Donegal Group (NASDAQ:DGICB) Shares Gap Up - Here's What Happened

Key Points

• Donegal Group shares opened higher, rising from a prior close of $20.29 to $21.60 before last trading near $21.16 on limited volume.
• Analysts maintained a “Hold” rating, while the company’s latest quarter missed expectations with EPS of $0.30 versus a $0.45 consensus and revenue of $236 million versus $247.83 million expected.
• Donegal Group declared a quarterly dividend of $0.175 per share, equivalent to $0.70 annually and a 3.5% yield; shares must be held by July 31 to receive the August 14 payment.

Donegal Group, Inc. (NASDAQ:DGICB - Get Free Report)'s stock price gapped up prior to trading on Monday . The stock had previously closed at $20.29, but opened at $21.60. Donegal Group shares last traded at $21.1610, with a volume of 482 shares changing hands.

Analysts Set New Price Targets

Separately, Weiss Ratings restated a "hold (c)" rating on shares of Donegal Group in a research report on Wednesday, June 24th. One research analyst has rated the stock with a Hold rating, Based on data from MarketBeat, the company presently has an average rating of "Hold".

Donegal Group Price Performance

The firm has a market cap of $746.97 million, a P/E ratio of 11.93 and a beta of 0.04. The company has a debt-to-equity ratio of 0.05, a current ratio of 0.39 and a quick ratio of 0.39. The stock's 50-day simple moving average is $21.10 and its two-hundred day simple moving average is $18.55.

Donegal Group (NASDAQ:DGICB - Get Free Report) last released its earnings results on Thursday, April 30th. The insurance provider reported $0.30 earnings per share (EPS) for the quarter, missing the consensus estimate of $0.45 by ($0.15). Donegal Group had a return on equity of 10.31% and a net margin of 6.77%.The firm had revenue of $236.00 million during the quarter, compared to the consensus estimate of $247.83 million.

Donegal Group Announces Dividend

The firm also recently announced a quarterly dividend, which will be paid on Friday, August 14th. Stockholders of record on Friday, July 31st will be paid a dividend of $0.175 per share. The ex-dividend date of this dividend is Friday, July 31st. This represents a $0.70 dividend on an annualized basis and a dividend yield of 3.5%. Donegal Group's dividend payout ratio is currently 41.42%.

Institutional Investors Weigh In On Donegal Group

An institutional investor recently bought a new position in Donegal Group stock. Lewis Asset Management LLC acquired a new stake in shares of Donegal Group, Inc. (NASDAQ:DGICB - Free Report) in the first quarter, according to the company in its most recent 13F filing with the SEC. The fund acquired 11,469 shares of the insurance provider's stock, valued at approximately $203,000. 1.19% of the stock is currently owned by institutional investors.

Donegal Group Company Profile

Donegal Group Inc, an insurance holding company, provides personal and commercial lines of property and casualty insurance to businesses and individuals in the Mid-Atlantic, Midwestern, New England, and southern states. It operates through four 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.

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