loanDepot (NYSE:LDI) Trading Down 8.7% - Here's What Happened

Key Points

• loanDepot shares fell 8.7% on Wednesday to $1.515, with about 1.85 million shares traded—roughly 39% below its average daily volume.
• Analysts' consensus is a "Strong Sell" with a $2.38 target; recent notes include sell/strong-sell ratings from firms such as Weiss Ratings and Zacks, alongside a couple of hold ratings.
• The company missed quarterly expectations (EPS -$0.10 vs. -$0.04 estimate; revenue $316.3M vs. $333.3M est.), reports negative net margin and ROE, and has a high debt-to-equity ratio of 8.22.

loanDepot, Inc. (NYSE:LDI - Get Free Report) dropped 8.7% on Wednesday . The company traded as low as $1.5201 and last traded at $1.5150. Approximately 1,848,754 shares traded hands during trading, a decline of 39% from the average daily volume of 3,044,168 shares. The stock had previously closed at $1.66.

Wall Street Analyst Weigh In

A number of equities research analysts have recently commented on the stock. Weiss Ratings reiterated a "sell (d-)" rating on shares of loanDepot in a report on Tuesday, April 21st. Zacks Research lowered shares of loanDepot from a "hold" rating to a "strong sell" rating in a research note on Wednesday, March 18th. BTIG Research restated a "neutral" rating on shares of loanDepot in a research report on Wednesday, March 11th. Finally, The Goldman Sachs Group set a $2.40 price target on loanDepot in a research note on Tuesday, January 6th. Two investment analysts have rated the stock with a Hold rating and three have assigned a Sell rating to the company's stock. According to MarketBeat.com, the company presently has a consensus rating of "Strong Sell" and a consensus target price of $2.38.

loanDepot Price Performance

The firm has a fifty day moving average of $1.64 and a 200 day moving average of $2.27. The company has a market capitalization of $510.92 million, a P/E ratio of -5.26 and a beta of 3.55. The company has a current ratio of 1.14, a quick ratio of 1.14 and a debt-to-equity ratio of 8.22.

loanDepot (NYSE:LDI - Get Free Report) last posted its earnings results on Tuesday, March 10th. The company reported ($0.10) earnings per share for the quarter, missing analysts' consensus estimates of ($0.04) by ($0.06). The firm had revenue of $316.27 million during the quarter, compared to the consensus estimate of $333.29 million. loanDepot had a negative net margin of 5.27% and a negative return on equity of 18.29%.

Institutional Investors Weigh In On loanDepot

Hedge funds and other institutional investors have recently added to or reduced their stakes in the business. Millennium Management LLC lifted its holdings in shares of loanDepot by 622.6% in the 3rd quarter. Millennium Management LLC now owns 5,620,553 shares of the company's stock valued at $17,255,000 after buying an additional 4,842,751 shares during the period. UBS Group AG raised its position in shares of loanDepot by 1,125.1% in the third quarter. UBS Group AG now owns 2,020,027 shares of the company's stock valued at $6,201,000 after buying an additional 1,855,136 shares during the last quarter. Wasatch Advisors LP acquired a new stake in shares of loanDepot in the fourth quarter valued at approximately $3,229,000. Geode Capital Management LLC increased its position in loanDepot by 134.4% during the second quarter. Geode Capital Management LLC now owns 1,925,712 shares of the company's stock worth $2,446,000 after purchasing an additional 1,104,021 shares during the last quarter. Finally, Squarepoint Ops LLC increased its position in loanDepot by 1,264.5% during the third quarter. Squarepoint Ops LLC now owns 703,939 shares of the company's stock worth $2,161,000 after purchasing an additional 652,348 shares during the last quarter. 39.39% of the stock is currently owned by hedge funds and other institutional investors.

loanDepot Company Profile

loanDepot, Inc NYSE: LDI is a leading non-bank consumer lender that provides a broad range of home and personal financing products through a digitally enabled platform. The company specializes in originating and servicing purchase and refinance mortgage loans, home equity lines of credit (HELOCs), and personal loans. Through its proprietary mello™ technology suite, loanDepot streamlines the application, underwriting, and closing processes for borrowers and real estate professionals, emphasizing speed, transparency, and a seamless digital experience.

Founded in 2010 by Anthony Hsieh, loanDepot has grown rapidly to become one of the largest independent mortgage lenders in the United States.

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