MGIC Investment (NYSE:MTG) Sets New 1-Year High – Here’s Why

Shares of MGIC Investment Co. (NYSE:MTG) hit a new 52-week high during mid-day trading on Tuesday . The company traded as high as $25.97 and last traded at $25.95, with a volume of 28418 shares traded. The stock had previously closed at $25.80.

Analyst Ratings Changes

Several research analysts have recently issued reports on the company. Roth Mkm increased their price target on MGIC Investment from $24.00 to $30.00 and gave the stock a “buy” rating in a research note on Friday, August 2nd. Barclays increased their target price on shares of MGIC Investment from $23.00 to $24.00 and gave the company an “equal weight” rating in a research report on Tuesday, October 8th. Finally, BTIG Research boosted their price target on shares of MGIC Investment from $22.00 to $25.00 and gave the stock a “buy” rating in a research report on Monday, August 5th. Three equities research analysts have rated the stock with a hold rating and three have issued a buy rating to the stock. Based on data from MarketBeat.com, MGIC Investment currently has an average rating of “Moderate Buy” and an average price target of $24.50.

MGIC Investment Price Performance

The company has a 50 day moving average of $24.97 and a two-hundred day moving average of $22.68. The firm has a market cap of $6.97 billion, a P/E ratio of 10.06, a PEG ratio of 1.35 and a beta of 1.28. The company has a quick ratio of 1.11, a current ratio of 1.11 and a debt-to-equity ratio of 0.13.

MGIC Investment (NYSE:MTG) last posted its quarterly earnings data on Wednesday, July 31st. The insurance provider reported $0.77 earnings per share for the quarter, beating the consensus estimate of $0.62 by $0.15. MGIC Investment had a net margin of 63.19% and a return on equity of 14.97%. The company had revenue of $305.28 million during the quarter, compared to analyst estimates of $301.02 million. During the same quarter last year, the firm posted $0.68 EPS. The business’s revenue for the quarter was up 5.0% on a year-over-year basis. Sell-side analysts expect that MGIC Investment Co. will post 2.76 EPS for the current year.

MGIC Investment Increases Dividend

The business also recently declared a quarterly dividend, which was paid on Thursday, August 22nd. Shareholders of record on Thursday, August 8th were issued a $0.13 dividend. The ex-dividend date of this dividend was Thursday, August 8th. This represents a $0.52 annualized dividend and a dividend yield of 1.99%. This is a boost from MGIC Investment’s previous quarterly dividend of $0.12. MGIC Investment’s dividend payout ratio is currently 20.00%.

Institutional Investors Weigh In On MGIC Investment

Large investors have recently modified their holdings of the stock. Versant Capital Management Inc raised its position in shares of MGIC Investment by 482.7% during the second quarter. Versant Capital Management Inc now owns 1,142 shares of the insurance provider’s stock worth $25,000 after purchasing an additional 946 shares during the period. CWM LLC raised its holdings in MGIC Investment by 249.1% during the 1st quarter. CWM LLC now owns 2,175 shares of the insurance provider’s stock worth $49,000 after buying an additional 1,552 shares during the period. Fidelis Capital Partners LLC purchased a new stake in MGIC Investment during the first quarter valued at about $50,000. GAMMA Investing LLC boosted its holdings in shares of MGIC Investment by 76.2% in the second quarter. GAMMA Investing LLC now owns 3,071 shares of the insurance provider’s stock worth $66,000 after buying an additional 1,328 shares during the period. Finally, Daiwa Securities Group Inc. increased its position in shares of MGIC Investment by 600.0% in the first quarter. Daiwa Securities Group Inc. now owns 4,200 shares of the insurance provider’s stock worth $94,000 after acquiring an additional 3,600 shares in the last quarter. 95.58% of the stock is owned by institutional investors.

About MGIC Investment

MGIC Investment Corporation, through its subsidiaries, provides private mortgage insurance, other mortgage credit risk management solutions, and ancillary services to lenders and government sponsored entities in the United States, the District of Columbia, Puerto Rico, and Guam. The company offers primary mortgage insurance that provides mortgage default protection on individual loans, as well as covers unpaid loan principal, delinquent interest, and various expenses associated with the default and subsequent foreclosure.