Insider Selling: Wealthfront (NASDAQ:WLTH) CTO Sells $82,844.70 in Stock

Wealthfront (NASDAQ:WLTH) CTO Julien Wetterwald sold 8,130 shares of the business’s stock in a transaction dated Wednesday, September 16th. The shares were sold at an average price of $10.19, for a total value of $82,844.70. Following the completion of the transaction, the chief technology officer owned 722,663 shares in the company, valued at $7,363,935.97. The trade was a 1.11% decrease in their ownership of the stock. The sale was disclosed in a filing with the Securities & Exchange Commission, which is accessible through this hyperlink. 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 stock was sold at an average price of $10.73, for a total value of $281,458.63.

Wealthfront Stock Performance

Shares of WLTH traded down $0.05 during mid-day trading on Thursday, hitting $10.12. 3,124,872 shares of the stock were exchanged, compared to its average volume of 1,606,351. Wealthfront has a 52-week low of $7.20 and a 52-week high of $14.88. The firm has a 50-day moving average of $9.46 and a two-hundred day moving average of $9.69. The company has a market cap of $1.58 billion and a PE ratio of -10.88.

Wealthfront (NASDAQ:WLTH) last issued 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. The company had revenue of $91.87 million for the quarter. Wealthfront had a negative return on equity of 14.62% and a negative net margin of 19.42%.Wealthfront’s quarterly revenue was up .9% compared to the same quarter last year. On average, sell-side analysts predict that Wealthfront will post 0.41 EPS for the current year.

Wealthfront News Summary

Here are the key news stories impacting Wealthfront this week:

• Positive Sentiment: Wealthfront’s platform assets surpassed $100 billion by the end of August, while second-quarter funded clients increased 14% year over year to 1.51 million. Platform assets rose 12% to $99 billion, supporting the long-term growth story. Wealthfront Tops $100 Billion in Platform Assets
• Positive Sentiment: Second-quarter earnings exceeded expectations, with earnings per share of $0.10 versus the $0.09 consensus estimate. Revenue reached $91.9 million, and analysts expect approximately $0.41 in full-year EPS.
• Neutral Sentiment: The company’s growth is not yet translating proportionally into revenue: quarterly revenue increased only about 1% year over year despite the 12% increase in platform assets. Wealthfront also remains unprofitable, with a negative net margin of 19.42% and negative return on equity of 14.62%. Wealthfront Earnings Call: Growth Strong, Margins Tested
• Negative Sentiment: Several executives and insiders reported sales totaling roughly $1.34 million, including transactions by the CFO, CTO, two vice presidents, a director and another insider. Most sales were explicitly made to cover tax-withholding obligations related to vested equity awards, which reduces their signaling value; the director’s sale was conducted under a pre-arranged Rule 10b5-1 plan. Nevertheless, the volume of insider selling can weigh on investor confidence and add near-term supply.

Wall Street Analysts Forecast Growth

Several equities research analysts have recently issued reports on WLTH shares. The Goldman Sachs Group restated a “neutral” rating and issued a $10.00 target price on shares of Wealthfront in a report on Thursday, September 10th. JPMorgan Chase & Co. dropped their target price on Wealthfront from $13.00 to $12.00 and set an “overweight” rating for the company in a research report on Friday, June 5th. Royal Bank Of Canada reduced their price target on Wealthfront from $13.00 to $11.00 and set an “outperform” rating on the stock in a report on Thursday, September 10th. Keefe, Bruyette & Woods dropped their price objective on Wealthfront from $11.00 to $10.50 and set a “market perform” rating for the company in a report on Monday, July 13th. Finally, Weiss Ratings reiterated a “sell (d)” rating on shares of Wealthfront in a research note on Monday, July 6th. Four equities research analysts have rated the stock with a Buy rating, four have assigned a Hold rating and one has assigned a Sell rating to the company. According to data from MarketBeat, the company currently has a consensus rating of “Hold” and a consensus target price of $12.00.

Institutional Trading of Wealthfront

Several institutional investors and hedge funds have recently made changes to their positions in the company. Whetstone Capital Advisors LLC increased its position in Wealthfront by 10.6% during the 2nd quarter. Whetstone Capital Advisors LLC now owns 604,160 shares of the company’s stock valued at $5,401,000 after purchasing an additional 57,753 shares during the period. Squarepoint Ops LLC bought a new position in shares of Wealthfront during the second quarter valued at approximately $90,000. Arizona State Retirement System purchased a new position in Wealthfront during the second quarter valued at approximately $102,000. AXQ Capital LP bought a new position in Wealthfront in the second quarter worth approximately $105,000. Finally, ICONIQ Capital LLC purchased a new stake in Wealthfront during the second quarter worth $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.