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

Wealthfront (NASDAQ:WLTH) VP Kal Iyer sold 26,738 shares of Wealthfront stock in a transaction that occurred on Thursday, September 17th. The shares were sold at an average price of $10.11, for a total value of $270,321.18. Following the completion of the sale, the vice president directly owned 232,494 shares in the company, valued at approximately $2,350,514.34. This represents a 10.31% decrease in their position. The sale was disclosed in a legal filing with the SEC, which is available through the SEC website. 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 stock was 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 transaction of $360,345.59.

Wealthfront Stock Performance

Shares of WLTH stock remained flat at $10.10 during trading on Friday. 16,620,451 shares of the stock were exchanged, compared to its average volume of 1,690,857. The firm’s 50 day moving average is $9.48 and its two-hundred day moving average is $9.70. The stock has a market capitalization of $1.58 billion and a P/E 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 released its earnings results on Wednesday, September 9th. The company reported $0.10 earnings per share for the quarter, beating 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 business had revenue of $91.87 million during the quarter. The firm’s quarterly revenue was up .9% compared to the same quarter last year. On average, equities analysts forecast that Wealthfront will post 0.41 EPS for the current fiscal year.

Key Stories 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

Analysts Set New Price Targets

A number of analysts recently issued reports on the company. Weiss Ratings reaffirmed a “sell (d)” rating on shares of Wealthfront in a research report on Monday, July 6th. Royal Bank Of Canada decreased their price target on Wealthfront from $13.00 to $11.00 and set an “outperform” rating for the company in a research note on Thursday, September 10th. Wall Street Zen raised Wealthfront from a “sell” rating to a “hold” rating in a research report on Saturday, July 18th. Keefe, Bruyette & Woods cut 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, Wells Fargo & Company decreased their target price on shares of Wealthfront from $12.00 to $11.50 and set an “overweight” rating for the company in a research note on Tuesday, August 4th. Four analysts have rated the stock with a Buy rating, four have assigned a Hold rating and one has issued a Sell rating to the stock. According to data from MarketBeat, the stock currently has a consensus rating of “Hold” and a consensus price target of $12.00.

Institutional Investors Weigh In On Wealthfront

Hedge funds have recently bought and sold shares of the company. Index Venture Associates VI Ltd acquired a new stake in shares of Wealthfront in the fourth quarter valued at approximately $128,567,000. BlackRock Inc. acquired a new position in shares of Wealthfront during the 2nd quarter worth approximately $74,766,000. Ieq Capital LLC bought a new stake in Wealthfront in the 2nd quarter valued at $24,706,000. North Reef Capital Management LP lifted its holdings in Wealthfront by 135.2% during the 1st quarter. North Reef Capital Management LP now owns 2,885,257 shares of the company’s stock valued at $26,689,000 after purchasing an additional 1,658,624 shares during the last quarter. Finally, Southpoint Capital Advisors LP bought a new position in Wealthfront during the first quarter worth $12,950,000.

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.