loanDepot (NYSE:LDI) Shares Down 4.8% After Insider Selling

Key Points

• loanDepot's stock price declined by 4.8%, closing at $1.88, with trading volume drastically down by 91% compared to the average daily volume.
• Research analysts have had mixed opinions, with UBS Group raising the price target to $1.40 while Wall Street Zen downgraded it from "hold" to "sell".
• Insider transactions reveal that CEO Anthony Li Hsieh sold 267,326 shares, representing a 2.86% decrease in ownership, amidst overall insider sales totaling over $2.3 million in the last three months.

loanDepot, Inc. (NYSE:LDI - Get Free Report)'s share price traded down 4.8% during trading on Monday following insider selling activity. The stock traded as low as $1.91 and last traded at $1.88. 109,867 shares traded hands during trading, a decline of 91% from the average session volume of 1,161,711 shares. The stock had previously closed at $1.97.

Specifically, CEO Anthony Li Hsieh sold 81,604 shares of the company's stock in a transaction that occurred on Friday, August 15th. The stock was sold at an average price of $2.01, for a total value of $164,024.04. Following the transaction, the chief executive officer directly owned 8,782,465 shares of the company's stock, valued at $17,652,754.65. This represents a 0.92% decrease in their position. The sale was disclosed in a document filed with the SEC, which is available at the SEC website.

Wall Street Analysts Forecast Growth

A number of equities analysts have issued reports on the company. Wall Street Zen lowered loanDepot from a "hold" rating to a "sell" rating in a research report on Saturday, August 16th. BTIG Research began coverage on loanDepot in a research report on Monday. They set a "neutral" rating on the stock. Finally, UBS Group boosted their price objective on loanDepot from $1.40 to $1.90 and gave the stock a "neutral" rating in a research report on Wednesday. Two equities research analysts have rated the stock with a Hold rating and one has assigned a Sell rating to the company's stock. According to data from MarketBeat.com, the stock presently has an average rating of "Reduce" and an average target price of $2.30.

loanDepot Stock Performance

The firm's 50-day moving average price is $1.63 and its two-hundred day moving average price is $1.44. The company has a quick ratio of 1.18, a current ratio of 1.18 and a debt-to-equity ratio of 6.71. The firm has a market capitalization of $666.82 million, a PE ratio of -6.11 and a beta of 3.35.

Institutional Investors Weigh In On loanDepot

Several large investors have recently made changes to their positions in the company. Continental Advisors LLC bought a new position in shares of loanDepot in the 2nd quarter valued at approximately $656,000. MIRAE ASSET GLOBAL ETFS HOLDINGS Ltd. bought a new position in loanDepot during the second quarter valued at about $57,000. Cerity Partners LLC bought a new position in loanDepot during the second quarter valued at about $116,000. Invesco Ltd. lifted its stake in loanDepot by 204.1% during the second quarter. Invesco Ltd. now owns 111,245 shares of the company's stock worth $141,000 after purchasing an additional 74,669 shares during the period. Finally, New York State Common Retirement Fund bought a new position in shares of loanDepot during the second quarter valued at $98,000. 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.