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Assured Guaranty (NYSE:AGO) Downgraded to "Sell" Rating by Wall Street Zen

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Key Points

  • Assured Guaranty has been downgraded from a "hold" to a "sell" rating by Wall Street Zen and from "neutral" to "reduce" by UBS Group.
  • The company's shares dropped by 2.8%, and its latest earnings report showed an EPS of $1.01, missing estimates by $0.56 despite a 39.1% increase in revenue year-over-year.
  • CEO Dominic Frederico and CAO Laura Bieling recently sold significant shares, indicating insider transactions of over $7 million in the past 90 days.
  • Need Better Tools to Track Assured Guaranty? Try 5 Weeks of MarketBeat All Access for $5. Start Portfolio Tracking Now.

Assured Guaranty (NYSE:AGO - Get Free Report) was downgraded by equities research analysts at Wall Street Zen from a "hold" rating to a "sell" rating in a report released on Saturday.

Separately, UBS Group lowered shares of Assured Guaranty from a "neutral" rating to a "reduce" rating in a report on Friday.

Check Out Our Latest Stock Analysis on Assured Guaranty

Assured Guaranty Stock Performance

NYSE:AGO traded down $2.32 during mid-day trading on Friday, reaching $82.12. 527,099 shares of the company's stock were exchanged, compared to its average volume of 302,590. Assured Guaranty has a one year low of $73.00 and a one year high of $96.50. The firm has a market capitalization of $4.03 billion, a PE ratio of 9.07 and a beta of 0.88. The business's fifty day simple moving average is $84.68 and its two-hundred day simple moving average is $86.34. The company has a debt-to-equity ratio of 0.30, a quick ratio of 0.83 and a current ratio of 0.75.

Assured Guaranty (NYSE:AGO - Get Free Report) last released its quarterly earnings results on Thursday, August 7th. The financial services provider reported $1.01 EPS for the quarter, missing analysts' consensus estimates of $1.57 by ($0.56). Assured Guaranty had a return on equity of 7.18% and a net margin of 44.53%. The business had revenue of $281.00 million for the quarter, compared to the consensus estimate of $203.91 million. During the same period in the prior year, the business posted $1.44 earnings per share. Assured Guaranty's revenue was up 39.1% compared to the same quarter last year. Analysts anticipate that Assured Guaranty will post 7.3 earnings per share for the current fiscal year.

Insider Activity at Assured Guaranty

In other Assured Guaranty news, CEO Dominic Frederico sold 10,438 shares of the business's stock in a transaction that occurred on Tuesday, May 20th. The shares were sold at an average price of $86.13, for a total transaction of $899,024.94. Following the sale, the chief executive officer directly owned 1,337,635 shares of the company's stock, valued at $115,210,502.55. The trade was a 0.77% decrease in their position. The transaction was disclosed in a legal filing with the SEC, which can be accessed through this link. Also, CAO Laura Bieling sold 2,649 shares of the business's stock in a transaction that occurred on Tuesday, May 13th. The stock was sold at an average price of $87.76, for a total transaction of $232,476.24. Following the sale, the chief accounting officer directly owned 13,462 shares in the company, valued at $1,181,425.12. The trade was a 16.44% decrease in their ownership of the stock. The disclosure for this sale can be found here. Insiders have sold a total of 85,004 shares of company stock worth $7,324,274 over the last ninety days. 5.10% of the stock is currently owned by insiders.

Institutional Investors Weigh In On Assured Guaranty

Institutional investors have recently added to or reduced their stakes in the business. Cullen Frost Bankers Inc. acquired a new position in shares of Assured Guaranty in the 2nd quarter worth approximately $30,000. Allworth Financial LP grew its stake in shares of Assured Guaranty by 27.6% in the 1st quarter. Allworth Financial LP now owns 717 shares of the financial services provider's stock worth $62,000 after acquiring an additional 155 shares in the last quarter. Covestor Ltd grew its stake in shares of Assured Guaranty by 108.2% in the 4th quarter. Covestor Ltd now owns 816 shares of the financial services provider's stock worth $73,000 after acquiring an additional 424 shares in the last quarter. Heck Capital Advisors LLC bought a new position in Assured Guaranty during the fourth quarter valued at about $97,000. Finally, Headlands Technologies LLC bought a new position in Assured Guaranty during the first quarter valued at about $104,000. 92.22% of the stock is owned by institutional investors.

Assured Guaranty Company Profile

(Get Free Report)

Assured Guaranty Ltd., together with its subsidiaries, provides credit protection products to public finance, infrastructure, and structured finance markets in the United States and internationally. It operates through two segments: Insurance and Asset Management. The company offers financial guaranty insurance that protects holders of debt instruments and other monetary obligations from defaults in scheduled payments.

Further Reading

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