Universal Insurance (NYSE:UVE) Reaches New 52-Week High – What’s Next?

Universal Insurance Holdings Inc (NYSE:UVE)’s share price reached a new 52-week high during trading on Monday . The company traded as high as $36.31 and last traded at $36.0950, with a volume of 245848 shares traded. The stock had previously closed at $35.17.

Analyst Upgrades and Downgrades

Several brokerages have recently weighed in on UVE. Piper Sandler upped their target price on Universal Insurance from $35.00 to $40.00 and gave the stock an “overweight” rating in a research report on Monday, December 22nd. Zacks Research downgraded shares of Universal Insurance from a “strong-buy” rating to a “hold” rating in a research report on Tuesday, December 23rd. Weiss Ratings reissued a “buy (b)” rating on shares of Universal Insurance in a research report on Wednesday, January 21st. Finally, Wall Street Zen upgraded Universal Insurance from a “buy” rating to a “strong-buy” rating in a research note on Saturday, December 27th. Two research analysts have rated the stock with a Buy rating and one has issued a Hold rating to the company’s stock. According to data from MarketBeat.com, the company has an average rating of “Moderate Buy” and a consensus price target of $40.00.

Universal Insurance Price Performance

The company has a debt-to-equity ratio of 0.18, a current ratio of 0.52 and a quick ratio of 0.55. The stock has a market capitalization of $1.02 billion, a price-to-earnings ratio of 5.78 and a beta of 0.67. The company has a 50-day simple moving average of $31.51 and a two-hundred day simple moving average of $29.99.

Universal Insurance (NYSE:UVE) last released its quarterly earnings results on Tuesday, February 24th. The insurance provider reported $2.17 EPS for the quarter, topping the consensus estimate of $1.30 by $0.87. Universal Insurance had a net margin of 11.41% and a return on equity of 37.28%. The business had revenue of $403.57 million during the quarter, compared to analyst estimates of $372.99 million. On average, equities research analysts predict that Universal Insurance Holdings Inc will post 1.66 earnings per share for the current year.

Universal Insurance Announces Dividend

The business also recently disclosed a quarterly dividend, which will be paid on Friday, March 13th. Stockholders of record on Friday, March 6th will be issued a $0.16 dividend. The ex-dividend date is Friday, March 6th. This represents a $0.64 annualized dividend and a dividend yield of 1.8%. Universal Insurance’s dividend payout ratio (DPR) is 10.14%.

Insider Activity

In other news, CEO Stephen Donaghy sold 25,000 shares of the company’s stock in a transaction on Monday, December 29th. The stock was sold at an average price of $34.07, for a total value of $851,750.00. Following the completion of the sale, the chief executive officer owned 679,961 shares in the company, valued at $23,166,271.27. This represents a 3.55% decrease in their ownership of the stock. The sale was disclosed in a filing with the SEC, which is available through this link. Also, Director Richard D. Peterson sold 1,855 shares of the firm’s stock in a transaction dated Tuesday, December 30th. The shares were sold at an average price of $33.61, for a total transaction of $62,346.55. Following the transaction, the director owned 8,319 shares of the company’s stock, valued at approximately $279,601.59. This trade represents a 18.23% decrease in their position. The disclosure for this sale is available in the SEC filing. In the last ninety days, insiders have sold 46,855 shares of company stock worth $1,590,497. 17.50% of the stock is owned by company insiders.

Institutional Inflows and Outflows

Several hedge funds and other institutional investors have recently made changes to their positions in UVE. Millennium Management LLC raised its holdings in shares of Universal Insurance by 212.3% during the third quarter. Millennium Management LLC now owns 596,370 shares of the insurance provider’s stock valued at $15,685,000 after acquiring an additional 405,403 shares during the period. BNP Paribas Financial Markets raised its stake in Universal Insurance by 106.0% during the 3rd quarter. BNP Paribas Financial Markets now owns 280,957 shares of the insurance provider’s stock valued at $7,389,000 after purchasing an additional 144,553 shares during the period. Arrowstreet Capital Limited Partnership raised its stake in Universal Insurance by 43.9% during the 2nd quarter. Arrowstreet Capital Limited Partnership now owns 454,496 shares of the insurance provider’s stock valued at $12,603,000 after purchasing an additional 138,732 shares during the period. Geode Capital Management LLC lifted its holdings in shares of Universal Insurance by 19.8% in the fourth quarter. Geode Capital Management LLC now owns 815,484 shares of the insurance provider’s stock valued at $27,566,000 after purchasing an additional 134,805 shares in the last quarter. Finally, Informed Momentum Co LLC acquired a new stake in shares of Universal Insurance in the fourth quarter worth $4,481,000. 66.61% of the stock is currently owned by institutional investors and hedge funds.

Universal Insurance Company Profile

Universal Insurance Holdings, Inc (NYSE: UVE) is a property and casualty insurance holding company headquartered in Jacksonville, Florida. The company underwrites homeowners and other residential property insurance products to protect against natural catastrophes such as hurricanes, windstorms and fires. It distributes policies primarily through a network of independent agents and brokers, offering coverage for primary residences, secondary homes, condominiums, vacant dwellings and rental properties across its service territory.

In addition to personal lines, Universal provides commercial property and casualty insurance tailored to small businesses and institutional clients.