Goosehead Insurance (NASDAQ:GSHD) Stock Price Down 8.9% Following Insider Selling

Goosehead Insurance (NASDAQ:GSHD)’s share price traded down 8.9% during mid-day trading on Thursday after an insider sold shares in the company. The stock traded as low as $64.76 and last traded at $64.4480. Approximately 42,786 shares traded hands during trading, a decline of 92% from the average session volume of 508,065 shares. The stock had previously closed at $70.72.

Specifically, major shareholder & Robyn Jones Descendants Mark sold 2,519 shares of the company’s stock in a transaction that occurred on Thursday, July 30th. The stock was sold at an average price of $66.27, for a total value of $166,934.13. Following the sale, the insider directly owned 6,870,180 shares in the company, valued at approximately $455,286,828.60. This represents a 0.04% decrease in their position. The transaction was disclosed in a document filed with the SEC, which is accessible through this link. Also, major shareholder & Robyn Jones Descendants Mark sold 125,000 shares of the stock in a transaction that occurred on Wednesday, July 29th. The stock was sold at an average price of $69.71, for a total value of $8,713,750.00. Following the completion of the transaction, the insider directly owned 6,870,180 shares of the company’s stock, valued at approximately $478,920,247.80. The trade was a 1.79% decrease in their ownership of the stock. The disclosure for this sale is available in the SEC filing. In related news, major shareholder Adrienne Kebodeaux sold 5,000 shares of the firm’s stock in a transaction that occurred on Tuesday, July 28th. The stock was sold at an average price of $65.20, for a total transaction of $326,000.00. Following the completion of the transaction, the insider owned 280,027 shares in the company, valued at $18,257,760.40. This trade represents a 1.75% decrease in their position. The transaction was disclosed in a filing with the Securities & Exchange Commission, which is available through the SEC website.

Analyst Ratings Changes

A number of analysts have weighed in on the company. Royal Bank Of Canada upped their price target on Goosehead Insurance from $55.00 to $58.00 and gave the company a “sector perform” rating in a research report on Thursday, July 23rd. Bank of America cut their price objective on Goosehead Insurance from $43.00 to $37.00 and set an “underperform” rating for the company in a report on Tuesday, April 14th. Weiss Ratings upgraded shares of Goosehead Insurance from a “sell (d)” rating to a “sell (d+)” rating in a research note on Thursday, July 9th. UBS Group boosted their target price on shares of Goosehead Insurance from $70.00 to $72.00 and gave the company a “buy” rating in a research note on Monday. Finally, Keefe, Bruyette & Woods lowered their target price on shares of Goosehead Insurance from $80.00 to $72.00 and set an “outperform” rating on the stock in a report on Thursday, July 23rd. Seven investment analysts have rated the stock with a Buy rating, five have assigned a Hold rating and two have issued a Sell rating to the company. Based on data from MarketBeat.com, the stock currently has an average rating of “Hold” and an average price target of $68.45.

Key Stories Impacting Goosehead Insurance

Here are the key news stories impacting Goosehead Insurance this week:

• Positive Sentiment: Durable Capital Partners recently purchased approximately 153,700 shares of Goosehead Insurance for about $9.1 million, increasing its position. The buying activity may signal confidence from a major institutional investor.
• Neutral Sentiment: J.P. Morgan reaffirmed its Hold rating on Goosehead Insurance, indicating limited conviction at current valuation levels. The broader analyst consensus also remains “Hold,” with a target price near the stock’s recent trading range. J.P. Morgan Remains a Hold on Goosehead Insurance
• Negative Sentiment: Major shareholders reported selling a combined 137,519 shares worth approximately $9.5 million. The largest transaction was a 125,000-share sale by the Robyn Jones Descendants Mark at an average price of $69.71, followed by additional sales from the same holder, Adrienne Kebodeaux and The Bear Irrevocable Trust. Although the Jones descendants still own roughly 6.87 million shares, the sales could reinforce concerns about insider confidence and increase near-term supply. Goosehead Insurance Insider Sales Filing
• Negative Sentiment: Goosehead’s latest quarterly results were mixed: earnings of $0.64 per share exceeded the $0.47 consensus estimate, but revenue of $95.63 million missed expectations of $103.30 million. Revenue nevertheless increased 20.6% year over year. With the stock trading at an elevated earnings multiple, investors may be particularly sensitive to signs of slower growth or further revenue disappointments.

Goosehead Insurance Trading Down 2.9%

The firm has a market capitalization of $2.20 billion, a price-to-earnings ratio of 45.26, a P/E/G ratio of 2.29 and a beta of 1.41. The firm has a fifty day moving average price of $46.88 and a 200 day moving average price of $48.81.

Goosehead Insurance (NASDAQ:GSHD) last released its quarterly earnings results on Wednesday, July 22nd. The company reported $0.64 earnings per share for the quarter, beating analysts’ consensus estimates of $0.47 by $0.17. The firm had revenue of $95.63 million during the quarter, compared to analysts’ expectations of $103.30 million. Goosehead Insurance had a negative return on equity of 21.00% and a net margin of 8.78%.The business’s revenue was up 20.6% on a year-over-year basis. During the same period last year, the firm posted $0.49 EPS. As a group, equities analysts predict that Goosehead Insurance will post 1.45 EPS for the current fiscal year.

Institutional Inflows and Outflows

Institutional investors have recently made changes to their positions in the business. EverSource Wealth Advisors LLC grew its holdings in Goosehead Insurance by 480.4% during the 2nd quarter. EverSource Wealth Advisors LLC now owns 325 shares of the company’s stock worth $34,000 after acquiring an additional 269 shares during the last quarter. Northwestern Mutual Wealth Management Co. increased its position in Goosehead Insurance by 802.0% in the 2nd quarter. Northwestern Mutual Wealth Management Co. now owns 442 shares of the company’s stock valued at $47,000 after acquiring an additional 393 shares in the last quarter. MassMutual Private Wealth & Trust FSB raised its stake in shares of Goosehead Insurance by 484.1% in the second quarter. MassMutual Private Wealth & Trust FSB now owns 514 shares of the company’s stock worth $25,000 after acquiring an additional 426 shares during the last quarter. Kestra Advisory Services LLC bought a new position in shares of Goosehead Insurance in the fourth quarter worth about $41,000. Finally, Versant Capital Management Inc lifted its position in shares of Goosehead Insurance by 471.9% during the second quarter. Versant Capital Management Inc now owns 772 shares of the company’s stock worth $37,000 after purchasing an additional 637 shares in the last quarter.

Goosehead Insurance Company Profile

Goosehead Insurance (NASDAQ: GSHD) is a technology-driven insurance agency that connects consumers with a broad range of personal and commercial insurance products through an extensive network of independent insurance advisors. The company specializes in homeowners, auto, flood, dwelling fire, umbrella, life, and commercial lines coverage, working with multiple national and regional carriers to offer tailored policies. By combining advanced quoting tools with local market expertise, Goosehead streamlines the insurance shopping process and helps clients find competitive coverage options.

Founded in 2003 and headquartered in Westlake, Texas, Goosehead has grown its footprint across more than 40 states in the U.S.