UBS Group Has Lowered Expectations for Goosehead Insurance (NASDAQ:GSHD) Stock Price

Key Points

• UBS Group has reduced its price target for Goosehead Insurance (NASDAQ:GSHD) from $140.00 to $136.00, while maintaining a "buy" rating, indicating a potential upside of 60.19% from the current price.
• Goosehead Insurance recently reported a quarterly earnings per share (EPS) of $0.49, falling short of the consensus estimate of $0.53, though revenue grew 20.4% year-over-year.
• The stock has also experienced a 3.1% decline, closing at $84.90 amid various changes in broker ratings and price targets from several firms.

Goosehead Insurance (NASDAQ:GSHD - Get Free Report) had its price target cut by equities researchers at UBS Group from $140.00 to $136.00 in a report issued on Monday,Benzinga reports. The brokerage presently has a "buy" rating on the stock. UBS Group's target price would indicate a potential upside of 60.19% from the company's current price.

Several other brokerages have also commented on GSHD. JPMorgan Chase & Co. decreased their price objective on shares of Goosehead Insurance from $100.00 to $98.00 and set a "neutral" rating on the stock in a report on Thursday, April 24th. JMP Securities restated a "market outperform" rating and issued a $150.00 price objective on shares of Goosehead Insurance in a report on Thursday, April 24th. Piper Sandler restated a "neutral" rating and issued a $109.00 price objective (down from $122.00) on shares of Goosehead Insurance in a report on Thursday. Keefe, Bruyette & Woods decreased their price target on shares of Goosehead Insurance from $130.00 to $120.00 and set an "outperform" rating for the company in a research report on Thursday. Finally, BMO Capital Markets decreased their price target on shares of Goosehead Insurance from $142.00 to $110.00 and set a "market perform" rating for the company in a research report on Friday. One analyst has rated the stock with a sell rating, five have issued a hold rating and four have given a buy rating to the company. According to data from MarketBeat, the company currently has a consensus rating of "Hold" and a consensus target price of $109.50.

Goosehead Insurance Trading Down 3.1%

NASDAQ:GSHD traded down $2.72 on Monday, hitting $84.90. The stock had a trading volume of 468,873 shares, compared to its average volume of 286,796. The company has a quick ratio of 2.92, a current ratio of 2.92 and a debt-to-equity ratio of 2.10. The stock has a market cap of $3.19 billion, a price-to-earnings ratio of 75.13, a PEG ratio of 7.25 and a beta of 1.42. The company has a fifty day moving average price of $103.63 and a two-hundred day moving average price of $107.87. Goosehead Insurance has a 1-year low of $79.33 and a 1-year high of $130.39.

Goosehead Insurance (NASDAQ:GSHD - Get Free Report) last issued its quarterly earnings data on Wednesday, July 23rd. The company reported $0.49 EPS for the quarter, missing the consensus estimate of $0.53 by ($0.04). Goosehead Insurance had a negative return on equity of 59.49% and a net margin of 8.76%. The company had revenue of $94.03 million during the quarter, compared to analyst estimates of $94.18 million. During the same quarter in the prior year, the company posted $0.43 earnings per share. The business's revenue was up 20.4% compared to the same quarter last year. Equities research analysts expect that Goosehead Insurance will post 0.83 earnings per share for the current fiscal year.

Insider Buying and Selling at Goosehead Insurance

In related news, major shareholder & Robyn Jones Descendants Mark sold 21,385 shares of the stock in a transaction on Wednesday, May 14th. The shares were sold at an average price of $104.76, for a total value of $2,240,292.60. Following the transaction, the insider directly owned 132,349 shares of the company's stock, valued at $13,864,881.24. This trade represents a 13.91% decrease in their position. The transaction was disclosed in a filing with the SEC, which is accessible through the SEC website. Also, major shareholder Lindy Langston sold 2,853 shares of the stock in a transaction on Wednesday, May 28th. The shares were sold at an average price of $110.16, for a total transaction of $314,286.48. The disclosure for this sale can be found here. In the last three months, insiders have sold 118,966 shares of company stock valued at $12,407,821. Insiders own 37.76% of the company's stock.

Institutional Inflows and Outflows

Hedge funds have recently modified their holdings of the stock. Principal Financial Group Inc. grew its position in shares of Goosehead Insurance by 2.4% in the 1st quarter. Principal Financial Group Inc. now owns 121,654 shares of the company's stock valued at $14,362,000 after buying an additional 2,800 shares during the last quarter. Crossmark Global Holdings Inc. purchased a new position in shares of Goosehead Insurance in the 1st quarter valued at $208,000. Bessemer Group Inc. grew its position in shares of Goosehead Insurance by 192.9% in the 1st quarter. Bessemer Group Inc. now owns 290 shares of the company's stock valued at $34,000 after buying an additional 191 shares during the last quarter. GAMMA Investing LLC grew its position in shares of Goosehead Insurance by 11,900.8% in the 1st quarter. GAMMA Investing LLC now owns 72,725 shares of the company's stock valued at $8,586,000 after buying an additional 72,119 shares during the last quarter. Finally, KBC Group NV grew its position in shares of Goosehead Insurance by 20.7% in the 1st quarter. KBC Group NV now owns 1,101 shares of the company's stock valued at $130,000 after buying an additional 189 shares during the last quarter.

Goosehead Insurance Company Profile

Goosehead Insurance, Inc operates as a holding company for Goosehead Financial, LLC that engages in the provision of personal lines insurance agency services in the United States. The company offers homeowner's, automotive, dwelling property, flood, wind, earthquake, excess liability or umbrella, motorcycle, recreational vehicle, general liability, property, and life insurance products and services.

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