loanDepot (NYSE:LDI) Shares Gap Down - Here's Why

Key Points

• loanDepot shares gapped down from a previous close of $1.99 to $1.83 before trading on Thursday, with the last trade recorded at $1.96.
• UBS Group raised its price target on loanDepot from $1.25 to $1.40, maintaining a "neutral" rating on the stock.
• Recent insider trading activity includes notable sales by CEO Anthony Li Hsieh and insider Jeff Alexander Walsh, reducing their ownership stakes in the company.

loanDepot, Inc. (NYSE:LDI - Get Free Report)'s share price gapped down prior to trading on Thursday . The stock had previously closed at $1.99, but opened at $1.83. loanDepot shares last traded at $1.96, with a volume of 360,251 shares changing hands.

Wall Street Analysts Forecast Growth

Several research analysts have commented on LDI shares. UBS Group raised their price objective on loanDepot from $1.25 to $1.40 and gave the stock a "neutral" rating in a report on Wednesday, July 16th. Wall Street Zen downgraded loanDepot from a "hold" rating to a "sell" rating in a research report on Saturday. Finally, BTIG Research began coverage on loanDepot in a research note on Monday. They set a "neutral" rating on the stock. Two analysts have rated the stock with a Hold rating and one has given a Sell rating to the company. According to MarketBeat.com, the stock has an average rating of "Reduce" and an average target price of $2.05.

loanDepot Stock Down 1.9%

The stock's fifty day simple moving average is $1.59 and its 200 day simple moving average is $1.43. The company has a quick ratio of 1.18, a current ratio of 1.18 and a debt-to-equity ratio of 6.71.

Insider Activity at loanDepot

In other loanDepot news, CEO Anthony Li Hsieh sold 81,604 shares of loanDepot 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 transaction, the chief executive officer directly owned 8,782,465 shares of the company's stock, valued at approximately $17,652,754.65. The trade was a 0.92% decrease in their ownership of the stock. The transaction was disclosed in a document filed with the Securities & Exchange Commission, which can be accessed through the SEC website. Also, insider Jeff Alexander Walsh sold 37,514 shares of the stock in a transaction on Tuesday, July 22nd. The shares were sold at an average price of $2.00, for a total value of $75,028.00. Following the sale, the insider 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 90 days, insiders sold 1,275,773 shares of company stock valued at $2,569,193. 83.04% of the stock is owned by insiders.

Hedge Funds Weigh In On loanDepot

Several hedge funds have recently made changes to their positions in the company. Aquatic Capital Management LLC acquired a new stake in loanDepot during the 4th quarter worth about $30,000. Alpine Global Management LLC purchased a new position in shares of loanDepot in the fourth quarter worth about $33,000. Wilshire Advisors LLC raised its stake in shares of 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 last quarter. Boothbay Fund Management LLC acquired a new stake in shares of loanDepot during the fourth quarter worth about $41,000. Finally, Invesco Ltd. acquired a new stake in shares of loanDepot during the first quarter worth about $44,000. 39.39% of the stock is owned by institutional investors and hedge funds.

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.