Key Points
- Radian Group CEO Michael Weinbach bought 49,513 shares on June 2 at an average price of $34.04, a transaction worth about $1.69 million. After the purchase, he directly owned 170,000 shares, increasing his stake by 41.09%.
- The company recently delivered stronger-than-expected earnings, reporting $1.27 EPS versus the $1.17 consensus and revenue of $466.34 million, well above estimates. Quarterly revenue rose 46.6% year over year.
- Radian Group also announced a quarterly dividend of $0.255 per share, payable June 17, which works out to an annualized yield of about 3.0%. Analysts currently rate the stock a consensus “Moderate Buy” with an average target price of $42.67.
Radian Group Inc. (NYSE:RDN - Get Free Report) CEO Michael Weinbach purchased 49,513 shares of the stock in a transaction that occurred on Tuesday, June 2nd. The stock was purchased at an average price of $34.04 per share, with a total value of $1,685,422.52. Following the acquisition, the chief executive officer directly owned 170,000 shares of the company's stock, valued at $5,786,800. This trade represents a 41.09% increase in their position. The transaction was disclosed in a document filed with the SEC, which is available at the SEC website.
Radian Group Stock Up 0.2%
Shares of NYSE RDN opened at $33.86 on Wednesday. The company has a debt-to-equity ratio of 0.16, a quick ratio of 0.58 and a current ratio of 0.58. The firm has a market capitalization of $4.50 billion, a price-to-earnings ratio of 8.34, a PEG ratio of 0.86 and a beta of 0.73. The stock has a 50 day moving average price of $35.19 and a 200 day moving average price of $34.72. Radian Group Inc. has a 52-week low of $31.50 and a 52-week high of $38.84.
Radian Group (NYSE:RDN - Get Free Report) last announced its quarterly earnings results on Thursday, May 7th. The insurance provider reported $1.27 earnings per share (EPS) for the quarter, beating analysts' consensus estimates of $1.17 by $0.10. The firm had revenue of $466.34 million during the quarter, compared to analyst estimates of $377.83 million. Radian Group had a return on equity of 13.57% and a net margin of 40.50%.Radian Group's quarterly revenue was up 46.6% on a year-over-year basis. During the same quarter in the previous year, the business earned $0.99 earnings per share. Sell-side analysts expect that Radian Group Inc. will post 5.11 earnings per share for the current year.
Radian Group Dividend Announcement
The company also recently declared a quarterly dividend, which will be paid on Wednesday, June 17th. Investors of record on Tuesday, June 2nd will be issued a $0.255 dividend. The ex-dividend date is Tuesday, June 2nd. This represents a $1.02 dividend on an annualized basis and a dividend yield of 3.0%. Radian Group's payout ratio is presently 25.12%.
Institutional Trading of Radian Group
Hedge funds and other institutional investors have recently made changes to their positions in the business. Northwestern Mutual Wealth Management Co. lifted its holdings in shares of Radian Group by 178.9% during the 3rd quarter. Northwestern Mutual Wealth Management Co. now owns 742 shares of the insurance provider's stock valued at $27,000 after purchasing an additional 476 shares during the last quarter. V Square Quantitative Management LLC purchased a new stake in shares of Radian Group during the 4th quarter valued at $29,000. Bessemer Group Inc. lifted its holdings in shares of Radian Group by 66.7% during the 3rd quarter. Bessemer Group Inc. now owns 795 shares of the insurance provider's stock valued at $29,000 after purchasing an additional 318 shares during the last quarter. Geneos Wealth Management Inc. lifted its holdings in shares of Radian Group by 191.3% during the 1st quarter. Geneos Wealth Management Inc. now owns 871 shares of the insurance provider's stock valued at $29,000 after purchasing an additional 572 shares during the last quarter. Finally, Fifth Third Bancorp lifted its holdings in shares of Radian Group by 65.8% during the 4th quarter. Fifth Third Bancorp now owns 907 shares of the insurance provider's stock valued at $33,000 after purchasing an additional 360 shares during the last quarter. Hedge funds and other institutional investors own 95.33% of the company's stock.
Analyst Ratings Changes
A number of analysts recently issued reports on RDN shares. UBS Group lowered their price target on Radian Group from $41.00 to $39.00 and set a "neutral" rating for the company in a report on Thursday, March 12th. Barclays boosted their price target on Radian Group from $37.00 to $39.00 and gave the company an "equal weight" rating in a report on Monday, May 11th. Keefe, Bruyette & Woods upped their target price on Radian Group from $42.00 to $43.00 and gave the stock an "outperform" rating in a report on Friday, April 10th. Wall Street Zen upgraded Radian Group from a "hold" rating to a "buy" rating in a report on Saturday, May 16th. Finally, Zacks Research lowered Radian Group from a "strong-buy" rating to a "hold" rating in a report on Monday, April 20th. Five equities research analysts have rated the stock with a Buy rating and three have issued a Hold rating to the company. According to MarketBeat.com, the company has a consensus rating of "Moderate Buy" and an average target price of $42.67.
Read Our Latest Research Report on RDN
About Radian Group
(
Get Free Report)
Radian Group Inc (NYSE:RDN) is a leading provider of private mortgage insurance and related risk management solutions in the United States. Through its primary subsidiary, Radian Guaranty Inc, the company underwrites borrower-paid and lender-paid mortgage insurance that protects lenders and investors from potential losses arising from borrower defaults. Radian's core business focuses on supporting residential mortgage originations and servicing by offering capital-efficient credit protection and credit risk transfer strategies.
Beyond mortgage insurance, Radian offers an array of real estate transaction services under its Radian Title division.
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