Radian Group Inc. (NYSE:RDN) Shareholders Set to Receive $0.26 Quarterly Dividend

Key Points

• Radian Group declared a quarterly dividend of $0.255 per share, payable December 8 to shareholders of record November 23. The annualized dividend is $1.02 per share, a yield of about 2.7%.
• The dividend has increased for six consecutive years and appears well covered: the current payout ratio is 25.4%, with analysts anticipating a lower 19.8% ratio based on next year’s expected earnings.
• Radian reported quarterly earnings of $1.44 per share, beating the $1.20 consensus estimate, and revenue of $624.11 million, also above expectations.

Radian Group Inc. (NYSE:RDN - Get Free Report) declared a quarterly dividend on Wednesday, November 11th. Investors of record on Monday, November 23rd will be paid a dividend of $0.2550 per share by the insurance provider on Tuesday, December 8th. This represents a $1.02 dividend on an annualized basis and a dividend yield of 2.7%. The ex-dividend date of this dividend is Monday, November 23rd.

Radian Group has increased its dividend payment by an average of 0.2% annually over the last three years and has increased its dividend annually for the last 6 consecutive years. Radian Group has a dividend payout ratio of 25.4% indicating that its dividend is sufficiently covered by earnings. Equities analysts expect Radian Group to earn $5.14 per share next year, which means the company should continue to be able to cover its $1.02 annual dividend with an expected future payout ratio of 19.8%.

Radian Group Stock Up 1.3%

Shares of NYSE RDN opened at $37.25 on Thursday. The stock has a market capitalization of $4.71 billion, a P/E ratio of 9.13, a PEG ratio of 0.93 and a beta of 0.69. The stock's fifty day moving average is $34.84 and its 200 day moving average is $35.33. Radian Group has a 52 week low of $30.53 and a 52 week high of $41.05. The company has a debt-to-equity ratio of 0.13, a quick ratio of 0.60 and a current ratio of 0.55.

Radian Group (NYSE:RDN - Get Free Report) last posted its quarterly earnings data on Thursday, November 5th. The insurance provider reported $1.44 earnings per share for the quarter, topping the consensus estimate of $1.20 by $0.24. Radian Group had a net margin of 28.41% and a return on equity of 14.39%. The business had revenue of $624.11 million during the quarter, compared to analysts' expectations of $595.99 million. During the same quarter in the prior year, the business posted $1.15 earnings per share. Sell-side analysts forecast that Radian Group will post 4.91 earnings per share for the current fiscal year.

Insider Buying and Selling at Radian Group

In other Radian Group news, EVP Stephen Keleher sold 8,000 shares of the business's stock in a transaction on Thursday, November 5th. The shares were sold at an average price of $38.58, for a total transaction of $308,640.00. Following the completion of the sale, the executive vice president owned 27,789 shares in the company, valued at approximately $1,072,099.62. The trade was a 22.35% decrease in their position. The sale was disclosed in a document filed with the SEC, which can be accessed through the SEC website. The transaction was executed under a pre-arranged Rule 10b5-1 trading plan. Also, EVP Meghan Bartholomew sold 7,812 shares of the business's stock in a transaction on Monday, September 14th. The shares were sold at an average price of $35.94, for a total transaction of $280,763.28. Following the sale, the executive vice president owned 39,203 shares of the company's stock, valued at $1,408,955.82. This trade represents a 16.62% decrease in their position. The SEC filing for this sale provides additional information. The transaction was executed under a pre-arranged Rule 10b5-1 trading plan. Company insiders own 2.03% of the company's stock.

Institutional Trading of Radian Group

Several institutional investors and hedge funds have recently made changes to their positions in RDN. IFP Advisors Inc boosted its holdings in Radian Group by 109.3% during 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. Allspring Global Investments Holdings LLC raised its stake in Radian Group by 4.2% in the third quarter. Allspring Global Investments Holdings LLC now owns 9,195 shares of the insurance provider's stock valued at $287,000 after purchasing an additional 369 shares in the last quarter. Arizona State Retirement System boosted its stake in Radian Group by 1.0% in the second quarter. Arizona State Retirement System now owns 37,602 shares of the insurance provider's stock worth $1,416,000 after buying an additional 387 shares in the last quarter. GAMMA Investing LLC lifted its stake in Radian Group by 4.1% in the third quarter. GAMMA Investing LLC now owns 11,613 shares of the insurance provider's stock worth $355,000 after purchasing an additional 462 shares during the last quarter. Finally, Sequoia Financial Advisors LLC boosted its position in Radian Group by 11.0% during the second quarter. Sequoia Financial Advisors LLC now owns 7,540 shares of the insurance provider's stock valued at $284,000 after buying an additional 747 shares during the period. Hedge funds and other institutional investors own 95.33% of the company's stock.

About Radian Group

Radian Group Inc. is a mortgage and real estate services company whose primary business is private mortgage insurance. Through its subsidiaries, it provides mortgage insurance to lenders and other housing finance participants in the United States. Mortgage insurance helps protect lenders and investors against losses if borrowers default. It can also support home purchases by allowing qualified borrowers to obtain mortgages with smaller down payments than would otherwise be required. Radian also offers services and solutions related to mortgage risk management.

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