Essent Group (NYSE:ESNT) Share Price Crosses Below Two Hundred Day Moving Average - What's Next?

Key Points

• Essent Group shares dipped below their 200-day moving average during Wednesday trading, touching as low as $59.43 before last trading near $61.76. The stock’s 200-day average was $61.26.
• Wall Street sentiment is mixed: the stock carries an average “Hold” rating with a consensus price target of $66.43. Recent analyst moves included small target cuts and raises, with four Buy ratings and six Hold ratings overall.
• The company posted better-than-expected Q1 earnings, reporting $1.82 EPS on revenue of $336.07 million, and it also paid a quarterly dividend of $0.35 per share for a 2.3% yield. Insiders sold shares in recent months, while institutional ownership remains high at 93%.

Essent Group Ltd. (NYSE:ESNT - Get Free Report) shares crossed below its two hundred day moving average during trading on Wednesday . The stock has a two hundred day moving average of $61.26 and traded as low as $59.43. Essent Group shares last traded at $61.7590, with a volume of 1,239,895 shares trading hands.

Wall Street Analysts Forecast Growth

ESNT has been the subject of a number of recent analyst reports. UBS Group lowered their target price on shares of Essent Group from $65.00 to $63.00 and set a "neutral" rating for the company in a report on Thursday, March 12th. Barclays increased their price target on shares of Essent Group from $61.00 to $62.00 and gave the stock an "equal weight" rating in a research note on Monday, May 11th. JPMorgan Chase & Co. decreased their price target on shares of Essent Group from $65.00 to $64.00 and set a "neutral" rating on the stock in a report on Thursday, April 9th. Royal Bank Of Canada assumed coverage on shares of Essent Group in a research note on Friday, May 22nd. They set a "sector perform" rating and a $68.00 price objective for the company. Finally, Roth Mkm restated a "buy" rating and set a $65.00 price objective on shares of Essent Group in a report on Wednesday, June 3rd. Four investment analysts have rated the stock with a Buy rating and six have assigned a Hold rating to the company. According to MarketBeat.com, the stock has an average rating of "Hold" and an average price target of $66.43.

Essent Group Stock Performance

The stock has a market capitalization of $5.69 billion, a PE ratio of 8.80, a P/E/G ratio of 1.66 and a beta of 0.78. The company has a debt-to-equity ratio of 0.09, a quick ratio of 1.32 and a current ratio of 1.32. The firm has a 50 day moving average of $60.33 and a 200-day moving average of $61.26.

Essent Group (NYSE:ESNT - Get Free Report) last issued its earnings results on Friday, May 8th. The financial services provider reported $1.82 earnings per share for the quarter, beating analysts' consensus estimates of $1.68 by $0.14. The company had revenue of $336.07 million for the quarter, compared to the consensus estimate of $297.56 million. Essent Group had a return on equity of 12.01% and a net margin of 53.64%.The firm's quarterly revenue was up 5.8% on a year-over-year basis. During the same quarter in the prior year, the company earned $1.69 EPS. Research analysts forecast that Essent Group Ltd. will post 7.25 earnings per share for the current year.

Essent Group Announces Dividend

The business also recently disclosed a quarterly dividend, which was paid on Wednesday, June 10th. Shareholders of record on Monday, June 1st were paid a $0.35 dividend. This represents a $1.40 annualized dividend and a yield of 2.3%. The ex-dividend date was Monday, June 1st. Essent Group's dividend payout ratio is currently 19.94%.

Insiders Place Their Bets

In other news, SVP Mary Lourdes Gibbons sold 4,250 shares of the business's stock in a transaction on Tuesday, April 28th. The shares were sold at an average price of $65.01, for a total transaction of $276,292.50. Following the transaction, the senior vice president directly owned 233,336 shares in the company, valued at $15,169,173.36. The trade was a 1.79% decrease in their position. The transaction was disclosed in a legal filing with the SEC, which is available at this link. The transaction was executed under a pre-arranged Rule 10b5-1 trading plan. Also, CEO Mark Casale sold 13,064 shares of the stock in a transaction on Tuesday, April 28th. The stock was sold at an average price of $65.05, for a total value of $849,813.20. Following the sale, the chief executive officer owned 2,218,480 shares of the company's stock, valued at approximately $144,312,124. This represents a 0.59% decrease in their ownership of the stock. Additional details regarding this sale are available in the official SEC disclosure. The transaction was executed under a pre-arranged Rule 10b5-1 trading plan. Insiders have sold a total of 25,814 shares of company stock valued at $1,661,682 in the last three months. Company insiders own 3.60% of the company's stock.

Institutional Investors Weigh In On Essent Group

Several institutional investors have recently made changes to their positions in ESNT. Caitong International Asset Management Co. Ltd bought a new position in Essent Group during the third quarter valued at approximately $25,000. Measured Wealth Private Client Group LLC acquired a new stake in Essent Group in the third quarter valued at approximately $27,000. Los Angeles Capital Management LLC bought a new stake in Essent Group in the fourth quarter worth approximately $27,000. IFP Advisors Inc grew its position in Essent Group by 97.1% in the fourth quarter. IFP Advisors Inc now owns 676 shares of the financial services provider's stock worth $44,000 after acquiring an additional 333 shares in the last quarter. Finally, Root Financial Partners LLC increased its stake in shares of Essent Group by 111.8% during the 1st quarter. Root Financial Partners LLC now owns 879 shares of the financial services provider's stock worth $51,000 after purchasing an additional 464 shares during the last quarter. 93.00% of the stock is currently owned by institutional investors and hedge funds.

Essent Group Company Profile

Essent Group Ltd. NYSE: ESNT is a publicly traded insurance holding company specializing in private mortgage insurance and mortgage reinsurance solutions. Through its primary subsidiary, Essent Guaranty, the company provides credit protection to mortgage lenders, helping mitigate the risk of borrower default on residential mortgage loans. Essent's insurance policies enable lenders to offer low-down-payment programs, supporting homebuyers in achieving homeownership with reduced upfront equity requirements.

Beyond traditional mortgage insurance, Essent offers a suite of risk management and analytics services designed to help financial institutions monitor and manage mortgage portfolios.

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