Wealthfront (NASDAQ:WLTH) CTO Julien Wetterwald Sells 26,138 Shares

Wealthfront (NASDAQ:WLTH) CTO Julien Wetterwald sold 26,138 shares of the company’s 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 $263,993.80. Following the transaction, the chief technology officer owned 696,525 shares in the company, valued at $7,034,902.50. The trade was a 3.62% decrease in their ownership of the stock. The sale was disclosed in a filing with the SEC, which is available through this link. The transaction was executed under a pre-arranged Rule 10b5-1 trading plan.

Julien Wetterwald also recently made the following trade(s):

• On Wednesday, September 16th, Julien Wetterwald sold 8,130 shares of Wealthfront stock. The shares were sold at an average price of $10.19, for a total transaction of $82,844.70.
• 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 transaction of $281,458.63.

Wealthfront Stock Performance

NASDAQ:WLTH opened at $10.10 on Friday. The stock’s fifty day moving average price is $9.49 and its two-hundred day moving average price is $9.71. Wealthfront has a 52-week low of $7.20 and a 52-week high of $14.88. The company has a market cap of $1.58 billion and a price-to-earnings ratio of -10.86.

Wealthfront (NASDAQ:WLTH) last released its earnings results on Wednesday, September 9th. The company reported $0.10 EPS for the quarter, beating the consensus estimate of $0.09 by $0.01. The company had revenue of $91.87 million during 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% on a year-over-year basis. On average, equities analysts predict that Wealthfront will post 0.41 EPS for the current fiscal year.

Wealthfront News Summary

Here are the key news stories impacting Wealthfront this week:

• Positive Sentiment: Wealthfront’s platform assets increased 12% year over year to $99 billion in the second quarter and exceeded $100 billion by the end of August. Funded clients rose 14% to 1.51 million, supporting the company’s long-term growth story. Wealthfront Tops $100 Billion in Platform Assets
• Positive Sentiment: Recent quarterly earnings modestly exceeded expectations, with adjusted earnings of $0.10 per share versus the $0.09 consensus and revenue of $91.87 million. Institutional interest also remains notable, with new or increased positions reported by firms including Index Ventures, BlackRock and North Reef Capital.
• Neutral Sentiment: Growth in assets and clients has not yet translated into strong financial expansion: revenue rose only about 1% year over year, while Wealthfront continues to report a negative net margin of 19.42% and negative return on equity of 14.62%. Investors are likely focused on whether scale can improve profitability.
• Neutral Sentiment: Analyst views remain cautious. Goldman Sachs maintained a neutral rating with a $10 target, while RBC lowered its target to $11 but retained an outperform rating. The broader consensus is “Hold,” with an average target near $12, suggesting limited near-term conviction.
• Negative Sentiment: Multiple insiders sold shares, including CFO Alan Imberman, CTO Julien Wetterwald, VP Kal Iyer and insider Lauren Lin. The latest reported transactions totaled roughly $1.35 million, including the CFO’s sale of 76,540 shares and the VP’s sale of 26,738 shares. These sales may pressure sentiment, although the transactions were conducted under pre-arranged Rule 10b5-1 plans. Wealthfront Insider Sales
• Negative Sentiment: Additional insider sales over the preceding days were primarily disclosed as transactions to cover tax withholding obligations tied to vested equity awards. While less bearish than discretionary selling, the repeated selling pattern remains a potential overhang for WLTH.

Institutional Inflows and Outflows

Hedge funds and other institutional investors have recently made changes to their positions in the stock. Index Venture Associates VI Ltd acquired a new stake in shares of Wealthfront during the fourth quarter worth $128,567,000. BlackRock Inc. bought a new stake in Wealthfront in the second quarter valued at about $74,766,000. North Reef Capital Management LP lifted its stake in Wealthfront by 135.2% in the first quarter. North Reef Capital Management LP now owns 2,885,257 shares of the company’s stock valued at $26,689,000 after buying an additional 1,658,624 shares during the period. Ieq Capital LLC acquired a new position in Wealthfront in the second quarter valued at about $24,706,000. Finally, Granahan Investment Management LLC bought a new position in Wealthfront during the fourth quarter worth about $18,837,000.

Analysts Set New Price Targets

WLTH has been the subject of a number of research reports. Wells Fargo & Company lowered their price objective on Wealthfront from $12.00 to $11.50 and set an “overweight” rating for the company in a research report on Tuesday, August 4th. Wall Street Zen upgraded shares of Wealthfront from a “sell” rating to a “hold” rating in a research report on Saturday, July 18th. Royal Bank Of Canada reduced their target price on shares of Wealthfront from $13.00 to $11.00 and set an “outperform” rating on the stock in a research note on Thursday, September 10th. The Goldman Sachs Group reiterated a “neutral” rating and set a $10.00 price target on shares of Wealthfront in a research report on Thursday, September 10th. Finally, Weiss Ratings reissued a “sell (d)” rating on shares of Wealthfront in a research note on Monday, July 6th. Four 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. According to data from MarketBeat.com, Wealthfront currently has an average rating of “Hold” and an average target price of $12.00.

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.