Radian Group FY2025 EPS Estimate Increased by Roth Capital

Key Points

• Roth Capital has raised its FY2025 EPS forecast for Radian Group from $4.00 to $4.05, exceeding the current consensus estimate of $3.79 per share.
• Several analysts have adjusted their ratings on Radian Group, with Keefe, Bruyette & Woods changing their rating to "hold" and setting a price target of $38.00.
• Radian Group also declared a quarterly dividend of $0.255 per share, showcasing a 3.1% yield with a payout ratio of 25.69%.

Radian Group Inc. (NYSE:RDN - Free Report) - Equities research analysts at Roth Capital upped their FY2025 earnings estimates for Radian Group in a report released on Monday, August 4th. Roth Capital analyst H. Fong now expects that the insurance provider will post earnings per share of $4.05 for the year, up from their previous estimate of $4.00. The consensus estimate for Radian Group's current full-year earnings is $3.79 per share. Roth Capital also issued estimates for Radian Group's Q3 2026 earnings at $1.10 EPS.

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

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

Radian Group Stock Up 2.1%

Shares of RDN traded up $0.69 during mid-day trading on Tuesday, reaching $33.98. 671,163 shares of the stock traded hands, compared to its average volume of 1,204,314. The firm has a market cap of $4.60 billion, a price-to-earnings ratio of 8.56 and a beta of 0.74. The stock has a fifty day simple moving average of $34.40 and a 200 day simple moving average of $33.32. Radian Group has a 12-month low of $29.32 and a 12-month high of $36.99. The company has a quick ratio of 3.44, a current ratio of 1.68 and a debt-to-equity ratio of 0.54.

Hedge Funds Weigh In On Radian Group

A number of hedge funds have recently added to or reduced their stakes in the business. First Trust Advisors LP boosted its holdings in Radian Group by 20.6% in the fourth quarter. First Trust Advisors LP now owns 10,766,237 shares of the insurance provider's stock worth $341,505,000 after purchasing an additional 1,836,020 shares during the period. Charles Schwab Investment Management Inc. boosted its holdings in shares of Radian Group by 4.0% during the first quarter. Charles Schwab Investment Management Inc. now owns 6,340,962 shares of the insurance provider's stock valued at $209,696,000 after acquiring an additional 246,799 shares during the period. American Century Companies Inc. boosted its holdings in shares of Radian Group by 9.2% during the first quarter. American Century Companies Inc. now owns 3,658,250 shares of the insurance provider's stock valued at $120,978,000 after acquiring an additional 306,889 shares during the period. VIRGINIA RETIREMENT SYSTEMS ET Al acquired a new position in shares of Radian Group during the second quarter valued at $69,714,000. Finally, Ameriprise Financial Inc. boosted its holdings in shares of Radian Group by 5.3% during the first quarter. Ameriprise Financial Inc. now owns 1,569,410 shares of the insurance provider's stock valued at $51,902,000 after acquiring an additional 79,159 shares during the period. Institutional investors and hedge funds own 95.33% of the company's stock.

Insider Transactions at Radian Group

In other Radian Group news, Director Howard Bernard Culang sold 8,773 shares of Radian Group stock in a transaction on Friday, June 6th. The shares were sold at an average price of $33.37, for a total value of $292,755.01. Following the completion of the transaction, the director owned 8,050 shares of the company's stock, valued at $268,628.50. The trade was a 52.15% decrease in their ownership of the stock. The transaction was disclosed in a document filed with the SEC, which is available through this link. Also, Director Noel Joseph Spiegel sold 5,105 shares of Radian Group stock in a transaction on Friday, June 6th. The stock was sold at an average price of $33.66, for a total transaction of $171,834.30. Following the completion of the transaction, the director directly owned 20,008 shares of the company's stock, valued at approximately $673,469.28. This represents a 20.33% decrease in their position. The disclosure for this sale can be found here. Insiders have sold a total of 86,378 shares of company stock valued at $2,944,414 over the last quarter. Insiders own 2.01% of the company's stock.

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

Radian Group Announces Dividend

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

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.