Kal Iyer Sells 26,738 Shares of Wealthfront (NASDAQ:WLTH) Stock

Wealthfront (NASDAQ:WLTH) VP Kal Iyer sold 26,738 shares of the business’s stock in a transaction that occurred on Thursday, September 17th. The stock was sold at an average price of $10.11, for a total value of $270,321.18. Following the sale, the vice president owned 232,494 shares of the company’s stock, valued at approximately $2,350,514.34. This represents a 10.31% decrease in their position. The sale was disclosed in a document filed with the Securities & Exchange Commission, which is accessible through this hyperlink. The transaction was executed under a pre-arranged Rule 10b5-1 trading plan.

Kal Iyer also recently made the following trade(s):

• On Wednesday, September 16th, Kal Iyer sold 10,408 shares of Wealthfront stock. The shares were sold at an average price of $10.19, for a total value of $106,057.52.
• On Tuesday, September 15th, Kal Iyer sold 33,583 shares of Wealthfront stock. The stock was sold at an average price of $10.73, for a total value of $360,345.59.

Wealthfront Stock Performance

WLTH remained flat at $10.10 during trading on Friday. The company had a trading volume of 16,620,451 shares, compared to its average volume of 1,690,857. The stock has a 50 day simple moving average of $9.48 and a 200 day simple moving average of $9.70. The company has a market capitalization of $1.58 billion and a price-to-earnings ratio of -10.86. Wealthfront has a twelve month low of $7.20 and a twelve month high of $14.88.

Wealthfront (NASDAQ:WLTH) last posted its quarterly earnings data on Wednesday, September 9th. The company reported $0.10 earnings per share for the quarter, topping the consensus estimate of $0.09 by $0.01. Wealthfront had a negative return on equity of 14.62% and a negative net margin of 19.42%.The firm had revenue of $91.87 million for the quarter. The company’s revenue for the quarter was up .9% on a year-over-year basis. As a group, sell-side analysts expect that Wealthfront will post 0.41 EPS for the current fiscal year.

Key Headlines Impacting Wealthfront

Here are the key news stories impacting Wealthfront this week:

• Positive Sentiment: Platform assets increased 12% year over year to $99 billion in the fiscal second quarter and exceeded $100 billion by the end of August. Funded clients rose 14% to 1.51 million, supporting the long-term growth outlook. Wealthfront platform assets article
• Positive Sentiment: Wealthfront reported quarterly EPS of $0.10, beating the $0.09 consensus estimate, while revenue reached $91.87 million. Analysts expect approximately $0.41 in full-year EPS.
• Positive Sentiment: Institutional interest provides an additional supportive signal. Index Venture Associates and BlackRock established sizable positions, while North Reef Capital increased its stake by 135.2%.
• Neutral Sentiment: Growth in assets and clients has not yet translated into comparable financial expansion: quarterly revenue increased only about 1% year over year. Wealthfront also reported a negative net margin of 19.42% and negative return on equity of 14.62%, keeping profitability a key investor concern.
• Neutral Sentiment: Analyst opinion remains mixed. Goldman Sachs maintained a neutral rating with a $10 price target, while RBC, Wells Fargo and other firms lowered targets but generally retained positive ratings. The overall consensus is “Hold,” with an average target near $12.
• Negative Sentiment: Insiders disclosed approximately $1.34 million of combined stock sales, including transactions by the CFO, CTO, vice presidents, Lauren Lin and a director. The selling may weigh on sentiment, although the reported transactions were primarily made to cover tax withholding on vested equity awards, and one director’s sale occurred under a pre-arranged Rule 10b5-1 plan. Wealthfront insider sales article

Hedge Funds Weigh In On Wealthfront

Several hedge funds have recently bought and sold shares of WLTH. Royal Bank of Canada acquired a new position in shares of Wealthfront in the 1st quarter valued at approximately $27,000. Strs Ohio acquired a new stake in shares of Wealthfront during the 1st quarter worth approximately $56,000. Squarepoint Ops LLC bought a new position in Wealthfront in the second quarter valued at approximately $90,000. Arizona State Retirement System bought a new position in Wealthfront in the second quarter valued at approximately $102,000. Finally, AXQ Capital LP acquired a new position in Wealthfront during the second quarter valued at approximately $105,000.

Wall Street Analysts Forecast Growth

A number of brokerages have issued reports on WLTH. Wall Street Zen upgraded shares of Wealthfront from a “sell” rating to a “hold” rating in a research report on Saturday, July 18th. Keefe, Bruyette & Woods cut their price target on Wealthfront from $11.00 to $10.50 and set a “market perform” rating for the company in a research note on Monday, July 13th. Wells Fargo & Company reduced their price target on Wealthfront from $12.00 to $11.50 and set an “overweight” rating on the stock in a research report on Tuesday, August 4th. The Goldman Sachs Group restated a “neutral” rating and set a $10.00 price objective on shares of Wealthfront in a research note on Thursday, September 10th. Finally, Royal Bank Of Canada dropped their price objective on Wealthfront from $13.00 to $11.00 and set an “outperform” rating for the company in a report on Thursday, September 10th. Four research analysts have rated the stock with a Buy rating, four have issued a Hold rating and one has issued a Sell rating to the stock. Based on data from MarketBeat.com, Wealthfront currently has a consensus rating of “Hold” and a consensus target price of $12.00.

About Wealthfront

Wealthfront, Inc is a U.S.-based digital wealth management company that provides automated investing, financial planning and cash management services through an online platform and mobile applications. The company is designed to help individuals manage their finances with technology-driven tools and diversified investment portfolios.

Its offerings have included automated investment accounts, tax-efficient portfolio management, financial planning tools, high-yield cash management products and lending services.