Cwm LLC Acquires 90,728 Shares of MGIC Investment Corporation $MTG

Key Points

• Cwm LLC significantly increased its holdings in MGIC Investment Corporation by purchasing 90,728 shares, raising its total ownership to 99,553 shares valued at approximately $2.77 million.
• The firm also announced a quarterly dividend of $0.15, representing a boost from the previous dividend and reflecting a 2.2% yield.
• Insider transactions include COO Salvatore Miosi and CEO Timothy J. Mattke selling a combined total of 169,203 shares, indicating a decrease in their personal holdings of the company.

Cwm LLC increased its holdings in MGIC Investment Corporation (NYSE:MTG - Free Report) by 1,028.1% during the 2nd quarter, according to the company in its most recent disclosure with the Securities & Exchange Commission. The fund owned 99,553 shares of the insurance provider's stock after purchasing an additional 90,728 shares during the quarter. Cwm LLC's holdings in MGIC Investment were worth $2,772,000 at the end of the most recent reporting period.

Other institutional investors also recently modified their holdings of the company. WPG Advisers LLC bought a new stake in shares of MGIC Investment in the first quarter worth $26,000. Cullen Frost Bankers Inc. acquired a new position in MGIC Investment in the first quarter valued at $33,000. Quarry LP acquired a new position in MGIC Investment in the first quarter valued at $38,000. Geneos Wealth Management Inc. lifted its holdings in MGIC Investment by 88.0% in the first quarter. Geneos Wealth Management Inc. now owns 1,745 shares of the insurance provider's stock valued at $43,000 after buying an additional 817 shares during the period. Finally, Harbor Capital Advisors Inc. acquired a new position in MGIC Investment in the second quarter valued at $49,000. Institutional investors own 95.58% of the company's stock.

Insider Transactions at MGIC Investment

In related news, COO Salvatore A. Miosi sold 30,000 shares of the company's stock in a transaction dated Wednesday, October 1st. The shares were sold at an average price of $28.15, for a total value of $844,500.00. Following the sale, the chief operating officer owned 189,401 shares in the company, valued at $5,331,638.15. This represents a 13.67% decrease in their position. The transaction was disclosed in a legal filing with the SEC, which is available at this link. Also, CEO Timothy J. Mattke sold 139,203 shares of the company's stock in a transaction dated Tuesday, October 7th. The stock was sold at an average price of $27.09, for a total transaction of $3,771,009.27. Following the completion of the sale, the chief executive officer owned 961,791 shares in the company, valued at $26,054,918.19. This represents a 12.64% decrease in their position. The disclosure for this sale can be found here. Insiders sold a total of 338,406 shares of company stock worth $9,096,557 in the last 90 days. 1.05% of the stock is currently owned by company insiders.

MGIC Investment Price Performance

Shares of NYSE MTG opened at $26.94 on Friday. The firm's 50-day moving average price is $27.82 and its 200-day moving average price is $26.54. MGIC Investment Corporation has a 1-year low of $21.94 and a 1-year high of $29.01. The firm has a market capitalization of $6.21 billion, a P/E ratio of 8.83, a P/E/G ratio of 1.95 and a beta of 0.88. The company has a current ratio of 1.46, a quick ratio of 1.46 and a debt-to-equity ratio of 0.13.

MGIC Investment (NYSE:MTG - Get Free Report) last posted its earnings results on Wednesday, July 30th. The insurance provider reported $0.82 earnings per share for the quarter, topping analysts' consensus estimates of $0.70 by $0.12. MGIC Investment had a net margin of 62.58% and a return on equity of 14.73%. The company had revenue of $304.25 million for the quarter, compared to analyst estimates of $306.25 million. During the same quarter in the prior year, the business posted $0.77 EPS. The firm's revenue was down .3% compared to the same quarter last year. Equities research analysts anticipate that MGIC Investment Corporation will post 2.71 earnings per share for the current fiscal year.

MGIC Investment Increases Dividend

The firm also recently announced a quarterly dividend, which was paid on Thursday, August 21st. Investors of record on Thursday, August 7th were issued a $0.15 dividend. The ex-dividend date was Thursday, August 7th. This represents a $0.60 dividend on an annualized basis and a dividend yield of 2.2%. This is a boost from MGIC Investment's previous quarterly dividend of $0.13. MGIC Investment's dividend payout ratio (DPR) is currently 19.67%.

Wall Street Analyst Weigh In

MTG has been the topic of several recent analyst reports. Keefe, Bruyette & Woods boosted their target price on shares of MGIC Investment from $26.00 to $27.00 and gave the company a "market perform" rating in a report on Monday, July 7th. Weiss Ratings restated a "buy (a-)" rating on shares of MGIC Investment in a report on Wednesday, October 8th. Finally, Barclays boosted their target price on shares of MGIC Investment from $27.00 to $28.00 and gave the company a "cautious" rating in a report on Monday, October 6th. One research analyst has rated the stock with a Strong Buy rating, four have issued a Hold rating and two have issued a Sell rating to the stock. According to data from MarketBeat.com, the stock presently has an average rating of "Hold" and an average target price of $26.83.

MGIC Investment Profile

MGIC Investment Corporation, through its subsidiaries, provides private mortgage insurance, other mortgage credit risk management solutions, and ancillary services to lenders and government sponsored entities in the United States, the District of Columbia, Puerto Rico, and Guam. The company offers primary mortgage insurance that provides mortgage default protection on individual loans, as well as covers unpaid loan principal, delinquent interest, and various expenses associated with the default and subsequent foreclosure.

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