Donegal Group (NASDAQ:DGICA) Stock: Insider Jon Marshall Mahan Sells 4,500 Shares

Key Points

• Director Jon Mahan sold 4,500 shares for $87,255, reducing his stake by 29.63% to 10,688 shares.
• Donegal Group beat quarterly earnings and revenue estimates, reporting EPS of $0.50 versus $0.44 expected and revenue of $237.66 million versus $214.12 million expected.
• The company declared a quarterly dividend of $0.1925 per share, equivalent to an annualized yield of about 4.1%; analysts’ consensus rating is Hold with a $20 price target.

Donegal Group, Inc. (NASDAQ:DGICA - Get Free Report) Director Jon Mahan sold 4,500 shares of the stock in a transaction that occurred on Thursday, November 5th. The stock was sold at an average price of $19.39, for a total transaction of $87,255.00. Following the sale, the director owned 10,688 shares in the company, valued at $207,240.32. This represents a 29.63% decrease in their position. The transaction was disclosed in a filing with the SEC, which can be accessed through the SEC website.

Donegal Group Price Performance

NASDAQ:DGICA traded down $0.19 during mid-day trading on Thursday, reaching $18.91. The stock had a trading volume of 109,959 shares, compared to its average volume of 124,239. Donegal Group, Inc. has a 12 month low of $16.11 and a 12 month high of $21.06. The stock has a market capitalization of $701.92 million, a PE ratio of 10.11 and a beta of -0.03. The company has a debt-to-equity ratio of 0.05, a current ratio of 0.39 and a quick ratio of 0.39. The stock has a 50-day simple moving average of $18.70 and a two-hundred day simple moving average of $18.15.

Donegal Group (NASDAQ:DGICA - Get Free Report) last released its earnings results on Thursday, October 29th. The insurance provider reported $0.50 earnings per share for the quarter, topping the consensus estimate of $0.44 by $0.06. Donegal Group had a return on equity of 10.49% and a net margin of 7.24%. The firm had revenue of $237.66 million during the quarter, compared to analysts' expectations of $214.12 million. On average, equities analysts anticipate that Donegal Group, Inc. will post 1.75 earnings per share for the current year.

Donegal Group Announces Dividend

The firm also recently disclosed a quarterly dividend, which will be paid on Monday, November 16th. Investors of record on Monday, November 2nd will be given a dividend of $0.1925 per share. This represents a $0.77 annualized dividend and a dividend yield of 4.1%. The ex-dividend date is Monday, November 2nd. Donegal Group's dividend payout ratio is currently 41.18%.

Institutional Inflows and Outflows

Large investors have recently modified their holdings of the company. Dimensional Fund Advisors LP grew its holdings in shares of Donegal Group by 0.4% during the first quarter. Dimensional Fund Advisors LP now owns 1,737,266 shares of the insurance provider's stock worth $29,846,000 after purchasing an additional 7,345 shares during the last quarter. Renaissance Technologies LLC raised its holdings in Donegal Group by 5.8% in the 1st quarter. Renaissance Technologies LLC now owns 392,711 shares of the insurance provider's stock valued at $6,747,000 after buying an additional 21,500 shares during the last quarter. Arrowstreet Capital Limited Partnership raised its holdings in Donegal Group by 41.2% in the 1st quarter. Arrowstreet Capital Limited Partnership now owns 276,237 shares of the insurance provider's stock valued at $4,746,000 after buying an additional 80,614 shares during the last quarter. Bank of New York Mellon Corp boosted its position in Donegal Group by 5.8% during the 1st quarter. Bank of New York Mellon Corp now owns 166,616 shares of the insurance provider's stock worth $2,862,000 after buying an additional 9,075 shares during the period. Finally, Pinnacle Associates Ltd. boosted its position in Donegal Group by 3.5% during the 3rd quarter. Pinnacle Associates Ltd. now owns 96,138 shares of the insurance provider's stock worth $1,710,000 after buying an additional 3,264 shares during the period. 27.96% of the stock is currently owned by institutional investors.

Wall Street Analyst Weigh In

A number of research firms have issued reports on DGICA. Zacks Research upgraded Donegal Group from a "strong sell" rating to a "hold" rating in a research report on Friday, October 16th. Weiss Ratings raised shares of Donegal Group from a "buy (b-)" rating to a "buy (b)" rating in a report on Friday, August 28th. Finally, Keefe, Bruyette & Woods raised their price target on shares of Donegal Group from $18.00 to $20.00 and gave the company a "market perform" rating in a research note on Wednesday, July 8th. One research analyst has rated the stock with a Buy rating and two have assigned a Hold rating to the company. According to MarketBeat, the company currently has a consensus rating of "Hold" and a consensus target price of $20.00.

Donegal Group Company Profile

Donegal Group Inc NASDAQ: DGICA is an insurance holding company that, through its insurance subsidiaries, provides property and casualty insurance products to individuals and businesses. The company operates under the strategic direction of Donegal Mutual Insurance Company, which owns a controlling interest in Donegal Group.

Its personal insurance offerings include automobile, homeowners, dwelling fire, farmowners and related coverage. Donegal Group also provides commercial insurance products, including businessowners, commercial automobile, commercial property and workers' compensation coverage, along with other specialized property and casualty policies.

Founded in 1986 and headquartered in Marietta, Pennsylvania, Donegal Group serves policyholders through independent agents across a broad group of states, primarily in the Mid-Atlantic, Southern and Midwestern regions of the United States.

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