Essent Group (NYSE:ESNT) Posts Quarterly Earnings Results, Beats Estimates By $0.32 EPS

Essent Group (NYSE:ESNT) posted its quarterly earnings results on Friday. The financial services provider reported $2.08 earnings per share (EPS) for the quarter, beating analysts’ consensus estimates of $1.76 by $0.32, FiscalAI reports. Essent Group had a return on equity of 12.01% and a net margin of 53.64%.The business had revenue of $362.69 million during the quarter, compared to analyst estimates of $321.62 million. During the same period in the prior year, the business earned $1.93 earnings per share. The business’s revenue was up 13.7% compared to the same quarter last year.

Here are the key takeaways from Essent Group’s conference call:

• Second-quarter earnings increased to $2.08 per diluted share from $1.82 in the prior quarter and $1.93 a year ago, producing a 13.4% annualized return on average equity.
• Essent continued returning capital, repurchasing nearly 6 million shares for approximately $350 million year to date and declaring a third-quarter dividend of $0.35 per share. Book value per share reached $63.01, up nearly 13% year over year.
• Mortgage insurance in force grew only 1.2% year over year to $249.7 billion as affordability constrained originations, although 84% persistency, a 747 weighted-average credit score, and a 2.53% default rate point to a stable existing portfolio.
• The company is expanding its P&C reinsurance and strategic investment activities, with first-half net premiums written rising sharply to $249 million and approximately $450 million invested in non-core strategic assets. Management views these businesses as longer-term capital-allocation opportunities, though the P&C combined ratio rose to 77.9% as the business mix changed.

Essent Group Trading Up 4.7%

Shares of ESNT stock traded up $3.05 during trading hours on Friday, hitting $68.56. The company had a trading volume of 941,837 shares, compared to its average volume of 483,076. The company’s fifty day moving average is $62.79 and its 200 day moving average is $61.56. The company has a debt-to-equity ratio of 0.09, a current ratio of 1.32 and a quick ratio of 1.32. Essent Group has a fifty-two week low of $55.34 and a fifty-two week high of $70.00. The stock has a market capitalization of $6.32 billion, a PE ratio of 9.77, a price-to-earnings-growth ratio of 1.82 and a beta of 0.76.

Essent Group Dividend Announcement

The business also recently declared a quarterly dividend, which will be paid on Thursday, September 10th. Stockholders of record on Monday, August 31st will be paid a $0.35 dividend. This represents a $1.40 dividend on an annualized basis and a dividend yield of 2.0%. The ex-dividend date of this dividend is Monday, August 31st. Essent Group’s payout ratio is 19.94%.

Analysts Set New Price Targets

A number of equities analysts recently commented on the company. Barclays lifted their price objective on Essent Group from $61.00 to $62.00 and gave the stock an “equal weight” rating in a research report on Monday, May 11th. Weiss Ratings raised Essent Group from a “buy (b-)” rating to a “buy (b)” rating in a research note on Tuesday, June 23rd. JPMorgan Chase & Co. lifted their price target on Essent Group from $65.00 to $72.00 and gave the stock a “neutral” rating in a report on Monday, July 13th. Royal Bank Of Canada started coverage on shares of Essent Group in a research report on Friday, May 22nd. They set a “sector perform” rating and a $68.00 price target on the stock. Finally, Keefe, Bruyette & Woods upped their price objective on shares of Essent Group from $73.00 to $74.00 and gave the company an “outperform” rating in a report on Thursday, June 25th. Four research analysts have rated the stock with a Buy rating and six have issued a Hold rating to the company’s stock. According to MarketBeat, the stock has a consensus rating of “Hold” and a consensus price target of $67.71.

Insider Activity at Essent Group

In other Essent Group news, CEO Mark Casale sold 29,329 shares of the business’s stock in a transaction that occurred on Tuesday, July 7th. The stock was sold at an average price of $65.35, for a total value of $1,916,650.15. Following the sale, the chief executive officer owned 2,184,143 shares of the company’s stock, valued at $142,733,745.05. The trade was a 1.33% decrease in their ownership of the stock. The sale was disclosed in a document filed with the Securities & Exchange Commission, which is available through this link. The transaction was executed under a pre-arranged Rule 10b5-1 trading plan. Also, CFO David B. Weinstock sold 5,500 shares of the firm’s stock in a transaction on Friday, June 26th. The stock was sold at an average price of $63.51, for a total value of $349,305.00. Following the transaction, the chief financial officer owned 35,494 shares of the company’s stock, valued at approximately $2,254,223.94. This represents a 13.42% decrease in their ownership of the stock. The disclosure for this sale is available in the SEC filing. The transaction was executed under a pre-arranged Rule 10b5-1 trading plan. Insiders sold a total of 39,837 shares of company stock valued at $2,591,612 in the last quarter. 3.60% of the stock is owned by insiders.

Institutional Trading of Essent Group

Hedge funds have recently made changes to their positions in the business. Mercer Global Advisors Inc. ADV boosted its stake in shares of Essent Group by 97.5% in the fourth quarter. Mercer Global Advisors Inc. ADV now owns 20,187 shares of the financial services provider’s stock valued at $1,312,000 after purchasing an additional 9,964 shares during the period. EP Wealth Advisors LLC purchased a new stake in Essent Group during the 4th quarter worth approximately $487,000. Tudor Investment Corp ET AL boosted its position in Essent Group by 17.3% in the 4th quarter. Tudor Investment Corp ET AL now owns 513,652 shares of the financial services provider’s stock valued at $33,393,000 after buying an additional 75,762 shares during the period. Odyssean LLC acquired a new stake in shares of Essent Group in the fourth quarter valued at $750,000. Finally, Interval Partners LP boosted its holdings in Essent Group by 26.5% in the fourth quarter. Interval Partners LP now owns 128,251 shares of the financial services provider’s stock valued at $8,338,000 after purchasing an additional 26,854 shares during the period. Institutional investors and hedge funds own 93.00% of the company’s stock.

Essent Group News Roundup

Here are the key news stories impacting Essent Group this week:

• Positive Sentiment: Quarterly earnings significantly beat expectations. Essent reported earnings of $2.08 per share, up from $1.93 a year earlier and above the $1.76–$1.77 analyst consensus. Essent Group Q2 Earnings and Revenues Beat Estimates
• Positive Sentiment: Revenue also exceeded forecasts and grew strongly. Quarterly revenue was $362.69 million, ahead of the $321.62 million expected and 13.7% higher year over year. The company posted a 53.64% net margin and 12.01% return on equity. Essent Group Q2 2026 Earnings Results
• Positive Sentiment: Essent declared a $0.35-per-share quarterly dividend. Shareholders of record on August 31 will receive the payment on September 10. The dividend represents approximately $1.40 annually per share and a roughly 2.0% yield, supporting the stock’s income appeal. Essent Group Announces Second Quarter 2026 Results and Dividend

Essent Group Company Profile

Essent Group Ltd. (NYSE: ESNT) is a publicly traded insurance holding company specializing in private mortgage insurance and mortgage reinsurance solutions. Through its primary subsidiary, Essent Guaranty, the company provides credit protection to mortgage lenders, helping mitigate the risk of borrower default on residential mortgage loans. Essent’s insurance policies enable lenders to offer low-down-payment programs, supporting homebuyers in achieving homeownership with reduced upfront equity requirements.

Beyond traditional mortgage insurance, Essent offers a suite of risk management and analytics services designed to help financial institutions monitor and manage mortgage portfolios.