Stewart Information Services (NYSE:STC) Shares Gap Down Following Weak Earnings

Shares of Stewart Information Services Co. (NYSE:STC) gapped down prior to trading on Thursday following a dissappointing earnings announcement. The stock had previously closed at $73.16, but opened at $69.38. Stewart Information Services shares last traded at $70.43, with a volume of 103,953 shares.

The insurance provider reported $0.91 earnings per share for the quarter, missing the consensus estimate of $1.04 by ($0.13). Stewart Information Services had a net margin of 1.83% and a return on equity of 4.69%. The business had revenue of $602.20 million for the quarter, compared to analysts’ expectations of $597.00 million. During the same quarter last year, the business posted $0.69 earnings per share. The business’s revenue was up 9.7% compared to the same quarter last year.

Stewart Information Services Dividend Announcement

The business also recently disclosed a quarterly dividend, which was paid on Friday, June 28th. Investors of record on Monday, June 17th were paid a dividend of $0.475 per share. This represents a $1.90 dividend on an annualized basis and a dividend yield of 2.70%. The ex-dividend date of this dividend was Monday, June 17th. Stewart Information Services’s payout ratio is currently 125.00%.

Wall Street Analysts Forecast Growth

Several equities research analysts have issued reports on the stock. Stephens reaffirmed an “overweight” rating and set a $79.00 price target on shares of Stewart Information Services in a research note on Thursday, April 25th. StockNews.com lowered Stewart Information Services from a “buy” rating to a “hold” rating in a research note on Tuesday, July 2nd. Keefe, Bruyette & Woods reduced their target price on Stewart Information Services from $64.00 to $61.00 and set a “market perform” rating on the stock in a research report on Tuesday, July 2nd. Finally, BTIG Research increased their price objective on shares of Stewart Information Services from $68.00 to $80.00 and gave the stock a “buy” rating in a report on Monday.

Institutional Trading of Stewart Information Services

Large investors have recently added to or reduced their stakes in the stock. Louisiana State Employees Retirement System purchased a new stake in shares of Stewart Information Services during the 4th quarter valued at about $805,000. Dimensional Fund Advisors LP raised its stake in shares of Stewart Information Services by 3.2% during the fourth quarter. Dimensional Fund Advisors LP now owns 1,922,748 shares of the insurance provider’s stock valued at $112,963,000 after purchasing an additional 59,639 shares during the period. Confluence Investment Management LLC acquired a new position in shares of Stewart Information Services during the first quarter worth $4,917,000. Quantbot Technologies LP acquired a new stake in Stewart Information Services during the 1st quarter valued at $576,000. Finally, Quadrature Capital Ltd acquired a new position in Stewart Information Services in the 4th quarter worth $422,000. 96.90% of the stock is currently owned by institutional investors and hedge funds.

Stewart Information Services Stock Down 3.8 %

The company has a quick ratio of 1.95, a current ratio of 1.95 and a debt-to-equity ratio of 0.33. The firm has a 50 day moving average price of $64.16 and a two-hundred day moving average price of $62.45. The company has a market capitalization of $1.94 billion, a price-to-earnings ratio of 46.34 and a beta of 1.21.

Stewart Information Services Company Profile

Stewart Information Services Corporation, through its subsidiaries, provides title insurance and real estate transaction related services in the United States and internationally. The company involves in searching, examining, closing, and insuring the condition of the title to real property. It also offers home and personal insurance services; services for tax-deferred exchanges; and digital customer engagement platform services.