MGIC Investment Co. (NYSE:MTG) Short Interest Up 17.8% in February

MGIC Investment Co. (NYSE:MTG) was the target of a large increase in short interest during the month of February. As of February 28th, there was short interest totalling 11,660,000 shares, an increase of 17.8% from the February 13th total of 9,900,000 shares. Based on an average trading volume of 1,710,000 shares, the days-to-cover ratio is currently 6.8 days. Approximately 4.9% of the company’s stock are sold short.

MGIC Investment Stock Up 1.2 %

MGIC Investment stock opened at $23.69 on Friday. The stock has a market capitalization of $5.75 billion, a price-to-earnings ratio of 8.17 and a beta of 1.28. The company has a current ratio of 0.48, a quick ratio of 1.25 and a debt-to-equity ratio of 0.12. The stock has a 50 day moving average of $24.27 and a two-hundred day moving average of $24.71. MGIC Investment has a twelve month low of $19.26 and a twelve month high of $26.56.

MGIC Investment (NYSE:MTG) last posted its quarterly earnings data on Monday, February 3rd. The insurance provider reported $0.72 earnings per share for the quarter, beating analysts’ consensus estimates of $0.65 by $0.07. MGIC Investment had a net margin of 63.18% and a return on equity of 14.86%. As a group, research analysts expect that MGIC Investment will post 2.71 earnings per share for the current year.

MGIC Investment Announces Dividend

The company also recently declared a quarterly dividend, which was paid on Wednesday, March 5th. Stockholders of record on Tuesday, February 18th were paid a dividend of $0.13 per share. The ex-dividend date of this dividend was Tuesday, February 18th. This represents a $0.52 dividend on an annualized basis and a dividend yield of 2.20%. MGIC Investment’s dividend payout ratio (DPR) is 17.93%.

Wall Street Analyst Weigh In

Several brokerages have recently issued reports on MTG. Bank of America cut shares of MGIC Investment from a “buy” rating to an “underperform” rating and lowered their target price for the company from $26.00 to $25.00 in a report on Monday, December 9th. Keefe, Bruyette & Woods cut their target price on MGIC Investment from $29.00 to $28.00 and set a “market perform” rating on the stock in a research report on Wednesday, January 8th. Barclays boosted their target price on MGIC Investment from $25.00 to $26.00 and gave the company an “equal weight” rating in a report on Wednesday, February 5th. UBS Group raised their price target on MGIC Investment from $25.00 to $26.00 and gave the stock a “neutral” rating in a research note on Wednesday, February 19th. Finally, Compass Point reiterated a “neutral” rating and issued a $27.00 price objective (up previously from $24.00) on shares of MGIC Investment in a research note on Wednesday, February 5th. One research analyst has rated the stock with a sell rating, five have given a hold rating and two have given a buy rating to the company’s stock. According to MarketBeat, the stock presently has a consensus rating of “Hold” and a consensus target price of $26.75.

Insider Activity

In related news, CAO Julie K. Sperber sold 4,600 shares of the company’s stock in a transaction that occurred on Friday, February 21st. The stock was sold at an average price of $24.55, for a total value of $112,930.00. Following the completion of the transaction, the chief accounting officer now directly owns 75,070 shares of the company’s stock, valued at $1,842,968.50. This represents a 5.77 % decrease in their ownership of the stock. The sale was disclosed in a document filed with the SEC, which is available through this hyperlink. Company insiders own 1.05% of the company’s stock.

Institutional Investors Weigh In On MGIC Investment

A number of hedge funds have recently added to or reduced their stakes in MTG. Oppenheimer & Co. Inc. acquired a new stake in shares of MGIC Investment in the 3rd quarter valued at approximately $635,000. KBC Group NV lifted its holdings in MGIC Investment by 16.4% in the third quarter. KBC Group NV now owns 7,386 shares of the insurance provider’s stock valued at $189,000 after acquiring an additional 1,043 shares during the period. CIBC Asset Management Inc purchased a new stake in shares of MGIC Investment during the 3rd quarter worth $202,000. Natixis Advisors LLC grew its stake in shares of MGIC Investment by 38.2% during the 3rd quarter. Natixis Advisors LLC now owns 152,404 shares of the insurance provider’s stock worth $3,902,000 after purchasing an additional 42,088 shares during the period. Finally, Lindenwold Advisors INC increased its holdings in shares of MGIC Investment by 3.7% in the 3rd quarter. Lindenwold Advisors INC now owns 16,611 shares of the insurance provider’s stock valued at $425,000 after purchasing an additional 592 shares in the last quarter. Institutional investors and hedge funds own 95.58% of the company’s stock.

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.