MGIC Investment Co. (NYSE:MTG) Announces Quarterly Dividend of $0.13

MGIC Investment Co. (NYSE:MTG) declared a quarterly dividend on Thursday, April 24th, RTT News reports. Investors of record on Thursday, May 8th will be given a dividend of 0.13 per share by the insurance provider on Wednesday, May 21st. This represents a $0.52 annualized dividend and a yield of 2.15%. The ex-dividend date of this dividend is Thursday, May 8th.

MGIC Investment has increased its dividend payment by an average of 20.5% per year over the last three years. MGIC Investment has a dividend payout ratio of 17.6% indicating that its dividend is sufficiently covered by earnings. Analysts expect MGIC Investment to earn $2.81 per share next year, which means the company should continue to be able to cover its $0.52 annual dividend with an expected future payout ratio of 18.5%.

MGIC Investment Stock Performance

Shares of MTG stock opened at $24.21 on Friday. The stock has a market cap of $5.87 billion, a PE ratio of 8.35 and a beta of 0.93. The company has a current ratio of 0.48, a quick ratio of 1.25 and a debt-to-equity ratio of 0.12. MGIC Investment has a 12 month low of $20.02 and a 12 month high of $26.56. The company’s fifty day moving average price is $23.86 and its 200-day moving average price is $24.47.

MGIC Investment (NYSE:MTG) last issued its quarterly earnings results on Monday, February 3rd. The insurance provider reported $0.72 EPS for the quarter, topping analysts’ consensus estimates of $0.65 by $0.07. MGIC Investment had a return on equity of 14.86% and a net margin of 63.18%. On average, equities analysts expect that MGIC Investment will post 2.71 EPS for the current fiscal year.

MGIC Investment declared that its Board of Directors has initiated a stock buyback plan on Thursday, April 24th that allows the company to buyback $750.00 million in outstanding shares. This buyback authorization allows the insurance provider to purchase up to 12.5% of its shares through open market purchases. Shares buyback plans are usually an indication that the company’s leadership believes its stock is undervalued.

Analysts Set New Price Targets

A number of research firms have commented on MTG. UBS Group increased their price target on MGIC Investment from $25.00 to $26.00 and gave the company a “neutral” rating in a research note on Wednesday, February 19th. Barclays increased their price target on MGIC Investment from $25.00 to $26.00 and gave the stock an “equal weight” rating in a research report on Wednesday, February 5th. Keefe, Bruyette & Woods decreased their price target on shares of MGIC Investment from $28.00 to $26.00 and set a “market perform” rating on the stock in a research note on Tuesday, April 8th. Finally, Compass Point reissued a “neutral” rating and set a $27.00 price target (up previously from $24.00) on shares of MGIC Investment in a research report on Wednesday, February 5th. One investment analyst has rated the stock with a sell rating, five have issued a hold rating and two have issued a buy rating to the stock. According to MarketBeat, the stock presently has an average rating of “Hold” and an average price target of $26.50.

Insider Activity at MGIC Investment

In other news, CAO Julie K. Sperber sold 4,600 shares of the stock in a transaction that occurred on Friday, February 21st. The shares were 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 in the company, valued at $1,842,968.50. This trade represents a 5.77 % decrease in their ownership of the stock. The transaction was disclosed in a legal filing with the SEC, which is accessible through this link. Insiders own 1.05% 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.