Kera Capital Partners Inc. Invests $337,000 in MGIC Investment Corporation $MTG

Key Points

• Kera Capital Partners Inc. has invested approximately $337,000 in 12,088 shares of MGIC Investment Corporation (NYSE:MTG) during the 2nd quarter as per SEC filings.
• MGIC Investment recently increased its quarterly dividend from $0.13 to $0.15 per share, offering an annualized yield of 2.1%.
• Several analysts have raised their price targets for MGIC Investment, with the consensus target now at $26.67 despite a recent 1.7% drop in stock value.

Kera Capital Partners Inc. acquired a new position in shares of MGIC Investment Corporation (NYSE:MTG - Free Report) during the 2nd quarter, according to its most recent filing with the SEC. The institutional investor acquired 12,088 shares of the insurance provider's stock, valued at approximately $337,000.

Several other large investors have also modified their holdings of MTG. JPMorgan Chase & Co. increased its position in MGIC Investment by 4.8% during the 1st quarter. JPMorgan Chase & Co. now owns 16,162,180 shares of the insurance provider's stock worth $400,499,000 after purchasing an additional 743,212 shares in the last quarter. LSV Asset Management increased its position in MGIC Investment by 2.9% during the 1st quarter. LSV Asset Management now owns 10,888,437 shares of the insurance provider's stock worth $269,815,000 after purchasing an additional 310,095 shares in the last quarter. AQR Capital Management LLC increased its position in MGIC Investment by 22.5% during the 1st quarter. AQR Capital Management LLC now owns 3,291,645 shares of the insurance provider's stock worth $80,481,000 after purchasing an additional 605,342 shares in the last quarter. Goldman Sachs Group Inc. increased its position in MGIC Investment by 6.7% during the 1st quarter. Goldman Sachs Group Inc. now owns 3,103,366 shares of the insurance provider's stock worth $76,901,000 after purchasing an additional 195,895 shares in the last quarter. Finally, Caisse DE Depot ET Placement DU Quebec increased its position in MGIC Investment by 25.3% during the 1st quarter. Caisse DE Depot ET Placement DU Quebec now owns 2,597,602 shares of the insurance provider's stock worth $64,369,000 after purchasing an additional 524,973 shares in the last quarter. 95.58% of the stock is currently owned by hedge funds and other institutional investors.

Wall Street Analysts Forecast Growth

A number of research firms recently issued reports on MTG. Keefe, Bruyette & Woods increased their target price on shares of MGIC Investment from $26.00 to $27.00 and gave the stock a "market perform" rating in a research report on Monday, July 7th. Barclays increased their target price on shares of MGIC Investment from $26.00 to $27.00 and gave the stock an "equal weight" rating in a research report on Tuesday, July 8th. Finally, Compass Point reissued a "neutral" rating and set a $28.00 target price (up previously from $27.00) on shares of MGIC Investment in a research report on Friday, May 23rd. Five analysts have rated the stock with a Hold rating and one has issued a Sell rating to the company's stock. Based on data from MarketBeat, the stock currently has a consensus rating of "Reduce" and a consensus target price of $26.67.

MGIC Investment Stock Down 1.7%

Shares of NYSE:MTG opened at $28.44 on Friday. The company has a quick ratio of 1.46, a current ratio of 1.46 and a debt-to-equity ratio of 0.13. MGIC Investment Corporation has a 52-week low of $21.94 and a 52-week high of $28.98. The company has a 50 day moving average of $26.95 and a two-hundred day moving average of $25.87. The company has a market capitalization of $6.56 billion, a price-to-earnings ratio of 9.32, a price-to-earnings-growth ratio of 2.09 and a beta of 0.89.

MGIC Investment (NYSE:MTG - Get Free Report) last issued its quarterly earnings data on Wednesday, July 30th. The insurance provider reported $0.82 earnings per share (EPS) for the quarter, beating the consensus estimate 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 during the quarter, compared to the consensus estimate of $306.25 million. During the same quarter last year, the company earned $0.77 earnings per share. MGIC Investment's revenue for the quarter was down .3% on a year-over-year basis. As a group, analysts forecast 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. Stockholders of record on Thursday, August 7th were paid a dividend of $0.15 per share. This is an increase from MGIC Investment's previous quarterly dividend of $0.13. The ex-dividend date was Thursday, August 7th. This represents a $0.60 annualized dividend and a dividend yield of 2.1%. MGIC Investment's dividend payout ratio (DPR) is currently 19.67%.

Insider Activity at MGIC Investment

In other news, CEO Timothy J. Mattke sold 139,203 shares of the stock in a transaction that occurred on Thursday, August 7th. The stock was sold at an average price of $26.54, for a total transaction of $3,694,447.62. Following the completion of the transaction, the chief executive officer directly owned 1,100,994 shares in the company, valued at approximately $29,220,380.76. This represents a 11.22% decrease in their position. The transaction was disclosed in a filing with the SEC, which can be accessed through this hyperlink. Also, COO Salvatore A. Miosi sold 30,000 shares of the stock in a transaction that occurred on Friday, August 1st. The shares were sold at an average price of $26.22, for a total value of $786,600.00. Following the transaction, the chief operating officer owned 249,401 shares of the company's stock, valued at approximately $6,539,294.22. This trade represents a 10.74% decrease in their ownership of the stock. The disclosure for this sale can be found here. Corporate insiders own 1.05% of the company's stock.

About MGIC Investment

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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