loanDepot (NYSE:LDI) Shares Gap Down Following Weak Earnings

loanDepot, Inc. (NYSE:LDI)’s stock price gapped down prior to trading on Wednesday after the company announced weaker than expected quarterly earnings. The stock had previously closed at $1.88, but opened at $1.76. loanDepot shares last traded at $1.6750, with a volume of 1,604,337 shares.

The company reported ($0.10) earnings per share for the quarter, missing the consensus estimate of ($0.04) by ($0.06). The company had revenue of $316.27 million for the quarter, compared to analyst estimates of $333.29 million. loanDepot had a negative return on equity of 22.40% and a negative net margin of 6.46%.

Wall Street Analyst Weigh In

A number of equities research analysts have commented on the company. Bank of America set a $1.75 target price on loanDepot in a report on Monday, December 1st. The Goldman Sachs Group set a $2.40 target price on shares of loanDepot in a report on Tuesday, January 6th. Finally, Weiss Ratings reissued a “sell (d-)” rating on shares of loanDepot in a research note on Thursday, January 22nd. Two analysts have rated the stock with a Hold rating and two have assigned a Sell rating to the company. According to data from MarketBeat.com, the stock presently has a consensus rating of “Reduce” and an average target price of $2.38.

Insider Buying and Selling

In related news, CEO Anthony Li Hsieh sold 884,495 shares of loanDepot stock in a transaction on Thursday, January 15th. The shares were sold at an average price of $2.70, for a total transaction of $2,388,136.50. The transaction was disclosed in a document filed with the SEC, which is accessible through this hyperlink. Insiders have sold a total of 2,600,000 shares of company stock valued at $6,561,770 in the last 90 days. Company insiders own 83.04% of the company’s stock.

Hedge Funds Weigh In On loanDepot

Several hedge funds and other institutional investors have recently bought and sold shares of LDI. Millennium Management LLC grew its position in loanDepot by 622.6% in the third quarter. Millennium Management LLC now owns 5,620,553 shares of the company’s stock valued at $17,255,000 after acquiring an additional 4,842,751 shares in the last quarter. UBS Group AG lifted its position in shares of loanDepot by 1,125.1% during the third quarter. UBS Group AG now owns 2,020,027 shares of the company’s stock worth $6,201,000 after purchasing an additional 1,855,136 shares in the last quarter. Wasatch Advisors LP acquired a new position in shares of loanDepot during the fourth quarter worth $3,229,000. Geode Capital Management LLC boosted its stake in shares of loanDepot by 134.4% in the second quarter. Geode Capital Management LLC now owns 1,925,712 shares of the company’s stock valued at $2,446,000 after purchasing an additional 1,104,021 shares during the period. Finally, Squarepoint Ops LLC grew its holdings in loanDepot by 1,264.5% during the 3rd quarter. Squarepoint Ops LLC now owns 703,939 shares of the company’s stock valued at $2,161,000 after purchasing an additional 652,348 shares in the last quarter. 39.39% of the stock is owned by institutional investors and hedge funds.

loanDepot Price Performance

The stock has a market cap of $568.17 million, a PE ratio of -4.75, a P/E/G ratio of 0.43 and a beta of 3.47. The company has a current ratio of 1.19, a quick ratio of 1.19 and a debt-to-equity ratio of 6.94. The company’s 50 day moving average is $2.25 and its 200-day moving average is $2.66.

loanDepot Company Profile

loanDepot, Inc (NYSE: LDI) is a leading non-bank consumer lender that provides a broad range of home and personal financing products through a digitally enabled platform. The company specializes in originating and servicing purchase and refinance mortgage loans, home equity lines of credit (HELOCs), and personal loans. Through its proprietary mello™ technology suite, loanDepot streamlines the application, underwriting, and closing processes for borrowers and real estate professionals, emphasizing speed, transparency, and a seamless digital experience.

Founded in 2010 by Anthony Hsieh, loanDepot has grown rapidly to become one of the largest independent mortgage lenders in the United States.