Mr. Cooper Group (NASDAQ:COOP) Shares Gap Up - Should You Buy?

Key Points

• Mr. Cooper Group (NASDAQ:COOP) saw its shares surge from a previous close of $155.72 to an opening price of $163.72 and last traded at $176.42 with a volume of 408,318 shares.
• Analysts have increased their price targets on Mr. Cooper Group, with Barclays setting a new target of $156.00 and several firms maintaining or adjusting their ratings to "hold" and "overweight."
• The company's latest earnings report showed a miss on earnings per share at $3.13, compared to analysts' expectations of $3.28, although revenue increased by 8.6% year-over-year.

Mr. Cooper Group Inc (NASDAQ:COOP - Get Free Report)'s stock price gapped up prior to trading on Friday . The stock had previously closed at $155.72, but opened at $163.72. Mr. Cooper Group shares last traded at $176.42, with a volume of 408,318 shares.

Analyst Ratings Changes

Several research analysts recently issued reports on COOP shares. Barclays increased their price target on shares of Mr. Cooper Group from $147.00 to $156.00 and gave the stock an "overweight" rating in a research report on Tuesday, July 8th. UBS Group reissued a "neutral" rating and issued a $156.00 price target on shares of Mr. Cooper Group in a research report on Tuesday, July 15th. Piper Sandler raised their price objective on shares of Mr. Cooper Group from $143.00 to $158.00 and gave the stock a "neutral" rating in a report on Tuesday, July 1st. Jefferies Financial Group raised their price objective on shares of Mr. Cooper Group from $110.00 to $150.00 and gave the stock a "hold" rating in a report on Tuesday, July 22nd. Finally, Keefe, Bruyette & Woods raised their price objective on shares of Mr. Cooper Group from $115.00 to $143.00 and gave the stock a "market perform" rating in a report on Tuesday, April 8th. Five analysts have rated the stock with a hold rating and four have given a buy rating to the company. Based on data from MarketBeat, Mr. Cooper Group currently has an average rating of "Hold" and a consensus price target of $137.88.

Mr. Cooper Group Stock Up 11.9%

The company has a market cap of $11.15 billion, a price-to-earnings ratio of 19.94 and a beta of 0.98. The company's fifty day moving average price is $146.76 and its two-hundred day moving average price is $124.23.

Mr. Cooper Group (NASDAQ:COOP - Get Free Report) last issued its quarterly earnings results on Wednesday, July 23rd. The company reported $3.13 earnings per share for the quarter, missing analysts' consensus estimates of $3.28 by ($0.15). The company had revenue of $608.00 million during the quarter, compared to analyst estimates of $669.23 million. Mr. Cooper Group had a net margin of 25.38% and a return on equity of 15.66%. The business's revenue for the quarter was up 8.6% on a year-over-year basis. During the same period in the prior year, the business earned $3.10 EPS. Research analysts forecast that Mr. Cooper Group Inc will post 13.17 earnings per share for the current year.

Insider Buying and Selling at Mr. Cooper Group

In related news, CEO Jesse K. Bray sold 30,000 shares of the firm's stock in a transaction that occurred on Tuesday, July 1st. The shares were sold at an average price of $152.14, for a total value of $4,564,200.00. Following the completion of the sale, the chief executive officer owned 693,187 shares of the company's stock, valued at $105,461,470.18. This trade represents a 4.15% decrease in their ownership of the stock. The sale was disclosed in a document filed with the SEC, which is available at the SEC website. 1.73% of the stock is currently owned by corporate insiders.

Institutional Trading of Mr. Cooper Group

Hedge funds and other institutional investors have recently modified their holdings of the stock. Commonwealth Equity Services LLC boosted its stake in Mr. Cooper Group by 2.6% in the fourth quarter. Commonwealth Equity Services LLC now owns 4,984 shares of the company's stock valued at $479,000 after acquiring an additional 128 shares during the last quarter. LPL Financial LLC boosted its stake in Mr. Cooper Group by 3.3% in the fourth quarter. LPL Financial LLC now owns 14,957 shares of the company's stock valued at $1,436,000 after acquiring an additional 472 shares during the last quarter. JPMorgan Chase & Co. boosted its stake in Mr. Cooper Group by 15.5% in the fourth quarter. JPMorgan Chase & Co. now owns 644,159 shares of the company's stock valued at $61,846,000 after acquiring an additional 86,510 shares during the last quarter. Pictet Asset Management Holding SA boosted its stake in Mr. Cooper Group by 6.7% in the fourth quarter. Pictet Asset Management Holding SA now owns 10,287 shares of the company's stock valued at $988,000 after acquiring an additional 648 shares during the last quarter. Finally, National Bank of Canada FI bought a new position in Mr. Cooper Group in the fourth quarter valued at approximately $78,000. Institutional investors and hedge funds own 89.82% of the company's stock.

About Mr. Cooper Group

Mr. Cooper Group Inc, together with its subsidiaries, operates as a non-bank servicer of residential mortgage loans in the United States. The company operates through Servicing and Originations segments. The Servicing segment performs activities on behalf of investors or owners of the underlying mortgages and mortgage servicing rights, including collecting and disbursing borrower payments, investor reporting, customer service, modifying loans, performing collections, foreclosures, and the sale of real estate owned.