Nomura Holdings Inc. Purchases New Position in MGIC Investment Co. (NYSE:MTG)

Nomura Holdings Inc. purchased a new stake in MGIC Investment Co. (NYSE:MTG) in the 4th quarter, according to its most recent filing with the SEC. The institutional investor purchased 33,619 shares of the insurance provider’s stock, valued at approximately $797,000.

Several other large investors have also recently added to or reduced their stakes in the stock. First Trust Advisors LP increased its holdings in MGIC Investment by 22.4% in the 4th quarter. First Trust Advisors LP now owns 16,008,489 shares of the insurance provider’s stock valued at $379,561,000 after purchasing an additional 2,928,595 shares in the last quarter. LSV Asset Management increased its holdings in MGIC Investment by 2.3% in the 4th quarter. LSV Asset Management now owns 10,578,342 shares of the insurance provider’s stock valued at $250,812,000 after purchasing an additional 235,916 shares in the last quarter. Allianz Asset Management GmbH increased its holdings in MGIC Investment by 8.2% in the 4th quarter. Allianz Asset Management GmbH now owns 5,495,115 shares of the insurance provider’s stock valued at $130,289,000 after purchasing an additional 415,586 shares in the last quarter. Invesco Ltd. increased its holdings in MGIC Investment by 16.6% in the 4th quarter. Invesco Ltd. now owns 4,766,195 shares of the insurance provider’s stock valued at $113,006,000 after purchasing an additional 677,227 shares in the last quarter. Finally, Northern Trust Corp increased its holdings in MGIC Investment by 6.5% in the 4th quarter. Northern Trust Corp now owns 4,524,277 shares of the insurance provider’s stock valued at $107,271,000 after purchasing an additional 277,746 shares in the last quarter. 95.58% of the stock is currently owned by institutional investors and hedge funds.

Wall Street Analyst Weigh In

MTG has been the subject of several recent research reports. Keefe, Bruyette & Woods lowered their price target on MGIC Investment from $28.00 to $26.00 and set a “market perform” rating for the company in a report on Tuesday, April 8th. UBS Group raised their target price on MGIC Investment from $25.00 to $26.00 and gave the company a “neutral” rating in a research note on Wednesday, February 19th. Compass Point restated a “neutral” rating and set a $27.00 target price (up from $24.00) on shares of MGIC Investment in a research note on Wednesday, February 5th. Finally, Barclays raised their target price on MGIC Investment from $25.00 to $26.00 and gave the company an “equal weight” rating in a research note on Wednesday, February 5th. One research analyst has rated the stock with a sell rating, five have issued a hold rating and two have issued a buy rating to the company. According to MarketBeat, the stock currently has a consensus rating of “Hold” and an average price target of $26.50.

Insider Buying and Selling

In related news, CAO Julie K. Sperber sold 4,600 shares of MGIC Investment stock in a transaction dated 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 in the company, valued at approximately $1,842,968.50. This trade represents a 5.77% decrease in their ownership of the stock. The transaction was disclosed in a document filed with the Securities & Exchange Commission, which is accessible through this link. Insiders own 1.05% of the company’s stock.

MGIC Investment Stock Down 0.8%

Shares of MGIC Investment stock opened at $26.69 on Tuesday. The company has a market capitalization of $6.34 billion, a PE ratio of 9.20 and a beta of 0.91. MGIC Investment Co. has a 1-year low of $20.11 and a 1-year high of $26.92. The business has a 50-day moving average of $24.54 and a 200-day moving average of $24.52. The company has a debt-to-equity ratio of 0.12, a current ratio of 0.48 and a quick ratio of 1.25.

MGIC Investment (NYSE:MTG) last posted its quarterly earnings results on Wednesday, April 30th. The insurance provider reported $0.75 EPS for the quarter, topping analysts’ consensus estimates of $0.66 by $0.09. The business had revenue of $306.23 million during the quarter, compared to the consensus estimate of $306.66 million. MGIC Investment had a return on equity of 14.86% and a net margin of 63.18%. The company’s revenue for the quarter was up 4.0% compared to the same quarter last year. During the same period last year, the firm earned $0.65 earnings per share. As a group, equities analysts forecast that MGIC Investment Co. will post 2.71 EPS for the current fiscal year.

MGIC Investment Dividend Announcement

The company also recently declared a quarterly dividend, which will be paid on Wednesday, May 21st. Investors of record on Thursday, May 8th will be paid a $0.13 dividend. The ex-dividend date is Thursday, May 8th. This represents a $0.52 dividend on an annualized basis and a yield of 1.95%. MGIC Investment’s dividend payout ratio (DPR) is 17.28%.

MGIC Investment declared that its board has approved a share buyback program on Thursday, April 24th that permits the company to repurchase $750.00 million in shares. This repurchase authorization permits the insurance provider to repurchase up to 12.5% of its stock through open market purchases. Stock repurchase programs are typically a sign that the company’s board believes its shares are undervalued.

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.