Public Sector Pension Investment Board Grows Stake in Radian Group Inc. (NYSE:RDN)

Key Points

• The Public Sector Pension Investment Board increased its stake in Radian Group Inc. by 42.5%, now owning approximately 0.39% of the company valued at $17.5 million.
• A quarterly dividend of $0.255 per share has been declared, which represents a 3.0% yield and is part of an annualized payout of $1.02.
• Radian Group recently reported an EPS of $1.01 for the last quarter, surpassing analyst estimates of $0.93, despite a slight year-over-year revenue decline of 0.9%.

Public Sector Pension Investment Board lifted its position in Radian Group Inc. (NYSE:RDN - Free Report) by 42.5% during the first quarter, according to the company in its most recent filing with the Securities and Exchange Commission (SEC). The fund owned 528,798 shares of the insurance provider's stock after buying an additional 157,740 shares during the period. Public Sector Pension Investment Board owned approximately 0.39% of Radian Group worth $17,487,000 as of its most recent filing with the Securities and Exchange Commission (SEC).

A number of other institutional investors and hedge funds have also recently modified their holdings of the company. First Trust Advisors LP boosted its stake in shares of Radian Group by 20.6% in the 4th quarter. First Trust Advisors LP now owns 10,766,237 shares of the insurance provider's stock worth $341,505,000 after buying an additional 1,836,020 shares during the last quarter. Charles Schwab Investment Management Inc. boosted its stake in shares of Radian Group by 4.0% in the 1st quarter. Charles Schwab Investment Management Inc. now owns 6,340,962 shares of the insurance provider's stock worth $209,696,000 after buying an additional 246,799 shares during the last quarter. Invesco Ltd. boosted its stake in shares of Radian Group by 19.2% in the 4th quarter. Invesco Ltd. now owns 1,326,010 shares of the insurance provider's stock worth $42,061,000 after buying an additional 214,036 shares during the last quarter. Nuveen LLC purchased a new position in shares of Radian Group in the 1st quarter worth $40,749,000. Finally, Capital World Investors boosted its stake in shares of Radian Group by 19.5% in the 4th quarter. Capital World Investors now owns 1,208,457 shares of the insurance provider's stock worth $38,332,000 after buying an additional 197,147 shares during the last quarter. 95.33% of the stock is currently owned by hedge funds and other institutional investors.

Analyst Ratings Changes

A number of equities analysts have recently issued reports on RDN shares. Barclays raised their price target on Radian Group from $34.00 to $35.00 and gave the stock an "equal weight" rating in a research note on Tuesday, July 8th. Compass Point downgraded Radian Group from a "strong-buy" rating to a "hold" rating in a research report on Friday, May 23rd. Keefe, Bruyette & Woods downgraded Radian Group from a "moderate buy" rating to a "hold" rating and set a $38.00 target price on the stock. in a research report on Monday, July 7th. Finally, UBS Group reiterated a "neutral" rating and set a $38.00 target price (up from $36.00) on shares of Radian Group in a research report on Monday, July 14th.

Radian Group Price Performance

NYSE RDN opened at $34.19 on Tuesday. The company has a market capitalization of $4.63 billion, a PE ratio of 8.61 and a beta of 0.74. The company has a debt-to-equity ratio of 0.54, a quick ratio of 1.68 and a current ratio of 1.68. The business's fifty day moving average is $34.41 and its 200 day moving average is $33.32. Radian Group Inc. has a fifty-two week low of $29.32 and a fifty-two week high of $36.99.

Radian Group (NYSE:RDN - Get Free Report) last posted its quarterly earnings results on Wednesday, July 30th. The insurance provider reported $1.01 EPS for the quarter, beating analysts' consensus estimates of $0.93 by $0.08. The business had revenue of $318.00 million for the quarter, compared to analysts' expectations of $321.97 million. Radian Group had a return on equity of 13.25% and a net margin of 45.62%. The business's quarterly revenue was down .9% on a year-over-year basis. During the same period last year, the firm earned $0.98 earnings per share. Sell-side analysts predict that Radian Group Inc. will post 3.79 earnings per share for the current year.

Radian Group Dividend Announcement

The firm also recently declared a quarterly dividend, which was paid on Tuesday, June 17th. Shareholders of record on Monday, June 2nd were issued a dividend of $0.255 per share. The ex-dividend date of this dividend was Monday, June 2nd. This represents a $1.02 dividend on an annualized basis and a yield of 3.0%. Radian Group's dividend payout ratio (DPR) is currently 25.69%.

Radian Group declared that its Board of Directors has authorized a share buyback plan on Wednesday, May 21st that permits the company to buyback $750.00 million in shares. This buyback authorization permits the insurance provider to reacquire up to 16.9% of its stock through open market purchases. Stock buyback plans are usually an indication that the company's leadership believes its stock is undervalued.

Insider Buying and Selling at Radian Group

In other Radian Group news, EVP Eric Ray sold 30,000 shares of the firm's stock in a transaction dated Friday, June 6th. The stock was sold at an average price of $33.30, for a total transaction of $999,000.00. Following the sale, the executive vice president directly owned 13,957 shares of the company's stock, valued at $464,768.10. This trade represents a 68.25% decrease in their ownership of the stock. The transaction was disclosed in a legal filing with the Securities & Exchange Commission, which is available through the SEC website. Also, Director Lisa Mumford sold 2,500 shares of the firm's stock in a transaction dated Friday, June 6th. The shares were sold at an average price of $33.45, for a total value of $83,625.00. Following the sale, the director directly owned 22,329 shares in the company, valued at approximately $746,905.05. This represents a 10.07% decrease in their ownership of the stock. The disclosure for this sale can be found here. Over the last quarter, insiders sold 86,378 shares of company stock valued at $2,944,414. 2.16% of the stock is currently owned by corporate insiders.

About Radian Group

Radian Group Inc, together with its subsidiaries, engages in the mortgage and real estate services business in the United States. It operates through two segments, Mortgage Insurance and Homegenius segments. The Mortgage Insurance segment aggregates, manages, and distributes U.S. mortgage credit risk for mortgage lending institutions and mortgage credit investors, through private mortgage insurance on residential first-lien mortgage loans; and other credit risk management solutions, including contract underwriting.

Want to see what other hedge funds are holding RDN? Visit HoldingsChannel.com to get the latest 13F filings and insider trades for Radian Group Inc. (NYSE:RDN - Free Report).

This instant news alert was generated by narrative science technology and financial data from MarketBeat in order to provide readers with the fastest and most accurate reporting. This story was reviewed by MarketBeat's editorial team prior to publication. Please send any questions or comments about this story to contact@marketbeat.com.