Anthony Hsieh, director and ten percent owner of loanDepot, Inc. (NYSE:LDI), has recently sold a significant amount of company stock, according to the latest SEC filings. The sales, which took place on two separate dates, amounted to a total of $243,539.
On May 24, Hsieh sold 76,210 shares at a weighted average price of $1.975, with individual transactions ranging between $2.005 and $2.075. Following this transaction, Hsieh's directly owned shares in the company stood at 3,056,605.
A few days later, on May 28, an additional 50,000 shares were sold at a weighted average price of $1.8605, with prices ranging from $1.80 to $1.955 per share. After this sale, Hsieh's direct holdings decreased to 3,006,605 shares.
The transactions were conducted indirectly through the JLSSAA Trust, for which Hsieh serves as trustee, granting him voting and investment power over the trust's assets. The trust's involvement in these transactions indicates a level of indirect ownership by Hsieh.
Investors often monitor insider trading activities, such as these sales by Hsieh, for insights into executive sentiment regarding their company's stock. The recent sales by loanDepot's director are part of the public record and provide investors with up-to-date information on insider transactions.
loanDepot, Inc., based in Irvine, California, operates within the finance services sector, offering a range of loan products and services. The company's stock trades on the New York Stock Exchange under the ticker symbol LDI.
InvestingPro Insights
As investors digest the news of Anthony Hsieh's stock sales, current metrics from InvestingPro provide additional context on loanDepot, Inc. (NYSE:LDI)'s financial health and market performance. With a market capitalization of approximately $566.28 million and a negative P/E ratio of -3.09, the company's financial position appears challenging. The negative P/E ratio, which has remained consistent at -3.04 over the last twelve months as of Q1 2024, underscores the company's lack of profitability during this period.
Further emphasizing the company's struggles, the revenue growth for Q1 2024 shows a decline of 16.09% compared to the previous quarter. Despite this, loanDepot has managed a gross profit margin of 89.01% over the last twelve months as of Q1 2024, indicating that while revenue is contracting, the core operations remain relatively efficient.
An InvestingPro Tip highlights that loanDepot is quickly burning through cash, which is a critical consideration for investors, especially in the context of the recent insider selling activity. Moreover, the stock's price performance has been underwhelming, with a 29.02% total return decrease over the last three months as of the date provided. This could reflect broader market sentiment and the company's current financial trajectory.
For investors seeking a deeper analysis of loanDepot, additional InvestingPro Tips are available, including insights on earnings revisions, stock volatility, and valuation metrics. There are 14 more InvestingPro Tips that can be accessed for loanDepot, providing a comprehensive overview of the company's financial standing and stock performance. Interested readers can use coupon code PRONEWS24 to get an additional 10% off a yearly or biyearly Pro and Pro+ subscription, unlocking these valuable insights.
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