Pacer Advisors Inc. Sells 36,508 Shares of MGIC Investment Corporation (NYSE:MTG)

Key Points

• Pacer Advisors Inc. has sold 36,508 shares of MGIC Investment Corporation, reducing its holdings by 70.6% to 15,200 shares as of the latest quarter, valued at $377,000.
• MGIC Investment's stock recently traded at $26.27, with analysts maintaining a consensus rating of "Hold" and a price target of approximately $26.88.
• The company announced a quarterly dividend increase from $0.13 to $0.15 per share, yielding 2.3%, along with a stock buyback plan authorizing the repurchase of up to $750 million in shares.

Pacer Advisors Inc. lessened its holdings in shares of MGIC Investment Corporation (NYSE:MTG - Free Report) by 70.6% during the 1st quarter, according to its most recent disclosure with the SEC. The fund owned 15,200 shares of the insurance provider's stock after selling 36,508 shares during the period. Pacer Advisors Inc.'s holdings in MGIC Investment were worth $377,000 at the end of the most recent reporting period.

Other hedge funds and other institutional investors also recently made changes to their positions in the company. Universal Beteiligungs und Servicegesellschaft mbH lifted its stake in shares of MGIC Investment by 12.1% during the first quarter. Universal Beteiligungs und Servicegesellschaft mbH now owns 470,527 shares of the insurance provider's stock valued at $11,660,000 after acquiring an additional 50,938 shares during the period. Y Intercept Hong Kong Ltd bought a new stake in MGIC Investment during the 1st quarter worth about $958,000. Lindbrook Capital LLC lifted its position in MGIC Investment by 2,387.7% during the 1st quarter. Lindbrook Capital LLC now owns 7,065 shares of the insurance provider's stock valued at $175,000 after purchasing an additional 6,781 shares during the period. Csenge Advisory Group boosted its stake in shares of MGIC Investment by 9.2% in the 1st quarter. Csenge Advisory Group now owns 88,719 shares of the insurance provider's stock valued at $2,132,000 after purchasing an additional 7,459 shares during the last quarter. Finally, Private Advisor Group LLC acquired a new stake in shares of MGIC Investment during the 1st quarter worth approximately $238,000. 95.58% of the stock is currently owned by institutional investors and hedge funds.

Analyst Upgrades and Downgrades

MTG has been the topic of a number of recent research reports. 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 research note on Monday, July 7th. Compass Point restated a "neutral" rating and set a $28.00 target price (up previously from $27.00) on shares of MGIC Investment in a report on Friday, May 23rd. Finally, Barclays boosted their target price on MGIC Investment from $26.00 to $27.00 and gave the stock an "equal weight" rating in a research report on Tuesday, July 8th. One equities research analyst has rated the stock with a sell rating, five have given a hold rating and one has assigned a buy rating to the stock. According to data from MarketBeat, MGIC Investment presently has a consensus rating of "Hold" and an average price target of $26.43.

MGIC Investment Stock Up 0.7%

NYSE:MTG traded up $0.20 during trading hours on Tuesday, reaching $26.92. 632,479 shares of the stock were exchanged, compared to its average volume of 2,186,547. The firm has a 50 day moving average of $26.51 and a 200 day moving average of $25.28. The company has a debt-to-equity ratio of 0.13, a current ratio of 1.46 and a quick ratio of 1.46. MGIC Investment Corporation has a twelve month low of $21.94 and a twelve month high of $28.67. The stock has a market cap of $6.20 billion, a PE ratio of 8.83, a PEG ratio of 1.95 and a beta of 0.90.

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 the consensus estimate of $0.70 by $0.12. The business had revenue of $304.25 million during the quarter, compared to analysts' expectations of $306.25 million. MGIC Investment had a net margin of 62.58% and a return on equity of 14.73%. The firm's revenue was down .3% on a year-over-year basis. During the same period last year, the business earned $0.77 earnings per share. On average, equities analysts expect that MGIC Investment Corporation will post 2.71 earnings per share for the current year.

MGIC Investment Increases Dividend

The business also recently disclosed 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. This represents a $0.60 annualized dividend and a yield of 2.2%. This is a boost from MGIC Investment's previous quarterly dividend of $0.13. The ex-dividend date is Thursday, August 7th. MGIC Investment's dividend payout ratio (DPR) is 19.67%.

MGIC Investment declared that its board has approved a share buyback plan on Thursday, April 24th that authorizes the company to repurchase $750.00 million in shares. This repurchase authorization authorizes the insurance provider to buy up to 12.5% of its shares through open market purchases. Shares repurchase plans are typically an indication that the company's leadership believes its shares are undervalued.

Insider Activity at MGIC Investment

In other news, EVP Paula C. Maggio sold 20,000 shares of the stock in a transaction that occurred on Friday, May 30th. The stock was sold at an average price of $26.49, for a total transaction of $529,800.00. Following the transaction, the executive vice president owned 157,395 shares in the company, valued at approximately $4,169,393.55. This trade represents a 11.27% decrease in their ownership of the stock. The sale was disclosed in a document filed with the Securities & Exchange Commission, which is accessible through this link. Also, COO Salvatore A. Miosi sold 30,000 shares of the company's stock in a transaction 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 completion of the transaction, the chief operating officer directly owned 249,401 shares in the company, valued at approximately $6,539,294.22. This represents a 10.74% decrease in their ownership of the stock. The disclosure for this sale can be found here. Company insiders own 1.05% of the company's stock.

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.