Wealthfront (NASDAQ:WLTH) CTO Julien Wetterwald Sells 8,130 Shares

Wealthfront (NASDAQ:WLTH) CTO Julien Wetterwald sold 8,130 shares of the business’s stock in a transaction on Wednesday, September 16th. The stock was sold at an average price of $10.19, for a total value of $82,844.70. Following the sale, the chief technology officer owned 722,663 shares in the company, valued at $7,363,935.97. This represents a 1.11% decrease in their position. The sale was disclosed in a legal filing with the Securities & Exchange Commission, which is available through this link. The sale was made to cover tax withholding obligations related to the vesting of equity awards.

Julien Wetterwald also recently made the following trade(s):

• On Tuesday, September 15th, Julien Wetterwald sold 26,231 shares of Wealthfront stock. The shares were sold at an average price of $10.73, for a total value of $281,458.63.

Wealthfront Trading Down 0.7%

Shares of WLTH stock opened at $10.10 on Friday. The business’s 50-day moving average price is $9.48 and its 200-day moving average price is $9.70. Wealthfront has a 12 month low of $7.20 and a 12 month high of $14.88. The firm has a market capitalization of $1.58 billion and a price-to-earnings ratio of -10.86.

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

Key Headlines Impacting Wealthfront

Here are the key news stories impacting Wealthfront this week:

• Positive Sentiment: Platform assets rose 12% year over year to $99 billion in the fiscal second quarter and surpassed $100 billion by the end of August. Funded clients increased 14% to 1.51 million, reinforcing Wealthfront’s long-term growth potential. Wealthfront Tops $100 Billion in Platform Assets
• Positive Sentiment: Wealthfront reported quarterly earnings of $0.10 per share, exceeding the $0.09 analyst consensus, with revenue of $91.87 million. Analysts currently expect approximately $0.41 in earnings per share for the full year.
• Neutral Sentiment: The company’s asset and client growth has not yet translated into comparable financial growth: revenue increased only about 1% year over year, while Wealthfront continued to post a negative net margin and negative return on equity. This raises questions about the pace of margin improvement.
• Neutral Sentiment: Analyst sentiment remains mixed. Goldman Sachs maintained a neutral rating with a $10 target, while RBC and JPMorgan reduced their price targets to $11 and $12, respectively, but retained outperform or overweight ratings. The broader consensus is “Hold,” with a $12 target price.
• Negative Sentiment: Executives and other insiders disclosed roughly $1.34 million in combined stock sales, including transactions by the CFO, CTO, two vice presidents, another insider and a director. The sales could weigh on sentiment, although most were explicitly made for tax withholding and one occurred under a pre-arranged Rule 10b5-1 plan. Wealthfront Insider Sales

Analysts Set New Price Targets

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

Institutional Investors Weigh In On Wealthfront

Several hedge funds have recently bought and sold shares of WLTH. Whetstone Capital Advisors LLC lifted its holdings in shares of Wealthfront by 10.6% during the 2nd quarter. Whetstone Capital Advisors LLC now owns 604,160 shares of the company’s stock worth $5,401,000 after acquiring an additional 57,753 shares during the last quarter. Squarepoint Ops LLC purchased a new stake in Wealthfront during the 2nd quarter valued at about $90,000. Arizona State Retirement System bought a new position in Wealthfront during the 2nd quarter worth approximately $102,000. AXQ Capital LP bought a new position in Wealthfront during the 2nd quarter worth approximately $105,000. Finally, ICONIQ Capital LLC purchased a new position in Wealthfront in the 2nd quarter worth approximately $111,000.

Wealthfront Company Profile

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.