MGIC Investment (NYSE:MTG) Reaches New 12-Month High – What’s Next?

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

Analysts Set New Price Targets

Several analysts recently issued reports on the company. Barclays lifted their target price on MGIC Investment from $23.00 to $24.00 and gave the company an “equal weight” rating in a research note on Tuesday, October 8th. Roth Mkm lifted their price target on MGIC Investment from $24.00 to $30.00 and gave the stock a “buy” rating in a research report on Friday, August 2nd. Finally, BTIG Research boosted their price objective on shares of MGIC Investment from $22.00 to $25.00 and gave the company 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 given a buy rating to the stock. According to MarketBeat.com, MGIC Investment presently has a consensus rating of “Moderate Buy” and a consensus target price of $24.50.

MGIC Investment Price Performance

The firm has a market cap of $6.97 billion, a PE ratio of 9.92, a price-to-earnings-growth ratio of 1.35 and a beta of 1.28. The stock has a 50 day simple moving average of $24.87 and a two-hundred day simple moving average of $22.64. The company has a debt-to-equity ratio of 0.13, a quick ratio of 1.11 and a current ratio of 1.11.

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

MGIC Investment Increases Dividend

The company also recently declared a quarterly dividend, which was paid on Thursday, August 22nd. Investors of record on Thursday, August 8th were given a dividend of $0.13 per share. This represents a $0.52 annualized dividend and a yield of 1.99%. The ex-dividend date was Thursday, August 8th. This is a positive change from MGIC Investment’s previous quarterly dividend of $0.12. MGIC Investment’s dividend payout ratio (DPR) is currently 20.00%.

Institutional Investors Weigh In On MGIC Investment

Several hedge funds and other institutional investors have recently made changes to their positions in MTG. Quarry LP lifted its position in MGIC Investment by 244.4% in the fourth quarter. Quarry LP now owns 1,977 shares of the insurance provider’s stock valued at $38,000 after buying an additional 1,403 shares during the last quarter. CWM LLC raised its stake in shares of MGIC Investment by 249.1% in the first quarter. CWM LLC now owns 2,175 shares of the insurance provider’s stock valued at $49,000 after acquiring an additional 1,552 shares in the last quarter. Bank of New Hampshire purchased a new position in MGIC Investment in the first quarter valued at $1,726,000. DGS Capital Management LLC grew its stake in MGIC Investment by 27.1% during the 1st quarter. DGS Capital Management LLC now owns 82,452 shares of the insurance provider’s stock worth $1,844,000 after purchasing an additional 17,557 shares in the last quarter. Finally, Allspring Global Investments Holdings LLC increased its holdings in MGIC Investment by 26.5% during the 1st quarter. Allspring Global Investments Holdings LLC now owns 86,581 shares of the insurance provider’s stock worth $1,936,000 after purchasing an additional 18,127 shares during the period. Institutional investors and hedge funds 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.