loanDepot (NYSE:LDI) Stock Falls 4.5% – Here’s Why

loanDepot, Inc. (NYSE:LDI)’s stock price was down 4.5% during trading 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 session volume of 7,360,310 shares. The stock had previously closed at $0.6353.

Wall Street Analyst Weigh In

Several research firms recently issued reports on LDI. Wall Street Zen raised shares of loanDepot from a “sell” rating to a “hold” rating in a research note on Saturday, August 8th. Zacks Research raised loanDepot from a “strong sell” rating to a “hold” rating in a research report on Monday. Weiss Ratings reaffirmed a “sell (d-)” rating on shares of loanDepot in a research report on Friday, July 17th. Finally, The Goldman Sachs Group set a $1.00 price objective on shares of loanDepot in a report on Monday, August 10th. Three analysts have rated the stock with a Hold rating and two have assigned a Sell rating to the company’s stock. Based on data from MarketBeat.com, loanDepot has an average rating of “Reduce” and a consensus price target of $1.92.

loanDepot Trading Up 1.5%

The firm has a 50-day moving average of $0.84 and a 200 day moving average of $1.14. The company has a current ratio of 1.11, a quick ratio of 1.11 and a debt-to-equity ratio of 10.60. The stock has a market capitalization of $211.81 million, a price-to-earnings ratio of -2.09 and a beta of 3.45.

Insider Transactions at loanDepot

In related news, CEO Anthony Hsieh bought 364,367 shares of the stock in a transaction on Tuesday, August 25th. The shares were purchased at an average price of $0.92 per share, with a total value of $335,217.64. Following the purchase, the chief executive officer owned 471,466 shares in the company, valued at approximately $433,748.72. This represents a 340.22% increase in their ownership of the stock. The purchase was disclosed in a document filed with the SEC, which is available through this hyperlink. In the last three months, insiders have bought 1,000,000 shares of company stock valued at $911,936. Corporate insiders own 65.90% of the company’s stock.

Hedge Funds Weigh In On loanDepot

A number of institutional investors and hedge funds have recently added to or reduced their stakes in LDI. Bank of New York Mellon Corp raised 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 boosted its position in loanDepot by 72.2% during the first quarter. Citizens Financial Group Inc. RI now owns 67,952 shares of the company’s stock valued at $96,000 after purchasing an additional 28,500 shares during the last quarter. Caitong International Asset Management Co. Ltd acquired a new stake in loanDepot during the fourth quarter valued at $73,000. Requisite Capital Management LLC grew its stake in loanDepot by 200.0% in the second quarter. Requisite Capital Management LLC now owns 60,000 shares of the company’s stock valued at $75,000 after purchasing an additional 40,000 shares in the last quarter. Finally, Hsbc Holdings PLC acquired a new position in loanDepot in the 1st quarter worth about $57,000. 39.39% of the stock is owned by institutional investors.

About loanDepot

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.