Goosehead Insurance (NASDAQ:GSHD) Stock Price Up 4.6% Following Insider Buying Activity

Key Points

• Goosehead Insurance shares rose 4.6% to about $45.66 after major shareholder Durable Capital Partners purchased 150,000 shares for approximately $7.1 million, increasing its ownership by 5.84%.
• Analyst opinions remain mixed: seven analysts rate the stock a Buy, six a Hold, and one a Sell. The consensus rating is Hold, with an average price target of $68.45.
• In its latest quarter, Goosehead reported EPS of $0.64, exceeding estimates of $0.47, while revenue reached $95.63 million and increased 20.6% year over year but fell short of expectations.

Goosehead Insurance (NASDAQ:GSHD - Get Free Report) shares were up 4.6% on Friday following insider buying activity. The company traded as high as $45.84 and last traded at $45.6550. 71,186 shares changed hands during trading, a decline of 85% from the average daily volume of 490,118 shares. The stock had previously closed at $43.65.

Specifically, major shareholder Durable Capital Partners Lp purchased 150,000 shares of the firm's stock in a transaction dated Tuesday, September 22nd. The shares were acquired at an average price of $47.32 per share, with a total value of $7,098,000.00. Following the purchase, the insider directly owned 2,720,260 shares of the company's stock, valued at $128,722,703.20. The trade was a 5.84% increase in their ownership of the stock. The purchase was disclosed in a legal filing with the SEC, which is available through this link.

Analyst Upgrades and Downgrades

Several research firms recently weighed in on GSHD. Weiss Ratings downgraded Goosehead Insurance from a "hold (c)" rating to a "hold (c-)" rating in a research note on Friday, September 18th. Piper Sandler boosted their target price on Goosehead Insurance from $52.00 to $72.00 and gave the stock an "overweight" rating in a research report on Wednesday, July 15th. Keefe, Bruyette & Woods lowered their target price on Goosehead Insurance from $80.00 to $72.00 and set an "outperform" rating on the stock in a report on Thursday, July 23rd. Royal Bank Of Canada raised their price target on Goosehead Insurance from $55.00 to $58.00 and gave the company a "sector perform" rating in a research report on Thursday, July 23rd. Finally, JPMorgan Chase & Co. raised their price target on Goosehead Insurance from $55.00 to $60.00 and gave the company a "neutral" rating in a research report on Monday, July 13th. Seven research analysts have rated the stock with a Buy rating, six have assigned a Hold rating and one has assigned a Sell rating to the stock. Based on data from MarketBeat, the stock has an average rating of "Hold" and a consensus price target of $68.45.

Goosehead Insurance Stock Performance

The stock has a market capitalization of $1.63 billion, a price-to-earnings ratio of 33.42, a P/E/G ratio of 1.63 and a beta of 1.36. The company has a 50-day moving average of $62.44 and a 200-day moving average of $49.96.

Goosehead Insurance (NASDAQ:GSHD - Get Free Report) last released its quarterly earnings results on Wednesday, July 22nd. The company reported $0.64 earnings per share for the quarter, topping analysts' consensus estimates of $0.47 by $0.17. The company had revenue of $95.63 million during the quarter, compared to analysts' expectations of $103.30 million. Goosehead Insurance had a negative return on equity of 21.00% and a net margin of 8.78%.The business's revenue for the quarter was up 20.6% compared to the same quarter last year. During the same period in the previous year, the firm posted $0.49 earnings per share. As a group, analysts expect that Goosehead Insurance will post 1.46 earnings per share for the current year.

Institutional Inflows and Outflows

Institutional investors have recently added to or reduced their stakes in the company. MassMutual Private Wealth & Trust FSB increased its stake in shares of Goosehead Insurance by 484.1% in the second quarter. MassMutual Private Wealth & Trust FSB now owns 514 shares of the company's stock valued at $25,000 after purchasing an additional 426 shares during the period. Versant Capital Management Inc increased its position in Goosehead Insurance by 471.9% in the 2nd quarter. Versant Capital Management Inc now owns 772 shares of the company's stock valued at $37,000 after acquiring an additional 637 shares during the period. Handelsbanken Fonder AB increased its position in Goosehead Insurance by 12.1% in the 2nd quarter. Handelsbanken Fonder AB now owns 6,500 shares of the company's stock valued at $315,000 after acquiring an additional 700 shares during the period. WINTON GROUP Ltd raised its stake in Goosehead Insurance by 7.1% during the 4th quarter. WINTON GROUP Ltd now owns 15,103 shares of the company's stock valued at $1,112,000 after acquiring an additional 997 shares in the last quarter. Finally, Integrated Wealth Concepts LLC bought a new stake in Goosehead Insurance during the 2nd quarter valued at $48,000.

About Goosehead Insurance

Goosehead Insurance, Inc is an independent insurance agency that distributes personal and commercial insurance products through a network of corporate and franchised locations. The company represents multiple insurance carriers, allowing its agents to compare coverage options and help customers select policies based on their individual needs.

Its product offerings include homeowners, auto, renters, flood, personal umbrella and other personal-lines insurance, along with selected commercial insurance products.

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