Wealthfront (NASDAQ:WLTH) Shares Down 4.9% – Time to Sell?

Wealthfront (NASDAQ:WLTH) traded down 4.9% on Tuesday. The stock traded as low as $10.22 and last traded at $10.1460. Approximately 532,948 shares were traded during trading, a decline of 69% from the average daily volume of 1,739,001 shares. The stock had previously closed at $10.67.

Wall Street Analyst Weigh In

Several analysts have recently weighed in on WLTH shares. Keefe, Bruyette & Woods lowered their target price 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. Weiss Ratings restated a “sell (d)” rating on shares of Wealthfront in a research report on Friday, October 2nd. Wall Street Zen raised shares of Wealthfront from a “sell” rating to a “hold” rating in a research note on Saturday, July 18th. The Goldman Sachs Group reaffirmed a “neutral” rating and set a $11.00 target price on shares of Wealthfront in a report on Wednesday, October 7th. Finally, Needham & Company LLC reaffirmed a “buy” rating and set a $13.00 price target on shares of Wealthfront in a research note on Wednesday, October 7th. Five equities research analysts have rated the stock with a Buy rating, four have given a Hold rating and one has issued a Sell rating to the company’s stock. Based on data from MarketBeat.com, the stock presently has an average rating of “Hold” and an average price target of $12.29.

Wealthfront Trading Up 3.5%

The firm’s fifty day moving average is $9.85 and its 200-day moving average is $9.97.

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 net margin of 19.42% and a negative return on equity of 14.62%. The company had revenue of $91.87 million during the quarter. The company’s revenue was up .9% compared to the same quarter last year. On average, research analysts anticipate that Wealthfront will post 0.41 earnings per share for the current fiscal year.

Insider Buying and Selling

In other news, CTO Julien Wetterwald sold 26,138 shares of the company’s stock in a transaction dated Thursday, September 17th. The stock was sold at an average price of $10.10, for a total transaction of $263,993.80. Following the sale, the chief technology officer directly owned 696,525 shares in the company, valued at $7,034,902.50. This represents a 3.62% decrease in their ownership of the stock. The sale was disclosed in a filing with the SEC, which is available at this link. The transaction was executed under a pre-arranged Rule 10b5-1 trading plan. Also, CFO Alan Imberman sold 76,540 shares of the business’s stock in a transaction dated Thursday, September 17th. The stock was sold at an average price of $10.10, for a total value of $773,054.00. Following the transaction, the chief financial officer owned 396,970 shares of the company’s stock, valued at approximately $4,009,397. The trade was a 16.16% decrease in their ownership of the stock. The SEC filing for this sale provides additional information. The transaction was executed under a pre-arranged Rule 10b5-1 trading plan. In the last 90 days, insiders have sold 270,688 shares of company stock valued at $2,796,816. 27.36% of the stock is owned by company insiders.

Institutional Investors Weigh In On Wealthfront

A number of large investors have recently modified their holdings of WLTH. Congress Asset Management Co. increased its position in Wealthfront by 22.1% during the third quarter. Congress Asset Management Co. now owns 1,129,703 shares of the company’s stock valued at $11,726,000 after acquiring an additional 204,498 shares during the last quarter. Whetstone Capital Advisors LLC increased its holdings in Wealthfront by 10.6% in 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 in the last quarter. Squarepoint Ops LLC bought a new stake in Wealthfront during the 2nd quarter worth approximately $90,000. Arizona State Retirement System purchased a new position in Wealthfront during the second quarter valued at approximately $102,000. Finally, AXQ Capital LP bought a new position in shares of Wealthfront in the second quarter worth approximately $105,000.

About Wealthfront

Wealthfront, Inc is a U.S.-focused financial technology company that provides automated investing, digital financial planning and cash-management services through an online platform. Its services are designed to help individuals manage portfolios, save for financial goals and oversee their finances without relying on traditional branch-based advisory services.

The company’s offerings have included diversified, automated investment portfolios; a cash account for saving and managing everyday funds; financial-planning tools; and lending products such as portfolio lines of credit.