Zacks Research Forecasts Lower Earnings for MGIC Investment

MGIC Investment Corporation (NYSE:MTG) – Investment analysts at Zacks Research reduced their Q1 2028 EPS estimates for shares of MGIC Investment in a note issued to investors on Tuesday, August 18th. Zacks Research analyst Team now anticipates that the insurance provider will earn $0.83 per share for the quarter, down from their prior estimate of $0.84. The consensus estimate for MGIC Investment’s current full-year earnings is $3.24 per share. Zacks Research also issued estimates for MGIC Investment’s FY2028 earnings at $3.23 EPS.

A number of other research analysts have also commented on the company. Roth Capital reaffirmed a “buy” rating and issued a $35.00 price objective 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 company a “market perform” rating in a research note on Friday, July 31st. Barclays dropped their price objective on shares of MGIC Investment from $29.00 to $28.00 and set an “equal weight” rating for the company in a research note on Friday, May 1st. Weiss Ratings raised shares of MGIC Investment from a “buy (b)” rating to a “buy (b+)” rating in a report on Tuesday, July 7th. Finally, Royal Bank Of Canada raised their target price on shares of MGIC Investment from $28.00 to $32.00 and gave the stock a “sector perform” rating in a report on Friday, July 31st. Two equities research analysts have rated the stock with a Buy rating and four have given a Hold rating to the stock. According to data from MarketBeat, MGIC Investment currently has an average rating of “Hold” and a consensus target price of $30.60.

MGIC Investment Price Performance

Shares of NYSE MTG opened at $30.94 on Thursday. The firm has a market cap of $6.35 billion, a P/E ratio of 9.67, a price-to-earnings-growth ratio of 0.79 and a beta of 0.66. The business’s 50 day moving average is $28.80 and its 200-day moving average is $27.35. The company has a current ratio of 1.19, a quick ratio of 1.19 and a debt-to-equity ratio of 0.13. MGIC Investment has a 1-year low of $24.69 and a 1-year high of $31.89.

MGIC Investment (NYSE:MTG) last issued its quarterly earnings data on Wednesday, July 29th. The insurance provider reported $0.87 earnings per share (EPS) for the quarter, topping the consensus estimate of $0.76 by $0.11. MGIC Investment had a net margin of 59.20% and a return on equity of 13.90%. The firm had revenue of $295.39 million during the quarter, compared to the consensus estimate of $297.54 million. During the same period last year, the business posted $0.82 earnings per share. The business’s revenue for the quarter was down 2.9% compared to the same quarter last year.

MGIC Investment declared that its board has initiated a share buyback plan on Thursday, April 23rd that allows the company to repurchase $750.00 million in outstanding shares. This repurchase authorization allows the insurance provider to reacquire up to 12.4% of its stock through open market purchases. Stock repurchase plans are usually an indication that the company’s leadership believes its stock is undervalued.

MGIC Investment Increases Dividend

The business also recently declared a quarterly dividend, which will be paid on Thursday, August 20th. Investors of record on Wednesday, August 5th will be paid a $0.17 dividend. This represents a $0.68 dividend on an annualized basis and a yield of 2.2%. This is a boost from MGIC Investment’s previous quarterly dividend of $0.15. The ex-dividend date of this dividend is Wednesday, August 5th. MGIC Investment’s payout ratio is presently 21.25%.

Insider Transactions at MGIC Investment

In related news, COO Salvatore A. Miosi sold 30,000 shares of the company’s stock in a transaction dated Monday, June 8th. The shares were sold at an average price of $25.38, for a total transaction of $761,400.00. Following the completion of the sale, the chief operating officer owned 560,951 shares of the company’s stock, valued at $14,236,936.38. This represents a 5.08% decrease in their ownership of the stock. The transaction was disclosed in a document filed with the SEC, which is available through the SEC website. The transaction was executed under a pre-arranged Rule 10b5-1 trading plan. Also, EVP Paula C. Maggio sold 20,937 shares of the company’s stock in a transaction dated Friday, May 29th. The stock was sold at an average price of $25.55, for a total transaction of $534,940.35. Following the sale, the executive vice president directly owned 169,620 shares of the company’s stock, valued at $4,333,791. This represents a 10.99% decrease in their position. The SEC filing for this sale provides additional information. The transaction was executed under a pre-arranged Rule 10b5-1 trading plan. In the last ninety days, insiders sold 70,937 shares of company stock valued at $1,902,340. 1.34% of the stock is owned by insiders.

Institutional Trading of MGIC Investment

Large investors have recently made changes to their positions in the company. Newbridge Financial Services Group Inc. bought a new position in MGIC Investment in the third quarter valued at approximately $28,000. SBI Securities Co. Ltd. increased its stake in shares of MGIC Investment by 40.3% in the 4th quarter. SBI Securities Co. Ltd. now owns 1,461 shares of the insurance provider’s stock valued at $43,000 after purchasing an additional 420 shares during the last quarter. Geneos Wealth Management Inc. raised its holdings in shares of MGIC Investment by 88.0% during the 1st quarter. Geneos Wealth Management Inc. now owns 1,745 shares of the insurance provider’s stock worth $43,000 after buying an additional 817 shares in the last quarter. Mitsubishi UFJ Asset Management Co. Ltd. bought a new stake in shares of MGIC Investment during the 2nd quarter worth $62,000. Finally, Harbor Investment Advisory LLC boosted its stake in MGIC Investment by 613.0% in the second quarter. Harbor Investment Advisory LLC now owns 2,574 shares of the insurance provider’s stock valued at $73,000 after buying an additional 2,213 shares in the last quarter. Institutional investors and hedge funds own 95.58% of the company’s stock.

Key Stories Impacting MGIC Investment

Here are the key news stories impacting MGIC Investment this week:

• Positive Sentiment: Zacks raised its FY2026 EPS forecast to $3.21 from $3.09, bringing the estimate in line with the broader consensus. The firm also increased its Q2 2027 forecast to $0.82 from $0.79, Q2 2028 to $0.90 from $0.83, and FY2028 to $3.23 from $3.22.
• Neutral Sentiment: The revisions are mixed rather than a broad change in the earnings outlook. Zacks now projects FY2028 EPS of $3.23, compared with the current-year consensus estimate of $3.24, while the company’s valuation remains relatively low at about 9.7 times earnings. MTG’s shares are also trading near their 12-month high, which may limit the immediate reaction to modest estimate changes.
• Negative Sentiment: Zacks lowered several quarterly forecasts, including Q3 2026 EPS to $0.77 from $0.78, Q4 2026 to $0.81 from $0.82, Q3 2027 to $0.81 from $0.83, Q4 2027 to $0.83 from $0.85, and Q1 2028 to $0.83 from $0.84. These reductions suggest some near- and medium-term earnings pressure despite the higher full-year 2026 forecast.

MGIC Investment Company Profile

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.