MGIC Investment Corporation (NYSE:MTG) Stock Has Consensus Price Target of $30.80

Shares of MGIC Investment Corporation (NYSE:MTG) have earned a consensus recommendation of “Moderate Buy” from the eight brokerages that are currently covering the stock, Marketbeat.com reports. Five research analysts have rated the stock with a hold rating, one has issued a buy rating and two have given a strong buy rating to the company. The average 12-month price target among brokers that have covered the stock in the last year is $30.80.

A number of research firms recently weighed in on MTG. Weiss Ratings raised shares of MGIC Investment from a “buy (b+)” rating to a “buy (a-)” rating in a research note on Wednesday, August 19th. Royal Bank Of Canada raised their target price on shares of MGIC Investment from $28.00 to $32.00 and gave the company a “sector perform” rating in a research report on Friday, July 31st. Roth Capital restated a “buy” rating and issued a $35.00 price target on shares of MGIC Investment in a report on Thursday, July 30th. Keefe, Bruyette & Woods upped their price target on shares of MGIC Investment from $29.00 to $30.00 and gave the stock a “market perform” rating in a research report on Friday, July 31st. Finally, Zacks Research raised shares of MGIC Investment from a “hold” rating to a “strong-buy” rating in a research report on Tuesday, August 25th.

Insider Buying and Selling

In related news, CEO Timothy Mattke sold 137,114 shares of the business’s stock in a transaction that occurred on Thursday, October 1st. The shares were sold at an average price of $26.23, for a total value of $3,596,500.22. Following the completion of the transaction, the chief executive officer owned 843,778 shares of the company’s stock, valued at $22,132,296.94. The trade was a 13.98% decrease in their ownership of the stock. The sale was disclosed in a filing with the SEC, which is available at the SEC website. The transaction was executed under a pre-arranged Rule 10b5-1 trading plan. Also, COO Salvatore Miosi sold 30,000 shares of the company’s stock in a transaction on Thursday, October 1st. The stock was sold at an average price of $26.06, for a total value of $781,800.00. Following the sale, the chief operating officer owned 440,951 shares of the company’s stock, valued at approximately $11,491,183.06. This represents a 6.37% decrease in their position. The disclosure for this sale is available in the SEC filing. The transaction was executed under a pre-arranged Rule 10b5-1 trading plan. Insiders sold 217,114 shares of company stock valued at $5,906,200 over the last 90 days. Corporate insiders own 1.34% of the company’s stock.

Institutional Investors Weigh In On MGIC Investment

A number of hedge funds have recently made changes to their positions in the stock. BlackRock Inc. purchased a new position in MGIC Investment in the second quarter valued at about $618,467,000. Caisse de depot et placement du Quebec purchased a new stake in shares of MGIC Investment during the second quarter valued at about $98,074,000. NewEdge Wealth LLC purchased a new stake in shares of MGIC Investment during the second quarter valued at about $71,375,000. Bank of New York Mellon Corp purchased a new stake in shares of MGIC Investment during the second quarter valued at about $51,059,000. Finally, Bank of America Corp DE bought a new stake in shares of MGIC Investment in the 2nd quarter valued at about $44,658,000. 95.58% of the stock is currently owned by hedge funds and other institutional investors.

MGIC Investment Stock Down 0.7%

Shares of MTG stock traded down $0.19 during mid-day trading on Tuesday, hitting $26.84. The stock had a trading volume of 298,470 shares, compared to its average volume of 2,056,204. MGIC Investment has a 12-month low of $24.69 and a 12-month high of $31.89. The firm has a market capitalization of $5.50 billion, a P/E ratio of 8.40, a price-to-earnings-growth ratio of 0.70 and a beta of 0.67. The firm’s 50-day moving average is $29.80 and its two-hundred day moving average is $28.15. The company has a debt-to-equity ratio of 0.13, a current ratio of 1.19 and a quick ratio of 1.19.

MGIC Investment (NYSE:MTG) last posted its quarterly earnings results on Wednesday, July 29th. The insurance provider reported $0.87 earnings per share (EPS) for the quarter, topping analysts’ consensus estimates of $0.76 by $0.11. The business had revenue of $295.39 million for the quarter, compared to the consensus estimate of $297.54 million. MGIC Investment had a return on equity of 13.90% and a net margin of 59.20%. The business’s revenue was down 2.9% compared to the same quarter last year. During the same quarter in the prior year, the company earned $0.82 EPS. On average, analysts predict that MGIC Investment will post 3.24 earnings per share for the current fiscal year.

MGIC Investment Increases Dividend

The firm also recently disclosed a quarterly dividend, which was paid on Thursday, August 20th. Investors of record on Wednesday, August 5th were issued a dividend of $0.17 per share. The ex-dividend date of this dividend was Wednesday, August 5th. This is a positive change from MGIC Investment’s previous quarterly dividend of $0.15. This represents a $0.68 annualized dividend and a yield of 2.5%. MGIC Investment’s dividend payout ratio is 21.25%.

About MGIC Investment

MGIC Investment Corporation is a holding company whose principal subsidiary, Mortgage Guaranty Insurance Corporation (MGIC), provides private mortgage insurance in the United States. Its insurance helps lenders manage credit risk on residential mortgage loans, particularly loans made to borrowers who provide down payments below traditional thresholds.

MGIC’s products are primarily designed for lenders and other mortgage-finance participants, including primary mortgage insurance covering individual residential loans.