Key Points
- MGIC Investment COO Salvatore Miosi sold 30,000 shares on June 8 at an average price of $25.38, for total proceeds of $761,400. The sale reduced his direct ownership by 5.08% and was made under a pre-arranged Rule 10b5-1 trading plan.
- The company recently reported mixed quarterly results, with EPS of $0.76 beating estimates by $0.03, while revenue of $297.08 million came in below expectations and fell 3% year over year.
- MGIC Investment is returning cash to shareholders and buying back stock, having paid a quarterly dividend of $0.15 per share and authorized a $750 million repurchase program. Analysts currently rate the stock a consensus Hold with a target price of $28.25.
MGIC Investment Corporation (NYSE:MTG - Get Free Report) COO Salvatore Miosi sold 30,000 shares of MGIC Investment stock in a transaction on Monday, June 8th. The stock was sold at an average price of $25.38, for a total transaction of $761,400.00. Following the sale, the chief operating officer directly owned 560,951 shares of the company's stock, valued at approximately $14,236,936.38. This trade represents a 5.08% decrease in their ownership of the stock. The transaction was disclosed in a legal filing with the SEC, which is available at the SEC website. The transaction was executed under a pre-arranged Rule 10b5-1 trading plan.
MGIC Investment Price Performance
MGIC Investment stock opened at $25.55 on Wednesday. The stock has a market cap of $5.40 billion, a P/E ratio of 8.11, a price-to-earnings-growth ratio of 1.73 and a beta of 0.68. The company has a fifty day simple moving average of $26.65 and a 200-day simple moving average of $27.17. MGIC Investment Corporation has a 12-month low of $24.69 and a 12-month high of $29.97. The company has a current ratio of 1.14, a quick ratio of 1.14 and a debt-to-equity ratio of 0.13.
MGIC Investment (NYSE:MTG - Get Free Report) last released its quarterly earnings data on Wednesday, April 29th. The insurance provider reported $0.76 earnings per share (EPS) for the quarter, topping the consensus estimate of $0.73 by $0.03. The business had revenue of $297.08 million during the quarter, compared to analysts' expectations of $303.12 million. MGIC Investment had a net margin of 59.63% and a return on equity of 14.01%. The company's revenue for the quarter was down 3.0% on a year-over-year basis. During the same period in the previous year, the company earned $0.75 EPS. Equities analysts expect that MGIC Investment Corporation will post 3.06 EPS for the current fiscal year.
MGIC Investment Announces Dividend
The company also recently disclosed a quarterly dividend, which was paid on Thursday, May 21st. Stockholders of record on Wednesday, May 6th were given a dividend of $0.15 per share. This represents a $0.60 annualized dividend and a dividend yield of 2.3%. The ex-dividend date of this dividend was Wednesday, May 6th. MGIC Investment's payout ratio is 19.05%.
MGIC Investment announced that its board has initiated a stock buyback program on Thursday, April 23rd that permits the company to buyback $750.00 million in shares. This buyback authorization permits the insurance provider to repurchase up to 12.4% of its shares through open market purchases. Shares buyback programs are generally an indication that the company's management believes its shares are undervalued.
Analyst Ratings Changes
Several equities research analysts recently commented on MTG shares. Royal Bank Of Canada started coverage on shares of MGIC Investment in a research note on Friday, May 22nd. They set a "sector perform" rating and a $28.00 price target on the stock. Barclays cut their price target on shares of MGIC Investment from $29.00 to $28.00 and set an "equal weight" rating on the stock in a research note on Friday, May 1st. UBS Group cut their price target on shares of MGIC Investment from $29.50 to $28.00 and set a "neutral" rating on the stock in a research note on Thursday, March 12th. Finally, Keefe, Bruyette & Woods lifted their price target on shares of MGIC Investment from $28.00 to $29.00 and gave the stock a "market perform" rating in a research note on Friday, April 10th. One analyst has rated the stock with a Buy rating and four have given a Hold rating to the company's stock. According to MarketBeat, the stock presently has a consensus rating of "Hold" and a consensus target price of $28.25.
Get Our Latest Stock Report on MGIC Investment
Institutional Inflows and Outflows
A number of institutional investors have recently bought and sold shares of MTG. Newbridge Financial Services Group Inc. acquired a new position in MGIC Investment in the third quarter valued at $28,000. SBI Securities Co. Ltd. increased its stake in MGIC Investment by 61.1% in the third quarter. SBI Securities Co. Ltd. now owns 1,041 shares of the insurance provider's stock valued at $30,000 after purchasing an additional 395 shares during the period. V Square Quantitative Management LLC acquired a new position in MGIC Investment in the fourth quarter valued at $36,000. Abich Financial Wealth Management LLC acquired a new position in MGIC Investment in the third quarter valued at $42,000. Finally, Geneos Wealth Management Inc. increased its stake in MGIC Investment by 88.0% in the first quarter. Geneos Wealth Management Inc. now owns 1,745 shares of the insurance provider's stock valued at $43,000 after purchasing an additional 817 shares during the period. 95.58% of the stock is currently owned by institutional investors and hedge funds.
About MGIC Investment
(
Get Free Report)
MGIC Investment Corporation (NYSE: MTG) is a leading provider of private mortgage insurance in the United States. Established in 1957 as the nation's first private mortgage insurer, MGIC helps lenders manage credit risk and facilitates homeownership by protecting mortgage loans against default. Headquartered in Milwaukee, Wisconsin, the company operates through its principal subsidiary, Mortgage Guaranty Insurance Corporation, and maintains relationships with a broad network of originators and servicers nationwide.
The company's primary business activity involves issuing mortgage insurance policies that enable borrowers to purchase homes with down payments below traditional lending thresholds.
Further Reading
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