MGIC Investment (NYSE:MTG) Announces Quarterly Earnings Results, Beats Expectations By $0.04 EPS

MGIC Investment (NYSE:MTG) announced its quarterly earnings data on Wednesday. The insurance provider reported $0.85 EPS for the quarter, beating the consensus estimate of $0.81 by $0.04, FiscalAI reports. The company had revenue of $299.08 million for the quarter, compared to the consensus estimate of $298.66 million. MGIC Investment had a net margin of 59.20% and a return on equity of 13.90%. MGIC Investment’s revenue for the quarter was down 1.8% on a year-over-year basis. During the same period in the prior year, the firm posted $0.83 EPS.

MGIC Investment Stock Performance

MGIC Investment stock traded up $0.40 during midday trading on Wednesday, reaching $29.04. 2,415,801 shares of the company traded hands, compared to its average volume of 2,249,059. The firm has a market capitalization of $5.96 billion, a price-to-earnings ratio of 8.92, a price-to-earnings-growth ratio of 1.01 and a beta of 0.64. The business has a 50 day moving average of $28.90 and a two-hundred day moving average of $27.79. MGIC Investment has a 12 month low of $24.69 and a 12 month high of $31.89. 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 Dividend Announcement

The business also recently disclosed a quarterly dividend, which will be paid on Monday, November 23rd. Stockholders of record on Thursday, November 12th will be issued a dividend of $0.17 per share. This represents a $0.68 annualized dividend and a dividend yield of 2.3%. The ex-dividend date of this dividend is Thursday, November 12th. MGIC Investment’s payout ratio is presently 21.25%.

Insider Buying and Selling

In other MGIC Investment news, CEO Timothy Mattke sold 137,114 shares of MGIC Investment 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 sale, the chief executive officer owned 843,778 shares of the company’s stock, valued at approximately $22,132,296.94. The trade was a 13.98% decrease in their position. The transaction was disclosed in a document filed with the SEC, which is accessible through this hyperlink. The transaction was executed under a pre-arranged Rule 10b5-1 trading plan. Also, COO Salvatore Miosi sold 30,000 shares of MGIC Investment stock in a transaction that occurred on Thursday, October 1st. The stock was sold at an average price of $26.06, for a total transaction of $781,800.00. Following the completion of the sale, the chief operating officer directly owned 440,951 shares of the company’s stock, valued at approximately $11,491,183.06. This trade represents a 6.37% decrease in their position. Additional details regarding this sale are available in the official SEC disclosure. The transaction was executed under a pre-arranged Rule 10b5-1 trading plan. Over the last quarter, insiders have sold 217,114 shares of company stock worth $5,906,200. 1.34% of the stock is owned by insiders.

Wall Street Analysts Forecast Growth

Several research analysts have recently issued reports on MTG shares. Zacks Research downgraded shares of MGIC Investment from a “strong-buy” rating to a “hold” rating in a research note on Monday, October 19th. Royal Bank Of Canada raised their price target 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. Keefe, Bruyette & Woods boosted their price objective on shares of MGIC Investment from $29.00 to $30.00 and gave the stock a “market perform” rating in a report on Friday, July 31st. BTIG Research assumed coverage on MGIC Investment in a research report on Tuesday, September 22nd. They issued a “hold” rating on the stock. Finally, Roth Capital reaffirmed a “buy” rating and set a $35.00 price target on shares of MGIC Investment in a report on Thursday, July 30th. One research analyst has rated the stock with a Strong Buy rating, one has given a Buy rating and six have assigned a Hold rating to the stock. According to MarketBeat.com, the stock currently has a consensus rating of “Hold” and a consensus target price of $30.80.

About MGIC Investment

MGIC Investment Corporation (NYSE:MTG) is a holding company whose principal subsidiary is Mortgage Guaranty Insurance Corporation (MGIC), a provider of private mortgage insurance in the United States. MGIC’s insurance helps protect mortgage lenders and investors against losses when borrowers default, enabling qualified homebuyers to obtain mortgages with smaller down payments.

MGIC primarily offers primary mortgage insurance for residential loans, working with mortgage lenders, banks and other housing-finance institutions.