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

MGIC Investment Co. (NYSE:MTG) shares hit a new 52-week high on Monday . The stock traded as high as $26.56 and last traded at $26.51, with a volume of 752002 shares. The stock had previously closed at $25.50.

Analysts Set New Price Targets

A number of analysts have recently commented on MTG shares. BTIG Research boosted their price objective 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. Barclays upped their price objective on MGIC Investment from $23.00 to $24.00 and gave the stock an “equal weight” rating in a research note on Tuesday, October 8th. Roth Mkm upped their price target on shares of MGIC Investment from $24.00 to $30.00 and gave the stock a “buy” rating in a research report on Friday, August 2nd. Finally, Royal Bank of Canada decreased their price objective on shares of MGIC Investment from $28.00 to $27.00 and set a “sector perform” rating for the company in a research report on Wednesday, November 6th. Three equities research analysts have rated the stock with a hold rating and three have assigned a buy rating to the stock. According to MarketBeat, the stock has a consensus rating of “Moderate Buy” and an average target price of $25.50.

MGIC Investment Price Performance

The company has a market capitalization of $6.67 billion, a P/E ratio of 9.27, a price-to-earnings-growth ratio of 1.85 and a beta of 1.28. The company has a debt-to-equity ratio of 0.12, a current ratio of 1.25 and a quick ratio of 1.25. The company’s 50-day moving average price is $25.19 and its two-hundred day moving average price is $23.55.

MGIC Investment (NYSE:MTG) last released its quarterly earnings results on Monday, November 4th. The insurance provider reported $0.77 earnings per share for the quarter, topping the consensus estimate of $0.66 by $0.11. MGIC Investment had a return on equity of 14.99% and a net margin of 64.09%. The business had revenue of $306.65 million during the quarter, compared to analysts’ expectations of $306.03 million. During the same period last year, the firm posted $0.64 EPS. The firm’s revenue for the quarter was up 3.4% compared to the same quarter last year. As a group, sell-side analysts expect that MGIC Investment Co. will post 2.81 EPS for the current year.

MGIC Investment Announces Dividend

The business also recently announced a quarterly dividend, which was paid on Thursday, November 21st. Stockholders of record on Thursday, November 7th were given a dividend of $0.13 per share. The ex-dividend date was Thursday, November 7th. This represents a $0.52 dividend on an annualized basis and a dividend yield of 1.97%. MGIC Investment’s payout ratio is 18.31%.

Institutional Inflows and Outflows

Hedge funds have recently modified their holdings of the stock. DekaBank Deutsche Girozentrale increased its holdings in MGIC Investment by 24.9% in the 1st quarter. DekaBank Deutsche Girozentrale now owns 369,053 shares of the insurance provider’s stock valued at $8,132,000 after buying an additional 73,474 shares during the period. GSA Capital Partners LLP boosted its position in shares of MGIC Investment by 154.1% during the 3rd quarter. GSA Capital Partners LLP now owns 96,732 shares of the insurance provider’s stock worth $2,476,000 after acquiring an additional 58,664 shares in the last quarter. Edgestream Partners L.P. increased its stake in MGIC Investment by 153.9% in the second quarter. Edgestream Partners L.P. now owns 244,980 shares of the insurance provider’s stock valued at $5,279,000 after acquiring an additional 148,494 shares during the last quarter. Panagora Asset Management Inc. raised its position in MGIC Investment by 14.8% during the second quarter. Panagora Asset Management Inc. now owns 505,155 shares of the insurance provider’s stock valued at $10,886,000 after purchasing an additional 65,315 shares in the last quarter. Finally, Mackenzie Financial Corp lifted its stake in MGIC Investment by 2.9% during the second quarter. Mackenzie Financial Corp now owns 879,674 shares of the insurance provider’s stock worth $18,957,000 after purchasing an additional 24,627 shares during the last quarter. Institutional investors own 95.58% of the company’s stock.

MGIC Investment Company Profile

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.