Keefe, Bruyette & Woods Increases MGIC Investment (NYSE:MTG) Price Target to $30.00

MGIC Investment (NYSE:MTG) had its price objective increased by equities research analysts at Keefe, Bruyette & Woods from $29.00 to $30.00 in a note issued to investors on Friday,Benzinga reports. The brokerage presently has a “market perform” rating on the insurance provider’s stock. Keefe, Bruyette & Woods’ price objective would indicate a potential downside of 1.38% from the company’s previous close.

MTG has been the topic of a number of other reports. Barclays reduced their target price on shares of MGIC Investment from $29.00 to $28.00 and set an “equal weight” rating on the stock in a research report on Friday, May 1st. Weiss Ratings raised MGIC Investment from a “buy (b)” rating to a “buy (b+)” rating in a research note on Tuesday, July 7th. Roth Capital restated a “buy” rating and set a $35.00 price objective on shares of MGIC Investment in a report on Thursday. Finally, Royal Bank Of Canada assumed coverage on MGIC Investment in a research report on Friday, May 22nd. They set a “sector perform” rating and a $28.00 target price for the company. Two analysts have rated the stock with a Buy rating and four have issued a Hold rating to the stock. Based on data from MarketBeat.com, the company presently has an average rating of “Hold” and an average target price of $29.80.

MGIC Investment Trading Down 0.5%

NYSE MTG opened at $30.42 on Friday. The stock has a market cap of $6.43 billion, a PE ratio of 9.51, a PEG ratio of 2.11 and a beta of 0.67. MGIC Investment has a 12 month low of $24.69 and a 12 month high of $31.89. The company’s 50-day moving average price is $27.34 and its 200-day moving average price is $26.94. The company has a current ratio of 1.14, a quick ratio of 1.14 and a debt-to-equity ratio of 0.13.

MGIC Investment (NYSE:MTG) last announced its quarterly earnings data on Wednesday, July 29th. The insurance provider reported $0.87 earnings per share for the quarter, beating analysts’ consensus estimates of $0.76 by $0.11. The company had revenue of $295.39 million during the quarter, compared to analyst estimates of $297.54 million. MGIC Investment had a net margin of 59.20% and a return on equity of 13.83%. The firm’s revenue for the quarter was down 2.9% on a year-over-year basis. During the same quarter last year, the business posted $0.82 EPS. Equities research analysts forecast that MGIC Investment will post 3.05 earnings per share for the current year.

MGIC Investment declared that its board has initiated a share buyback plan on Thursday, April 23rd that allows the company to buyback $750.00 million in outstanding shares. This buyback authorization allows the insurance provider to purchase up to 12.4% of its stock through open market purchases. Stock buyback plans are typically an indication that the company’s board believes its shares are undervalued.

Insider Activity at MGIC Investment

In related news, EVP Paula C. Maggio sold 20,937 shares of the business’s stock in a transaction that occurred on Friday, May 29th. The shares were sold at an average price of $25.55, for a total value of $534,940.35. Following the completion of the transaction, the executive vice president owned 169,620 shares of the company’s stock, valued at $4,333,791. The trade was a 10.99% decrease in their ownership of the stock. The sale was disclosed in a filing with the SEC, which is available at the SEC website. 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 on Monday, June 8th. The shares were sold at an average price of $25.38, for a total value of $761,400.00. Following the sale, the chief operating officer directly owned 560,951 shares in the company, valued at $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. Company insiders own 1.34% of the company’s stock.

Institutional Trading of MGIC Investment

Several hedge funds have recently modified their holdings of the company. Newbridge Financial Services Group Inc. bought a new position in shares of MGIC Investment during the 3rd quarter worth approximately $28,000. V Square Quantitative Management LLC acquired a new stake in MGIC Investment in the fourth quarter valued at approximately $36,000. SBI Securities Co. Ltd. boosted its stake in MGIC Investment by 40.3% in the fourth quarter. SBI Securities Co. Ltd. now owns 1,461 shares of the insurance provider’s stock valued at $43,000 after acquiring an additional 420 shares in the last quarter. Geneos Wealth Management Inc. grew its holdings in MGIC Investment by 88.0% in the first quarter. Geneos Wealth Management Inc. now owns 1,745 shares of the insurance provider’s stock worth $43,000 after purchasing an additional 817 shares during the last quarter. Finally, Harbor Investment Advisory LLC increased its position in shares of MGIC Investment by 613.0% during the second quarter. Harbor Investment Advisory LLC now owns 2,574 shares of the insurance provider’s stock worth $73,000 after purchasing an additional 2,213 shares in the last quarter. 95.58% of the stock is owned by hedge funds and other institutional investors.

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.