Radian Group (NYSE:RDN) Sets New 12-Month Low – What’s Next?

Shares of Radian Group Inc. (NYSE:RDN) hit a new 52-week low during trading on Wednesday. The company traded as low as $31.16 and last traded at $31.4280, with a volume of 1273935 shares trading hands. The stock had previously closed at $32.75.

Wall Street Analysts Forecast Growth

A number of analysts recently weighed in on RDN shares. Keefe, Bruyette & Woods decreased their price target on shares of Radian Group from $46.00 to $44.00 and set an “outperform” rating for the company in a research report on Tuesday, August 11th. BTIG Research assumed coverage on Radian Group in a research note on Tuesday, September 22nd. They set a “buy” rating and a $48.00 price objective on the stock. Wall Street Zen raised Radian Group from a “hold” rating to a “buy” rating in a research report on Saturday, September 19th. Weiss Ratings raised Radian Group from a “buy (b)” rating to a “buy (b+)” rating in a research report on Monday. Finally, Barclays lowered their price objective on shares of Radian Group from $39.00 to $35.00 and set an “equal weight” rating for the company in a research report on Monday, August 10th. Six investment analysts have rated the stock with a Buy rating and three have issued a Hold rating to the company. According to MarketBeat, Radian Group has an average rating of “Moderate Buy” and an average target price of $43.00.

Radian Group Price Performance

The company has a debt-to-equity ratio of 0.14, a quick ratio of 0.60 and a current ratio of 0.60. The business’s fifty day simple moving average is $36.54 and its 200 day simple moving average is $35.87. The stock has a market cap of $4.15 billion, a price-to-earnings ratio of 8.07, a price-to-earnings-growth ratio of 0.80 and a beta of 0.70.

Radian Group (NYSE:RDN) last announced its earnings results on Thursday, August 6th. The insurance provider reported $1.14 earnings per share for the quarter, missing the consensus estimate of $1.34 by ($0.20). Radian Group had a net margin of 32.60% and a return on equity of 13.65%. The business had revenue of $574.96 million for the quarter, compared to analyst estimates of $556.55 million. During the same quarter in the prior year, the business earned $1.01 earnings per share. The firm’s revenue was up 92.3% on a year-over-year basis. Research analysts predict that Radian Group Inc. will post 4.86 EPS for the current fiscal year.

Radian Group Announces Dividend

The firm also recently disclosed a quarterly dividend, which was paid on Wednesday, September 9th. Shareholders of record on Monday, August 24th were paid a dividend of $0.2550 per share. This represents a $1.02 dividend on an annualized basis and a yield of 3.3%. The ex-dividend date was Monday, August 24th. Radian Group’s dividend payout ratio (DPR) is 26.22%.

Insiders Place Their Bets

In other Radian Group news, EVP Meghan Bartholomew sold 7,812 shares of Radian Group stock in a transaction that occurred on Monday, September 14th. The stock was sold at an average price of $35.94, for a total transaction of $280,763.28. Following the sale, the executive vice president directly owned 39,203 shares in the company, valued at $1,408,955.82. The trade was a 16.62% decrease in their position. The transaction was disclosed in a document filed with the Securities & Exchange Commission, which is available through the SEC website. The transaction was executed under a pre-arranged Rule 10b5-1 trading plan. 2.03% of the stock is currently owned by company insiders.

Hedge Funds Weigh In On Radian Group

Institutional investors and hedge funds have recently made changes to their positions in the business. Sequoia Financial Advisors LLC raised its holdings in Radian Group by 11.0% in the second quarter. Sequoia Financial Advisors LLC now owns 7,540 shares of the insurance provider’s stock valued at $284,000 after acquiring an additional 747 shares in the last quarter. Tidal Investments LLC grew its holdings in Radian Group by 374.1% during the 2nd quarter. Tidal Investments LLC now owns 33,498 shares of the insurance provider’s stock worth $1,262,000 after acquiring an additional 26,432 shares in the last quarter. Integrated Wealth Concepts LLC bought a new stake in shares of Radian Group in the 2nd quarter worth about $44,000. NewEdge Advisors LLC increased its position in shares of Radian Group by 4.4% in the 2nd quarter. NewEdge Advisors LLC now owns 18,428 shares of the insurance provider’s stock worth $694,000 after purchasing an additional 776 shares during the last quarter. Finally, IFP Advisors Inc increased its position in shares of Radian Group by 109.3% in the 2nd quarter. IFP Advisors Inc now owns 672 shares of the insurance provider’s stock worth $25,000 after purchasing an additional 351 shares during the last quarter. 95.33% of the stock is currently owned by hedge funds and other institutional investors.

About Radian Group

Radian Group Inc is a Philadelphia-based provider of private mortgage insurance and related risk-management services. Through its principal subsidiary, Radian Guaranty Inc, the company helps lenders manage credit risk on residential mortgages, primarily by insuring loans that have relatively low down payments. Mortgage insurance can enable qualified borrowers to obtain home financing without making a traditional 20% down payment.

Radian’s mortgage insurance products are designed for lenders, mortgage originators and investors in the United States.