Zacks Investment Research lowered shares of Ellie Mae (NYSE:ELLI) from a buy rating to a hold rating in a report issued on Friday.
According to Zacks, “Ellie Mae is benefiting from continued momentum in its Data Connect and Investor Connect offerings. Its continued focus on core business and Velocify is a positive. Increased adoption of new products and network strength aredriving its per loan revenues. The company added new components to the Encompass Lending Platform, enhancing its strong wholesale and correspondent channel capabilities. The depth in its product portfolio has been the major growth driver in recent times. However, Ellie Mae's serviceable industry, being concentrated to the financial mortgage industry is a major headwind for the company, especially, when the mortgage origination environment is facing hurdles such as low housing inventory and rising interest rates. Shares have underperformed the industry in the past year.”
Other equities analysts also recently issued research reports about the company. Needham & Company LLC lowered their price target on Ellie Mae to $85.00 and set a buy rating on the stock in a research report on Friday, October 26th. They noted that the move was a valuation call. Barclays reiterated a buy rating and set a $102.00 price target on shares of Ellie Mae in a research report on Tuesday, October 16th. Roth Capital upgraded Ellie Mae from a neutral rating to a buy rating and set a $100.00 price target on the stock in a research report on Wednesday, October 10th. TheStreet downgraded Ellie Mae from a b- rating to a c+ rating in a research report on Wednesday, September 26th. Finally, Morgan Stanley set a $77.00 price target on Ellie Mae and gave the stock a hold rating in a research report on Friday, October 26th. Five analysts have rated the stock with a sell rating, seven have issued a hold rating and five have given a buy rating to the stock. Ellie Mae currently has a consensus rating of Hold and an average target price of $82.60.
Ellie Mae (NYSE:ELLI) last issued its quarterly earnings results on Thursday, October 25th. The software maker reported $0.43 earnings per share (EPS) for the quarter, topping analysts’ consensus estimates of $0.33 by $0.10. The company had revenue of $122.97 million for the quarter, compared to the consensus estimate of $128.22 million. Ellie Mae had a return on equity of 4.78% and a net margin of 7.11%. As a group, equities analysts forecast that Ellie Mae will post 0.93 EPS for the current fiscal year.
In other Ellie Mae news, Director Sigmund Anderman sold 18,128 shares of the stock in a transaction that occurred on Wednesday, January 2nd. The stock was sold at an average price of $63.71, for a total transaction of $1,154,934.88. Following the completion of the transaction, the director now owns 25,073 shares of the company’s stock, valued at $1,597,400.83. The sale was disclosed in a legal filing with the Securities & Exchange Commission, which is available through this hyperlink. Also, EVP Gates Cathleen Schreiner sold 2,549 shares of the stock in a transaction that occurred on Saturday, December 28th. The shares were sold at an average price of $64.00, for a total value of $163,136.00. Following the transaction, the executive vice president now directly owns 44,338 shares of the company’s stock, valued at approximately $2,837,632. The disclosure for this sale can be found here. Insiders have sold 23,957 shares of company stock valued at $1,528,598 in the last three months. Insiders own 3.14% of the company’s stock.
Several institutional investors have recently made changes to their positions in the business. FMR LLC increased its holdings in shares of Ellie Mae by 14.9% in the second quarter. FMR LLC now owns 1,559,695 shares of the software maker’s stock valued at $161,959,000 after purchasing an additional 202,708 shares during the last quarter. Vanguard Group Inc increased its holdings in shares of Ellie Mae by 6.9% in the third quarter. Vanguard Group Inc now owns 3,104,393 shares of the software maker’s stock valued at $294,203,000 after purchasing an additional 199,908 shares during the last quarter. Vanguard Group Inc. increased its holdings in shares of Ellie Mae by 6.9% in the third quarter. Vanguard Group Inc. now owns 3,104,393 shares of the software maker’s stock valued at $294,203,000 after purchasing an additional 199,908 shares during the last quarter. Morgan Stanley increased its holdings in shares of Ellie Mae by 36.9% in the second quarter. Morgan Stanley now owns 739,581 shares of the software maker’s stock valued at $76,798,000 after purchasing an additional 199,478 shares during the last quarter. Finally, BlackRock Inc. increased its holdings in shares of Ellie Mae by 7.2% in the second quarter. BlackRock Inc. now owns 2,426,968 shares of the software maker’s stock valued at $252,014,000 after purchasing an additional 163,737 shares during the last quarter.
About Ellie Mae
Ellie Mae, Inc provides cloud-based platform for the mortgage finance industry in the United States. The company provides Encompass, a proprietary software solution that combines lead management; loan origination and processing; underwriting; preparation of mortgage applications, disclosure agreements, and closing documents; loan funding and closing; compliance with regulatory and investor requirements; and enterprise management.
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