Goosehead Insurance (NASDAQ:GSHD) Trading Down 7.7% – Should You Sell?

Shares of Goosehead Insurance (NASDAQ:GSHD) fell 7.7% on Wednesday . The company traded as low as $58.51 and last traded at $57.5080. 24,123 shares traded hands during mid-day trading, a decline of 95% from the average daily volume of 481,681 shares. The stock had previously closed at $62.32.

Analyst Upgrades and Downgrades

A number of research firms have recently issued reports on GSHD. 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. UBS Group raised their price target on shares of Goosehead Insurance from $70.00 to $72.00 and gave the stock a “buy” rating in a research note on Monday, July 27th. Piper Sandler boosted their price target on shares of Goosehead Insurance from $52.00 to $72.00 and gave the stock an “overweight” rating in a research report on Wednesday, July 15th. Weiss Ratings raised shares of Goosehead Insurance from a “hold (c-)” rating to a “hold (c)” rating in a research note on Friday, September 4th. Finally, Keefe, Bruyette & Woods cut their price objective on shares of Goosehead Insurance from $80.00 to $72.00 and set an “outperform” rating for the company in a report on Thursday, July 23rd. Seven analysts have rated the stock with a Buy rating, six have given a Hold rating and one has given a Sell rating to the company. According to MarketBeat.com, Goosehead Insurance has a consensus rating of “Hold” and a consensus price target of $68.45.

Goosehead Insurance Price Performance

The stock has a 50 day simple moving average of $62.66 and a two-hundred day simple moving average of $49.89. The company has a market cap of $2.00 billion, a price-to-earnings ratio of 41.20, a price-to-earnings-growth ratio of 2.01 and a beta of 1.36.

Goosehead Insurance (NASDAQ:GSHD) last issued its earnings results on Wednesday, July 22nd. The company reported $0.64 earnings per share (EPS) for the quarter, topping analysts’ consensus estimates 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 business had revenue of $95.63 million during the quarter, compared to the consensus estimate of $103.30 million. During the same period last year, the company earned $0.49 EPS. The company’s revenue for the quarter was up 20.6% on a year-over-year basis. As a group, research analysts forecast that Goosehead Insurance will post 1.46 EPS for the current year.

Insider Activity

In other Goosehead Insurance news, major shareholder Adrienne Kebodeaux sold 7,000 shares of the business’s stock in a transaction dated Thursday, August 20th. The shares were sold at an average price of $70.00, for a total value of $490,000.00. Following the transaction, the insider directly owned 273,027 shares in the company, valued at $19,111,890. The trade was a 2.50% decrease in their position. The transaction was disclosed in a document filed with the SEC, which is available through the SEC website. Also, major shareholder & Robyn Jones Descendants Mark sold 22,481 shares of the stock in a transaction that occurred on Tuesday, August 4th. The shares were sold at an average price of $66.87, for a total transaction of $1,503,304.47. Following the completion of the sale, the insider directly owned 6,767,661 shares of the company’s stock, valued at approximately $452,553,491.07. This trade represents a 0.33% decrease in their position. Additional details regarding this sale are available in the official SEC disclosure. Over the last three months, insiders bought 189,979 shares of company stock worth $11,348,632 and sold 267,000 shares worth $18,056,139. 38.07% of the stock is owned by company insiders.

Institutional Trading of Goosehead Insurance

Several institutional investors have recently made changes to their positions in GSHD. MassMutual Private Wealth & Trust FSB increased its stake in Goosehead Insurance by 484.1% during 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. EverSource Wealth Advisors LLC raised its position in Goosehead Insurance by 480.4% in the second quarter. EverSource Wealth Advisors LLC now owns 325 shares of the company’s stock valued at $34,000 after purchasing an additional 269 shares during the period. Versant Capital Management Inc lifted its stake in shares of Goosehead Insurance by 471.9% in the 2nd quarter. Versant Capital Management Inc now owns 772 shares of the company’s stock valued at $37,000 after purchasing an additional 637 shares during the last quarter. Kestra Advisory Services LLC acquired a new position in shares of Goosehead Insurance in the 4th quarter valued at $41,000. Finally, Northwestern Mutual Wealth Management Co. grew its holdings in shares of Goosehead Insurance by 802.0% during the 2nd quarter. Northwestern Mutual Wealth Management Co. now owns 442 shares of the company’s stock worth $47,000 after purchasing an additional 393 shares during the period.

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.