Bank of New York Mellon Corp Reduces Stock Position in Radian Group Inc. (NYSE:RDN)

Bank of New York Mellon Corp trimmed its holdings in Radian Group Inc. (NYSE:RDN - Free Report) by 11.1% during the first quarter, according to its most recent 13F filing with the Securities and Exchange Commission (SEC). The firm owned 1,340,596 shares of the insurance provider's stock after selling 167,505 shares during the quarter. Bank of New York Mellon Corp owned about 0.95% of Radian Group worth $44,334,000 as of its most recent filing with the Securities and Exchange Commission (SEC).

A number of other hedge funds and other institutional investors also recently made changes to their positions in the business. First Trust Advisors LP lifted its stake in shares of Radian Group by 20.6% in the 4th quarter. First Trust Advisors LP now owns 10,766,237 shares of the insurance provider's stock valued at $341,505,000 after purchasing an additional 1,836,020 shares during the period. American Century Companies Inc. lifted its stake in shares of Radian Group by 7.9% in the 4th quarter. American Century Companies Inc. now owns 3,351,361 shares of the insurance provider's stock valued at $106,305,000 after purchasing an additional 245,303 shares during the period. Norges Bank acquired a new position in shares of Radian Group in the 4th quarter valued at about $73,693,000. Invesco Ltd. lifted its stake in shares of Radian Group by 19.2% in the 4th quarter. Invesco Ltd. now owns 1,326,010 shares of the insurance provider's stock valued at $42,061,000 after purchasing an additional 214,036 shares during the period. Finally, Capital World Investors lifted its stake in shares of Radian Group by 19.5% in the 4th quarter. Capital World Investors now owns 1,208,457 shares of the insurance provider's stock valued at $38,332,000 after purchasing an additional 197,147 shares during the period. 95.33% of the stock is owned by institutional investors and hedge funds.

Wall Street Analysts Forecast Growth

A number of brokerages recently commented on RDN. Barclays boosted their target price on Radian Group from $34.00 to $35.00 and gave the company an "equal weight" rating in a research report on Tuesday, July 8th. Keefe, Bruyette & Woods lowered Radian Group from a "moderate buy" rating to a "hold" rating and set a $38.00 target price for the company. in a research report on Monday, July 7th. Compass Point lowered Radian Group from a "strong-buy" rating to a "hold" rating in a research report on Friday, May 23rd. Finally, UBS Group reaffirmed a "neutral" rating and issued a $38.00 target price (up from $36.00) on shares of Radian Group in a research report on Monday. Five equities research analysts have rated the stock with a hold rating and one has assigned a buy rating to the company. According to data from MarketBeat.com, the stock currently has an average rating of "Hold" and an average price target of $37.50.

Insiders Place Their Bets

In other Radian Group news, Director Noel Joseph Spiegel sold 5,105 shares of the stock in a transaction on Friday, June 6th. The stock was sold at an average price of $33.66, for a total transaction of $171,834.30. Following the sale, the director owned 20,008 shares in the company, valued at $673,469.28. This represents a 20.33% decrease in their ownership of the stock. The transaction was disclosed in a legal filing with the SEC, which is available at this link. Also, EVP Eric Ray sold 30,000 shares of the stock in a transaction on Friday, June 6th. The stock was sold at an average price of $33.30, for a total value of $999,000.00. Following the sale, the executive vice president owned 13,957 shares in the company, valued at approximately $464,768.10. This represents a 68.25% decrease in their position. The disclosure for this sale can be found here. Insiders have sold 86,378 shares of company stock valued at $2,944,414 in the last quarter. 2.01% of the stock is currently owned by company insiders.

Radian Group Stock Performance

Shares of NYSE RDN traded up $0.17 during midday trading on Thursday, reaching $34.02. The company's stock had a trading volume of 1,284,896 shares, compared to its average volume of 1,288,977. Radian Group Inc. has a 12-month low of $29.32 and a 12-month high of $37.86. The firm has a 50 day moving average price of $34.51 and a 200-day moving average price of $33.15. The stock has a market capitalization of $4.57 billion, a P/E ratio of 8.66 and a beta of 0.72. The company has a debt-to-equity ratio of 0.52, a current ratio of 3.44 and a quick ratio of 3.44.

Radian Group (NYSE:RDN - Get Free Report) last announced its earnings results on Wednesday, April 30th. The insurance provider reported $0.99 earnings per share for the quarter, topping analysts' consensus estimates of $0.95 by $0.04. Radian Group had a return on equity of 13.54% and a net margin of 46.29%. The firm had revenue of $318.11 million for the quarter, compared to the consensus estimate of $326.99 million. During the same quarter in the previous year, the business earned $1.03 EPS. The company's revenue was down .4% compared to the same quarter last year. As a group, equities analysts predict that Radian Group Inc. will post 3.79 earnings per share for the current year.

Radian Group Announces Dividend

The company also recently disclosed a quarterly dividend, which was paid on Tuesday, June 17th. Investors of record on Monday, June 2nd were paid a $0.255 dividend. The ex-dividend date of this dividend was Monday, June 2nd. This represents a $1.02 annualized dividend and a yield of 3.00%. Radian Group's payout ratio is 25.95%.

Radian Group announced that its board has initiated a stock repurchase program on Wednesday, May 21st that authorizes the company to buyback $750.00 million in outstanding shares. This buyback authorization authorizes the insurance provider to reacquire up to 16.9% of its stock through open market purchases. Stock buyback programs are typically an indication that the company's board of directors believes its stock is undervalued.

Radian Group Profile

Radian Group Inc, together with its subsidiaries, engages in the mortgage and real estate services business in the United States. It operates through two segments, Mortgage Insurance and Homegenius segments. The Mortgage Insurance segment aggregates, manages, and distributes U.S. mortgage credit risk for mortgage lending institutions and mortgage credit investors, through private mortgage insurance on residential first-lien mortgage loans; and other credit risk management solutions, including contract underwriting.