GSHD

Track your investments for FREE with Simply Wall St, the portfolio command center trusted by over 7 million individual investors worldwide. Goosehead Insurance (GSHD) drew fresh attention after reporting Q2 2026 results, with revenue of US$113.39 million and net income of US$10.07 million, alongside a planned CEO transition starting in 2027. See our latest analysis for Goosehead Insurance. The strong Q2 trading update, CEO succession plan and recent completion of a US$135.4 million buyback program have coincided with a 1 month share price return of 25.35% and a 1 day move of 9%. However, the 1 year total shareholder return is still down 32.95%, pointing to improving short term momentum after a weaker longer period. If Goosehead Insurance's rebound has you thinking about what else might be re rating, this could be a good moment to broaden your search and check out 18 top founder-led companies With Goosehead Insurance stock rebounding sharply while longer term returns remain weak, the setup has shifted. Do current valuations still leave enough potential upside to compensate you for the risks from here? On the most followed narrative, Goosehead Insurance screens as undervalued, with a fair value of $65.17 against a last close of $58.75, which naturally raises questions about what is driving that gap. Read the complete narrative. Want to see why this narrative still arrives at a higher fair value for Goosehead Insurance? The storyline leans heavily on compound growth, gently improving margins and a rich future earnings multiple that is closer to high growth companies than the broader insurance sector. Result: Fair Value of $65.17 (UNDERVALUED) Have a read of the narrative in full and understand what's behind the forecasts. However, this Goosehead Insurance narrative could be knocked off course if climate related catastrophes significantly reduce carrier appetite or if its franchise agent network experiences a slowdown in productivity. Find out about the key risks to this Goosehead Insurance narrative. Mixed sentiment around Goosehead Insurance is clear. If this has sharpened your curiosity, take a closer look at the balance of risks and rewards using the 3 key rewards and 2 important warning signs If Goosehead Insurance has sharpened your focus, do not stop here. Use targeted screeners to quickly surface other stocks that might fit your approach before the crowd reacts. Zero in on quality by checking companies that pair attractive valuations with solid fundamentals using the 49 high quality undervalued stocks. Prioritise resilience by scanning for businesses that pass strict financial health checks with the solid balance sheet and fundamentals stocks screener (49 results). Get ahead of the crowd by searching a screener containing 19 high quality undiscovered gems. This article by Simply Wall St is general in nature. We provide commentary based on historical data and analyst forecasts only using an unbiased methodology and our articles are not intended to be financial advice. It does not constitute a recommendation to buy or sell any stock, and does not take account of your objectives, or your financial situation. We aim to bring you long-term focused analysis driven by fundamental data. Note that our analysis may not factor in the latest price-sensitive company announcements or qualitative material. Simply Wall St has no position in any stocks mentioned. Companies discussed in this article include GSHD. Have feedback on this article? Concerned about the content? Get in touch with us directly. Alternatively, email [email protected]

Goosehead Insurance, Inc. reported past second-quarter 2026 results showing higher revenue of US$113.39 million and net income of US$10.07 million versus the prior year, and also disclosed that CEO Mark Miller will retire at the end of 2026, with President and former CFO/COO Mark Jones, Jr. set to succeed him on January 1, 2027. Alongside completing a share repurchase program covering 2,094,000 shares and reinforcing continuity through Miller’s continued board role, the appointment of Jones, Jr., with experience across finance, operations, and growth initiatives, highlights management’s commitment to scaling Goosehead’s technology platform and distribution network while focusing on long-term shareholder value. With stronger quarterly earnings and a planned CEO transition to Mark Jones, Jr., we’ll examine how this shapes Goosehead’s investment narrative. Capitalize on the AI infrastructure supercycle with our selection of the 55 best 'picks and shovels' of the AI gold rush converting record-breaking demand into massive cash flow. To own Goosehead, you need to believe its tech-enabled, agent-centric model can keep gaining share while weather, carrier behavior, and digital disruption stay manageable. The latest Q2 2026 beat and the planned handoff from Mark Miller to Mark Jones, Jr. do not materially change the near term catalyst around technology adoption and agent productivity, but they do place more execution risk on a relatively new leadership bench during a key investment phase. The completion of Goosehead’s US$135.4 million repurchase of 2,094,000 shares stands out alongside stronger earnings. For a business investing heavily in AI and a growing franchise network, reducing the share count can matter for how per share metrics track against catalysts like improving margins and potential carrier mix shifts. That capital return, paired with leadership continuity on the board, gives you more concrete data points to weigh against the execution and carrier concentration risks. Yet, despite stronger recent results, investors should be aware that rising climate and carrier concentration risks could still... Read the full narrative on Goosehead Insurance (it's free!) Goosehead Insurance's narrative projects $593.9 million revenue and $59.6 million earnings by 2029. This requires 15.8% yearly revenue growth and about a $29.2 million earnings increase from $30.4 million today. Uncover how Goosehead Insurance's forecasts yield a $65.17 fair value, a 11% upside to its current price. Some of the most optimistic analysts were expecting revenues near US$696 million and earnings of about US$62 million by 2029, so when you weigh that against today’s leadership change and technology focus, you can see how views on Goosehead’s AI marketplace potential and margin trajectory may diverge sharply and why it is worth exploring several distinct scenarios before you decide how this stock fits your portfolio. Explore 3 other fair value estimates on Goosehead Insurance - why the stock might be worth just $65.17! Disagree with existing narratives? Extraordinary investment returns rarely come from following the herd, so go with your instincts. A great starting point for your Goosehead Insurance research is our analysis highlighting 3 key rewards and 2 important warning signs that could impact your investment decision. Our free Goosehead Insurance research report provides a comprehensive fundamental analysis summarized in a single visual - the Snowflake - making it easy to evaluate Goosehead Insurance's overall financial health at a glance. Don't miss your shot at the next 10-bagger. Our latest stock picks just dropped: The best AI stocks today may lie beyond giants like Nvidia and Microsoft. Find the next big opportunity with these 17 smaller AI-focused companies with strong growth potential through early-stage innovation in machine learning, automation, and data intelligence that could fund your retirement. AI is about to change healthcare. These 40 stocks are working on everything from early diagnostics to drug discovery. The best part - they are all under $10b in market cap - there's still time to get in early. The future of work is here. Discover the 34 top robotics and automation stocks leading the charge in AI-driven automation and industrial transformation. This article by Simply Wall St is general in nature. We provide commentary based on historical data and analyst forecasts only using an unbiased methodology and our articles are not intended to be financial advice. It does not constitute a recommendation to buy or sell any stock, and does not take account of your objectives, or your financial situation. We aim to bring you long-term focused analysis driven by fundamental data. Note that our analysis may not factor in the latest price-sensitive company announcements or qualitative material. Simply Wall St has no position in any stocks mentioned. Companies discussed in this article include GSHD. Have feedback on this article? Concerned about the content? Get in touch with us directly. Alternatively, email [email protected]

This article first appeared on GuruFocus. Total Written Premiums: Increased 14% year-over-year to $1.36 billion. Policies in Force: Grew 15% year-over-year. Client Retention Rate: Improved to 86%. Total Revenues: Increased 21% year-over-year to $113 million. Core Revenues: Grew 10% year-over-year to $95 million. Adjusted EBITDA: $38 million, representing a 34% margin. New Business Commissions: Grew 27% year-over-year to $9.6 million. New Business Royalties: Increased 20% year-over-year to $9.4 million. Ancillary Revenues: Grew 180% year-over-year to $16.3 million. Operating Cash Flow: Generated $15.9 million in the second quarter. Share Repurchase: Repurchased 95,000 Class A shares for $3.9 million in the second quarter. Cash and Cash Equivalents: Ended the quarter with $23.7 million. Total Debt Outstanding: $323 million. Warning! GuruFocus has detected 3 Warning Signs with GSHD. Is GSHD fairly valued? Test your thesis with our free DCF calculator. Release Date: July 22, 2026 For the complete transcript of the earnings call, please refer to the full earnings call transcript. Goosehead Insurance Inc (NASDAQ:GSHD) reported a 14% growth in total written premiums, reaching $1.36 billion, indicating strong business momentum. Client retention improved to 86%, the highest level since the hard market began, showcasing effective client retention strategies. Total revenues grew 21% to $113 million, with core revenues up 10% to $95 million, reflecting robust financial performance. The franchise network is healthier than ever, with franchise producers reaching nearly 2,200, resulting in increased income per location. The enterprise sales business is expanding rapidly, contributing significantly to new business commissions and agency fees. The company faces challenges with moderate compression in margins due to growth investments, which may impact profitability. There is a potential risk of over-reliance on contingent commissions, which can have a wide range of outcomes. The competitive landscape is changing, with potential free agents from competitors entering the market, which could impact recruiting strategies. The digital agent platform is still in the optimization phase, with full rollout beyond Texas yet to be achieved. The company is experiencing increased G&A expenses, partly due to technology investments and franchisee conferences, which could pressure margins. Q: Can you discuss your expectations for margins on an ex-contingent basis for the full year? A: John Martin, CFO: We expect moderate compression this year due to growth investments. Our guidance on expenses remains unchanged, with comp and G&A expected to grow in the high teens to low 20% for the year, likely exceeding core revenue growth due to the current investment cycle. Q: Have you seen any increase in interest from captive agents due to changes at a major competitor? A: Mark Jones, Jr., President and COO: Yes, we see potential for increased interest from agents who feel underserved by their current arrangements. This could be a tailwind for our recruiting, but it doesn't change our go-to-market strategy. We continue to invest in digital tools to enhance agent productivity. Q: What is driving the productivity improvements for franchise operators, and how sustainable are these gains? A: Mark Jones, Jr., President and COO: Productivity gains are driven by franchisees adopting best practices and a more open product market. Our strategy of growing high-quality franchises within our corporate sales team before launching them into the community is showing results, with significant productivity improvements in newer franchises. Q: Can you elaborate on the focus areas for speed of execution and simplification in the next chapter? A: Mark Jones, Jr., President and COO: We aim to reduce complexity across the business, including optimizing the number of underwriters and using technology to automate where it enhances client experience. We are also improving back-office processes to streamline operations. Q: Could you provide more details on the sustainability of contingent commissions? A: John Martin, CFO: The favorability in contingent commissions is driven by growth in new business, profitability, and better-negotiated contracts. While outcomes can vary, our updated guidance reflects confidence in our performance for the year. Q: How do you view the potential for growth in franchise producer count? A: Mark Jones, Jr., President and COO: While we don't control franchisee actions, we guide them on best practices. The top franchises are growing rapidly, and we see potential for significant increases in producer count, aiming for an average of five producers per franchise in the near to medium term. Q: What is the outlook for the digital agent platform, and will it expand beyond Texas this year? A: Mark Jones, Jr., President and COO: We are optimizing the Texas conversion funnel and plan to expand to additional states. The focus is on enhancing functionality and user experience, ensuring our agents and carrier partners benefit from the platform. Q: Can you discuss the pricing environment and its impact on your business? A: Mark Jones, Jr., President and COO: We anticipate moderate pricing declines, with auto seeing mid-single-digit decreases and home remaining flat or slightly up. This stability is beneficial for our business operations. For the complete transcript of the earnings call, please refer to the full earnings call transcript.

Goosehead Insurance (GSHD) came out with quarterly earnings of $0.64 per share, beating the Zacks Consensus Estimate of $0.52 per share. This compares to earnings of $0.49 per share a year ago. These figures are adjusted for non-recurring items. This quarterly report represents an earnings surprise of +23.08%. A quarter ago, it was expected that this insurance company would post earnings of $0.2 per share when it actually produced earnings of $0.3, delivering a surprise of +50%. Over the last four quarters, the company has surpassed consensus EPS estimates three times. Goosehead, which belongs to the Zacks Insurance - Multi line industry, posted revenues of $113.39 million for the quarter ended June 2026, surpassing the Zacks Consensus Estimate by 9.70%. This compares to year-ago revenues of $94.03 million. The company has topped consensus revenue estimates three times over the last four quarters. The sustainability of the stock's immediate price movement based on the recently-released numbers and future earnings expectations will mostly depend on management's commentary on the earnings call. Goosehead shares have lost about 27% since the beginning of the year versus the S&P 500's gain of 9.7%. While Goosehead has underperformed the market so far this year, the question that comes to investors' minds is: what's next for the stock? There are no easy answers to this key question, but one reliable measure that can help investors address this is the company's earnings outlook. Not only does this include current consensus earnings expectations for the coming quarter(s), but also how these expectations have changed lately. Empirical research shows a strong correlation between near-term stock movements and trends in earnings estimate revisions. Investors can track such revisions by themselves or rely on a tried-and-tested rating tool like the Zacks Rank, which has an impressive track record of harnessing the power of earnings estimate revisions. Ahead of this earnings release, the estimate revisions trend for Goosehead was mixed. While the magnitude and direction of estimate revisions could change following the company's just-released earnings report, the current status translates into a Zacks Rank #3 (Hold) for the stock. So, the shares are expected to perform in line with the market in the near future. You can see the complete list of today's Zacks #1 Rank (Strong Buy) stocks here. It will be interesting to see how estimates for the coming quarters and the current fiscal year change in the days ahead. The current consensus EPS estimate is $0.59 on $106.96 million in revenues for the coming quarter and $2.18 on $418.27 million in revenues for the current fiscal year. Investors should be mindful of the fact that the outlook for the industry can have a material impact on the performance of the stock as well. In terms of the Zacks Industry Rank, Insurance - Multi line is currently in the bottom 32% of the 250 plus Zacks industries. Our research shows that the top 50% of the Zacks-ranked industries outperform the bottom 50% by a factor of more than 2 to 1. One other stock from the same industry, Oscar Health, Inc. (OSCR), is yet to report results for the quarter ended June 2026. The results are expected to be released on August 6. This company is expected to post quarterly earnings of $0.45 per share in its upcoming report, which represents a year-over-year change of +150.6%. The consensus EPS estimate for the quarter has remained unchanged over the last 30 days. Oscar Health, Inc.'s revenues are expected to be $4.89 billion, up 70.9% from the year-ago quarter. Want the latest recommendations from Zacks Investment Research? Today, you can download 7 Best Stocks for the Next 30 Days. Click to get this free report Goosehead Insurance (GSHD) : Free Stock Analysis Report Oscar Health, Inc. (OSCR) : Free Stock Analysis Report This article originally published on Zacks Investment Research (zacks.com). Zacks Investment Research

– Total Revenue Increased 21% and Core Revenue* Grew 10% over the Prior-Year Period –– Total Written Premium increased 14% to $1.34 billion over the Prior-Year Period –– Net Income of $17.0 million versus Net Income of $8.3 million a year ago –– Adjusted EBITDA* up 30% over Prior-Year Period to $37.9 million –– Policies in force growth accelerated to 15% from 14% in the Prior Quarter – WESTLAKE, Texas, July 22, 2026 (GLOBE NEWSWIRE) -- Goosehead Insurance, Inc. (“Goosehead” or the “Company”) (NASDAQ: GSHD), a rapidly growing independent personal lines insurance agency, today announced results for the second quarter ended June 30, 2026. Second Quarter 2026 Highlights Total Revenues grew 21% over the prior-year period to $113.4 million in the second quarter of 2026 Second quarter Core Revenues* of $95.6 million increased 10% over the prior-year period Second quarter net income of $17.0 million increased from net income of $8.3 million a year ago EPS of $0.42 per share increased 106% and Adjusted EPS* of $0.64 per share increased 32%, over the prior-year period Net income margin for the second quarter was 15% Adjusted EBITDA* of $37.9 million increased 30% from $29.2 million in the prior-year period Adjusted EBITDA Margin* increased 2 percentage points over the prior-year period to 33% Total written premiums placed for the second quarter increased 14% over the prior-year period to $1.34 billion Policies in force grew 15% from the prior-year period to approximately 2.1 million Corporate agent headcount of 583 increased 22% compared to the prior-year period Total franchise producers of 2,190 increased 5% from the prior-year period *Core Revenue, Adjusted EPS, Adjusted EBITDA, and Adjusted EBITDA Margin are non-GAAP measures. Reconciliations of Core Revenue to total revenues, Adjusted EPS to basic earnings per share and Adjusted EBITDA to net income, the most directly comparable financial measures presented in accordance with GAAP, are set forth in the reconciliation table accompanying this release. “Today we are proud to announce our second quarter results which reflect accelerating momentum across our entire business,” said Mark Miller, CEO. “We delivered strong new business growth in every channel while improving client retention, accelerating premium and policy in force growth rates, and increasing productivity. Our distribution force is healthier than ever, our technology continues to evolve at a significant pace, and the product market is more favorable than it has been in years. We believe Goosehead is well-positioned for continued durable growth and profitability.” Second Quarter 2026 ResultsFor the second quarter of 2026, total revenues were $113.4 million, an increase of 21% compared to the corresponding period in 2025. Core Revenues, a non-GAAP measure which excludes contingent commissions, initial franchise fees, interest income, and other franchise revenues, were $95.6 million, a 10% increase from $86.8 million in the prior-year period. Core Revenues are the most reliable revenue stream for the Company, consisting of New Business Commissions, Agency Fees, New Business Royalty Fees, Renewal Commissions, and Renewal Royalty Fees. Core Revenue growth was driven primarily by more policies in their renewal term, supported by an 86% Client Retention rate, and by more new policies placed, driven by growth in the number of Corporate and Franchise sales agents and improved Franchise productivity. This was partially offset by the prior-year recognition of $3.0 million of Renewal Commissions and $1.0 million of Renewal Royalty Fees tied to the release of a constraint on variable consideration for policies placed in earlier periods. The Company grew total written premiums, which we consider to be the leading indicator of future revenue growth, by 14% in the second quarter compared to the corresponding period in prior year. Total operating expenses for the second quarter of 2026 were $86.8 million, up from $78.4 million in the prior-year period. Adjusted total operating expenses* for the second quarter of 2026 were $75.4 million, up 16% from $64.9 million in the prior-year period. Employee compensation and benefits increased to $54.3 million from $50.4 million in the prior-year period. Adjusted employee compensation and benefits* increased to $49.6 million from $44.4 million in the prior-year period. The increases were primarily due to investments in corporate producers and technology functions. Equity-based compensation decreased to $4.8 million for the period, compared to $6.0 million in the prior-year period. General and administrative expenses increased to $28.4 million from $24.6 million in the prior-year period. Adjusted general and administrative expenses*, increased to $25.4 million from $20.0 million primarily due to investments in technology and professional services to drive growth and continue to improve the client experience. Bad debt expense of $0.5 million decreased compared to the prior-year period. Net income in the second quarter of 2026 was $17.0 million versus net income of $8.3 million in the prior-year period. Earnings per share and Net Income Margin for the second quarter of 2026 were $0.42 and 15%, respectively. Adjusted EPS* for the second quarter of 2026 was $0.64 per share. Total Adjusted EBITDA* was $37.9 million for the second quarter of 2026 compared to $29.2 million in the prior-year period. Adjusted EBITDA Margin* of 33% increased 2 percentage points in the quarter. *Adjusted total operating expenses, adjusted employee compensation and benefits, adjusted general and administrative expenses, adjusted EPS, adjusted EBITDA, and adjusted EBITDA Margin are non-GAAP measures. For the definition and reconciliation of each non-GAAP measure, see “Reconciliation of Non-GAAP Measures to GAAP” below. Liquidity and Capital ResourcesAs of June 30, 2026, the Company had cash and cash equivalents of $23.7 million. We have a line of credit of $75.0 million, of which $26.0 million was drawn as of June 30, 2026. Total outstanding notes payable was $323.0 million as of June 30, 2026. During the quarter ended June 30, 2026, the Company repurchased and retired 95 thousand shares at an average share price of $40.95. As of June 30, 2026, $144.6 million remained available under the share repurchase authorization. 2026 OutlookWe have increased our guidance for the full year 2026 as follows: Total revenues are now expected to grow organically between 12% and 19%. Total written premiums are expected to grow between 12% and 20%. Conference Call InformationGoosehead will host a conference call and webcast today at 4:30 PM ET to discuss these results. To access the call by phone, participants should go to this link (registration link), and you will be provided with the dial in details. In addition, a live webcast of the conference call will also be available on Goosehead’s investor relations website at http://ir.gooseheadinsurance.com. A webcast replay of the call will be available at http://ir.gooseheadinsurance.com for one year following the call. About GooseheadGoosehead (NASDAQ: GSHD) is a rapidly growing and innovative independent personal lines insurance agency that distributes its products and services through corporate and franchise locations throughout the United States. Goosehead was founded on the premise that the consumer should be at the center of our universe and that everything we do should be directed at providing extraordinary value by offering broad product choice and a world-class service experience. Goosehead represents over 200 insurance companies that underwrite personal and commercial lines. For more information, please visit goosehead.com or goosehead.com/become-a-franchisee. Forward-Looking StatementsThis press release may contain various “forward-looking statements” within the meaning of the Private Securities Litigation Reform Act of 1995, which represent Goosehead’s expectations or beliefs concerning future events. Forward-looking statements are statements other than historical facts and may include statements that address future operating, financial or business performance or Goosehead’s strategies or expectations. In some cases, you can identify these statements by forward-looking words such as “may”, “might”, “will”, “should”, “expects”, “plans”, “anticipates”, “believes”, “estimates”, “predicts”, “projects”, “potential”, “outlook” or “continue”, or the negative of these terms or other comparable terminology. Forward-looking statements are based on management’s current expectations and beliefs and involve significant risks and uncertainties that could cause actual results, developments and business decisions to differ materially from those contemplated by these statements. Factors that could cause actual results or performance to differ from the expectations expressed or implied in such forward-looking statements include, but are not limited to, conditions impacting insurance carriers or other parties with which Goosehead does business, the loss of one or more key executives or an inability to attract and retain qualified personnel and the failure to attract and retain highly qualified franchisees. These risks and uncertainties also include, but are not limited to, those described under the captions “1A. Risk Factors” in Goosehead’s Annual Report on Form 10-K for the year ended December 31, 2025 and in Goosehead’s other filings with the SEC, which are available free of charge on the Securities Exchange Commission's website at: www.sec.gov. Should one or more of these risks or uncertainties materialize, or should underlying assumptions prove incorrect, actual results may vary materially from those indicated. All forward-looking statements and all subsequent written and oral forward-looking statements attributable to Goosehead or to persons acting on behalf of Goosehead are expressly qualified in their entirety by reference to these risks and uncertainties. You should not place undue reliance on forward-looking statements. Forward-looking statements speak only as of the date they are made, and Goosehead does not undertake any obligation to update them in light of new information, future developments or otherwise, except as may be required under applicable law. ContactsInvestor Contacts:Maddie MiddletonGoosehead Insurance - Senior Director of Investor RelationsPhone: (972) 800-1993Email: [email protected]; [email protected] PR Contact:Mission North for Goosehead InsuranceEmail: [email protected]; [email protected] (1) Renewal Commissions, New Business Commissions, Agency Fees, and Contingent Commissions are included in "Commissions and agency fees" as shown on the Condensed Consolidated Statements of Operations within Goosehead’s Form 10-Q.(2) Renewal Royalty Fees, New Business Royalty Fees, Initial Franchise Fees, and Other Franchise Revenues are included in "Franchise revenues" as shown on the Condensed Consolidated Statements of Operations within Goosehead’s Form 10-Q. Goosehead Insurance, Inc.Reconciliation of Non-GAAP Measures to GAAP This release includes certain financial performance measures that are not required by, nor presented in accordance with, generally accepted accounting principles in the United States (“GAAP”). The Company refers to these measures as “non-GAAP financial measures.” The Company uses these non-GAAP financial measures when planning, monitoring and evaluating its performance and considers these non-GAAP financial measures to be useful metrics for management and investors to facilitate operating performance comparisons from period to period by excluding potential differences caused by variations in capital structures, tax position, depreciation, amortization and certain other items that the Company believes are not representative of its core business. The Company uses these non-GAAP financial measures for business planning purposes and in measuring its performance relative to that of its competitors. These non-GAAP financial measures are defined by the Company as follows: "Core Revenue" is a supplemental measure of our performance and includes Renewal Commissions, Renewal Royalty Fees, New Business Commissions, New Business Royalty Fees, and Agency Fees. We believe that Core Revenue is an appropriate measure of operating performance because it summarizes all of our revenues from sales of individual insurance policies. "Cost Recovery Revenue" is a supplemental measure of our performance and includes Initial Franchise Fees and Interest Income. We believe that Cost Recovery Revenue is an appropriate measure of operating performance because it summarizes revenues that are viewed by management as cost recovery mechanisms. "Ancillary Revenue" is a supplemental measure of our performance and includes Contingent Commissions and Other Franchise Revenues. We believe that Ancillary Revenue is an appropriate measure of operating performance because it summarizes revenues that are ancillary to our core business. "Adjusted EBITDA" is a supplemental measure of the Company's performance. We believe that Adjusted EBITDA is an appropriate measure of operating performance because it eliminates the impact of items that do not relate to business performance. Adjusted EBITDA is defined as net income (the most directly comparable GAAP measure) before interest, income taxes, depreciation and amortization, adjusted to exclude equity-based compensation, impairment and other gains and losses, contract termination costs, and other non-operating items, including, among other things, certain non-cash charges and certain non-recurring or non-operating gains or losses. "Adjusted EBITDA Margin" is Adjusted EBITDA as defined above, divided by total revenue. Adjusted EBITDA Margin is helpful in measuring profitability of operations on a consolidated level. "Adjusted EPS" is a supplemental measure of our performance, defined as earnings per share (the most directly comparable GAAP measure) before non-recurring or non-operating income and expenses. Adjusted EPS is a useful measure to management and our investors because it eliminates the impact of items that do not relate to business performance and helps measure our profitability on a consolidated level. “Adjusted total operating expenses” is defined as Total operating expenses (the most directly comparable GAAP measure) before equity-based compensation, depreciation and amortization, impairment and other gains and losses, and contract termination costs. This measure is useful to management and our investors as it eliminates the impact of certain non-cash and non-recurring charges. “Adjusted employee compensation and benefits” is defined as Employee compensation and benefits (the most directly comparable GAAP measure) before equity-based compensation. This measure is useful to management and our investors as it eliminates the impact of certain non-cash compensation charges. “Adjusted general and administrative expenses” is defined as general and administrative expenses (the most directly comparable GAAP measure) before impairment and other gains and losses and contract termination costs. This measure is useful to management and our investors as it eliminates the impact of certain non-cash and non-recurring charges. While the Company believes that these non-GAAP financial measures are useful in evaluating its business, this information should be considered as supplemental in nature and is not meant as a substitute for revenues, net income, or earnings per share, in each case as recognized in accordance with GAAP. In addition, other companies, including companies in the Company’s industry, may calculate such measures differently, which reduces their usefulness as comparative measures. The following tables show a reconciliation from total revenues to Core Revenue, Cost Recovery Revenue, and Ancillary Revenue (non-GAAP basis) for the three and six months ended June 30, 2026 and 2025 (in thousands): (1) Renewal Commissions, New Business Commissions, Agency Fees, and Contingent Commissions are included in "Commissions and agency fees" as shown on the Condensed Consolidated Statements of Operations.(2) Renewal Royalty Fees, New Business Royalty Fees, Initial Franchise Fees, and Other Franchise Revenues are included in "Franchise revenues" as shown on the Condensed Consolidated Statements of Operations. The following tables show a reconciliation from net income to Adjusted EBITDA and Adjusted EBITDA Margin (non-GAAP basis) for the three and six months ended June 30, 2026 and 2025 (in thousands): (1) Net Income Margin is calculated as Net Income divided by Total Revenue: ($17,014/$113,389) and ($8,283/$94,027) for the three months ended June 30, 2026 and 2025, respectively. Net Income Margin is calculated as Net Income divided by Total Revenue ($25,059/$206,465) and ($10,929/$169,611) for the six months ended June 30, 2026 and 2025, respectively.(2) Adjusted EBITDA Margin is calculated as Adjusted EBITDA divided by Total Revenue: ($37,948/$113,389), and ($29,152/$94,027) for the three months ended June 30, 2026 and 2025, respectively. Adjusted EBITDA Margin is calculated as Adjusted EBITDA divided by Total Revenue ($62,372/$206,465), and ($44,672/$169,611) for the six months ended June 30, 2026 and 2025, respectively. The following tables show a reconciliation from basic earnings per share to Adjusted EPS (non-GAAP basis) for the three and six months ended June 30, 2026 and 2025: (1) Calculated as equity-based compensation divided by sum of weighted average Class A and Class B shares: [$4.8 million/(23.7 million + 11.8 million)] and [$6.0 million/ (25.2 million + 12.3 million)] for the three months ended June 30, 2026 and 2025, respectively. Calculated as equity-based compensation divided by sum of weighted average Class A and Class B shares: [$11.0 million/ (24.0 million + 11.9 million)] and [$12.3 million/(25.0 million + 12.5 million)] for the six months ended June 30, 2026 and 2025, respectively.(2) Calculated as impairment and other gains and losses divided by sum of weighted average Class A and Class B shares [$4.7 million/(25.2 million + 12.3 million)] for the three months ended June 30, 2025 and [$4.7 million/(25.0 million + 12.5 million)] for the six months ended June 30, 2025. No impairment and other gains and losses were recorded for the three and six months ended June 30, 2026.(3) Calculated as contract termination costs divided by sum of weighted average Class A and Class B shares [$3.1 million/(23.7 million + 11.8 million)] for the three months ended June 30, 2026 and [$3.1 million/(24.0 million + 11.9 million)] for the six months ended June 30, 2026. No contract termination costs were recorded for the three and six months ended June 30, 2025. The following table shows a reconciliation of total operating expenses to adjusted total operating expenses (non-GAAP basis) for the three and six months ended June 30, 2026 and 2025 (in thousands): The following table shows a reconciliation of employee compensation and benefits to adjusted employee compensation and benefits (non-GAAP basis) for the three and six months ended June 30, 2026 and 2025 (in thousands): The following table shows a reconciliation of general and administrative expenses to adjusted general and administrative expenses (non-GAAP basis) for the three and six months ended June 30, 2026 and 2025 (in thousands): Goosehead Insurance, Inc.Key Performance Indicators (1) - Corporate Productivity is New Business Production per Agent (Corporate): The New Business Revenue collected related to corporate sales, divided by the average number of full-time corporate sales agents for the same period. This calculation excludes interns, part-time sales agents and partial full-time equivalent sales managers. (2) - Franchise Productivity is New Business Production per Agency: The gross commissions paid by Carriers and Agency Fees received related to policies in their first term sold by franchise sales agents, prior to paying Royalty Fees to the Company, divided by the average number of franchises for the same period. (3) CSAT: Customer Satisfaction Score; the average of all client responses to a single survey question asking clients to rate their most recent interaction with us on a scale of 1 to 5, where 5 is most satisfied and 1 is least satisfied. The current period reflects all responses from October 1, 2025 through the end of the current period. It will be presented on a trailing twelve-month basis beginning with the period ending September 30, 2026.

Goosehead Insurance (GSHD) reported $113.39 million in revenue for the quarter ended June 2026, representing a year-over-year increase of 20.6%. EPS of $0.64 for the same period compares to $0.49 a year ago. The reported revenue compares to the Zacks Consensus Estimate of $103.36 million, representing a surprise of +9.7%. The company delivered an EPS surprise of +23.08%, with the consensus EPS estimate being $0.52. While investors closely watch year-over-year changes in headline numbers -- revenue and earnings -- and how they compare to Wall Street expectations to determine their next course of action, some key metrics always provide a better insight into a company's underlying performance. As these metrics influence top- and bottom-line performance, comparing them to the year-ago numbers and what analysts estimated helps investors project a stock's price performance more accurately. Here is how Goosehead performed in the just reported quarter in terms of the metrics most widely monitored and projected by Wall Street analysts: Total Core Revenue: $95.63 million versus the three-analyst average estimate of $96.01 million. The reported number represents a year-over-year change of +10.2%. Ancillary Revenue- Contingent Commissions: $15.73 million versus the three-analyst average estimate of $4.85 million. The reported number represents a year-over-year change of +250.1%. Total Cost Recovery Revenue: $1.46 million versus the three-analyst average estimate of $1.6 million. The reported number represents a year-over-year change of +2%. Total Ancillary Revenue: $16.3 million versus $5.75 million estimated by three analysts on average. Compared to the year-ago quarter, this number represents a +180.3% change. Core Revenue- Agency Fees: $3.08 million versus $3.24 million estimated by two analysts on average. Compared to the year-ago quarter, this number represents a +6.1% change. Ancillary Revenue- Other Franchise Revenues: $0.58 million versus $0.86 million estimated by two analysts on average. Compared to the year-ago quarter, this number represents a -56.5% change. Cost Recovery Revenue- Initial Franchise Fees: $1.36 million versus the two-analyst average estimate of $1.27 million. The reported number represents a year-over-year change of +9.1%. Cost Recovery Revenue- Interest Income: $0.1 million versus $0.14 million estimated by two analysts on average. Compared to the year-ago quarter, this number represents a -46.9% change. Core Revenue- New Business Royalty Fees: $9.4 million versus the two-analyst average estimate of $8.87 million. The reported number represents a year-over-year change of +20.2%. Core Revenue- New Business Commissions: $9.61 million compared to the $9.07 million average estimate based on two analysts. The reported number represents a change of +27.2% year over year. Core Revenue- Renewal Royalty Fees: $52.51 million versus the two-analyst average estimate of $50.88 million. The reported number represents a year-over-year change of +15.7%. Core Revenue- Renewal Commissions: $21.03 million versus $24.47 million estimated by two analysts on average. Compared to the year-ago quarter, this number represents a -9% change. View all Key Company Metrics for Goosehead here>>> Shares of Goosehead have returned +34.2% over the past month versus the Zacks S&P 500 composite's +0.3% change. The stock currently has a Zacks Rank #3 (Hold), indicating that it could perform in line with the broader market in the near term. Want the latest recommendations from Zacks Investment Research? Today, you can download 7 Best Stocks for the Next 30 Days. Click to get this free report Goosehead Insurance (GSHD) : Free Stock Analysis Report This article originally published on Zacks Investment Research (zacks.com). Zacks Investment Research

Interested in Goosehead Insurance? Here are five stocks we like better. Goosehead posted strong Q2 2026 results, with revenue up 21% year over year to $113.4 million and adjusted EBITDA rising 30% to $37.9 million. Written premiums grew 14% and client retention improved to 86%, its best level since the hard market began. The company raised the low end of its full-year revenue outlook, now expecting organic total revenue growth of 12% to 19%. Management said the boost reflects stronger-than-expected contingent commissions and still expects second-half core revenue acceleration. Goosehead also announced a CEO transition: Mark Miller will retire at the end of 2026, and President/COO Mark Jones Jr. will take over. Jones Jr. said the strategy will remain unchanged, with continued focus on growth, execution, and technology investments like its digital agent platform and AI assistant Lily. Goosehead Insurance (NASDAQ:GSHD) reported stronger second-quarter 2026 revenue and profitability, raised the lower end of its full-year revenue outlook and announced a planned CEO transition, according to management comments on the company’s earnings call. Chief Executive Officer Mark Miller said he will retire at the end of 2026 and hand the CEO role to President and Chief Operating Officer Mark Jones Jr. Miller said he will remain on Goosehead’s board of directors and stay engaged through the end of the year to support the transition. → Buyback Boom: These 3 Companies Are Betting Billions on Their Own Stocks “After a 40-year professional career, I’ve decided that the time is right for me to retire,” Miller said. He described Jones Jr. as an “exceptional leader” who has been part of Goosehead’s management team for nearly 10 years and “closely tied to the business since its founding.” Jones Jr. said the company’s strategy is not changing. “We remain laser-focused on our objective to become the largest distributor of personal lines insurance in our founder’s lifetime,” he said, adding that his focus will be on “speed of execution, simplification, and rapid decision-making.” → 3 Photonics Companies Making Quantum Tech Possible Goosehead reported total written premiums of $1.36 billion, up 14% year over year and accelerating from 13% growth in the first quarter. Policies in force increased 15% year over year to 2.1 million, while client retention improved sequentially to 86%, its highest level since the beginning of the hard market, according to Miller. Total revenue rose 21% year over year to $113.4 million. Core revenue increased 10% to $95.6 million. Management noted that second-quarter 2025 results included a $4 million recovery of previously unpaid renewal commissions and royalty fees from a carrier partner. Adjusted for that prior-year item, total revenue grew 26% and core revenue grew 16%. → AI Data Centers Need Power, and These 2 Industrials Are Cashing In Adjusted EBITDA rose 30% year over year to $37.9 million, representing a 33% adjusted EBITDA margin. Miller cited “continued execution against our strategic plan and broad-based momentum across the business.” Chief Financial Officer John Martin said several factors contributed to the quarter’s top-line performance, including strong new business generation, improving client retention and higher contingent commissions. New business commissions increased 27% year over year to $9.6 million. New business royalties rose 20% to $9.4 million, the fastest pace of growth in six quarters. Ancillary revenue, largely contingent commissions, increased 180% year over year to $16.3 million. Franchise producers grew 5% year over year and 2% sequentially to 2,190. Miller said Goosehead’s franchise network is “healthier than ever,” pointing to the company’s agency staffing program, which was launched in 2023 and has helped franchise owners add hundreds of producers. Franchise producers reached nearly 2,200, with an average of 2.4 producers per franchise, he said. The average monthly payment Goosehead sends to a franchise increased more than 35% year over year to more than $28,000, according to Miller. Jones Jr. said the company had about 70% more franchises produce over $100,000 of gross new business commissions and agency fees in a month during the quarter compared with the prior year. Jones Jr. also highlighted the role of Goosehead’s corporate sales team in developing future franchise owners. He said more than 60 agencies have launched from the corporate channel, representing more than 170 producers inside those franchises. Enterprise sales is becoming a more material part of the business, management said. The channel generated approximately $3 million in new business commissions and agency fees during the second quarter and represented 21% of total new business commissions and agency fees, according to Martin. Jones Jr. said enterprise sales is “approaching a third the size” of Goosehead’s corporate sales team after three years. Jones Jr. said Goosehead’s digital agent platform is now allowing consumers in Texas to complete the shopping and binding process digitally across multiple home and auto carriers. He said the company delivered the first version of the platform ahead of schedule and is focused in the second half of the year on optimizing the Texas conversion funnel before expanding to additional states. Jones Jr. emphasized that the platform is designed to enhance agent productivity rather than replace agents. He said many customers still choose to speak with an agent before completing a purchase, but by that point they have already completed the data collection process, creating more qualified opportunities for producers. The company also discussed Lily, its AI voice assistant. Jones Jr. said Lily now handles about 20% of inbound service calls from start to finish, with performance exceeding 30% during certain periods. He said automation is being applied selectively where it improves the client experience, producer productivity or retention. Goosehead raised its full-year 2026 revenue outlook. Martin said the company now expects total revenue to grow organically in a range of 12% to 19% year over year. The increase to the bottom end of the range reflects a more favorable view of contingent commissions, which are tracking ahead of prior expectations. The company continues to expect total written premiums to grow organically in a range of 12% to 20% year over year. Martin said Goosehead still expects second-half acceleration in core revenue growth compared with the first half, supported by improving client retention and strong new business generation. In response to analyst questions, Martin said there was no change to the company’s underlying expense outlook. He said Goosehead continues to expect compensation and general and administrative expenses to grow in the high teens to low 20% range for the year, likely above core revenue growth because of the current investment cycle. Goosehead generated $15.9 million in operating cash flow during the quarter and repurchased 95,000 Class A shares for $3.9 million. Year to date, the company generated $38.8 million in operating cash flow and repurchased more than 1 million Class A shares for $53.7 million. Martin said Goosehead had $144.6 million remaining under its existing share repurchase authorization at quarter-end. The company ended the quarter with $23.7 million in cash and cash equivalents and $323 million of total debt outstanding. Management described the personal lines product market as significantly improved after several years of difficult conditions. Jones Jr. said auto pricing is generally declining in the mid-single-digit range, while homeowners pricing is broadly flat and still up low single digits in some geographies. He said the more stable product market improves efficiency across the business. Asked about shareholder value creation, Jones Jr. said Goosehead is focused on maximizing long-term profit dollars and is not concerned with short-term swings in equity valuation. Co-founder and Executive Chairman Mark Jones added that the company is focused on “building long-term shareholder value” and is not distracted by short-term market fluctuations. 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. This instant news alert was generated by narrative science technology and financial data from MarketBeat in order to provide readers with the fastest reporting and unbiased coverage. Please send any questions or comments about this story to [email protected]. The article "Goosehead Insurance Q2 Earnings Call Highlights" was originally published by MarketBeat. View MarketBeat's top stocks for July 2026.

Have you been searching for a stock that might be well-positioned to maintain its earnings-beat streak in its upcoming report? It is worth considering Goosehead Insurance (GSHD), which belongs to the Zacks Insurance - Multi line industry. This insurance company has seen a nice streak of beating earnings estimates, especially when looking at the previous two reports. The average surprise for the last two quarters was 34.26%. For the most recent quarter, Goosehead was expected to post earnings of $0.2 per share, but it reported $0.3 per share instead, representing a surprise of 50.00%. For the previous quarter, the consensus estimate was $0.54 per share, while it actually produced $0.64 per share, a surprise of 18.52%. Thanks in part to this history, there has been a favorable change in earnings estimates for Goosehead lately. In fact, the Zacks Earnings ESP (Expected Surprise Prediction) for the stock is positive, which is a great indicator of an earnings beat, particularly when combined with its solid Zacks Rank. Our research shows that stocks with the combination of a positive Earnings ESP and a Zacks Rank #3 (Hold) or better produce a positive surprise nearly 70% of the time. In other words, if you have 10 stocks with this combination, the number of stocks that beat the consensus estimate could be as high as seven. The Zacks Earnings ESP compares the Most Accurate Estimate to the Zacks Consensus Estimate for the quarter; the Most Accurate Estimate is a version of the Zacks Consensus whose definition is related to change. The idea here is that analysts revising their estimates right before an earnings release have the latest information, which could potentially be more accurate than what they and others contributing to the consensus had predicted earlier. Goosehead currently has an Earnings ESP of +0.96%, which suggests that analysts have recently become bullish on the company's earnings prospects. This positive Earnings ESP when combined with the stock's Zacks Rank #3 (Hold) indicates that another beat is possibly around the corner. We expect the company's next earnings report to be released on July 22, 2026. With the Earnings ESP metric, it's important to note that a negative value reduces its predictive power; however, a negative Earnings ESP does not indicate an earnings miss. Many companies end up beating the consensus EPS estimate, but that may not be the sole basis for their stocks moving higher. On the other hand, some stocks may hold their ground even if they end up missing the consensus estimate. Because of this, it's really important to check a company's Earnings ESP ahead of its quarterly release to increase the odds of success. Make sure to utilize our Earnings ESP Filter to uncover the best stocks to buy or sell before they've reported. Want the latest recommendations from Zacks Investment Research? Today, you can download 7 Best Stocks for the Next 30 Days. Click to get this free report Goosehead Insurance (GSHD) : Free Stock Analysis Report This article originally published on Zacks Investment Research (zacks.com). Zacks Investment Research

The market expects Principal Financial (PFG) to deliver a year-over-year increase in earnings on higher revenues when it reports results for the quarter ended June 2026. This widely-known consensus outlook is important in assessing the company's earnings picture, but a powerful factor that might influence its near-term stock price is how the actual results compare to these estimates. The stock might move higher if these key numbers top expectations in the upcoming earnings report, which is expected to be released on July 27. On the other hand, if they miss, the stock may move lower. While the sustainability of the immediate price change and future earnings expectations will mostly depend on management's discussion of business conditions on the earnings call, it's worth handicapping the probability of a positive EPS surprise. This financial services company is expected to post quarterly earnings of $2.32 per share in its upcoming report, which represents a year-over-year change of +7.4%. Revenues are expected to be $4.11 billion, up 11.4% from the year-ago quarter. The consensus EPS estimate for the quarter has been revised 0.88% higher over the last 30 days to the current level. This is essentially a reflection of how the covering analysts have collectively reassessed their initial estimates over this period. Investors should keep in mind that an aggregate change may not always reflect the direction of estimate revisions by each of the covering analysts. Price, Consensus and EPS Surprise Estimate revisions ahead of a company's earnings release offer clues to the business conditions for the period whose results are coming out. This insight is at the core of our proprietary surprise prediction model -- the Zacks Earnings ESP (Expected Surprise Prediction). The Zacks Earnings ESP compares the Most Accurate Estimate to the Zacks Consensus Estimate for the quarter; the Most Accurate Estimate is a more recent version of the Zacks Consensus EPS estimate. The idea here is that analysts revising their estimates right before an earnings release have the latest information, which could potentially be more accurate than what they and others contributing to the consensus had predicted earlier. Thus, a positive or negative Earnings ESP reading theoretically indicates the likely deviation of the actual earnings from the consensus estimate. However, the model's predictive power is significant for positive ESP readings only. A positive Earnings ESP is a strong predictor of an earnings beat, particularly when combined with a Zacks Rank #1 (Strong Buy), 2 (Buy) or 3 (Hold). Our research shows that stocks with this combination produce a positive surprise nearly 70% of the time, and a solid Zacks Rank actually increases the predictive power of Earnings ESP. Please note that a negative Earnings ESP reading is not indicative of an earnings miss. Our research shows that it is difficult to predict an earnings beat with any degree of confidence for stocks with negative Earnings ESP readings and/or Zacks Rank of 4 (Sell) or 5 (Strong Sell). For Principal Financial, the Most Accurate Estimate is higher than the Zacks Consensus Estimate, suggesting that analysts have recently become bullish on the company's earnings prospects. This has resulted in an Earnings ESP of +0.29%. On the other hand, the stock currently carries a Zacks Rank of #3. So, this combination indicates that Principal Financial will most likely beat the consensus EPS estimate. Analysts often consider to what extent a company has been able to match consensus estimates in the past while calculating their estimates for its future earnings. So, it's worth taking a look at the surprise history for gauging its influence on the upcoming number. For the last reported quarter, it was expected that Principal Financial would post earnings of $2.01 per share when it actually produced earnings of $2.07, delivering a surprise of +2.99%. Over the last four quarters, the company has beaten consensus EPS estimates two times. An earnings beat or miss may not be the sole basis for a stock moving higher or lower. Many stocks end up losing ground despite an earnings beat due to other factors that disappoint investors. Similarly, unforeseen catalysts help a number of stocks gain despite an earnings miss. That said, betting on stocks that are expected to beat earnings expectations does increase the odds of success. This is why it's worth checking a company's Earnings ESP and Zacks Rank ahead of its quarterly release. Make sure to utilize our Earnings ESP Filter to uncover the best stocks to buy or sell before they've reported. Principal Financial appears a compelling earnings-beat candidate. However, investors should pay attention to other factors too for betting on this stock or staying away from it ahead of its earnings release. Another stock from the Zacks Insurance - Multi line industry, Goosehead Insurance (GSHD), is soon expected to post earnings of $0.52 per share for the quarter ended June 2026. This estimate indicates a year-over-year change of +6.1%. Revenues for the quarter are expected to be $103.36 million, up 9.9% from the year-ago quarter. The consensus EPS estimate for Goosehead has been revised 1.3% lower over the last 30 days to the current level. However, a higher Most Accurate Estimate has resulted in an Earnings ESP of +0.96%. When combined with a Zacks Rank of #3 (Hold), this Earnings ESP indicates that Goosehead will most likely beat the consensus EPS estimate. Over the last four quarters, the company surpassed consensus EPS estimates two times. Stay on top of upcoming earnings announcements with the Zacks Earnings Calendar. Want the latest recommendations from Zacks Investment Research? Today, you can download 7 Best Stocks for the Next 30 Days. Click to get this free report Principal Financial Group, Inc. (PFG) : Free Stock Analysis Report Goosehead Insurance (GSHD) : Free Stock Analysis Report This article originally published on Zacks Investment Research (zacks.com). Zacks Investment Research