loanDepot (NYSE:LDI) Posts Quarterly Earnings Results, Misses Expectations By $0.06 EPS

loanDepot (NYSE:LDI) released its quarterly earnings data on Tuesday. The company reported ($0.10) earnings per share (EPS) for the quarter, missing the consensus estimate of ($0.04) by ($0.06), FiscalAI reports. loanDepot had a negative return on equity of 22.40% and a negative net margin of 6.46%.The business had revenue of $316.27 million during the quarter, compared to analyst estimates of $333.29 million.

Here are the key takeaways from loanDepot’s conference call:

• The company reported its highest quarterly originations since 2022 at $8.0 billion and said it gained market share while pull-through weighted lock volume rose to $7.3 billion (up 4% q/q), signaling scaling momentum.
• loanDepot highlighted a strong in‑house servicing performance with a 71% recapture rate and is investing in AI and digital funnel rebuilds to lower acquisition costs and improve operating leverage.
• Adjusted net loss widened to $21 million in Q4 (vs. $3 million in Q3), driven by a lower pull‑through weighted gain‑on‑sale margin (324 bps vs. 339 bps), higher MSR amortization and increased personnel costs; cash ended the quarter at $337 million after inventory investments and debt repayment.
• Management plans to re‑enter the wholesale channel to boost scale and expects first‑quarter guidance of pull‑through weighted lock volume of $7.75B–$8.75B, originations of $6.75B–$7.75B, and gain‑on‑sale margin of 270–300 bps, while flagging near‑term expense increases for personnel and innovation investments.

loanDepot Trading Up 4.1%

Shares of NYSE LDI opened at $1.91 on Wednesday. The company has a quick ratio of 1.19, a current ratio of 1.19 and a debt-to-equity ratio of 6.94. The stock’s 50 day moving average price is $2.25 and its two-hundred day moving average price is $2.66. loanDepot has a 52-week low of $1.01 and a 52-week high of $5.05. The stock has a market capitalization of $634.82 million, a P/E ratio of -5.29, a PEG ratio of 0.43 and a beta of 3.47.

Insider Activity at loanDepot

In other news, CEO Anthony Li Hsieh sold 884,495 shares of the business’s stock in a transaction that occurred on Thursday, January 15th. The stock was sold at an average price of $2.70, for a total value of $2,388,136.50. The sale was disclosed in a filing with the Securities & Exchange Commission, which can be accessed through the SEC website. In the last ninety days, insiders sold 2,600,000 shares of company stock valued at $6,561,770. 83.04% of the stock is currently owned by company insiders.

Institutional Trading of loanDepot

Several institutional investors have recently added to or reduced their stakes in LDI. Millennium Management LLC lifted its position in shares of loanDepot by 622.6% in the 3rd quarter. Millennium Management LLC now owns 5,620,553 shares of the company’s stock worth $17,255,000 after buying an additional 4,842,751 shares during the last quarter. Vanguard Group Inc. grew its position in shares of loanDepot by 5.3% during the 3rd quarter. Vanguard Group Inc. now owns 4,528,264 shares of the company’s stock valued at $13,902,000 after buying an additional 226,347 shares during the last quarter. Charles Schwab Investment Management Inc. raised its stake in loanDepot by 22.2% during the fourth quarter. Charles Schwab Investment Management Inc. now owns 2,596,426 shares of the company’s stock worth $5,375,000 after acquiring an additional 472,159 shares during the period. Geode Capital Management LLC raised its stake in loanDepot by 7.3% during the fourth quarter. Geode Capital Management LLC now owns 2,194,199 shares of the company’s stock worth $4,543,000 after acquiring an additional 148,644 shares during the period. Finally, UBS Group AG lifted its holdings in loanDepot by 1,125.1% in the third quarter. UBS Group AG now owns 2,020,027 shares of the company’s stock worth $6,201,000 after acquiring an additional 1,855,136 shares during the last quarter. Institutional investors own 39.39% of the company’s stock.

Analyst Ratings Changes

LDI has been the subject of several analyst reports. Bank of America set a $1.75 target price on loanDepot in a research report on Monday, December 1st. The Goldman Sachs Group set a $2.40 price objective on loanDepot in a report on Tuesday, January 6th. Finally, Weiss Ratings reaffirmed a “sell (d-)” rating on shares of loanDepot in a research report on Thursday, January 22nd. Two analysts have rated the stock with a Hold rating and two have issued a Sell rating to the stock. Based on data from MarketBeat.com, the stock currently has a consensus rating of “Reduce” and a consensus price target of $2.38.

loanDepot Company Profile

loanDepot, Inc (NYSE: LDI) is a leading non-bank consumer lender that provides a broad range of home and personal financing products through a digitally enabled platform. The company specializes in originating and servicing purchase and refinance mortgage loans, home equity lines of credit (HELOCs), and personal loans. Through its proprietary mello™ technology suite, loanDepot streamlines the application, underwriting, and closing processes for borrowers and real estate professionals, emphasizing speed, transparency, and a seamless digital experience.

Founded in 2010 by Anthony Hsieh, loanDepot has grown rapidly to become one of the largest independent mortgage lenders in the United States.