loanDepot (NYSE:LDI) Downgraded by Wall Street Zen to Sell

Key Points

• loanDepot has been downgraded by Wall Street Zen from a "hold" rating to a "sell" rating, reflecting analysts' concerns about the company's performance.
• UBS Group has increased its price target for loanDepot shares from $1.25 to $1.40 while maintaining a "neutral" rating.
• Insider trading reports show significant sales, with CEO Anthony Li Hsieh selling over 267,000 shares, which raises questions about insider confidence in the company's future.

Wall Street Zen cut shares of loanDepot (NYSE:LDI - Free Report) from a hold rating to a sell rating in a report published on Saturday.

Separately, UBS Group upped their price target on loanDepot from $1.25 to $1.40 and gave the stock a "neutral" rating in a report on Wednesday, July 16th. Two analysts have rated the stock with a Hold rating and one has issued a Sell rating to the company. According to MarketBeat.com, the stock presently has an average rating of "Reduce" and an average target price of $2.05.

loanDepot Stock Down 2.4%

Shares of NYSE:LDI traded down $0.0450 on Friday, hitting $1.8350. 783,703 shares of the company's stock were exchanged, compared to its average volume of 1,170,152. The company has a market capitalization of $607.26 million, a PE ratio of -5.56 and a beta of 3.35. loanDepot has a 1-year low of $1.01 and a 1-year high of $3.2250. The firm's 50-day moving average is $1.59 and its 200 day moving average is $1.43. The company has a debt-to-equity ratio of 6.71, a quick ratio of 1.18 and a current ratio of 1.18.

Insider Buying and Selling at loanDepot

In related news, CEO Anthony Li Hsieh sold 81,604 shares of the company's stock in a transaction on Friday, August 15th. The shares were sold at an average price of $2.01, for a total value of $164,024.04. Following the completion of the sale, the chief executive officer directly owned 8,782,465 shares in the company, valued at approximately $17,652,754.65. This represents a 0.92% decrease in their ownership of the stock. The sale was disclosed in a document filed with the SEC, which is accessible through this link. Also, insider Jeff Alexander Walsh sold 37,514 shares of the business's stock in a transaction on Tuesday, July 22nd. The stock was sold at an average price of $2.00, for a total transaction of $75,028.00. Following the transaction, the insider directly owned 4,103,237 shares of the company's stock, valued at approximately $8,206,474. This represents a 0.91% decrease in their position. The disclosure for this sale can be found here. Over the last three months, insiders have sold 1,275,773 shares of company stock worth $2,569,193. Company insiders own 83.04% of the company's stock.

Institutional Inflows and Outflows

Several hedge funds have recently added to or reduced their stakes in LDI. Aquatic Capital Management LLC bought a new stake in loanDepot during the fourth quarter worth about $30,000. Alpine Global Management LLC acquired a new stake in loanDepot in the fourth quarter worth $33,000. Wilshire Advisors LLC raised its holdings in loanDepot by 39.8% in the first quarter. Wilshire Advisors LLC now owns 27,727 shares of the company's stock worth $33,000 after purchasing an additional 7,899 shares during the period. Boothbay Fund Management LLC acquired a new stake in loanDepot in the fourth quarter worth $41,000. Finally, Invesco Ltd. acquired a new stake in loanDepot in the first quarter worth $44,000. Institutional investors and hedge funds 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.