Chou Associates Management Inc. Invests $2.09 Million in MBIA, Inc. $MBI

Chou Associates Management Inc. acquired a new position in shares of MBIA, Inc. (NYSE:MBI) in the 2nd quarter, according to the company in its most recent filing with the SEC. The fund acquired 321,000 shares of the insurance provider’s stock, valued at approximately $2,093,000. MBIA makes up 1.0% of Chou Associates Management Inc.’s portfolio, making the stock its 18th biggest position. Chou Associates Management Inc. owned about 0.63% of MBIA as of its most recent SEC filing.

A number of other hedge funds and other institutional investors also recently bought and sold shares of MBI. BlackRock Inc. purchased a new position in MBIA in the second quarter worth $23,949,000. Wolf Hill Capital Management LP lifted its holdings in shares of MBIA by 4.5% during the 4th quarter. Wolf Hill Capital Management LP now owns 2,560,708 shares of the insurance provider’s stock valued at $18,335,000 after purchasing an additional 110,544 shares during the last quarter. Geode Capital Management LLC lifted its holdings in shares of MBIA by 1.4% during the 2nd quarter. Geode Capital Management LLC now owns 1,043,095 shares of the insurance provider’s stock valued at $4,528,000 after purchasing an additional 14,336 shares during the last quarter. UBS Group AG boosted its position in shares of MBIA by 72.9% in the 3rd quarter. UBS Group AG now owns 1,026,406 shares of the insurance provider’s stock worth $7,647,000 after purchasing an additional 432,906 shares in the last quarter. Finally, Marshall Wace LLP boosted its position in shares of MBIA by 184.1% in the 2nd quarter. Marshall Wace LLP now owns 416,964 shares of the insurance provider’s stock worth $1,810,000 after purchasing an additional 270,192 shares in the last quarter. Hedge funds and other institutional investors own 60.95% of the company’s stock.

Wall Street Analysts Forecast Growth

Several research analysts recently issued reports on the company. Wall Street Zen raised MBIA from a “sell” rating to a “hold” rating in a research report on Saturday, May 16th. Keefe, Bruyette & Woods dropped their price target on MBIA from $7.50 to $7.00 and set an “outperform” rating on the stock in a research note on Thursday, August 13th. Finally, Weiss Ratings restated a “sell (d-)” rating on shares of MBIA in a report on Friday, July 17th. One analyst has rated the stock with a Buy rating and one has issued a Sell rating to the stock. According to data from MarketBeat.com, the stock presently has an average rating of “Hold” and an average target price of $7.00.

MBIA Price Performance

Shares of MBI opened at $4.90 on Friday. The firm has a market capitalization of $249.56 million, a PE ratio of -1.70 and a beta of 1.62. MBIA, Inc. has a 1-year low of $4.72 and a 1-year high of $8.26. The company’s fifty day moving average price is $5.86 and its 200-day moving average price is $6.00.

MBIA (NYSE:MBI) last issued its earnings results on Thursday, August 6th. The insurance provider reported ($0.14) earnings per share (EPS) for the quarter, missing analysts’ consensus estimates of ($0.12) by ($0.02). The company had revenue of $27.00 million during the quarter, compared to the consensus estimate of $5.75 million. As a group, research analysts anticipate that MBIA, Inc. will post -0.33 EPS for the current fiscal year.

About MBIA

MBIA Inc is a financial guarantee insurance company specializing in credit enhancement and risk mitigation solutions for public finance and structured finance transactions. The company provides guaranty insurance for municipal bonds, asset-backed securities and other credit-sensitive obligations, protecting investors against the risk of payment default. Through its core insurance subsidiary, MBIA Insurance Corp., the firm offers financial guarantees, reinsurance support and customized credit solutions designed to improve the marketability and pricing of debt instruments.

Founded in 1973 as the Municipal Bond Insurance Association, MBIA built its reputation by insuring U.S.