54,585 Shares in MGIC Investment Corporation (NYSE:MTG) Bought by GSA Capital Partners LLP

Key Points

• GSA Capital Partners LLP has acquired a new stake worth approximately $1.35 million in MGIC Investment Corporation, purchasing 54,585 shares of the company.
• MGIC Investment recently increased its quarterly dividend to $0.15 per share, which reflects an annualized dividend yield of 2.36% and shows a growth from the previous quarterly dividend of $0.13.
• The company has instituted a $750 million stock buyback program, indicating that the board believes the company's stock may be undervalued.

GSA Capital Partners LLP acquired a new position in shares of MGIC Investment Corporation (NYSE:MTG - Free Report) in the 1st quarter, according to the company in its most recent disclosure with the Securities and Exchange Commission (SEC). The institutional investor acquired 54,585 shares of the insurance provider's stock, valued at approximately $1,353,000.

Other institutional investors and hedge funds have also bought and sold shares of the company. Norges Bank bought a new position in shares of MGIC Investment in the fourth quarter worth about $85,908,000. First Trust Advisors LP lifted its holdings in shares of MGIC Investment by 22.4% in the fourth quarter. First Trust Advisors LP now owns 16,008,489 shares of the insurance provider's stock worth $379,561,000 after acquiring an additional 2,928,595 shares during the last quarter. Caisse DE Depot ET Placement DU Quebec lifted its holdings in shares of MGIC Investment by 292.0% in the fourth quarter. Caisse DE Depot ET Placement DU Quebec now owns 2,072,629 shares of the insurance provider's stock worth $49,142,000 after acquiring an additional 1,543,908 shares during the last quarter. BNP Paribas Financial Markets lifted its holdings in shares of MGIC Investment by 259.4% in the fourth quarter. BNP Paribas Financial Markets now owns 1,105,399 shares of the insurance provider's stock worth $26,209,000 after acquiring an additional 797,852 shares during the last quarter. Finally, Invesco Ltd. lifted its holdings in shares of MGIC Investment by 16.6% in the fourth quarter. Invesco Ltd. now owns 4,766,195 shares of the insurance provider's stock worth $113,006,000 after acquiring an additional 677,227 shares during the last quarter. Institutional investors own 95.58% of the company's stock.

Analyst Ratings Changes

A number of research firms have recently commented on MTG. Compass Point reissued a "neutral" rating and issued a $28.00 target price (up previously from $27.00) on shares of MGIC Investment in a report on Friday, May 23rd. Keefe, Bruyette & Woods raised their price objective 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. Finally, Barclays raised their price objective on shares of MGIC Investment from $26.00 to $27.00 and gave the company an "equal weight" rating in a report on Tuesday, July 8th. One equities research analyst has rated the stock with a sell rating, five have assigned a hold rating and two have issued a buy rating to the company. According to data from MarketBeat.com, the company has an average rating of "Hold" and an average target price of $26.88.

Insiders Place Their Bets

In other MGIC Investment news, EVP Paula C. Maggio sold 20,000 shares of the stock in a transaction that occurred on Friday, May 30th. The shares were sold at an average price of $26.49, for a total transaction of $529,800.00. Following the completion of the sale, the executive vice president owned 157,395 shares of the company's stock, valued at approximately $4,169,393.55. This represents a 11.27% decrease in their position. The transaction was disclosed in a document filed with the SEC, which can be accessed through this hyperlink. Corporate insiders own 1.05% of the company's stock.

MGIC Investment Trading Up 1.4%

NYSE MTG traded up $0.37 during trading hours on Friday, reaching $26.27. The company's stock had a trading volume of 2,466,146 shares, compared to its average volume of 2,199,167. The stock has a market cap of $6.24 billion, a P/E ratio of 8.61, a P/E/G ratio of 2.72 and a beta of 0.89. The firm has a fifty day simple moving average of $26.50 and a 200-day simple moving average of $25.24. The company has a debt-to-equity ratio of 0.13, a current ratio of 1.25 and a quick ratio of 1.25. MGIC Investment Corporation has a 52 week low of $21.94 and a 52 week high of $28.67.

MGIC Investment (NYSE:MTG - Get Free Report) last released its earnings results on Wednesday, July 30th. The insurance provider reported $0.82 earnings per share for the quarter, beating analysts' consensus estimates of $0.70 by $0.12. The business had revenue of $304.25 million during the quarter, compared to the consensus estimate of $306.25 million. MGIC Investment had a net margin of 62.58% and a return on equity of 14.69%. The company's revenue for the quarter was down .3% compared to the same quarter last year. During the same quarter in the prior year, the firm posted $0.77 EPS. Equities analysts forecast that MGIC Investment Corporation will post 2.71 earnings per share for the current fiscal year.

MGIC Investment Increases Dividend

The company also recently announced a quarterly dividend, which will be paid on Thursday, August 21st. Shareholders of record on Thursday, August 7th will be given a dividend of $0.15 per share. The ex-dividend date of this dividend is Thursday, August 7th. This represents a $0.60 dividend on an annualized basis and a yield of 2.3%. This is a boost from MGIC Investment's previous quarterly dividend of $0.13. MGIC Investment's payout ratio is currently 17.28%.

MGIC Investment announced that its Board of Directors has approved a stock repurchase program on Thursday, April 24th that authorizes the company to buyback $750.00 million in shares. This buyback authorization authorizes the insurance provider to buy up to 12.5% of its shares through open market purchases. Shares buyback programs are often an indication that the company's leadership believes its stock is undervalued.

MGIC Investment Company 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.