Goosehead Insurance (NASDAQ:GSHD) Issues Quarterly Earnings Results, Beats Estimates By $0.02 EPS

Goosehead Insurance (NASDAQ:GSHD) posted its earnings results on Monday. The company reported $0.53 EPS for the quarter, topping the consensus estimate of $0.51 by $0.02, Briefing.com reports. Goosehead Insurance had a negative return on equity of 21.00% and a net margin of 8.78%. During the same quarter in the prior year, the firm posted $0.46 earnings per share.

Here are the key takeaways from Goosehead Insurance’s conference call:

• Prior financial statements need to be restated: Goosehead said its 2023–2025 annual statements and first-half 2026 quarterly statements should no longer be relied upon while its review continues. The preliminary accounting changes are expected to increase reported revenue, operating income, and Adjusted EBITDA, but not Core Revenue, cash flows, or underlying business economics.
• Third-quarter growth was solid, and full-year outlook was reaffirmed: Revenue rose 17%, Core Revenue 13%, policies in force 14%, and new business commissions 21% year over year. The company maintained its 2026 organic growth outlook of 12%–19% for revenue and 12%–20% for total written premiums.
• Falling insurance prices are weighing on renewal revenue: Executives cited more pronounced pricing declines in the quarter, particularly in Texas, with auto prices down mid-single digits and home prices down low-single digits overall. Lower premiums per policy are a near-term headwind, and management said it could not predict when pricing pressure would ease.
• Partnerships, franchise growth, and service initiatives are expanding the business: Enterprise sales’ new business grew more than 50% for an eighth consecutive quarter, while client retention improved to 86% and digital channels handled nearly a third of service work. Management said contingent commission expectations increased to 80–110 basis points of written premiums for 2026.
• CEO Mark Miller will retire at year-end: Miller endorsed President and COO Mark Jones Jr. as his successor and described the transition as planned, while expressing confidence in the company’s future leadership.

Goosehead Insurance Stock Down 15.7%

Shares of GSHD traded down $8.56 during midday trading on Tuesday, reaching $46.13. 1,057,457 shares of the stock were exchanged, compared to its average volume of 483,597. Goosehead Insurance has a twelve month low of $33.68 and a twelve month high of $79.85. The company has a market cap of $1.64 billion, a P/E ratio of 33.67, a PEG ratio of 2.13 and a beta of 1.51. The stock’s 50 day simple moving average is $51.14 and its 200 day simple moving average is $50.53.

Insider Activity at Goosehead Insurance

In other Goosehead Insurance news, major shareholder Adrienne Kebodeaux sold 7,000 shares of the stock in a transaction dated Thursday, August 20th. The shares were sold at an average price of $70.00, for a total transaction of $490,000.00. Following the sale, the insider directly owned 273,027 shares in the company, valued at $19,111,890. This represents a 2.50% decrease in their ownership of the stock. The sale was disclosed in a filing with the SEC, which is available at the SEC website. Also, major shareholder Durable Capital Partners Lp purchased 150,000 shares of the firm’s stock in a transaction dated Tuesday, September 22nd. The stock was acquired at an average price of $47.32 per share, for a total transaction of $7,098,000.00. Following the purchase, the insider owned 2,720,260 shares in the company, valued at approximately $128,722,703.20. The trade was a 5.84% increase in their position. The disclosure for this purchase is available in the SEC filing. 38.07% of the stock is currently owned by company insiders.

Goosehead Insurance News Roundup

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

• Positive Sentiment: Goosehead’s preliminary Q3 revenue guidance of $108.8 million to $110.8 million is above the $105.1 million consensus estimate, and the company reaffirmed its full-year 2026 guidance. Preliminary third-quarter 2026 results
• Neutral Sentiment: Piper Sandler raised its price target from $48 to $56 but kept a Neutral rating, signaling a higher valuation estimate without a more bullish recommendation. Piper Sandler stock recommendations
• Negative Sentiment: The need to restate prior-period financials creates uncertainty about Goosehead’s reported results and controls. Law firms have announced investigations into potential securities claims; these are allegations and investigations, not findings of wrongdoing. Kehoe Law Firm investigation announcement Frank R. Cruz law firm investigation announcement

Analysts Set New Price Targets

A number of equities analysts have recently issued reports on the stock. Citigroup reiterated a “market outperform” rating on shares of Goosehead Insurance in a research report on Monday, October 12th. UBS Group increased their target price on shares of Goosehead Insurance from $70.00 to $72.00 and gave the stock a “buy” rating in a report on Monday, July 27th. Zacks Research lowered Goosehead Insurance from a “hold” rating to a “strong sell” rating in a research report on Thursday, October 22nd. Citizens Jmp lowered their target price on Goosehead Insurance from $100.00 to $80.00 and set a “market outperform” rating for the company in a report on Monday, October 12th. Finally, Truist Financial lowered their price objective on shares of Goosehead Insurance from $58.00 to $48.00 and set a “hold” rating on the stock in a report on Tuesday, October 13th. One investment analyst has rated the stock with a Strong Buy rating, six have given a Buy rating, six have assigned a Hold rating and two have assigned a Sell rating to the stock. Based on data from MarketBeat, the stock presently has a consensus rating of “Hold” and a consensus price target of $65.08.

Goosehead Insurance Company Profile

Goosehead Insurance is an independent insurance agency that distributes personal insurance products through a network of company-operated and franchised locations. The company works with multiple insurance carriers, helping customers compare coverage options and obtain policies. Its offerings include homeowners, automobile, flood, umbrella and other personal insurance products. Goosehead also provides technology and support services to its agents, including tools for quoting, policy management and customer service.