Wealthfront (NASDAQ:WLTH) Stock Price Up 4.1% – Should You Buy?

Shares of Wealthfront (NASDAQ:WLTH) were up 4.1% during mid-day trading on Thursday. The company traded as high as $10.21 and last traded at $10.2410. 293,386 shares changed hands during mid-day trading, a decline of 83% from the average session volume of 1,699,130 shares. The stock had previously closed at $9.84.

Analyst Ratings Changes

Several brokerages recently issued reports on WLTH. Keefe, Bruyette & Woods cut their target price on shares of Wealthfront from $11.00 to $10.50 and set a “market perform” rating for the company in a research note on Monday, July 13th. Wall Street Zen upgraded Wealthfront from a “sell” rating to a “hold” rating in a research note on Saturday, July 18th. Needham & Company LLC started coverage on Wealthfront in a research report on Friday. They issued a “buy” rating and a $13.00 price objective for the company. Weiss Ratings reiterated a “sell (d)” rating on shares of Wealthfront in a research note on Monday, July 6th. Finally, Wells Fargo & Company decreased their target price on Wealthfront from $12.00 to $11.50 and set an “overweight” rating on the stock in a report on Tuesday, August 4th. Five 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’s stock. According to MarketBeat, the company has an average rating of “Hold” and a consensus target price of $12.14.

Wealthfront Trading Down 0.1%

The company has a market cap of $1.59 billion and a price-to-earnings ratio of -10.95. The business’s 50 day moving average price is $9.57 and its 200-day moving average price is $9.76.

Wealthfront (NASDAQ:WLTH) last announced its quarterly earnings results on Wednesday, September 9th. The company reported $0.10 EPS for the quarter, beating analysts’ consensus estimates of $0.09 by $0.01. The business had revenue of $91.87 million for the quarter. Wealthfront had a negative net margin of 19.42% and a negative return on equity of 14.62%. The company’s quarterly revenue was up .9% on a year-over-year basis. Equities research analysts forecast that Wealthfront will post 0.41 EPS for the current fiscal year.

Insider Transactions at Wealthfront

In related news, CFO Alan Imberman sold 76,540 shares of Wealthfront stock in a transaction that occurred on Thursday, September 17th. The stock was sold at an average price of $10.10, for a total transaction of $773,054.00. Following the completion of the sale, the chief financial officer directly owned 396,970 shares of the company’s stock, valued at approximately $4,009,397. This trade represents a 16.16% decrease in their position. The transaction was disclosed in a document filed with the SEC, which is accessible through the SEC website. The transaction was executed under a pre-arranged Rule 10b5-1 trading plan. Also, CTO Julien Wetterwald sold 26,138 shares of the business’s stock in a transaction on Thursday, September 17th. The shares were sold at an average price of $10.10, for a total value of $263,993.80. Following the completion of the sale, the chief technology officer owned 696,525 shares of the company’s stock, valued at $7,034,902.50. This trade represents a 3.62% 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 ninety days, insiders have sold 287,695 shares of company stock worth $2,957,447. Insiders own 27.36% of the company’s stock.

Institutional Investors Weigh In On Wealthfront

A number of hedge funds and other institutional investors have recently modified their holdings of WLTH. Royal Bank of Canada acquired a new position in shares of Wealthfront in the first quarter valued at about $27,000. Strs Ohio bought a new position in Wealthfront during the first quarter worth about $56,000. Squarepoint Ops LLC acquired a new stake in Wealthfront in the 2nd quarter worth about $90,000. Arizona State Retirement System bought a new stake in Wealthfront in the 2nd quarter valued at about $102,000. Finally, AXQ Capital LP bought a new stake in Wealthfront in the 2nd quarter valued at about $105,000.

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.