Goosehead Insurance (NASDAQ:GSHD) Trading Down 8.9% After Insider Selling

Goosehead Insurance (NASDAQ:GSHD)’s share price was down 8.9% during 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 daily 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 Goosehead Insurance stock in a transaction 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 completion of the transaction, the insider directly owned 6,870,180 shares in the company, valued at approximately $455,286,828.60. The trade was a 0.04% decrease in their ownership of the stock. The sale was disclosed in a document filed with the Securities & Exchange Commission, which can be accessed through the SEC website. Also, major shareholder & Robyn Jones Descendants Mark sold 125,000 shares of the business’s stock in a transaction on Wednesday, July 29th. The shares were sold at an average price of $69.71, for a total value of $8,713,750.00. Following the sale, the insider owned 6,870,180 shares in the company, valued at approximately $478,920,247.80. The trade was a 1.79% decrease in their ownership of the stock. Additional details regarding this sale are available in the official SEC disclosure. In related news, major shareholder Adrienne Kebodeaux sold 5,000 shares of the stock in a transaction dated Tuesday, July 28th. The stock was sold at an average price of $65.20, for a total transaction of $326,000.00. Following the sale, the insider owned 280,027 shares of the company’s stock, valued at approximately $18,257,760.40. This represents a 1.75% decrease in their position. The sale was disclosed in a document filed with the SEC, which is accessible through this hyperlink.

Analysts Set New Price Targets

A number of research analysts have weighed in on the company. Keefe, Bruyette & Woods reduced their target price on Goosehead Insurance from $80.00 to $72.00 and set an “outperform” rating for the company in a report on Thursday, July 23rd. Bank of America lowered their price target on shares of Goosehead Insurance from $43.00 to $37.00 and set an “underperform” rating on the stock in a report on Tuesday, April 14th. UBS Group raised their price objective on shares of Goosehead Insurance from $70.00 to $72.00 and gave the company a “buy” rating in a research report on Monday. Citizens Jmp reduced their price objective on shares of Goosehead Insurance from $125.00 to $100.00 and set a “market outperform” rating for the company in a research note on Monday, April 13th. Finally, Cantor Fitzgerald reaffirmed an “overweight” rating and set a $76.00 target price on shares of Goosehead Insurance in a report on Thursday, July 23rd. Seven research analysts have rated the stock with a Buy rating, five have assigned a Hold rating and two have assigned a Sell rating to the company’s stock. According to data from MarketBeat.com, Goosehead Insurance presently has a consensus rating of “Hold” and a consensus target price of $68.45.

More Goosehead Insurance News

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 Stock Performance

The firm has a market capitalization of $2.20 billion, a P/E ratio of 45.26, a price-to-earnings-growth ratio of 2.29 and a beta of 1.41. The business has a 50 day simple moving average of $46.88 and a two-hundred day simple moving average 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 the consensus estimate of $0.47 by $0.17. Goosehead Insurance had a negative return on equity of 21.00% and a net margin of 8.78%.The firm had revenue of $95.63 million for the quarter, compared to analysts’ expectations of $103.30 million. During the same quarter last year, the firm posted $0.49 EPS. The company’s revenue was up 20.6% compared to the same quarter last year. On average, equities analysts anticipate that Goosehead Insurance will post 1.45 earnings per share for the current fiscal year.

Institutional Trading of Goosehead Insurance

Institutional investors and hedge funds have recently made changes to their positions in the stock. Durable Capital Partners LP increased its stake in Goosehead Insurance by 126.5% in the third quarter. Durable Capital Partners LP now owns 1,542,186 shares of the company’s stock valued at $114,769,000 after acquiring an additional 861,374 shares during the last quarter. Wasatch Advisors LP lifted its stake in Goosehead Insurance by 32.3% during the first quarter. Wasatch Advisors LP now owns 2,292,227 shares of the company’s stock worth $97,786,000 after purchasing an additional 559,087 shares during the last quarter. T. Rowe Price Investment Management Inc. lifted its stake in Goosehead Insurance by 38.5% during the fourth quarter. T. Rowe Price Investment Management Inc. now owns 2,002,003 shares of the company’s stock worth $147,448,000 after purchasing an additional 556,293 shares during the last quarter. Langdon Equity Partners purchased a new position in shares of Goosehead Insurance in the 4th quarter worth about $41,892,000. Finally, Janus Henderson Group PLC boosted its holdings in shares of Goosehead Insurance by 3,485.1% in the 1st quarter. Janus Henderson Group PLC now owns 386,906 shares of the company’s stock worth $16,506,000 after purchasing an additional 376,114 shares in the last quarter.

About Goosehead Insurance

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.