Centric Wealth Management Acquires Shares of 127,754 MGIC Investment Corporation $MTG

Key Points

• Centric Wealth Management acquired 127,754 shares of MGIC Investment in the second quarter, valued at approximately $3.34 million; institutional investors collectively own 95.58% of the company.
• MGIC Investment reported quarterly EPS of $0.87, exceeding estimates of $0.76, although revenue declined 2.9% year over year to $295.39 million. Analysts maintain a consensus “Hold” rating with a $30.60 price target.
• The company increased its quarterly dividend from $0.15 to $0.17 per share and has a $750 million share-repurchase authorization, allowing buybacks of up to 12.4% of outstanding shares.

Centric Wealth Management acquired a new stake in shares of MGIC Investment Corporation (NYSE:MTG - Free Report) in the second quarter, according to the company in its most recent Form 13F filing with the Securities and Exchange Commission (SEC). The institutional investor acquired 127,754 shares of the insurance provider's stock, valued at approximately $3,343,000. Centric Wealth Management owned 0.06% of MGIC Investment as of its most recent filing with the Securities and Exchange Commission (SEC).

Several other institutional investors and hedge funds have also recently made changes to their positions in MTG. Jefferies Financial Group Inc. grew its holdings in MGIC Investment by 245.3% in the 4th quarter. Jefferies Financial Group Inc. now owns 364,650 shares of the insurance provider's stock worth $10,655,000 after acquiring an additional 259,039 shares during the last quarter. Geode Capital Management LLC raised its stake in shares of MGIC Investment by 2.8% during the fourth quarter. Geode Capital Management LLC now owns 5,371,470 shares of the insurance provider's stock valued at $163,368,000 after acquiring an additional 146,589 shares during the last quarter. Norges Bank bought a new position in shares of MGIC Investment during the fourth quarter valued at about $96,248,000. Arbejdsmarkedets Tillaegspension purchased a new stake in shares of MGIC Investment during the fourth quarter worth about $24,456,000. Finally, Hsbc Holdings PLC boosted its holdings in shares of MGIC Investment by 24.5% during the fourth quarter. Hsbc Holdings PLC now owns 207,412 shares of the insurance provider's stock worth $6,089,000 after purchasing an additional 40,751 shares during the period. Institutional investors own 95.58% of the company's stock.

Analyst Upgrades and Downgrades

A number of brokerages recently issued reports on MTG. Roth Capital restated a "buy" rating and set a $35.00 price target on shares of MGIC Investment in a report on Thursday, July 30th. Keefe, Bruyette & Woods lifted their price objective on MGIC Investment from $29.00 to $30.00 and gave the stock a "market perform" rating in a research report on Friday, July 31st. Weiss Ratings raised MGIC Investment from a "buy (b)" rating to a "buy (b+)" rating in a research note on Tuesday, July 7th. Barclays decreased their target price on MGIC Investment from $29.00 to $28.00 and set an "equal weight" rating for the company in a report on Friday, May 1st. Finally, Royal Bank Of Canada lifted their price target on shares of MGIC Investment from $28.00 to $32.00 and gave the company a "sector perform" rating in a report on Friday, July 31st. Two analysts have rated the stock with a Buy rating and four have given a Hold rating to the stock. Based on data from MarketBeat.com, the company presently has a consensus rating of "Hold" and a consensus price target of $30.60.

MGIC Investment Stock Up 0.9%

MTG stock opened at $31.13 on Friday. MGIC Investment Corporation has a fifty-two week low of $24.69 and a fifty-two week high of $31.89. The business's 50 day moving average price is $28.46 and its two-hundred day moving average price is $27.25. The company has a debt-to-equity ratio of 0.13, a quick ratio of 1.19 and a current ratio of 1.19. The company has a market capitalization of $6.39 billion, a price-to-earnings ratio of 9.73, a price-to-earnings-growth ratio of 0.80 and a beta of 0.66.

MGIC Investment (NYSE:MTG - Get Free Report) last announced its earnings results on Wednesday, July 29th. The insurance provider reported $0.87 earnings per share (EPS) for the quarter, topping the consensus estimate of $0.76 by $0.11. The firm had revenue of $295.39 million during the quarter, compared to analyst estimates of $297.54 million. MGIC Investment had a return on equity of 13.90% and a net margin of 59.20%.The business's revenue was down 2.9% compared to the same quarter last year. During the same quarter in the prior year, the company earned $0.82 EPS. As a group, analysts forecast that MGIC Investment Corporation will post 3.21 earnings per share for the current fiscal year.

MGIC Investment Increases Dividend

The company also recently disclosed a quarterly dividend, which will be paid on Thursday, August 20th. Shareholders of record on Wednesday, August 5th will be issued a $0.17 dividend. This represents a $0.68 dividend on an annualized basis and a yield of 2.2%. This is a positive change from MGIC Investment's previous quarterly dividend of $0.15. The ex-dividend date is Wednesday, August 5th. MGIC Investment's dividend payout ratio is currently 21.25%.

MGIC Investment announced that its board has approved a stock repurchase program on Thursday, April 23rd that allows the company to buyback $750.00 million in outstanding shares. This buyback authorization allows the insurance provider to buy up to 12.4% of its shares through open market purchases. Shares buyback programs are usually a sign that the company's board of directors believes its stock is undervalued.

Insiders Place Their Bets

In other news, COO Salvatore A. Miosi sold 30,000 shares of the business's stock in a transaction on Monday, June 8th. The shares were sold at an average price of $25.38, for a total transaction of $761,400.00. Following the sale, the chief operating officer owned 560,951 shares in the company, valued at approximately $14,236,936.38. The trade was a 5.08% decrease in their position. The sale was disclosed in a filing with the SEC, which is accessible through the SEC website. The transaction was executed under a pre-arranged Rule 10b5-1 trading plan. Also, EVP Paula C. Maggio sold 20,937 shares of the company's stock in a transaction dated Friday, May 29th. The stock was sold at an average price of $25.55, for a total transaction of $534,940.35. Following the completion of the sale, the executive vice president directly owned 169,620 shares in the company, valued at $4,333,791. This represents a 10.99% decrease in their ownership of the stock. The SEC filing for this sale provides additional information. The transaction was executed under a pre-arranged Rule 10b5-1 trading plan. In the last quarter, insiders sold 70,937 shares of company stock valued at $1,902,340. 1.34% of the stock is owned by corporate insiders.

About MGIC Investment

MGIC Investment Corporation NYSE: MTG is a leading provider of private mortgage insurance in the United States. Established in 1957 as the nation's first private mortgage insurer, MGIC helps lenders manage credit risk and facilitates homeownership by protecting mortgage loans against default. Headquartered in Milwaukee, Wisconsin, the company operates through its principal subsidiary, Mortgage Guaranty Insurance Corporation, and maintains relationships with a broad network of originators and servicers nationwide.

The company's primary business activity involves issuing mortgage insurance policies that enable borrowers to purchase homes with down payments below traditional lending thresholds.

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