Freestone Grove Partners LP Makes New $1.70 Million Investment in MGIC Investment Corporation $MTG

Freestone Grove Partners LP bought a new stake in shares of MGIC Investment Corporation (NYSE:MTG) during the 2nd quarter, Holdings Channel.com reports. The fund bought 60,340 shares of the insurance provider’s stock, valued at approximately $1,702,000.

Other institutional investors and hedge funds have also made changes to their positions in the company. BlackRock Inc. bought a new position in shares of MGIC Investment in the 2nd quarter worth $618,467,000. Caisse de depot et placement du Quebec bought a new stake in MGIC Investment during the second quarter valued at about $98,074,000. Norges Bank bought a new stake in MGIC Investment during the fourth quarter valued at about $96,248,000. AQR Capital Management LLC grew its stake in MGIC Investment by 92.4% in the second quarter. AQR Capital Management LLC now owns 6,333,091 shares of the insurance provider’s stock valued at $176,313,000 after purchasing an additional 3,041,446 shares during the last quarter. Finally, NewEdge Wealth LLC purchased a new position in MGIC Investment in the second quarter valued at about $71,375,000. 95.58% of the stock is currently owned by hedge funds and other institutional investors.

MGIC Investment Stock Performance

Shares of MTG stock opened at $31.08 on Friday. The business has a fifty day moving average of $29.51 and a 200 day moving average of $27.55. MGIC Investment Corporation has a 1 year low of $24.69 and a 1 year 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. The firm has a market capitalization of $6.38 billion, a price-to-earnings ratio of 9.71, a price-to-earnings-growth ratio of 0.79 and a beta of 0.66.

MGIC Investment (NYSE:MTG) last posted its quarterly earnings results on Wednesday, July 29th. The insurance provider reported $0.87 earnings per share for the quarter, beating the consensus estimate of $0.76 by $0.11. The business had revenue of $295.39 million for the quarter, compared to the consensus estimate of $297.54 million. MGIC Investment had a return on equity of 13.90% and a net margin of 59.20%.The company’s quarterly revenue was down 2.9% compared to the same quarter last year. During the same quarter in the previous year, the business earned $0.82 EPS. As a group, research analysts expect that MGIC Investment Corporation will post 3.24 earnings per share for the current year.

MGIC Investment Increases Dividend

The company also recently announced a quarterly dividend, which was paid on Thursday, August 20th. Investors of record on Wednesday, August 5th were given a $0.17 dividend. This is an increase from MGIC Investment’s previous quarterly dividend of $0.15. This represents a $0.68 dividend on an annualized basis and a yield of 2.2%. The ex-dividend date was Wednesday, August 5th. MGIC Investment’s payout ratio is currently 21.25%.

Insider Buying and Selling

In related news, EVP Paula C. Maggio sold 20,000 shares of the stock in a transaction that occurred on Friday, August 7th. The shares were sold at an average price of $30.30, for a total value of $606,000.00. Following the transaction, the executive vice president owned 149,620 shares in the company, valued at approximately $4,533,486. This represents a 11.79% decrease in their position. The sale was disclosed in a filing with the Securities & Exchange Commission, which can be accessed through this link. The transaction was executed under a pre-arranged Rule 10b5-1 trading plan. Also, COO Salvatore A. Miosi sold 30,000 shares of the stock in a transaction that occurred on Monday, June 8th. The stock was sold at an average price of $25.38, for a total transaction of $761,400.00. Following the completion of the transaction, the chief operating officer owned 560,951 shares in the company, valued at approximately $14,236,936.38. This trade represents a 5.08% decrease in their position. The SEC filing for this sale provides additional information. The transaction was executed under a pre-arranged Rule 10b5-1 trading plan. 1.34% of the stock is owned by corporate insiders.

Analyst Ratings Changes

MTG has been the subject of several analyst reports. Keefe, Bruyette & Woods increased their price target on shares of MGIC Investment from $29.00 to $30.00 and gave the company a “market perform” rating in a research report on Friday, July 31st. Roth Capital reaffirmed a “buy” rating and issued a $35.00 price objective on shares of MGIC Investment in a research report on Thursday, July 30th. Royal Bank Of Canada boosted their price objective on shares of MGIC Investment from $28.00 to $32.00 and gave the stock a “sector perform” rating in a research note on Friday, July 31st. Weiss Ratings raised shares of MGIC Investment from a “buy (b+)” rating to a “buy (a-)” rating in a research report on Wednesday, August 19th. Finally, Zacks Research upgraded shares of MGIC Investment from a “hold” rating to a “strong-buy” rating in a research note on Tuesday, August 25th. Two analysts have rated the stock with a Strong Buy rating, one has assigned a Buy rating and four have issued a Hold rating to the company. According to MarketBeat, the stock has an average rating of “Moderate Buy” and a consensus target price of $30.60.

MGIC Investment Company Profile

MGIC Investment Corporation (NYSE: MTG) is a leading provider of private mortgage insurance in the United States. Established in 1957 as the nation’s first private mortgage insurer, MGIC helps lenders manage credit risk and facilitates homeownership by protecting mortgage loans against default. Headquartered in Milwaukee, Wisconsin, the company operates through its principal subsidiary, Mortgage Guaranty Insurance Corporation, and maintains relationships with a broad network of originators and servicers nationwide.

The company’s primary business activity involves issuing mortgage insurance policies that enable borrowers to purchase homes with down payments below traditional lending thresholds.