its average volume of 467,928. Goosehead Insurance has a fifty-two week low of $40.00 and a fifty-two week high of $114.76. The business's fifty day moving average is $49.02 and its two-hundred day moving average is $63.67. The firm has a market cap of $1.56 billion, a P/E ratio of 40.35, a P/E/G ratio of 3.03 and a beta of 1.69.

Goosehead Insurance (NASDAQ:GSHD - Get Free Report) last released its earnings results on Tuesday, February 17th. The company reported $0.64 earnings per share for the quarter, beating the consensus estimate of $0.54 by $0.10. Goosehead Insurance had a negative return on equity of 21.31% and a net margin of 7.62%.The firm had revenue of $78.20 million for the quarter, compared to analyst estimates of $99.67 million. During the same quarter in the prior year, the firm posted $0.79 earnings per share. The company's quarterly revenue was up 12.1% on a year-over-year basis. Equities analysts forecast that Goosehead Insurance will post 0.83 earnings per share for the current year.

Insiders Place Their Bets

In related news, Director Louis Goldberg acquired 5,575 shares of the company's stock in a transaction on Friday, February 20th. The stock was purchased at an average cost of $44.85 per share, with a total value of $250,038.75. Following the acquisition, the director directly owned 5,575 shares of the company's stock, valued at approximately $250,038.75. The trade was a ∞ increase in their ownership of the stock. The acquisition was disclosed in a legal filing with the Securities & Exchange Commission, which is available through this hyperlink. 48.35% of the stock is owned by corporate insiders.

Hedge Funds Weigh In On Goosehead Insurance

A number of institutional investors have recently modified their holdings of the business. AQR Capital Management LLC lifted its holdings in shares of Goosehead Insurance by 85.7% during the first quarter. AQR Capital Management LLC now owns 4,332 shares of the company's stock worth $511,000 after purchasing an additional 1,999 shares during the period. MIRAE ASSET GLOBAL ETFS HOLDINGS Ltd. increased its stake in shares of Goosehead Insurance by 4.5% in the first quarter. MIRAE ASSET GLOBAL ETFS HOLDINGS Ltd. now owns 13,369 shares of the company's stock valued at $1,578,000 after buying an additional 578 shares during the period. Goldman Sachs Group Inc. increased its stake in shares of Goosehead Insurance by 86.6% in the first quarter. Goldman Sachs Group Inc. now owns 354,775 shares of the company's stock valued at $41,885,000 after buying an additional 164,693 shares during the period. UBS AM A Distinct Business Unit of UBS Asset Management Americas LLC increased its stake in shares of Goosehead Insurance by 5.8% in the first quarter. UBS AM A Distinct Business Unit of UBS Asset Management Americas LLC now owns 58,395 shares of the company's stock valued at $6,894,000 after buying an additional 3,218 shares during the period. Finally, Intech Investment Management LLC increased its stake in shares of Goosehead Insurance by 28.2% in the first quarter. Intech Investment Management LLC now owns 11,179 shares of the company's stock valued at $1,320,000 after buying an additional 2,461 shares during the period.

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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