loanDepot (NYSE:LDI) Stock Price Down 4.5% - What's Next?

Key Points

• loanDepot shares fell 4.5% to $0.6070, with trading volume well below its daily average. The stock remains below its 50-day and 200-day moving averages.
• Analyst sentiment is strongly negative: the consensus rating is “Strong Sell”, based on three Sell and two Hold ratings, with a consensus price target of $1.92.
• CEO Anthony Hsieh purchased 60,208 shares at an average price of $0.92, while insiders own 65.9% of the company. Despite some institutional buying, loanDepot carries a high debt-to-equity ratio of 10.60.

loanDepot, Inc. (NYSE:LDI - Get Free Report) shares dropped 4.5% on Monday. The stock traded as low as $0.5909 and last traded at $0.6070. Approximately 2,346,341 shares changed hands during mid-day trading, a decline of 68% from the average daily volume of 7,360,310 shares. The stock had previously closed at $0.6353.

Analyst Ratings Changes

LDI has been the topic of several analyst reports. Zacks Research lowered shares of loanDepot from a "hold" rating to a "strong sell" rating in a report on Thursday, August 27th. Weiss Ratings restated a "sell (d-)" rating on shares of loanDepot in a research note on Friday, July 17th. Wall Street Zen raised loanDepot from a "sell" rating to a "hold" rating in a research report on Saturday, August 8th. Finally, The Goldman Sachs Group set a $1.00 price target on loanDepot in a research note on Monday, August 10th. Two equities research analysts have rated the stock with a Hold rating and three have issued a Sell rating to the stock. According to data from MarketBeat.com, the company has a consensus rating of "Strong Sell" and a consensus price target of $1.92.

loanDepot Price Performance

The company has a debt-to-equity ratio of 10.60, a quick ratio of 1.11 and a current ratio of 1.11. The firm has a market cap of $205.06 million, a price-to-earnings ratio of -2.02 and a beta of 3.45. The stock's 50 day simple moving average is $0.84 and its 200-day simple moving average is $1.14.

Insider Buying and Selling at loanDepot

In other news, CEO Anthony Hsieh bought 60,208 shares of loanDepot stock in a transaction that occurred on Tuesday, September 1st. The stock was bought at an average price of $0.92 per share, for a total transaction of $55,391.36. Following the purchase, the chief executive officer directly owned 1,000,000 shares of the company's stock, valued at approximately $920,000. The trade was a 6.41% increase in their position. The transaction was disclosed in a legal filing with the SEC, which is accessible through this hyperlink. Insiders have acquired 1,000,000 shares of company stock worth $911,936 over the last 90 days. 65.90% of the stock is owned by insiders.

Institutional Trading of loanDepot

Several large investors have recently added to or reduced their stakes in LDI. Harbour Investments Inc. lifted its stake in shares of loanDepot by 94.7% in the 4th quarter. Harbour Investments Inc. now owns 17,522 shares of the company's stock valued at $36,000 after purchasing an additional 8,522 shares during the period. Bank of New York Mellon Corp grew its position in loanDepot by 10.6% during the first quarter. Bank of New York Mellon Corp now owns 248,355 shares of the company's stock valued at $353,000 after buying an additional 23,769 shares during the period. Citizens Financial Group Inc. RI increased its holdings in loanDepot by 72.2% in the first quarter. Citizens Financial Group Inc. RI now owns 67,952 shares of the company's stock valued at $96,000 after buying an additional 28,500 shares in the last quarter. Caitong International Asset Management Co. Ltd acquired a new position in shares of loanDepot in the fourth quarter worth about $73,000. Finally, Requisite Capital Management LLC raised its position in shares of loanDepot by 200.0% in the second quarter. Requisite Capital Management LLC now owns 60,000 shares of the company's stock worth $75,000 after acquiring an additional 40,000 shares during the period. Hedge funds and other institutional investors own 39.39% of the company's stock.

loanDepot Company Profile

loanDepot, Inc NYSE: LDI is a U.S.-based mortgage lending company that provides home financing through digital and traditional channels. Its primary business includes originating purchase mortgages, refinance loans and other residential lending products for consumers buying, refinancing or accessing equity in their homes.

The company operates a technology-enabled lending platform designed to simplify the mortgage application and underwriting process. loanDepot also provides related services, including mortgage servicing and support for borrowers throughout the life of their loans.

This instant news alert was generated by narrative science technology and financial data from MarketBeat in order to provide readers with the fastest reporting and unbiased coverage. Please send any questions or comments about this story to contact@marketbeat.com.