loanDepot (NYSE:LDI) Given Sell (D-) Rating at Weiss Ratings

Key Points

• loanDepot's stock has been restated with a sell (D-) rating by Weiss Ratings, reflecting analysts' concerns about the company's performance.
• Despite the negative ratings from Weiss, UBS Group raised loanDepot's price target from $1.40 to $1.90 and maintained a "neutral" rating.
• Insider activity shows CEO Anthony Li Hsieh sold over 3 million shares of stock, reducing his holdings by approximately 39.36%, raising potential red flags for investors.

loanDepot (NYSE:LDI - Get Free Report)'s stock had its "sell (d-)" rating restated by stock analysts at Weiss Ratings in a note issued to investors on Wednesday,Weiss Ratings reports.

Other analysts also recently issued research reports about the stock. UBS Group raised their price target on shares of loanDepot from $1.40 to $1.90 and gave the stock a "neutral" rating in a report on Wednesday, August 20th. BTIG Research reiterated a "neutral" rating on shares of loanDepot in a report on Wednesday, September 10th. Finally, Wall Street Zen downgraded shares of loanDepot from a "hold" rating to a "sell" rating in a report on Saturday, August 16th. Two research analysts have rated the stock with a Hold rating and two have assigned a Sell rating to the company's stock. Based on data from MarketBeat.com, loanDepot presently has a consensus rating of "Reduce" and a consensus target price of $2.30.

loanDepot Stock Up 8.5%

Shares of NYSE LDI opened at $3.18 on Wednesday. The company has a 50 day simple moving average of $2.68 and a 200-day simple moving average of $1.79. The company has a market capitalization of $1.05 billion, a P/E ratio of -9.64 and a beta of 3.45. The company has a debt-to-equity ratio of 6.71, a current ratio of 1.18 and a quick ratio of 1.18. loanDepot has a 1 year low of $1.01 and a 1 year high of $5.05.

Insider Buying and Selling

In other loanDepot news, CEO Anthony Li Hsieh sold 3,046,005 shares of the firm's stock in a transaction that occurred on Friday, September 5th. The shares were sold at an average price of $2.64, for a total value of $8,041,453.20. Following the completion of the transaction, the chief executive officer owned 4,693,712 shares of the company's stock, valued at $12,391,399.68. This trade represents a 39.36% decrease in their position. The sale was disclosed in a filing with the SEC, which is available at this link. Over the last three months, insiders have sold 14,470,160 shares of company stock valued at $40,335,701. Company insiders own 78.05% of the company's stock.

Hedge Funds Weigh In On loanDepot

Several hedge funds and other institutional investors have recently added to or reduced their stakes in LDI. Goldman Sachs Group Inc. lifted its position in shares of loanDepot by 30.3% during the 1st quarter. Goldman Sachs Group Inc. now owns 366,435 shares of the company's stock worth $436,000 after purchasing an additional 85,129 shares during the last quarter. Charles Schwab Investment Management Inc. lifted its position in loanDepot by 1,671.4% in the first quarter. Charles Schwab Investment Management Inc. now owns 655,137 shares of the company's stock valued at $780,000 after acquiring an additional 618,153 shares during the last quarter. Philosophy Capital Management LLC lifted its position in loanDepot by 73.3% in the first quarter. Philosophy Capital Management LLC now owns 4,141,164 shares of the company's stock valued at $4,928,000 after acquiring an additional 1,751,245 shares during the last quarter. Philadelphia Financial Management of San Francisco LLC purchased a new stake in loanDepot in the first quarter valued at $1,469,000. Finally, Two Sigma Investments LP lifted its position in loanDepot by 345.6% in the fourth quarter. Two Sigma Investments LP now owns 131,098 shares of the company's stock valued at $267,000 after acquiring an additional 101,677 shares during the last quarter. Hedge funds and other institutional investors own 39.39% of the company's stock.

About loanDepot

loanDepot, Inc engages in originating, financing, selling, and servicing residential mortgage loans in the United States. The company offers conventional agency-conforming and prime jumbo, federal assistance residential mortgage, and home equity loans. It also provides settlement services, which include captive title and escrow business; real estate services that cover captive real estate referral business; and insurance services, including services to homeowners, as well as other consumer insurance policies.

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