Donegal Group, Inc. (NASDAQ:DGICA) Declares Quarterly Dividend of $0.18

Key Points

• Donegal Group, Inc. has declared a quarterly dividend of $0.18 per share, payable on November 17th, with the ex-dividend date set for November 3rd.
• The company's dividend payout ratio stands at 36.5%, indicating strong earnings coverage for its annual dividend of $0.73.
• Recent insider transactions show that Mutual Insurance Co Donegal increased their stake by purchasing 20,000 shares at an average cost of $19.53 per share.

Donegal Group, Inc. (NASDAQ:DGICA - Get Free Report) announced a quarterly dividend on Thursday, October 16th. Stockholders of record on Monday, November 3rd will be paid a dividend of 0.1825 per share by the insurance provider on Monday, November 17th. This represents a c) annualized dividend and a dividend yield of 3.8%. The ex-dividend date of this dividend is Monday, November 3rd.

Donegal Group has a dividend payout ratio of 36.5% indicating that its dividend is sufficiently covered by earnings. Equities research analysts expect Donegal Group to earn $1.40 per share next year, which means the company should continue to be able to cover its $0.73 annual dividend with an expected future payout ratio of 52.1%.

Donegal Group Price Performance

Shares of NASDAQ DGICA opened at $19.21 on Friday. Donegal Group has a 1-year low of $14.17 and a 1-year high of $21.12. The business has a 50-day moving average of $18.63 and a 200-day moving average of $18.86. The company has a debt-to-equity ratio of 0.06, a current ratio of 0.40 and a quick ratio of 0.40. The company has a market capitalization of $701.36 million and a price-to-earnings ratio of 8.07.

Donegal Group (NASDAQ:DGICA - Get Free Report) last issued its earnings results on Thursday, July 24th. The insurance provider reported $0.43 earnings per share for the quarter, topping the consensus estimate of $0.36 by $0.07. The company had revenue of $233.81 million during the quarter, compared to the consensus estimate of $247.21 million. Donegal Group had a return on equity of 14.33% and a net margin of 8.33%. On average, equities analysts anticipate that Donegal Group will post 1.2 EPS for the current fiscal year.

Insider Buying and Selling

In other news, major shareholder Mutual Insurance Co Donegal purchased 20,000 shares of the stock in a transaction dated Friday, September 12th. The shares were bought at an average cost of $19.53 per share, for a total transaction of $390,600.00. Following the transaction, the insider owned 13,654,579 shares in the company, valued at $266,673,927.87. This trade represents a 0.15% increase in their ownership of the stock. The transaction was disclosed in a document filed with the SEC, which is available through this hyperlink. In the last 90 days, insiders purchased 212,958 shares of company stock valued at $3,965,746. 6.63% of the stock is owned by company insiders.

Institutional Investors Weigh In On Donegal Group

Several hedge funds have recently bought and sold shares of DGICA. Allworth Financial LP lifted its stake in Donegal Group by 477.2% in the 2nd quarter. Allworth Financial LP now owns 2,961 shares of the insurance provider's stock worth $59,000 after acquiring an additional 2,448 shares in the last quarter. EverSource Wealth Advisors LLC boosted its position in Donegal Group by 422.6% during the second quarter. EverSource Wealth Advisors LLC now owns 3,679 shares of the insurance provider's stock valued at $74,000 after purchasing an additional 2,975 shares during the last quarter. Tower Research Capital LLC TRC boosted its position in Donegal Group by 443.9% during the second quarter. Tower Research Capital LLC TRC now owns 4,928 shares of the insurance provider's stock valued at $99,000 after purchasing an additional 4,022 shares during the last quarter. CWM LLC boosted its position in Donegal Group by 78.0% during the first quarter. CWM LLC now owns 5,163 shares of the insurance provider's stock valued at $101,000 after purchasing an additional 2,263 shares during the last quarter. Finally, Raymond James Financial Inc. acquired a new stake in Donegal Group during the second quarter valued at $101,000. 27.96% of the stock is owned by hedge funds and other institutional investors.

About Donegal Group

Donegal Group Inc, an insurance holding company, provides property and casualty insurance to businesses and individuals. It operates through three segments: Investment Function, Personal Lines of Insurance, and Commercial Lines of Insurance. The company offers private passenger automobile policies that provide protection against liability for bodily injury and property damage arising from automobile accidents, as well as protection against loss from damage to automobiles; and homeowners policies, which provide coverage for damage to residences and their contents from a range of perils, including fire, lightning, windstorm, and theft, as well as liability of the insured arising from injury to other persons or their property.

This instant news alert was generated by narrative science technology and financial data from MarketBeat in order to provide readers with the fastest and most accurate reporting. This story was reviewed by MarketBeat's editorial team prior to publication. Please send any questions or comments about this story to contact@marketbeat.com.