Radian Group (NYSE:RDN) Stock Dropped to Hold by Wall Street Zen

Key Points

• Wall Street Zen downgraded Radian Group to “hold” from “buy.” Despite mixed analyst actions, the broader consensus remains “Moderate Buy,” with an average price target of $43.14.
• Radian Group shares opened at $33.95, down 0.6%, and remain below their 52-week high of $41.05. The company has a $4.49 billion market capitalization and trades at a P/E ratio of 8.73.
• The company’s latest quarterly earnings missed expectations, reporting $1.14 in EPS versus the $1.34 consensus estimate, although revenue rose 92.3% year over year to $574.96 million.

Radian Group (NYSE:RDN - Get Free Report) was downgraded by research analysts at Wall Street Zen from a "buy" rating to a "hold" rating in a research note issued on Saturday, Wall Street Zen reports.

Other research analysts also recently issued reports about the company. Keefe, Bruyette & Woods cut their price objective on Radian Group from $46.00 to $44.00 and set an "outperform" rating for the company in a research note on Tuesday, August 11th. Weiss Ratings raised shares of Radian Group from a "buy (b)" rating to a "buy (b+)" rating in a report on Monday, September 28th. BTIG Research started coverage on shares of Radian Group in a research report on Tuesday, September 22nd. They issued a "buy" rating and a $48.00 price target for the company. Zacks Research cut shares of Radian Group from a "hold" rating to a "strong sell" rating in a research note on Tuesday. Finally, Barclays raised their price objective on shares of Radian Group from $35.00 to $36.00 and gave the company an "equal weight" rating in a research report on Monday, October 5th. Six research analysts have rated the stock with a Buy rating, two have given a Hold rating and one has assigned a Sell rating to the company's stock. Based on data from MarketBeat, the stock has an average rating of "Moderate Buy" and an average target price of $43.14.

Radian Group Trading Down 0.6%

Radian Group stock opened at $33.95 on Friday. Radian Group has a 52-week low of $30.53 and a 52-week high of $41.05. The company has a market cap of $4.49 billion, a P/E ratio of 8.73, a P/E/G ratio of 0.83 and a beta of 0.71. The company has a quick ratio of 0.60, a current ratio of 0.60 and a debt-to-equity ratio of 0.14. The business has a 50-day simple moving average of $35.60 and a two-hundred day simple moving average of $35.86.

Radian Group (NYSE:RDN - Get Free Report) last issued its quarterly earnings data 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 return on equity of 13.65% and a net margin of 32.60%. The business had revenue of $574.96 million during the quarter, compared to the consensus estimate of $556.55 million. During the same quarter last year, the company earned $1.01 EPS. Radian Group's revenue for the quarter was up 92.3% on a year-over-year basis. Analysts predict that Radian Group will post 4.86 EPS for the current year.

Insider Buying and Selling at Radian Group

In other news, EVP Meghan Bartholomew sold 7,812 shares of the stock in a transaction on Monday, September 14th. The shares were sold at an average price of $35.94, for a total value of $280,763.28. Following the sale, the executive vice president owned 39,203 shares of the company's stock, valued at approximately $1,408,955.82. This represents a 16.62% decrease in their ownership of the stock. The sale was disclosed in a legal filing with the SEC, which can be accessed through this link. The transaction was executed under a pre-arranged Rule 10b5-1 trading plan. Corporate insiders own 2.03% of the company's stock.

Institutional Trading of Radian Group

A number of hedge funds and other institutional investors have recently bought and sold shares of RDN. IFP Advisors Inc grew its holdings in Radian Group by 109.3% in the second 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. Global Retirement Partners LLC acquired a new stake in Radian Group in the second quarter worth about $37,000. Root Financial Partners LLC grew its stake in shares of Radian Group by 67.3% during the first quarter. Root Financial Partners LLC now owns 1,288 shares of the insurance provider's stock worth $43,000 after acquiring an additional 518 shares during the last quarter. Integrated Wealth Concepts LLC purchased a new stake in shares of Radian Group during the second quarter worth about $44,000. Finally, Nykredit A S acquired a new position in shares of Radian Group during the second quarter valued at about $55,000. Hedge funds and other institutional investors own 95.33% of the company's stock.

About Radian Group

Radian Group Inc NYSE: RDN is a financial services company focused on supporting homeownership and the U.S. residential real estate market. Its principal business is mortgage insurance, which helps protect lenders and investors against losses when borrowers default on certain residential mortgage loans. Through its mortgage insurance operations, Radian serves mortgage lenders, banks, credit unions and other housing-finance participants.

The company also provides services and technology intended to support the mortgage and homeownership lifecycle.

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