loanDepot (NYSE:LDI) Stock Price Down 8.3% - What's Next?

Key Points

• loanDepot's stock fell by 8.3% during mid-day trading, reaching a low of $1.60, with a total of approximately 1.18 million shares changing hands.
• UBS Group set a new price target of $1.40 for loanDepot and assigned a "neutral" rating, indicating cautious sentiment toward the stock.
• In recent insider trading activities, CEO Anthony Li Hsieh sold 672,865 shares at an average price of $2.02, reducing his ownership stake by 6.64%.

Shares of loanDepot, Inc. (NYSE:LDI - Get Free Report) fell 8.3% on Wednesday . The company traded as low as $1.60 and last traded at $1.60. 1,181,819 shares changed hands during mid-day trading, an increase of 6% from the average session volume of 1,113,587 shares. The stock had previously closed at $1.74.

Analysts Set New Price Targets

Separately, UBS Group increased their price objective on loanDepot from $1.25 to $1.40 and gave the company a "neutral" rating in a report on Wednesday, July 16th.

loanDepot Trading Up 7.9%

The company has a market cap of $565.80 million, a price-to-earnings ratio of -3.83 and a beta of 3.33. The company has a quick ratio of 1.18, a current ratio of 1.18 and a debt-to-equity ratio of 6.48. The company's 50-day moving average is $1.45 and its 200 day moving average is $1.43.

loanDepot (NYSE:LDI - Get Free Report) last issued its quarterly earnings data on Tuesday, May 6th. The company reported ($0.15) EPS for the quarter, missing the consensus estimate of ($0.07) by ($0.08). loanDepot had a negative net margin of 7.74% and a negative return on equity of 18.41%. The business had revenue of $273.62 million during the quarter, compared to analyst estimates of $275.11 million. Research analysts predict that loanDepot, Inc. will post -0.23 EPS for the current year.

Insider Buying and Selling

In other news, insider Jeff Alexander Walsh sold 37,514 shares of loanDepot stock in a transaction that occurred on Tuesday, July 22nd. The stock was sold at an average price of $2.00, for a total value of $75,028.00. Following the sale, the insider directly owned 4,103,237 shares of the company's stock, valued at $8,206,474. The trade was a 0.91% decrease in their ownership of the stock. The sale was disclosed in a legal filing with the SEC, which is available at this link. Also, CEO Anthony Li Hsieh sold 267,326 shares of loanDepot stock in a transaction that occurred on Wednesday, July 23rd. The stock was sold at an average price of $2.01, for a total value of $537,325.26. Following the completion of the sale, the chief executive officer directly owned 9,072,771 shares in the company, valued at $18,236,269.71. This represents a 2.86% decrease in their ownership of the stock. The disclosure for this sale can be found here. Insiders sold 1,182,412 shares of company stock worth $2,381,655 over the last ninety days. Corporate insiders own 78.05% of the company's stock.

Hedge Funds Weigh In On loanDepot

A number of institutional investors and hedge funds have recently added to or reduced their stakes in the stock. Philosophy Capital Management LLC boosted its holdings in loanDepot by 73.3% in the 1st quarter. Philosophy Capital Management LLC now owns 4,141,164 shares of the company's stock valued at $4,928,000 after purchasing an additional 1,751,245 shares during the last quarter. Philadelphia Financial Management of San Francisco LLC acquired a new stake in shares of loanDepot during the 1st quarter worth about $1,469,000. Tidal Investments LLC acquired a new stake in shares of loanDepot during the 4th quarter worth about $1,691,000. Charles Schwab Investment Management Inc. raised its stake in loanDepot by 1,671.4% during the 1st quarter. Charles Schwab Investment Management Inc. now owns 655,137 shares of the company's stock worth $780,000 after acquiring an additional 618,153 shares in the last quarter. Finally, Millennium Management LLC raised its stake in loanDepot by 167.1% during the 4th quarter. Millennium Management LLC now owns 650,987 shares of the company's stock worth $1,328,000 after acquiring an additional 407,299 shares in the last quarter. Institutional investors and hedge funds own 39.39% of the company's stock.

loanDepot Company Profile

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.