Wealthfront (NASDAQ:WLTH) Price Target Cut to $11.00 by Analysts at Keefe, Bruyette & Woods

Key Points

• Keefe, Bruyette & Woods cut Wealthfront’s price target to $11 from $12 and kept a market perform rating, while the broader analyst consensus remains Hold with a $12.75 target.
• Wealthfront shares fell 15.6% to $9.71 after the company reported quarterly EPS of $0.07, missing expectations of $0.09, even as revenue rose 7.1% year over year to $90.48 million.
• The company still posted strong operational growth, with record Total Platform Assets of $96.6 billion, up 19% year over year, and gains in both funded clients and funded accounts.

Wealthfront (NASDAQ:WLTH - Get Free Report) had its price target dropped by stock analysts at Keefe, Bruyette & Woods from $12.00 to $11.00 in a research note issued on Friday,Benzinga reports. The firm currently has a "market perform" rating on the stock. Keefe, Bruyette & Woods' target price would suggest a potential upside of 13.31% from the company's current price.

Several other equities research analysts have also weighed in on the stock. JPMorgan Chase & Co. lowered their target price on shares of Wealthfront from $13.00 to $12.00 and set an "overweight" rating on the stock in a report on Friday. Wells Fargo & Company boosted their target price on shares of Wealthfront from $12.00 to $13.00 and gave the company an "overweight" rating in a research report on Monday, May 4th. Royal Bank Of Canada reissued an "outperform" rating and set a $13.00 target price (down from $14.00) on shares of Wealthfront in a report on Friday. Citizens Jmp reduced their price objective on shares of Wealthfront from $20.00 to $17.00 and set a "market outperform" rating on the stock in a research note on Monday, March 16th. Finally, The Goldman Sachs Group dropped their target price on shares of Wealthfront from $12.00 to $10.50 and set a "neutral" rating for the company in a report on Thursday, March 12th. Four analysts have rated the stock with a Buy rating, four have assigned a Hold rating and one has issued a Sell rating to the stock. According to MarketBeat, the stock presently has a consensus rating of "Hold" and a consensus target price of $12.75.

Wealthfront Trading Down 15.6%

Shares of WLTH stock traded down $1.79 during midday trading on Friday, reaching $9.71. 1,225,416 shares of the company were exchanged, compared to its average volume of 1,405,896. Wealthfront has a 12 month low of $7.20 and a 12 month high of $14.88. The business has a 50 day simple moving average of $10.85.

Wealthfront (NASDAQ:WLTH - Get Free Report) last released its quarterly earnings results on Thursday, June 4th. The company reported $0.07 earnings per share (EPS) for the quarter, missing analysts' consensus estimates of $0.09 by ($0.02). The firm had revenue of $90.48 million for the quarter. The company's revenue for the quarter was up 7.1% on a year-over-year basis. On average, equities research analysts predict that Wealthfront will post 0.46 earnings per share for the current year.

Institutional Investors Weigh In On Wealthfront

A number of hedge funds and other institutional investors have recently added to or reduced their stakes in WLTH. Realta Investment Advisors purchased a new position in shares of Wealthfront during the fourth quarter worth about $194,000. Teacher Retirement System of Texas purchased a new position in shares of Wealthfront during the fourth quarter worth about $2,310,000. Teachers Retirement System of The State of Kentucky purchased a new position in shares of Wealthfront during the fourth quarter worth about $453,000. UBS Group AG bought a new stake in Wealthfront in the 4th quarter worth approximately $2,243,000. Finally, Wealthfront Advisers LLC bought a new stake in Wealthfront in the 4th quarter worth approximately $326,000.

Wealthfront News Summary

Here are the key news stories impacting Wealthfront this week:

• Positive Sentiment: Wealthfront reported record Total Platform Assets of $96.6 billion, up 19% year over year, along with 15% growth in funded clients and 15% growth in funded accounts, signaling continued customer and asset growth. Wealthfront Reports Fiscal First Quarter 2027 Results
• Positive Sentiment: The company said new product enhancements, including Wealthfront Home Lending, Cash Management improvements, and a cross-product adoption incentive, are helping deepen client engagement and drive account openings. Wealthfront Posts Solid Q1 Growth and Expands Platform
• Positive Sentiment: JPMorgan kept an overweight rating on Wealthfront and still sees upside, despite trimming its price target to $12 from $13. Benzinga
• Positive Sentiment: Zacks upgraded Wealthfront to Buy, reflecting improving sentiment around the company’s earnings outlook. Wealthfront (WLTH) Upgraded to Buy: What Does It Mean for the Stock?
• Neutral Sentiment: Wealthfront’s fiscal Q1 earnings snapshot and earnings call transcript mainly reiterate the quarter’s results and management commentary, which investors are likely already digesting. Wealthfront: Fiscal Q1 Earnings Snapshot
• Negative Sentiment: The company missed analyst EPS estimates, reporting $0.07 per share versus the expected $0.09, which may be weighing on the stock. Wealthfront stock
• Negative Sentiment: Net income fell 51% year over year and adjusted EBITDA slipped slightly, raising near-term concerns about margin pressure from higher stock-based compensation and operating expenses. Wealthfront Corporation Reports $90.5 Million in Q1 Revenue, 7% Year-Over-Year Growth and Record Total Platform Assets of $96.6 Billion

Wealthfront Company Profile

Wealthfront NASDAQ: WLTH is a technology-driven wealth management firm that provides automated investment services to individual investors. Operating as a robo-advisor, the company uses algorithms and software to construct and manage diversified portfolios largely composed of low-cost exchange-traded funds (ETFs). Its platform is geared toward long-term, goal-based investing with an emphasis on passive strategies, automated rebalancing and straightforward user experience delivered through web and mobile applications.

The company’s product suite includes automated portfolio management, tax-loss harvesting and goal-planning tools that help clients set and track financial objectives.

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.