loanDepot (NYSE:LDI) Trading 7.2% Higher - Here's Why

Key Points

• loanDepot's stock price rose by 7.2% during mid-day trading, reaching $1.71 from a previous close of $1.59.
• UBS Group increased their price target for loanDepot shares from $1.25 to $1.40 while maintaining a "neutral" rating.
• CEO Anthony Li Hsieh sold 672,865 shares at an average price of $2.02, leading to a 6.64% decrease in his overall shareholding.

loanDepot, Inc. (NYSE:LDI - Get Free Report) shares rose 7.2% during mid-day trading on Friday . The company traded as high as $1.69 and last traded at $1.71. Approximately 464,873 shares were traded during mid-day trading, a decline of 58% from the average daily volume of 1,113,395 shares. The stock had previously closed at $1.59.

Analysts Set New Price Targets

Separately, UBS Group increased their target price on loanDepot from $1.25 to $1.40 and gave the stock a "neutral" rating in a research note on Wednesday, July 16th.

loanDepot Trading Down 0.8%

The stock has a market cap of $585.59 million, a PE ratio of -3.94 and a beta of 3.35. The company has a debt-to-equity ratio of 6.48, a quick ratio of 1.18 and a current ratio of 1.18. The stock has a fifty day moving average price of $1.47 and a 200 day moving average price of $1.42.

loanDepot (NYSE:LDI - Get Free Report) last posted its quarterly earnings data on Tuesday, May 6th. The company reported ($0.15) earnings per share (EPS) for the quarter, missing analysts' consensus estimates 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 for the quarter, compared to analysts' expectations of $275.11 million. Equities analysts expect that loanDepot, Inc. will post -0.23 EPS for the current year.

Insider Buying and Selling at loanDepot

In other news, 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 value of $75,028.00. Following the completion of the transaction, the insider directly owned 4,103,237 shares of the company's stock, valued at approximately $8,206,474. The trade was a 0.91% decrease in their position. The transaction was disclosed in a legal filing with the SEC, which is accessible through this link. Also, CEO Anthony Li Hsieh sold 267,326 shares of the business's stock in a transaction 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 transaction, the chief executive officer directly owned 9,072,771 shares of the company's stock, valued at approximately $18,236,269.71. The trade was a 2.86% decrease in their ownership of the stock. The disclosure for this sale can be found here. Insiders sold a total of 1,182,412 shares of company stock valued at $2,381,655 over the last quarter. 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. American Century Companies Inc. increased its position in loanDepot by 12.8% during the 4th quarter. American Century Companies Inc. now owns 120,232 shares of the company's stock valued at $245,000 after buying an additional 13,628 shares in the last quarter. LPL Financial LLC increased its position in loanDepot by 39.3% during the 4th quarter. LPL Financial LLC now owns 40,035 shares of the company's stock valued at $82,000 after buying an additional 11,286 shares in the last quarter. JPMorgan Chase & Co. increased its position in loanDepot by 70.5% during the 4th quarter. JPMorgan Chase & Co. now owns 306,221 shares of the company's stock valued at $625,000 after buying an additional 126,615 shares in the last quarter. Geode Capital Management LLC increased its position in loanDepot by 7.5% during the 4th quarter. Geode Capital Management LLC now owns 775,097 shares of the company's stock valued at $1,582,000 after buying an additional 54,350 shares in the last quarter. Finally, Optimize Financial Inc acquired a new stake in shares of loanDepot during the fourth quarter worth about $272,000. 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.